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WebMD Announces Fourth Quarter Financial Results
Date:2/19/2009

perating results over multiple periods. Investors should note that it is likely that WebMD derives some benefit from such advertising. Non-cash advertising expenses included in the Consolidated Statement of Operations in Sales and Marketing expense were $3,361 and $2,775 for the three months ended December 31, 2008 and 2007, respectively, and $5,097 and $5,264 for the year ended December 31, 2008 and 2007, respectively.

  • Interest Income. Interest income is associated with the level of marketable debt securities and other interest bearing accounts in which WebMD invests. Interest income varies over time due to varying levels of securities available for investment. Transactions that WebMD has entered into in recent periods that have impacted securities available for investment include the initial public offering of equity in WebMD and acquisitions of other companies for varying amounts of cash since our initial public offering. Additional financing transactions as well as potential acquisitions that WebMD may enter into in the future could impact the levels and timing of securities available for investment. WebMD excludes interest income from Adjusted EBITDA (i) because it is not directly attributable to the performance of WebMD's business operations and, accordingly, its exclusion assists management and investors in making period-to-period comparisons of operating performance and (ii) to assist management and investors in making comparisons to companies with different capital structures. Investors should note that interest income will recur in future periods.

  • Income Tax (Benefit) Provision. WebMD has a net operating loss (NOL) carryforward for which it maintained a full valuation allowance until the fourth quarter of 2007. During 2008 and 2007, a portion of the valuation allowance was reversed after consideration
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