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Revenue Recognition
6 Months Ended
Jun. 30, 2012
Revenue Recognition  
Revenue Recognition

(3) Revenue Recognition

 

Center revenues consist of billing for the use of the centers' facilities (the “facility fee”) directly to the patient or third-party payor and, in certain instances, billing for anesthesia services. Such revenues are recognized when the related surgical procedures are performed. Revenues exclude any amounts billed for physicians' surgical services, which are billed separately by the physicians to the patient or third-party payor.

 

Revenues from centers are recognized on the date of service, net of estimated contractual adjustments from third-party medical service payors including Medicare and Medicaid. During the six months ended June 30, 2012 and 2011, the Company derived approximately 28% and 31%, respectively, of its revenues from governmental healthcare programs, primarily Medicare and Medicare managed programs. Concentration of credit risk with respect to other payors is limited due to the large number of such payors.