David Shove Quotations

We're pretty bullish on the sector. I mean, what's happened at a macro level is that consumers have said that straight traditional HMO products are not their products of choice. They really want a product that gives them more options in terms of doctors and places to go for their health care. The traditional HMOs then have to evolve. This leads to some rising costs; in turn, the companies raise premiums to keep up with that. Most of the companies have made this transition and are experiencing extremely strong earnings this year.

I think he's saying to ING ... that we have other places that we can go -- not that they have seriously responded to other inquiries.

We have always believed that the longer this jury deliberates, the greater the chance of no verdict. We also believe that if this trial ends in a hung jury, there will not be a third trial. All of this would be especially positive for Tenet, as they would be able to start recruiting doctors more aggressively and volumes at the company may improve. Maybe -- just maybe -- it is getting closer to this outcome.

We should point out that significant legal hurdles face the plaintiffs before they could prevail in these cases. Many of the agreements between the managed care companies and the physicians require arbitration and this could defuse the class actions ... However, we believe current HMO valuations assume these lawsuits will be dismissed out of hand. This is unlikely.

Tenet can now focus on rebuilding its strained physician relationships and restoring its brand name, which should lead to higher patient volumes.

Aetna's fourth-quarter earnings demonstrate that this rejuvenated national franchise continues to win the enrollment race.

Despite its best efforts, HCA hospitals experienced weaker profitable admissions, intensifying local competition, higher operating costs and fast-rising uninsured patient volumes. HCA's fourth-quarter performance showcases the hospital industry's increasingly turbulent and tumultuous environment.

It is those trends that are bothering people. The (premium) pricing trends and (medical) cost trends have spooked investors.

It's hard not to be confused about trends at the company.

It was just ripe, there had been so many discussions. Mr. Donaldson is clearly shareholder focused and it doesn't surprise me that somebody decided to step in at least and take a whack at it.

I doubt that the ING talks are falling apart. I have the feeling that all of this is part of the negotiations. That doesn't mean that ING is going to be the acquirer, but I doubt that they've gone away.