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CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)
$ in Thousands
12 Months Ended
Dec. 31, 2020
Dec. 31, 2019
Cash flows from operating activities    
Net loss $ (136,392) $ (363,737)
Adjustments to reconcile net loss to net cash used in operating activities:    
Depreciation and amortization expense 555 551
Amortization of notes and securities discount 21,084 15,807
Loss on disposal of property and equipment 0 23
Stock-based compensation expense 7,078 3,301
Paid in kind interest 28,334 11,633
Change in fair value of warrants expense 80,110 2,836
Change in derivative liabilities (93,751) 138,561
Accretion, net of amortization (195) (2,857)
Net realized gains on investment securities (1,114) (107)
Amortization of warrants 218 73
Amortization of debt issuance costs 34 506
Asset impairment charges 0 1,632
Changes in operating assets and liabilities:    
Accrued retrospective premiums (21,604) 7,546
Other receivables (5,865) 4,115
Reinsurance recoverable 481 63,610
Other assets (5,470) (274)
Healthcare receivables (12,926) (14,511)
Operating lease right-of-use assets 3,257 (11,933)
Unpaid claims 26,090 23,882
Accounts payable and accrued expenses 10,845 6,298
Accrued salaries and benefits 186 (2,235)
Premium deficiency (benefit) reserve (17,128) 7,523
Reinsurance premium payable 0 (64,414)
Deferred rent 0 (2,677)
Other liabilities 1,378 168
Operating lease liabilities (3,703) 14,805
Net cash used in operating activities (118,498) (159,875)
Cash flows from investing activities    
Purchases of available-for-sale securities (174,318) (505,545)
Proceeds from sales of available-for-sale securities 248,664 269,205
Proceeds from maturities of available-for-sale securities 63,751 46,415
Proceeds from maturities of held-to-maturity securities 0 9,220
Acquisition of business, net of cash acquired 0 (1,180)
Purchases of property and equipment (693) (23)
Net cash provided by (used in) investing activities 137,404 (181,908)
Cash flows from financing activities    
Proceeds from issuance of convertible securities 20,000 343,410
Deferred financing costs (98) (363)
Payment of notes payable principal (18,752) (9,670)
Issuance of common stock, net of early exercise liability 1,748 601
Buyback and subsequent cancellation of common stock (957) 0
Issuance of noncontrolling interest 3,903 0
Net cash provided by financing activities 5,844 333,978
Net increase (decrease) in cash and cash equivalents 24,750 (7,805)
Cash and cash equivalents, beginning of year 67,598 75,403
Cash and cash equivalents, end of year 92,348 67,598
Supplemental cash flow disclosures    
Cash paid during the year for interest 4,578 6,257
Cash paid during the year for health insurance industry fee 8,022 0
Supplemental disclosure of non-cash investing and financing activities    
Fair value of warrants issued in connection with notes payable 0 17,672
Settlement of bridge loan in connection with convertible securities 0 30,416
Right-of-use assets obtained in exchange for lease liabilities $ 42 $ 459