Provident American Corporation Reports Financial Results
EAST NORRITON, Pa.--(BUSINESS WIRE)--May 14, 1999--Provident
American Corporation reported a net loss applicable to common stock
for the first quarter ended March 31, 1999, of $3,031,000, or ($.26)
per share on a diluted basis, on $4,433,000 of revenue. For the
corresponding 1998 quarter, the Company reported a net gain of
$2,636,000, or $.22 per share on a diluted basis, on $24,520,000 of
revenue.
The Company's first quarter results include a $1.5 million gain
on the sale of the Company's remaining 20% of Montgomery Management
Corporation's common stock whereas 1998 results included a $4 million
gain on the sale of the Company's 80% ownership of Montgomery
Management Corporation' s common stock. The results also include $2.5
million in expenses related to HealthAxis.
At the end of 1998 the Company entered into various agreements to
sell its main insurance underwriting subsidiary Provident American
Life and Health Insurance Company, effective December 31, 1998. As a
result of this sale, the Company's total revenue has declined in the
first quarter compared to the corresponding 1998 quarter.
About Provident American Corporation
Provident American Corporation is a holding company whose
principal operating subsidiaries are HealthAxis.com, Inc. and
Provident Indemnity Life Insurance Co.
Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995: Certain statements made by the Company which are
not historical facts may be considered forward-looking statements,
including, without limitation, statements as to trends, management's
beliefs, expectations and opinions, which are based upon a number of
assumptions concerning future conditions that ultimately may prove to
be inaccurate. Such forward-looking statements are subject to risks
and uncertainties and may be affected by various factors which may
cause actual results to differ materially from those in the
forward-looking statements. For further information which could cause
actual results to differ from the Company's expectations as well as
other factors which could affect the Company's financial statements,
please refer to the Company's reports filed with the Securities and
Exchange Commission.
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Provident American Corporation and Subsidiaries
Consolidated Condensed Balance Sheets
(000's omitted)
March 31, December 31,
1999 1998
Assets
Investments 31,933 32,969
Cash and cash equivalents 15,643 26,185
Other 63,047 57,535
Total Assets 110,623 116,689
Liabilities and Stockholders'
Equity
Future policy benefits 47,651 47,417
Policy claims 32,936 42,481
Other liabilities 13,997 17,359
Minority interest in
HealthAxis.com 11,520 3,937
Stockholders' equity 4,519 5,495
Total Liabilities and
Stockholders' Equity 110,623 116,689
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CONTACT:
Deidre Holt, 610/275-3800
deidreh@earthlink.net |
