Condensed consolidating financial information (Tables)

12 Months Ended

Dec. 31, 2010

Condensed consolidating financial information (Tables) [Abstract]

Condensed Consolidating Balance Sheet

(in millions)	Express Scripts, Inc.		Guarantors		Non- Guarantors		Eliminations			Consolidated
As of December 31, 2010
Cash and cash equivalents	$	456.7	$	9.0	$	58.0	$	—		$	523.7
Restricted cash and investments		—		11.7		4.6		—			16.3
Receivables, net		1,175.6		536.2		9.1		—			1,720.9
Other current assets		249.0		396.0		35.4		—			680.4
Total current assets		1,881.3		952.9		107.1		—			2,941.3
Property and equipment, net		231.5		127.2		14.0		—			372.7
Investments in subsidiaries		6,382.2		—		—		(6,382.2	)		—
Intercompany		—		3,214.0		—		(3,214.0	)		—
Goodwill		2,921.4		2,538.8		26.0		—			5,486.2
Other intangible assets, net		1,426.2		294.8		4.0		—			1,725.0
Other assets		20.6		10.1		1.9		—			32.6
Total assets	$	12,863.2	$	7,137.8	$	153.0	$	(9,596.2	)	$	10,557.8
Claims and rebates payable	$	2,664.9	$	1.6	$	—	$	—		$	2,666.5
Accounts payable		634.4		17.7		4.6		—			656.7
Accrued expenses		288.7		294.5		10.7		—			593.9
Current maturities of long-term debt		—		0.1		—		—			0.1
Total current liabilities		3,588.0		313.9		15.3		—			3,917.2
Long-term debt		2,493.7		—		—		—			2,493.7
Intercompany		3,094.8		—		119.2		(3,214.0	)		—
Other liabilities		80.1		455.5		4.7		—			540.3
Stockholders’ equity		3,606.6		6,368.4		13.8		(6,382.2	)		3,606.6
Total liabilities and stockholders’ equity	$	12,863.2	$	7,137.8	$	153.0	$	(9,596.2	)	$	10,557.8
As of December 31, 2009
Cash and cash equivalents	$	1,005.0	$	10.0	$	55.4	$	—		$	1,070.4
Restricted cash and investments		—		7.5		1.6		—			9.1
Receivables, net		1,179.8		1,326.7		9.9		—			2,516.4
Other current assets		196.0		340.6		5.6		—			542.2
Current assets of discontinued operations		—		—		5.4		—			5.4
Total current assets		2,380.8		1,684.8		77.9		—			4,143.5
Property and equipment, net		239.6		96.5		11.0		—			347.1
Investments in subsidiaries		5,970.2		—		—		(5,970.2	)		—
Intercompany		—		2,500.2		—		(2,500.2	)		—
Goodwill		2,939.2		2,533.1		24.8		—			5,497.1
Other intangible assets, net		1,543.9		332.6		4.3		—			1,880.8
Other assets		21.3		8.5		1.9		—			31.7
Noncurrent assets of discontinued operations		—		—		31.0		—			31.0
Total assets	$	13,095.0	$	7,155.7	$	150.9	$	(8,470.4	)	$	11,931.2
Claims and rebates payable	$	2,264.3	$	586.4	$	—	$	—		$	2,850.7
Accounts payable		674.4		29.0		3.0		—			706.4
Accrued expenses		312.7		225.2		11.3		—			549.2
Current maturities of long-term debt		1,340.0		0.1		—		—			1,340.1
Current liabilities of discontinued operations		—		—		10.4		—			10.4
Total current liabilities		4,591.4		840.7		24.7		—			5,456.8
Long-term debt		2,492.5		—		—		—			2,492.5
Intercompany		2,387.2		—		113.0		(2,500.2	)		—
Other liabilities		72.1		356.3		1.7		—			430.1
Stockholders’ equity		3,551.8		5,958.7		11.5		(5,970.2	)		3,551.8
Total liabilities and stockholders’ equity	$	13,095.0	$	7,155.7	$	150.9	$	(8,470.4	)	$	11,931.2

Condensed Consolidating Statement of Operations

(in millions)	Express Scripts, Inc.			Guarantors			Non- Guarantors			Eliminations			Consolidated
For the year ended December 31, 2010
Revenues	$	29,594.6		$	15,287.8		$	90.8		$	—		$	44,973.2
Operating expenses		28,176.8			14,635.8			89.7			—			42,902.3
Operating income		1,417.8			652.0			1.1			—			2,070.9
Interest (expense) income, net		(156.2	)		(6.2	)		0.2			—			(162.2	)
Income before income taxes		1,261.6			645.8			1.3			—			1,908.7
Provision for income taxes		462.3			241.0			0.8			—			704.1
Net income from continuing operations		799.3			404.8			0.5			—			1,204.6
Net loss from discontinued operations, net of tax		—			—			(23.4	)		—			(23.4	)
Equity in earnings of subsidiaries		381.9			—			—			(381.9	)		—
Net income (loss)	$	1,181.2		$	404.8		$	(22.9	)	$	(381.9	)	$	1,181.2
For the year ended December 31, 2009
Revenues	$	14,642.9		$	10,004.2		$	75.2		$	—		$	24,722.3
Operating expenses		13,654.9			9,497.7			72.2			—			23,224.8
Operating income		988.0			506.5			3.0			—			1,497.5
Interest expense, net		(179.6	)		(6.5	)		(3.0	)		—			(189.1	)
Income before income taxes		808.4			500.0			—			—			1,308.4
Provision for income taxes		293.0			185.9			2.9			—			481.8
Net income (loss) from continuing operations		515.4			314.1			(2.9	)		—			826.6
Net income from discontinued operations, net of tax		—			—			1.0			—			1.0
Equity in earnings of subsidiaries		312.2			—			—			(312.2	)		—
Net income (loss)	$	827.6		$	314.1		$	(1.9	)	$	(312.2	)	$	827.6
For the year ended December 31, 2008
Revenues	$	9,674.6		$	12,208.4		$	58.2		$	—		$	21,941.2
Operating expenses		8,865.9			11,737.7			63.3			—			20,666.9
Operating income (loss)		808.7			470.7			(5.1	)		—			1,274.3
Non-operating charges, net		(2.0	)		—			—			—			(2.0	)
Undistributed loss from joint venture		(0.3	)		—			—			—			(0.3	)
Interest expense, net		(49.7	)		(13.1	)		(1.8	)		—			(64.6	)
Income (loss) before income taxes		756.7			457.6			(6.9	)		—			1,207.4
Provision for income taxes		275.4			157.5			(1.4	)					431.5
Net income (loss) from continuing operations		481.3			300.1			(5.5	)		—			775.9
Net income from discontinued operations, net of tax		—			—			0.2			—			0.2
Equity earnings of subsidiaries		294.8			—			—			(294.8	)		—
Net income (loss)	$	776.1		$	300.1		$	(5.3	)	$	(294.8	)	$	776.1

Condensed Consolidating Statement of Cash Flows

(in millions)	Express Scripts, Inc.			Guarantors			Non- Guarantors			Eliminations			Consolidated
For the year ended December 31, 2010
Net cash flows provided by (used in) operating activities	$	1,709.3		$	773.2		$	16.8		$	(381.9	)	$	2,117.4
Cash flows from investing activities:
Purchase of property and equipment		(53.1	)		(61.3	)		(5.5	)		—			(119.9	)
Purchase of short-term investments		—			—			(38.0	)		—			(38.0	)
Other		17.6			(4.3	)		(0.5	)		—			12.8
Net cash used in investing activities – continuing operations		(35.5	)		(65.6	)		(44.0	)		—			(145.1	)
Net cash used in investing activities – discontinued operations		—			—			(0.8	)		—			(0.8	)
Net cash used in investing activities		(35.5	)		(65.6	)		(44.8	)		—			(145.9	)
Cash flows from financing activities:
Repayment of long-term debt		(1,340.1	)		—			—			—			(1,340.1	)
Treasury stock acquired		(1,276.2	)		—			—			—			(1,276.2	)
Tax benefit relating to employee stock-based compensation		58.9			—			—			—			58.9
Net proceeds from employee stock plans		35.3			—			—			—			35.3
Deferred financing fees		(3.9	)		—			—			—			(3.9	)
Other		3.0			—			—			—			3.0
Net transactions with parent		300.9			(708.6	)		25.8			381.9			—
Net cash (used in) provided by financing activities		(2,222.1	)		(708.6	)		25.8			381.9			(2,523.0	)
Effect of foreign currency translation adjustment		—			—			4.8			—			4.8
Net (decrease) increase in cash and cash equivalents		(548.3	)		(1.0	)		2.6			—			(546.7	)
Cash and cash equivalents at beginning of year		1,005.0			10.0			55.4			—			1,070.4
Cash and cash equivalents at end of year	$	456.7		$	9.0		$	58.0		$	—		$	523.7

Condensed Consolidating Statement of Cash Flows

(in millions)	Express Scripts, Inc.			Guarantors			Non- Guarantors			Eliminations			Consolidated
For the year ended December 31, 2009
Net cash flows provided by (used in) operating activities	$	1,684.9		$	385.2		$	13.6		$	(312.2	)	$	1,771.5
Cash flows from investing activities:
Acquisitions, net of cash acquired		(8,881.7	)		(465.9	)		—			4,675.0			(4,672.6	)
Purchase of short-term investments		(1,201.4	)		—			—			—			(1,201.4	)
Sale of short-term investments		1,198.9			—			—			—			1,198.9
Purchase of property and equipment		(116.6	)		(22.6	)		(8.3	)		—			(147.5	)
Other		6.4			(2.7	)		(1.6	)		—			2.1
Net cash (used in) provided by investing activities – continuing operations		(8,994.4	)		(491.2	)		(9.9	)		4,675.0			(4,820.5	)
Net cash used in investing activities – discontinued operations		—			—			(1.9	)		—			(1.9	)
Net cash (used in) provided by investing activities		(8,994.4	)		(491.2	)		(11.8	)		4,675.0			(4,822.4	)
Cash flows from financing activities:
Proceeds from long-term debt, net of discounts		2,491.6			—			—			—			2,491.6
Net proceeds from stock issuance		1,569.1			—			—			—			1,569.1
Repayment of long-term debt		(420.1	)		—			—			—			(420.1	)
Deferred financing fees		(79.5	)		—			—			—			(79.5	)
Tax benefit relating to employee stock-based compensation		13.4			—			—			—			13.4
Net proceeds from employee stock plans		12.5			—			—			—			12.5
Net transactions with parent		4,239.4			107.1			16.3			(4,362.8	)		—
Net cash provided by (used in) financing activities		7,826.4			107.1			16.3			(4,362.8	)		3,587.0
Effect of foreign currency translation adjustment		—			—			3.6			—			3.6
Net increase in cash and cash equivalents		516.9			1.1			21.7			—			539.7
Cash and cash equivalents at beginning of year		488.1			8.9			33.7			—			530.7
Cash and cash equivalents at end of year	$	1,005.0		$	10.0		$	55.4		$	—		$	1,070.4

Condensed Consolidating Statement of Cash Flows

(in millions)	Express Scripts, Inc.			Guarantors			Non- Guarantors			Eliminations			Consolidated
For the year ended December 31, 2008
Net cash flows provided by (used in) operating activities	$	1,265.2		$	84.6		$	48.0		$	(294.8	)	$	1,103.0
Cash flows from investing activities:
Acquisitions, net of cash acquired, and investment in joint venture		(251.5	)		—			—			—			(251.5	)
Purchase of property and equipment		(66.8	)		(9.7	)		(7.3	)		—			(83.8	)
Proceeds from sale of business		27.7			—			—			—			27.7
Other		(11.0	)		—			—			—			(11.0	)
Net cash used in investing activities – continuing operations		(301.6	)		(9.7	)		(7.3	)		—			(318.6	)
Net cash used in investing activities – discontinued operations		—			—			(2.0	)		—			(2.0	)
Net cash used in investing activities		(301.6	)		(9.7	)		(9.3	)		—			(320.6	)
Cash flows from financing activities:
Treasury stock acquired		(494.4	)		—			—			—			(494.4	)
Repayment of long-term debt		(260.0	)		—			—			—			(260.0	)
Tax benefit relating to employee stock-based compensation		42.1			—			—			—			42.1
Net proceeds from employee stock plans		31.9			—			—			—			31.9
Net transactions with parent		(181.4	)		(82.4	)		(31.0	)		294.8			—
Net cash (used in) provided by financing activities		(861.8	)		(82.4	)		(31.0	)		294.8			(680.4	)
Effect of foreign currency translation adjustment		—			—			(6.0	)		—			(6.0	)
Net increase (decrease) in cash and cash equivalents		101.8			(7.5	)		1.7			—			96.0
Cash and cash equivalents at beginning of year		386.3			16.4			32.0			—			434.7
Cash and cash equivalents at end of year	$	488.1		$	8.9		$	33.7		$	—		$	530.7