8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

July 31, 2007

Date of Report (Date of earliest event reported)

HLTH CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	0-24975	94-3236644
(State or other jurisdiction of incorporation)	(Commission File Number)	(I.R.S. Employer Identification No.)

669 River Drive, Center 2
Elmwood Park, New Jersey 07407-1361

(Address of principal executive offices, including zip code)

(201) 703-3400

(Registrant’s telephone number, including area code)

(Former name or address, if changed since last report)

     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act
(17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act
(17 CFR 240.13e-4(c))

     All statements contained in this Current Report on Form 8-K , other than statements of historical fact, are forward-looking statements, including those regarding: guidance on our future financial results and other projections or measures of our future performance; our expectations concerning market opportunities and our ability to capitalize on them; and the amount and timing of the benefits expected from acquisitions, from new products or services and from other potential sources of additional revenue. These statements speak only as of the date of this Current Report and are based on our current plans and expectations, and they involve risks and uncertainties that could cause actual future events or results to be different than those described in or implied by such forward-looking statements. These risks and uncertainties include those relating to: market acceptance of our products and services; relationships with customers and strategic partners; difficulties in integrating acquired businesses; changes in economic, political or regulatory conditions or other trends affecting the healthcare, Internet, information technology and plastics industries; and our ability to attract and retain qualified personnel. Further information about these matters can be found in our Securities and Exchange Commission filings. Except as required by applicable law or regulation, we do not undertake any obligation to update our forward-looking statements to reflect future events or circumstances.

Item 2.02.     Results of Operations and Financial Condition

     On July 31, 2007, we issued a press release announcing our results for the quarter ended June 30, 2007. A copy of the press release is attached as Exhibit 99.1 to this Current Report. Exhibit 99.2 to this Current Report contains the financial tables that accompanied the press release. Exhibit 99.4 to this Current Report contains an Annex to the press release entitled “Explanation of Non-GAAP Financial Measures.” Exhibits 99.1, 99.2 and 99.4 are being “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”), nor shall any of those exhibits be deemed incorporated by reference in any filing under the Securities Act of 1933 (the “Securities Act”) or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

     On July 31, 2007, WebMD Health Corp. (which we refer to as WHC) issued a press release announcing its results for the quarter ended June 30, 2007. The Registrant owns approximately 84% of the outstanding Common Stock of WHC. A copy of the press release issued by WHC is incorporated by reference, as Exhibit 99.5 hereto, from Exhibit 99.1 to the Current Report on Form 8-K filed today by WHC. A copy of the financial tables that accompanied the WHC press release are incorporated by reference, as Exhibit 99.6 hereto, from Exhibit 99.2 to the Current Report on Form 8-K filed today by WHC. A copy of Annex A to the WHC press release, entitled “Explanation of Non-GAAP Financial Measures,” is incorporated by reference, as Exhibit 99.8, from Exhibit 99.4 to the Current Report on Form 8-K filed today by WHC. Exhibits 99.5, 99.6 and 99.8 to this Current Report are being “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, nor shall any of those Exhibits be deemed incorporated by reference in any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

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Item 7.01.     Regulation FD Disclosure

     Exhibit 99.3 to this Current Report includes forward-looking financial information that accompanied Exhibit 99.1 and that is expected to be discussed on the previously announced conference call with investors and analysts to be held by HLTH and WHC at 4:45 p.m., Eastern time, today (July 31, 2007). The call can be accessed at www.hlth.com (in the “About HLTH” section) or at www.wbmd.com (in the “Investor Relations” section) at that time. A replay of the call will be available at the same web addresses. In addition, a copy of certain forward-looking financial information that accompanied Exhibit 99.5 and is expected to be discussed on that conference call is incorporated by reference, as Exhibit 99.7 hereto, from Exhibit 99.3 to the Current Report on Form 8-K filed today by WHC. Exhibits 99.3 and 99.7 are being “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, nor shall either of them be deemed incorporated by reference in any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01.     Financial Statements and Exhibits

(d)     Exhibits. The following exhibits are furnished herewith:

99.1	Press Release, dated July 31, 2007, regarding the Registrant’s results for the quarter ended June 30, 2007
99.2	Financial Tables accompanying Exhibit 99.1
99.3	Financial Guidance Summary accompanying Exhibit 99.1
99.4	Annex A to Exhibits 99.1 through 99.3
99.5	Press Release, dated July 31, 2007, regarding WebMD Health Corp.’s results for the quarter ended June 30, 2007 (incorporated by reference to Exhibit 99.1 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)
99.6	Financial Tables accompanying Exhibit 99.5 (incorporated by reference to Exhibit 99.2 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)
99.7	WebMD Health Corp. Financial Guidance Summary (incorporated by reference to Exhibit 99.3 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)
99.8	Annex A to Exhibits 99.5 through 99.7 (incorporated by reference to Exhibit 99.4 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)

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SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	HLTH CORPORATION
Dated: July 31, 2007	By:	/s/ Lewis H. Leicher
		Lewis H. Leicher
		Senior Vice President

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EXHIBIT INDEX

Exhibit Number	Description
99.1	Press Release, dated July 31, 2007, regarding the Registrant’s results for the quarter ended June 30, 2007
99.2	Financial Tables accompanying Exhibit 99.1
99.3	Financial Guidance Summary accompanying Exhibit 99.1
99.4	Annex A to Exhibits 99.1 through 99.3
99.5	Press Release, dated July 31, 2007, regarding WebMD Health Corp.’s results for the quarter ended June 30, 2007 (incorporated by reference to Exhibit 99.1 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)
99.6	Financial Tables accompanying Exhibit 99.5 (incorporated by reference to Exhibit 99.2 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)
99.7	WebMD Health Corp. Financial Guidance Summary (incorporated by reference to Exhibit 99.3 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)
99.8	Annex A to Exhibits 99.5 through 99.7 (incorporated by reference to Exhibit 99.4 to the Current Report on Form 8-K filed by WebMD Health Corp. on July 31, 2007)

EX-99.1

EXHIBIT 99.1

Contacts:
Investors:	Media:
Risa Fisher	Jennifer Newman
rfisher@hlth.com	jnewman@hlth.com
201-414-2002	212-624-3912

HLTH CORPORATION ANNOUNCES SECOND QUARTER RESULTS

ELMWOOD PARK, NJ (July 31, 2007) — HLTH Corporation (NASDAQ: HLTH) today announced financial results for the three months ended June 30, 2007.

Kevin Cameron, Chief Executive Officer of HLTH Corporation, said: “I am pleased with our performance during the second quarter. We delivered solid results and we continued to build out the products and services that will allow us to take advantage of the tremendous opportunities we see ahead of us.”

Consolidated Financial Highlights
Revenue for the second quarter was $129.3 million. Earnings before interest, taxes, non-cash and other items (“Adjusted EBITDA”) for the second quarter was $21.1 million or $0.11 per share. Income from continuing operations for the second quarter was $11.2 million or $0.06 per share.

Net loss for the June 2007 quarter was ($45.5) million or ($0.24) per share, which includes a loss from discontinued operations of $56.6 million which primarily relates to a charge for the estimate of HLTH’s indemnification obligation for defense costs for nine former officers and directors of the Company’s former subsidiary Emdeon Practice Services, Inc. who were indicted in connection with the previously disclosed investigation by the United States Attorney for the District of South Carolina.

The Company’s consolidated results are not comparable to the respective prior year periods. On November 16, 2006, HLTH Corporation completed the sale of a 52% interest in its Emdeon Business Services segment (excluding the ViPS business) to an affiliate of General Atlantic LLC. The Company’s 48% portion of EBS’ income is reflected in the line item “Equity in earnings of EBS Master LLC” for the June 2007 quarter. For the prior year period, the results of Emdeon Business Services are included in the Company’s consolidated revenues and earnings. As a result, the Company’s consolidated results will not be comparable to prior year periods until after the anniversary of the transaction is reached.

As of June 30, 2007, HLTH Corporation had approximately $739 million in cash and short-term investments on a consolidated basis, including $240 million in cash and short-term investments held by WebMD Health Corp., its 84.2% owned subsidiary.

Segment Operating Results
WebMD segment revenue was $78.5 million for the second quarter compared to $56.6 million in the prior year period, an increase of 39%, driven by continued growth in online services. Segment Adjusted EBITDA was $15.2 million compared to $9.6 million in the prior year period, an increase of 58% over the prior year, primarily as a result of the increase in revenues.

ViPS segment revenue was $25.9 million for the second quarter compared to $24.8 million in the prior year period, an increase of 4%, primarily related to increases in both the government and health payer solutions. Segment Adjusted EBITDA was $5.1 million unchanged from the prior year period. Operating margins decreased slightly to 19.7% primarily as a result of a change in the revenue mix.

Porex segment revenue was $25.0 million for the second quarter compared to $22.7 million in the prior year period, an increase of 10.3%. The increase was primarily attributable to strength in sales of consumer and surgical products and the impact of favorable foreign currency exchange rates. Segment Adjusted EBITDA was $7.3 million compared to $7.0 million in the prior year period, an increase of 4%. Operating margins decreased to 29.4% from 31.1% primarily as a result of higher insurance and marketing expenses.

Investment in Emdeon Business Services
Revenue for Emdeon Business Services (which is not a segment and is not included in the Company’s consolidated revenue) was a record $201.2 million for the second quarter. Emdeon Business Services continues to generate strong year over year growth. HLTH recorded $7.6 million of Equity in earnings of EBS Master LLC in the June 2007 quarter, reflecting its 48% portion of their income.

Financial Guidance
Including the results for the second quarter announced today, HLTH’s full year 2007 guidance is being updated as follows:

• HLTH narrowed its revenue guidance range to $538.3 to $553.3 million from $537.4 to $556.4 million.

• HLTH increased its guidance range for Adjusted EBITDA by $1.1 to $3.0 million to $102.2 to $110.4 million primarily to reflect expected higher margin on incremental revenue at WebMD, partially offset by lower than anticipated results at ViPS primarily in the third quarter.

• HLTH increased its guidance range for income from continuing operations by $3.4 to $5.5 million to $45.0 to $54.3 million primarily to reflect the increase in WebMD’s Adjusted EBITDA, and its expectations for higher interest income and lower non cash stock compensation expense attributable to WebMD, offset in part by higher income tax expense at WebMD and lower than anticipated results at ViPS primarily in the third quarter.

A schedule outlining HLTH Corporation’s updated financial guidance for 2007 is attached to this press release.

Analyst and Investor Conference Call
As previously announced, HLTH Corporation will host a conference call at 4:45 pm (ET) on July 31, 2007 to discuss its second quarter results. Investors can access the call via webcast at www.hlth.com (in the Investor Relations section). A replay of the call will be available at the same web address.

About HLTH Corporation
HLTH Corporation’s (Nasdaq: HLTH) businesses are comprised of WebMD Health Corp, (Nasdaq: WBMD), ViPS and Porex. WebMD provides health information services for consumers, physicians, healthcare professionals, employers and health plans through its public and private online portals and health-focused publications. ViPS provides healthcare data management, analytics, decision-support and process automation solutions and related information technology services to governmental, Blue Cross Blue Shield and commercial healthcare payers. ViPS’ solutions and services help its clients improve patient outcomes, increase customer satisfaction and reduce costs. Porex is a developer, manufacturer and distributor of proprietary porous plastic products and components used in healthcare, industrial and consumer applications. In addition, HLTH Corporation owns a 48% minority interest in Emdeon Business Services, which provides solutions that automate key business and administrative functions for healthcare payers and providers.

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All statements contained in this press release, other than statements of historical fact, are forward-looking statements, including those regarding: guidance on our future financial results and other projections or measures of our future performance; our expectations concerning market opportunities and our ability to capitalize on them; and the amount and timing of the benefits expected from acquisitions, from new products or services and from other potential sources of additional revenue. These statements speak only as of the date of this press release and are based on our current plans and expectations, and they involve risks and uncertainties that could cause actual future events or results to be different than those described in or implied by such forward-looking statements. These risks and uncertainties include those relating to: market acceptance of our products and services; difficulties in integrating acquired businesses; relationships with customers and strategic partners; changes in economic, political or regulatory conditions or other trends affecting the healthcare, Internet, information technology and plastics industries; and our ability to attract and retain qualified personnel. Further information about these matters can be found in our Securities and Exchange Commission filings. Except as required by applicable law or regulation, we do not undertake any obligation to update our forward-looking statements to reflect future events or circumstances.

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This press release, and the accompanying tables, include both financial measures in accordance with accounting principles generally accepted in the United States of America, or GAAP, as well as certain non-GAAP financial measures. The tables attached to this press release include reconciliations of these non-GAAP financial measures to GAAP financial measures. In addition, an “Explanation of Non-GAAP Financial Measures” is attached to this press release as Annex A.

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WebMD^®, WebMD Health^®, POREX^® and ViPS^SM are trademarks of HLTH Corporation or its subsidiaries.

Emdeon^tm and Emdeon Business Services^tm are trademarks of Emdeon Business Services, LLC or its subsidiaries.

-Tables Follow-

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EX-99.2

Exhibit 99.2

HLTH CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data, unaudited)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2007			2006			2007			2006
				(Restated)						(Restated)
Revenue:
Services	$	102,129		$	265,606		$	200,072		$	518,351
Products		27,165			26,025			51,247			50,474
Total revenue		129,294			291,631			251,319			568,825
Cost of operations:
Services		44,129			157,625			88,643			313,984
Products		10,772			11,416			20,687			22,231
Total cost of operations		54,901			169,041			109,330			336,215
Development and engineering		4,767			9,057			9,341			17,921
Sales, marketing, general and administrative		58,340			72,033			118,739			142,213
Depreciation and amortization		11,678			17,221			22,405			33,775
Legal expense		471			275			791			817
Interest income		10,100			4,433			19,774			8,851
Interest expense		4,619			4,668			9,336			9,359
Transition services income		1,468			—			3,924			—
Other income (expense)		399			(2,072	)		1,145			(2,072	)
Income from continuing operations before income tax provision		6,485			21,697			6,220			35,304
Income tax provision		2,031			6,288			3,021			10,344
Minority interest in WHC income (loss)		843			(121	)		958			(593	)
Equity in earnings of EBS Master LLC		7,575			—			14,674			—
Income from continuing operations		11,186			15,530			16,915			25,553
(Loss) income from discontinued operations, net of tax		(56,649	)		6,556			(56,676	)		12,123
Net (loss) income	$	(45,463	)	$	22,086		$	(39,761	)	$	37,676
Basic (loss) income per common share:
Income from continuing operations	$	0.06		$	0.05		$	0.10		$	0.09
(Loss) income from discontinued operations		(0.31	)		0.03			(0.32	)		0.04
Net (loss) income	$	(0.25	)	$	0.08		$	(0.22	)	$	0.13
Diluted (loss) income per common share:
Income from continuing operations	$	0.06		$	0.05		$	0.09		$	0.09
(Loss) income from discontinued operations		(0.30	)		0.02			(0.30	)		0.04
Net (loss) income	$	(0.24	)	$	0.07		$	(0.21	)	$	0.13
Weighted-average shares outstanding used in computing (loss) income per common share:
Basic		180,219			285,086			178,115			286,141
Diluted		191,032			296,722			188,693			296,107

HLTH CORPORATION
CONSOLIDATED SEGMENT INFORMATION
(In thousands, except per share data, unaudited)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2007			2006			2007			2006
				(Restated)						(Restated)
Revenue
Emdeon Business Services	$	—		$	187,858		$	—		$	370,709
WebMD		78,479			56,612			151,441			106,663
ViPS		25,885			24,845			52,544			48,681
Porex		25,003			22,659			47,712			43,246
Inter-segment eliminations		(73	)		(343	)		(378	)		(474	)
	$	129,294		$	291,631		$	251,319		$	568,825
Earnings before interest, taxes, non-cash and other items (“Adjusted EBITDA”)
Emdeon Business Services	$	—		$	44,765		$	—		$	82,972
WebMD		15,155			9,599			27,762			16,126
ViPS		5,094			5,057			9,934			10,215
Porex		7,343			7,045			13,817			12,599
Corporate		(6,483	)		(11,495	)		(13,214	)		(22,633	)
	$	21,109		$	54,971		$	38,299		$	99,279
Adjusted EBITDA per diluted common share (a)	$	0.11		$	0.19		$	0.20		$	0.34
Interest, taxes, non-cash and other items (b)
Depreciation and amortization	$	(11,678	)	$	(17,221	)	$	(22,405	)	$	(33,775	)
Non-cash stock-based compensation		(8,355	)		(12,282	)		(18,146	)		(24,009	)
Non-cash advertising		—			(1,189	)		(2,320	)		(2,794	)
Legal expense		(471	)		(275	)		(791	)		(817	)
Interest income		10,100			4,433			19,774			8,851
Interest expense		(4,619	)		(4,668	)		(9,336	)		(9,359	)
Income tax provision		(2,031	)		(6,288	)		(3,021	)		(10,344	)
Minority interest in WHC (income) loss		(843	)		121			(958	)		593
Equity in earnings of EBS Master LLC		7,575			—			14,674			—
Other income (expense)		399			(2,072	)		1,145			(2,072	)
Income from continuing operations		11,186			15,530			16,915			25,553
(Loss) income from discontinued operations, net of tax		(56,649	)		6,556			(56,676	)		12,123
Net (loss) income	$	(45,463	)	$	22,086		$	(39,761	)	$	37,676
Basic (loss) income per common share:
Income from continuing operations	$	0.06		$	0.05		$	0.10		$	0.09
(Loss) income from discontinued operations		(0.31	)		0.03			(0.32	)		0.04
Net (loss) income	$	(0.25	)	$	0.08		$	(0.22	)	$	0.13
Diluted (loss) income per common share:
Income from continuing operations	$	0.06		$	0.05		$	0.09		$	0.09
(Loss) income from discontinued operations		(0.30	)		0.02			(0.30	)		0.04
Net (loss) income	$	(0.24	)	$	0.07		$	(0.21	)	$	0.13
Weighted-average shares outstanding used in computing (loss) income per common share:
Basic		180,219			285,086			178,115			286,141
Diluted		191,032			296,722			188,693			296,107

(a)	Adjusted EBITDA per diluted common share is based on the weighted-average shares outstanding used in computing diluted (loss) income per common share.
(b)	Reconciliation of Adjusted EBITDA to net (loss) income (see Annex A — Explanation of Non-GAAP Financial Measures).

HLTH CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, unaudited)

	June 30, 2007		December 31, 2006
Assets
Cash and cash equivalents	$	509,969	$	614,691
Short-term investments		228,922		34,140
Accounts receivable, net		117,045		121,608
Inventory		9,709		9,922
Due from EBS Master LLC		286		30,716
Prepaid expenses and other current assets		62,232		31,871
Total current assets		928,163		842,948
Marketable equity securities		3,166		2,633
Property and equipment, net		74,376		72,040
Goodwill		333,412		337,669
Intangible assets, net		121,260		129,473
Investment in EBS Master LLC		20,820		1,521
Other assets		39,607		65,659
Total Assets	$	1,520,804	$	1,451,943
Liabilities and Stockholders’ Equity
Accounts payable	$	3,960	$	3,996
Accrued expenses		58,043		113,175
Deferred revenue		100,154		87,438
Liabilities of discontinued operations		55,893		—
Total current liabilities		218,050		204,609
Convertible notes		650,000		650,000
Other long-term liabilities		32,357		24,179
Minority interest in WebMD Health Corp. (WHC)		111,876		101,860
Convertible redeemable exchangeable preferred stock		—		98,768
Stockholders’ equity		508,521		372,527
Total Liabilities and Stockholders’ Equity	$	1,520,804	$	1,451,943

HLTH CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands, unaudited)

	Six Months Ended
	June 30,
	2007			2006
				(Restated)
Cash flows from operating activities:
Net (loss) income	$	(39,761	)	$	37,676
Adjustments to reconcile net (loss) income to net cash provided by operating activities:
Loss (income) from discontinued operations, net of tax		56,676			(12,123	)
Depreciation and amortization		22,405			33,775
Minority interest in WHC income (loss)		958			(593	)
Equity in earnings of EBS Master LLC		(14,674	)		—
Amortization of debt issuance costs		1,447			1,461
Non-cash advertising		2,320			2,794
Non-cash stock-based compensation		18,146			24,009
Deferred income taxes		1,052			1,736
EBS working capital adjustment		(399	)		—
Reversal of income tax valuation allowance applied to goodwill		760			4,043
Changes in operating assets and liabilities:
Accounts receivable		4,922			(5,233	)
Inventory		272			(138	)
Prepaid expenses and other, net		(514	)		(3,700	)
Accounts payable		(36	)		3,980
Accrued expenses and other long-term liabilities		(45,430	)		3,572
Deferred revenue		12,716			8,137
Net cash provided by continuing operations		20,860			99,396
Net cash (used in) provided by discontinued operations		(1,880	)		15,825
Net cash provided by operating activities		18,980			115,221
Cash flows from investing activities:
Proceeds from maturities and sales of available-for-sale securities		194,096			398,870
Purchases of available-for-sale securities		(388,942	)		(426,470	)
Purchases of property and equipment		(12,558	)		(27,429	)
Cash paid in business combinations, net of cash acquired		—			(84,846	)
Proceeds from the sale of EBS		2,898			—
Proceeds from advances to EBS Master LLC		19,730			—
Other changes in equity of discontinued operations		—			15,467
Net cash used in continuing operations		(184,776	)		(124,408	)
Net cash used in discontinued operations		—			(17,009	)
Net cash used in investing activities		(184,776	)		(141,417	)
Cash flows from financing activities:
Proceeds from issuance of HLTH and WHC common stock		103,263			30,433
Tax benefit on stock-based awards		457			—
Purchases of treasury stock under repurchase program		(42,906	)		(71,843	)
Payments of notes payable and other		(101	)		(173	)
Net cash provided by (used in) financing activities		60,713			(41,583	)
Effect of exchange rates on cash		361			479
Net decrease in cash and cash equivalents		(104,722	)		(67,300	)
Change in cash of discontinued operations		—			1,184
Cash and cash equivalents at beginning of period		614,691			155,616
Cash and cash equivalents at end of period	$	509,969		$	89,500

EX-99.3

Exhibit 99.3

2007 Consolidated Financial Guidance Summary
(in millions, except per share data)

	Year Ended						Quarterly Revenue Range
	December 31, 2007						Q1		Q2		Q3				Q4
	Range						Actual		Actual		Range				Range
WebMD	$	342.4		$	354.4
ViPS		104.8			106.3
Porex		91.5			93.0
Inter-segment eliminations		(0.4	)		(0.4	)
Total revenue	$	538.3		$	553.3		$	122.0	$	129.3	$	136.0	$	143.0	$	151.0	$	159.0
Earnings before interest, taxes, non-cash and other items (“Adjusted EBITDA”)(a)	$	102.2		$	110.4

							Quarterly Mix
							Q1			Q2			Q3			Q4
Reconciliation of Adjusted EBITDA to income from continuing operations:
Interest income, net		21.5			21.0			23	%		26	%		25	%		26	%
Depreciation and amortization		(47.6	)		(46.5	)		23	%		25	%		26	%		26	%
Non-cash advertising		(5.7	)		(5.3	)		42	%		0	%		7	%		51	%
Non-cash stock-based compensation		(37.0	)		(36.5	)		27	%		23	%		27	%		23	%
Income tax provision		(15.5	)		(16.0	)		6	%		13	%		31	%		50	%
Equity in earnings of EBS Master LLC		31.0			32.0			22	%		24	%		23	%		31	%
Minority interest in WHC income		(4.2	)		(5.1	)		2	%		17	%		29	%		52	%
Legal expense (b)		(0.8	)		(0.8	)		40	%		60	%	NA			NA
Other income (b)		1.1			1.1			65	%		35	%	NA			NA
Income from continuing operations	$	45.0		$	54.3
Adjusted EBITDA per share	$	0.54		$	0.58
Income from continuing operations per share	$	0.24		$	0.29
Weighted average shares — Diluted		190.0			190.0

(a)	See Annex A — Explanation of Non-GAAP Financial Measures
(b)	This table reflects actual expense through June 30, 2007 for “legal expense” (for the ongoing Department of Justice investigation) and “other income”, but does not reflect guidance for these items in any future quarter. We do not make projections for these items, although they may recur in future periods.

Operating Segments

Revenue

*	WebMD — Refer to WebMD Health Corp. Financial Guidance Summary included in its July 31, 2007 press release.
*	ViPS — Approximately 24% of annual segment revenue in Q3 increasing to 26% in Q4.
*	Porex — Approximately 24% of annual segment revenue in Q3 and in Q4.

Adjusted EBITDA

*	WebMD — Refer to WebMD Health Corp. Financial Guidance Summary included in its July 31, 2007 press release.
*	ViPS — Approximately 18% of segment revenue in Q3 and 21% in Q4.
*	Porex — Approximately 29% of segment revenue in Q3 and 28% in Q4.
*	Corporate — Approximately 5% of consolidated revenue in Q3 decreasing to approximately 4% by Q4.

EX-99.4

Exhibit 99.4

ANNEX A

Explanation of Non-GAAP Financial Measures

     The accompanying HLTH Corporation press release, financial tables and financial guidance summary include both financial measures in accordance with U.S. generally accepted accounting principles, or GAAP, as well as non-GAAP financial measures. The non-GAAP financial measures represent earnings before interest, taxes, non-cash and other items (which we refer to as “Adjusted EBITDA”) and related per share amounts. Adjusted EBITDA should be viewed as supplemental to, and not as an alternative for, “income from continuing operations” calculated in accordance with GAAP. The tables and the financial guidance summary attached to the accompanying press release include reconciliations of non-GAAP financial measures to GAAP financial measures.

     Adjusted EBITDA is used by HLTH’s management as an additional measure of HLTH’s overall performance and its reporting segments’ performance for purposes of business decision-making, including developing budgets, managing expenditures, and evaluating potential acquisitions or divestitures. Period-to-period comparisons of Adjusted EBITDA help HLTH’s management identify additional trends in HLTH’s and its reporting segments’ financial results that may not be shown solely by period-to-period comparisons of income from continuing operations. In addition, HLTH uses Adjusted EBITDA in the incentive compensation programs applicable to many of its employees in order to evaluate HLTH’s performance. HLTH management recognizes that Adjusted EBITDA has inherent limitations because of the excluded items, particularly those items that are recurring in nature. In order to compensate for those limitations, management also reviews the specific items that are excluded from Adjusted EBITDA, but included in income from continuing operations, as well as trends in those items. The amounts of those items are set forth, for the applicable periods, in the reconciliations of Adjusted EBITDA to income from continuing operations included in the tables and the financial guidance summary attached to the accompanying press release.

     HLTH believes that the presentation of Adjusted EBITDA is useful to investors in their analysis of HLTH’s results for reasons similar to the reasons why HLTH’s management finds it useful and because it helps facilitate investor understanding of decisions made by HLTH’s management in light of the performance metrics used in making those decisions. In addition, as more fully described below, HLTH believes that providing Adjusted EBITDA, together with a reconciliation of Adjusted EBITDA to income from continuing operations, helps investors make comparisons between HLTH and other companies that may have different capital structures, different effective income tax rates and tax attributes, different capitalized asset values and/or different forms of employee compensation. However, Adjusted EBITDA is intended to provide a supplemental way of comparing HLTH with other public companies and is not intended as a substitute for comparisons based on “income from continuing operations” or “net income” calculated in accordance with GAAP. In making any comparisons to other companies, investors need to be aware that companies use different non-GAAP measures to evaluate their financial performance. Investors should pay close attention to the specific definition being used and to the reconciliation between such measures and the corresponding GAAP measures provided by each company under applicable SEC rules.

     The following is an explanation of the items excluded by HLTH from Adjusted EBITDA but included in income from continuing operations:

• Depreciation and Amortization. Depreciation and amortization expense is a non-cash expense relating to capital expenditures and intangible assets arising from acquisitions that are expensed on a straight-line basis over the estimated useful life of the related assets. HLTH excludes depreciation and amortization expense from Adjusted EBITDA because it believes (i) the amount of such expenses in any specific period may not directly correlate to the underlying performance of HLTH’s business operations and (ii) such expenses can vary significantly between periods as a result of new acquisitions and full amortization of previously acquired tangible and intangible assets. Accordingly, HLTH believes this exclusion assists management and investors in making period-to-period comparisons of operating performance. Investors should note that the use of tangible and intangible assets contributed to revenue in the periods presented and will contribute to future revenue generation and should also note that such expense will recur in future periods.

• Stock-Based Compensation Expense. Stock-based compensation expense is a non-cash expense arising from the grant of stock awards to employees. HLTH believes that excluding the effect of stock-based compensation from Adjusted EBITDA assists management and investors in making period-to-period comparisons in its operating performance because it believes (i) the amount of such expenses in any specific period may not directly correlate to the underlying performance of HLTH’s business operations and (ii) such expenses can vary significantly between periods as a result of the timing of grants of new stock-based awards, including grants in connection with acquisitions. Additionally, HLTH believes that excluding stock-based compensation from Adjusted EBITDA assists management and investors in making meaningful comparisons between HLTH’s operating performance and the operating performance of other companies that may use different forms of employee compensation or different valuation methodologies for their stock-based compensation. Investors should note that stock-based compensation is a key incentive offered to employees whose efforts contributed to the operating results in the periods presented and are expected to contribute to operating results in future periods. Investors should also note that such expenses will recur in the future.

• Non-Cash Advertising Expense. This expense relates to the usage of non-cash advertising obtained from News Corporation (“Newscorp”) in exchange for equity securities issued by HLTH in 2000. The advertising is available only on various Newscorp properties, primarily its television network and cable channels without any cash cost to HLTH. The amount of advertising that can be used in any year is subject to annual contractual limitation and expires in 2010. HLTH does not incur any other cash expenses related to airing of television advertising. HLTH excludes this expense from Adjusted EBITDA (i) because it is a non-cash expense, (ii) because it is incremental to other non-television cash advertising expense that HLTH otherwise incurs, (iii) because HLTH has not and believes it will not incur cash expenses relating to television advertising in the future and (iv) to assist management and investors in comparing its operating results over multiple periods. Investors should note that it is likely that HLTH derives some benefit from such advertising and that such expenses will recur in the future.

• Interest Income and Expense. Interest income is associated with the level of marketable debt securities and other interest bearing accounts in which HLTH invests, as well as with interest expenses arising from the capital structure of HLTH. Interest income and expense varies over time due to a variety of financing transactions and due to acquisitions and divestitures that HLTH has entered into or may enter into in the future. HLTH has, in the past several years, issued convertible debentures and preferred stock, repurchased shares in cash tender offers and through other repurchase transactions, conducted an initial public offering of equity in its WebMD subsidiary and completed the sale of Emdeon Practice Services and the sale of a 52%

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interest in Emdeon Business Services. HLTH excludes interest income and interest expense from Adjusted EBITDA (i) because these items are not directly attributable to the performance of HLTH’s business operations and, accordingly, their exclusion assists management and investors in making period-to-period comparisons of operating performance and (ii) to assist management and investors in making comparisons to companies with different capital structures. Investors should note that interest income and expense will recur in future periods.

• Income Tax Provision. HLTH had a net operating loss (NOL) carryforward of approximately $1.2 billion as of the year ended December 31, 2006. Due to a limited history of generating taxable income, HLTH maintains a full valuation allowance on these NOL carryforwards. As HLTH uses these NOL carryforwards, the related valuation allowances are either reversed through the income statement or reversed to goodwill, to the extent those tax benefits were acquired through business combinations. The timing of such reversals is not consistent and as a result, HLTH’s income tax expense can fluctuate significantly from period to period in a manner not directly related to HLTH’s operating performance. HLTH excludes the income tax provision from Adjusted EBITDA (i) because it believes that the income tax provision is not directly attributable to the underlying performance of HLTH’s business operations and, accordingly, its exclusion assists management and investors in making period-to-period comparisons of operating performance and (ii) to assist management and investors in making comparisons to companies with different tax attributes. Investors should note that income tax provision will recur in future periods.

• Minority Interest in WHC income (loss). This represents the minority stockholders’ proportionate share of net income or net loss of HLTH’s majority-owned WebMD subsidiary. The size of this Minority Interest is related to HLTH’s percentage ownership of WebMD. Changes in that percentage ownership may result from changes in WebMD’s capital structure, including as a result of sales of WebMD equity securities by WebMD or HLTH or as a result of exercise of WebMD employee stock options. HLTH excludes Minority Interest from Adjusted EBITDA (i) because it believes that the size of the Minority Interest can vary for reasons not attributable to the underlying performance of HLTH’s business operations and, accordingly, its exclusion assists management and investors in making period-to-period comparisons of operating performance and (ii) to assist management and investors in making comparisons to companies with different capital structures. Investors should note that Minority Interest in WHC income (loss) will recur in future periods.

• Other Items. HLTH engages in other activities and transactions that can impact HLTH’s overall income from continuing operations. These other items included, but were not limited to, (i) “Legal Expense,” which relates to the on-going Department of Justice investigation, (ii) equity in earnings of EBS Master LLC, which represents 48% of EBS’s income, (iii) working capital adjustment from the sale of 52% of the Emdeon Business Services segment on November 16, 2006, (iv) a reduction of certain sales and use tax contingencies resulting from the expiration of certain applicable statutes of limitations and (v) advisory expenses relating to the evaluation, in 2006, by HLTH’s Board of Directors of strategic alternatives for Emdeon Business Services. HLTH excludes these other items from Adjusted EBITDA because it believes these activities or transactions are not directly attributable to the performance of HLTH’s business operations and, accordingly, their exclusion assists management and investors in making period-to-period comparisons of operating performance. Investors should note that these other items may recur in future periods.

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