Summary Box: WellPoint's 2Q profit falls 3 percent

AP News
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Posted: Jul 27, 2011 2:02 PM
Summary Box: WellPoint's 2Q profit falls 3 percent

THE RESULTS: Health insurer WellPoint Inc. earned $701.6 million in the second quarter, down from $722.4 million in last year's quarter. Earnings per share rose nearly 11 percent to $1.89 from $1.71 because the company had fewer shares outstanding.

THE REASONS: Costs for WellPoint's Senior business came in much higher than the insurer expected, and WellPoint's benefit expense rose more than 8 percent to $11.92 billion.

THE GUIDANCE: WellPoint now expects 2011 earnings between $6.75 and $6.95 per share, not counting investment gains of 15 cents per share. That's up from a previous forecast of $6.60 per share.