Fhp International Corp

The short, bearded man in a gray, double-breasted suit walked swiftly through a Long Beach medical clinic, pivoting often to point out cosmetic flaws that might mar the image of the health care organization he spent a lifetime building. The clinic's young managers obediently took notes as Dr. Robert Gumbiner pointed scornfully to tattered telephone directories, wheelchairs that obstructed a hallway and two pictures hung askew in a waiting room.

PacifiCare Health Systems Inc., still struggling with last year's acquisition of FHP International Inc., said Monday it is dismissing 250 employees in California, 10 other states and Guam. The staff cuts, the second round since the FHP takeover, amount to 2.6% of PacifiCare's work force of 9,800. In California, 80 employees, all at the company's Santa Ana headquarters and Cypress office, will be dismissed. For most, the layoffs are effective immediately.

Health care services company FHP International Corp. posted higher net income for the fiscal first quarter on a 10% gain in revenue. The company, which has signed an agreement to be acquired by Orange County rival PacifiCare Health Systems Inc., reported net income of $17 million, or 40 cents a share, for the first quarter ended Sept. 30. That compares with net income of $7.3 million, or 18 cents a share, for the prior-year period, which included a restructuring charge of $5.8 million.

An Orange County Superior Court jury awarded $2 million Wednesday to a Santa Ana operator of health clinics that had filed suit against a nonprofit foundation for allegedly withdrawing promised funding. The jury awarded damages to the clinic operator, Health Reform Action Project, which had sued Archstone Foundation last March. The suit claimed the Long Beach foundation broke a contract to provide $3 million in grants to support clinics it operates for the poor.

FHP International Corp., holding a line on costs while adding new members to its health maintenance organization, said Thursday that its second-quarter earnings rose 66% to $10.3 million, or 31 cents a share. This compares to net income of $6.2 million, or 19 cents a share, for the previous year's second quarter. Revenue grew 27% for the three-month period ended Dec. 31 to $591.1 million.

FHP International Corp., a Fountain Valley-based health maintenance organization, reported strong earnings growth Wednesday for fiscal 1989 and the fourth quarter ended June 30, largely on the strength of growing membership, higher rates and containment of costs. The company reported net income of $7.7 million for its fourth quarter, up 26.2% from $6.1 million for the same period a year ago. FHP's revenue for the fourth quarter ended June 30 increased 37% to $199.3 million from $145.

A frustrated Dr. Robert Gumbiner, watching his innovative structure being dismantled at FHP International Corp., resigned Thursday from the board of the Fountain Valley health maintenance organization. Gumbiner, who only a week ago had been bumped up to chairman emeritus from chairman, said in a prepared statement that the "recent direction taken by the board and management lead me to question the wisdom of the company's long-term strategy."

FHP International Corp. said net earnings during its fiscal 1987 second quarter, ended Dec. 31, rose 43% to a record $3 million from $2.1 million a year earlier. The Fountain Valley holding company for the FHP prepaid health plan said quarterly revenues increased 42%, to $90.2 million, from $63.4 million during the year-ago period. For the first half of its 1987 fiscal year, FHP said, net earnings increased 45% to a record $5.8 million from $4 million during the prior year's first half.

The short, bearded man in a gray, double-breasted suit walked swiftly through a Long Beach medical clinic, pivoting often to point out cosmetic flaws that might mar the image of the health-care organization he spent a lifetime building. The clinic's young managers obediently took notes as Dr. Robert Gumbiner pointed scornfully to some tattered telephone directories, wheelchairs that obstructed a hallway and two pictures hung askew in a waiting room.

FHP International Corp. said its directors have approved a 2-for-1 split of the company's outstanding common stock. The split will require an increase in the authorized number of common shares, subject to the approval of shareholders at the annual meeting on Nov. 16.

PacifiCare Health Systems Inc. said it will close its money-losing Utah operation if it can't find a buyer for the unit that it took over in February as part of a $2.2-billion acquisition of rival FHP International Inc. PacifiCare said it hasn't found prospective buyers or set a deadline for when it would close the unit.

PacifiCare Health Systems Inc., still reeling from its acquisition of a major competitor, jolted investors once again Tuesday by announcing that the managed care company's fourth-quarter earnings will be about half of analysts' expectations. The dismal earnings projection triggered a massive sell-off of PacifiCare stock. The company's two classes of common stock plummeted more than 21% to their lowest levels in two years, putting them among the stock market's big losers Tuesday.

After a prolonged examination, the state has given PacifiCare Health Systems Inc. the OK to absorb the California operations of former competitor FHP International Corp. The combined health plan, which will operate as one system, will serve about 2.3 million Californians, Cypress-based PacifiCare said Friday.

After a prolonged examination, the state gave PacifiCare Health Systems Inc. the OK to absorb the California operations of former competitor FHP International Corp. The combined health plan, which will operate as one system, will serve about 2.3 million Californians, Cypress-based PacifiCare said.

Another deadline has come and gone, and PacifiCare Health Systems Inc. still hasn't won approval to absorb the California operations of the former FHP International Corp. Earlier this year, the state's Department of Corporations, which regulates health maintenance organizations, let Cypress-based PacifiCare proceed with plans to purchase former rival FHP. But the agency has yet to let PacifiCare merge FHP's California plan into PacifiCare's.

Managed health-care giant PacifiCare Health Systems Inc. disappointed investors for the second time this week, saying Friday it will post second-quarter earnings of from 30 to 45 cents a share--less than half of what analysts had expected. The company largely blamed unanticipated increases in health-care costs in markets it inherited through its purchase of FHP International Corp. as well as in its own markets.

PacifiCare Health Systems Inc. said it is considering shedding some health-care plans inherited through its $2.1-billion acquisition of Orange County competitor FHP International Inc. PacifiCare, the nation's fifth-largest managed-care company, is considering selling former FHP businesses in areas outside its core markets of California and Texas.

With a merger, you never know what you're going to find. A health plan that PacifiCare Health Systems Inc. inherited in its buyout of FHP International Corp. recently designated a controversial drug as a preferred treatment for allergies. The drug--terfenadine--is the generic form of Seldane. The U.S. Food and Drug Administration recently proposed that Seldane be removed from the market because it has been linked to potentially fatal heart problems when taken with certain other drugs.