1. Annual Report Blue Cross and Blue Shield of Florida Mandy Irwin ACG 2021.008

2. Executive Summary Blue Cross and Blue Shield of Florida is a not-for-profit mutual insurance company that offers many different kinds of health care options from the general health care option to dental insurance. Annual Report Annual Report

3. Introduction b Michael Cascone, Jr. Chief executive officer b Located: Jacksonville, Florida b Ending of last fiscal year Dec. 31, 2002 b Provides many different options of health insurance. b Many area of activity providing family health care.

4. Audit Report b Companies auditors- BCBSF and Subsidiaries b That the company is a well established company with a lot of potential benefits.

5. Stock Market Information b Recent price of company’s stock.85. b In a twelve month trading range the stocks of BCBSF is only bound to improve with there stocks improving that is why I would put a hold on buying or selling. b Dividends per share 125% b January 1, 2002- December 31, 2002 b I don’t feel as if the company would be a good investment at this time. Hold

6. Industry Situation and Company Plans The company Blue Cross and Blue Shield has a seen a small gain for the year of 2002. Which the company hopes to over come, and plans to better there profits with the new assets of Goodwill and Intangible Assets. Letter to board Letter to board Balance Sheet Balance Sheet

7. Income Statement b Most likely a multi- step format b There has been a slight increase but not a lot of change, in some areas but there is a gain. b

8. Balance Sheet b It is entrusting to see that the total assets and total SHE is the same.The account that changed the most was the total assets and total SHE. It might have been because a purchase was made, Goodwill

9. Statement of Cash Flow b The operations are more than the net income for the past two years. b The company is growing threw buying Goodwill and other intangible goods. b The company’s primary source of finance is The surplus notes of $124 and interest paid was $124 million, and interest paid was $12 million to the surplus note. b Cash has increased over the past two years.

10. Accounting Policies b The significant accounting policies are: revenue consists of the companies group contracts that are billed in advance, the company’s cash is its assets are Goodwill which is $77 million and other property, equipment, and computer software. The company has $69 million in short term borrowing loans b It states that the decrease is due to the additional to a settlement of 1991 through 1995. b Notes on Financial Statement Notes on Financial Statement Notes on Financial Statement

11. Financial Analysis Liquidity Ratio b Working Capital b Current Ratio b Receivable Turnover b Average days sales uncollected b Inventory turnover b Average days’ inventory on hand b $1173 b 1.52 b 3.9 times b 93.6 days b 1.1 times b 332days

12. Financial Analysis Profitability Ratio b Profit margin b Asset Turnover b Return on assets b Return on equity b.03% b 1 times b 1.8% b 6%

13. Financial Analysis Solvency Ratio b Debt to equity b 5.9%

14. Financial Analysis Market Strength Ratio b Price/earnings per share b Dividend yield b 9.3% b 75 times