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Biotech / Medical : AHTC Corp (AHTC)-formerly Advanced Health (ADVH)

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To: gcrispin who wrote (204)6/28/1998 10:45:00 PM
From: Tom D  Read Replies (1) of 371
 
Sorry it took so long to answer.

<<<I am curious about number seven. What evidence do you have for this statement? If I am interpreting this correctly, what you are stating is that the groups who have partnered with ADVH are increasing their
business with global risk insurance companies. So, not only are there more docs joining ADVH, but the docs that are affiliated with the company are increasing their revenues. Can you explain how you have found this out?>>>

I don't have any hard data for this one. I know that ADVH does not do global risk contracting for ALL of its contracts. They have a mix of conventional, limited risk, and global risk. I assume that the percentage of contracting that is global risk will increase over time.
This is certainly true for my group. But you are right in pinning it down as an assumption of mine. sekarlrac on Yahoo went to the shareholders meeting on Friday. He posted one phrase that I jumped all over--at the shareholders meeting mgmt said that...
<<<year over year same physician revenue growth as being very strong and that the measure was a good sales tool for the company when approaching new practices>>>

I think this is a key piece of information in understanding how well ADVH is doing.

<<<Will there be double the number of physicians by the year 2003? I doubt it!>>> The number of docs won't double, but the revenues they handle will. Population will age. Expensive new treatments (TPA for stroke, radioactive stents, drugs like Aricept ($1500 per year drug for Alzheimers dz), drugs that prolong life in AIDS etc etc) will also increase the dollars controlled per physician. Should only help ADVH, as they create value in doing cost-effective care with higher stakes.

Best Regards,
Tom D
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