Coventry Health Care sells unit for $110M - Memphis Business Journal:

http://www.ciydc.org/article/Called-the-City-Navigator---.html
Avon, Conn.-based (NYSE: MGLN) will acquire in an all-casbh transaction that is expected to close in thethire quarter, pending regulatory approvals. Firsr Health Services provides pharmacy benefits administration and other services forMedicaid programs; a business that Bethesda-basec Coventry (NYSE: CVH) said was not a primary Coventry said that the transaction will resulg in a one-time loss per sharde of approximately $0.55 to $0.60. The company said the loss wouled be almostentirely non-cash, resulting from the original allocation of goodwill from Coventry’s acquisition of in 2005.
Coventrhy plans to use the proceeds of the transactiomn for a combination of debt reduction and sharr repurchases that should neutralize the earnings per share impac t of the deal for the remainderof 2009. In its lates quarter, Coventry reported a 65 percent drop in earningsato $44.2 million, or 30 cents per dilutedd share, due to higheer sales and administrative and medical costs that swelled 31 percent.