803352--9/9/2008--CONTINUCARE

related topics

{regulation, government, change}

{personnel, key, retain}

{acquisition, growth, future}

{tax, income, asset}

{system, service, information}

{stock, price, operating}

{condition, economic, financial}

{product, liability, claim}

{loss, insurance, financial}

{control, financial, internal}

{operation, natural, condition}

{cost, contract, operation}

We compete with many health care providers for patients and HMO affiliations. We may not be able to successfully recruit or retain existing relationships with qualified physicians and medical professionals. Our business exposes us to the risk of medical malpractice lawsuits. Our revenues will be affected by the Medicare Risk Adjustment program. We presently operate only in Florida. Failure to maintain effective internal controls in accordance with Section 404 of the Sarbanes-Oxley Act could have a material adverse effect on our business and stock price. A significant portion of our voting power is concentrated. We are dependent on our executive officers and other key employees. We depend on the management information systems of our affiliated HMOs. We depend on our information processing systems. Volatility of our stock price could adversely affect you. The Internal Revenue Service may disagree with the parties description of the federal income tax consequences. Our intangible assets represent a substantial portion of our total assets. Competition for acquisition targets and acquisition financing and other factors may impede our ability to acquire other businesses and may inhibit our growth. Our acquisitions could result in integration difficulties, unexpected expenses, diversion of management s attention and other negative consequences. Risks related to our industry We are subject to government regulation. The health care industry is subject to continued scrutiny. Our insurance coverage may not be adequate, and rising insurance premiums could negatively affect our profitability. Deficit spending and economic downturns could negatively impact our results of operations. Many factors that increase health care costs are largely beyond our ability to control. Health care reform initiatives, particularly changes to the Medicare system, could adversely affect our operations.

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803352--9/9/2008--CONTINUCARE_CORP