Predecessor Company

Reorganized
Company

Fiscal Year Ended

Three Months Ended

Fiscal Year Ended

September 30,
2002

December 31,
2003

December 31,
2001

December 31,
2002

December 31,
2004

(unaudited)

Cash Flows From Operating Activities:

Net income (loss)

$(729,063

)

$ 451,770

$(181,843

)

$ 11,729

$  88,372

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

(Gain) loss on sale of assets

(1,262

)

(4,460

)

(1,262

)

—

141

Depreciation and amortization

47,558

48,047

11,190

14,380

42,489

Goodwill impairment charges

415,880

28,780

—

—

—

Cumulative effect of change in accounting principle

191,561

—

191,561

—

—

Equity in earnings of unconsolidated subsidiaries

(13,006

)

(6,202

)

(3,177

)

(2,138

)

(5,277

)

Non-cash stock compensation

—

—

—

—

20,276

Non-cash fresh start reorganization gain

—

(495,142

)

—

—

—

Other non-cash reorganization expense

—

6,902

—

—

—

Other non-cash interest expense

5,424

4,662

1,231

1,642

2,343

Cash flows from changes in assets and liabilities, net of effects from sales and acquisitions of businesses:

Accounts receivable, net

3,156

11,650

(572

)

13,896

25,069

Restricted cash

(2,291

)

(39

)

(8,861

)

(2,578

)

(2,058

)

Net cash flows related to unconsolidated subsidiaries

10,685

(3,881

)

2,828

3,175

7,322

Income taxes payable and deferred income taxes

153,731

1,966

6,760

129

—

Other assets

4,980

(837

)

7,265

3,424

38,018

Accounts payable and accrued liabilities

(20,796

)

178,355

4,817

(19,257

)

(72,757

)

Medical claims payable

(2,088

)

(47,403

)

(6,988

)

3,568

17,497

Other liabilities

257

(450

)

(148

)

(21

)

23

Minority interest, net of dividends paid

78

352

26

42

591

Other

1,856

4,223

1,228

10

1,389

Total adjustments

795,723

(273,477

)

205,898

16,272

75,066

Net cash provided by operating activities

66,660

178,293

24,055

28,001

163,438

Cash Flows From Investing Activities:

Capital expenditures

(27,596

)

(29,773

)

(6,011

)

(8,421

)

(30,703

)

Acquisitions and investments in businesses

(63,731

)

(3,731

)

—

—

—

Purchases of investments

—

—

—

—

(827,564

)

Maturity of investments

—

—

—

—

506,518

Proceeds from sale of assets

3,500

2,588

3,500

—

2,302

Net cash used in investing activities

(87,827

)

(30,916

)

(2,511

)

(8,421

)

(349,447

)

Cash Flows From Financing Activities:

Payments on long-term debt and capital lease obligations

(65,840

)

(3,018

)

(987

)

(1,196

)

(216,226

)

Proceeds from issuance of long-term debt, net of issuance costs

105,000

76

—

—

92,806

Credit agreement amendment fees and other

(1,499

)

—

(1,403

)

(1,909

)

—

Proceeds from issuance of equity, net of issuance costs

—

—

—

—

147,871

Proceeds from exercise of stock options and warrants and employee stock purchase plan

1,303

25

48

—

—

Net cash provided by (used in) financing activities

38,964

(2,917

)

(2,342

)

(3,105

)

24,451

Net increase (decrease) in cash and cash equivalents

17,797

144,460

19,202

16,475

(161,558

)

Cash and cash equivalents at beginning of period

28,216

62,488

28,216

46,013

206,948

Cash and cash equivalents at end of period

$  46,013

$ 206,948

$  47,418

$ 62,488

$  45,390