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WebMD Provides Preliminary First Quarter Results and Updates Financial Guidance for 2008
Date:4/23/2008

assists management and investors in making period-to-period

comparisons of operating performance. Investors should note that

use of tangible and intangible assets contributed to revenue in the

periods presented and will contribute to future revenue generation

and should also note that such expenses will recur in future

periods.

-- Stock-Based Compensation Expense. Stock-based compensation expense

is a non-cash expense arising from the grant of stock-based awards

to employees. WebMD believes that excluding the effect of stock-

based compensation from Adjusted EBITDA assists management and

investors in making period-to-period comparisons in its operating

performance because it believes (i) the amount of such expenses in

any specific period may not directly correlate to the underlying

performance of WebMD's business operations and (ii) such expenses

can vary significantly between periods as a result of the timing of

grants of new stock-based awards, including grants in connection

with acquisitions. Additionally, WebMD believes that excluding

stock-based compensation from Adjusted EBITDA assists management and

investors in making meaningful comparisons between WebMD's operating

performance and the operating performance of other companies that

may use different forms of employee compensation or different

valuation methodologies for their stock-based compensation.

Investors should note that stock-based compensation is a key

incentive offered to employees whose efforts contributed to the

operating results in the periods presented and are expected to

contribute to operating results in future periods. Investors should

also note that such expenses will recur in
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SOURCE WebMD
Copyright©2008 PR Newswire.
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