DISCONTINUED OPERATIONS (Tables)

9 Months Ended

Sep. 30, 2015

Discontinued Operations and Disposal Groups [Abstract]

Schedule of Disposal Groups, Including Discontinued Operations, Balance Sheet

As of the August 27, 2015 closing date of the sale of the PBM Business, the carrying value of the net assets of the PBM Business was as follows (in thousands):

	Carrying Value
Net accounts receivable	$	7,163
Total current assets	7,163
Property and equipment, net	175
Goodwill	12,744
Total assets	20,082
Claims payable	6,950
Total liabilities	6,950
Net assets	$	13,132

Schedule of Disposal Groups, Including Discontinued Operations, Income Statement

The operating results included in discontinued operations of the PBM Business for the three months and nine months ended September 30, 2015 and 2014 are summarized as follows (in thousands):

	Three Months Ended   September 30,						Nine Months Ended   September 30,
	2015			2014			2015			2014
Revenue	$	11,585		$	12,501		$	44,375		$	47,467
Gross profit	$	2,405		$	4,236		$	9,763		$	13,599
Selling, general and administrative expenses	1,168			2,613			5,444			8,466
Bad debt expense	—			(2		)	(45		)	(4		)
Income from operations	1,237			1,625			4,364			5,137
Gain on sale before income taxes	(11,424		)	—			(11,424		)	—
Financial advisory fee and legal expenses	1,828			—			1,828			—
Other costs and expenses	353			(4		)	353			(6		)
Income before income taxes	10,480			1,629			13,607			5,143
Income tax expense	1,384			—			1,384			—
Income from discontinued operations, net of income taxes	$	9,096		$	1,629		$	12,223		$	5,143

The operating results of the divested traditional and specialty pharmacy mail operations and community pharmacies included in discontinued operations for the three months and nine months ended September 30, 2015 and 2014, are summarized below (in thousands):

	Three Months Ended   September 30,						Nine Months Ended   September 30,
	2015			2014			2015			2014
Revenue	$	—		$	—		$	—		$	—
Gross profit	$	—		$	—		$	—		$	(27	)
Operating expenses	—			598			—			3,394
Legal fees and settlement expense	1,139			—			4,268			—
Other (income) expense	471			—			874			—
Facilities costs	—			—			1,539			—
Income (loss) from discontinued operations, net of income taxes	$	(1,610	)	$	(598	)	$	(6,681	)	$	(3,421	)

The operating results included in discontinued operations of the Home Health Business for the three months and nine months ended September 30, 2015 and 2014 are summarized as follows (in thousands):

	Three Months Ended   September 30,						Nine Months Ended   September 30,
	2015			2014			2015			2014
Revenue	$	—		$	196		$	—		$	18,588
Gross profit	$	—		$	(68	)	$	—		$	6,886
Selling, general and administrative expenses	—			512			—			7,887
Bad debt expense	—			3			—			903
Income (loss) from operations	—			(583		)	—			(1,904		)
Gain on sale before income taxes	—			11			—			(2,056		)
Financial advisory fee and legal expenses	—			—			—			2,875
Impairment of assets	—			—			—			452
Other costs and expenses	29			—			370			47
Income (loss) before income taxes	(29		)	(594		)	(370		)	(3,222		)
Income tax expense (benefit)	—			(57		)	—			(4,243		)
Income (loss) from discontinued operations, net of income taxes	$	(29	)	$	(537	)	$	(370	)	$	1,021

Charges Associated With Exit Or Disposal Activity

As of September 30, 2015 and December 31, 2014, there were accruals of $9.2 million and $13.0 million, respectively, related to these costs in accrued expenses and other current liabilities and other non-current liabilities on the Consolidated Balance Sheets.

	Legal Settlement			Other Costs			Total
Balance at December 31, 2014	$	12,389		$	609		$	12,998
Expenses	6,096			3,136			9,232
Cash payments	(10,847		)	(2,197		)	(13,044		)
Balance at September 30, 2015	$	7,638		$	1,548		$	9,186