Aetna reorganizes business lines ahead of possible CVS Health tie-up

Aetna will realign its business segments as it gears up for a pending $69 billion merger with CVS Health.

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Effective for its first quarter 2018 results, Aetna will operate under two segments: healthcare and corporate/other. The healthcare segment encompasses commercial health plans, employer-based plans, and Medicaid and Medicare businesses. The healthcare segment will also include medical products and services.

The remainder of Aetna’s operations will fall under its corporate/other segment. These business lines include products Aetna no longer solicits or accepts new customers for; contracts the insurer divested through reinsurance and other agreements; and expenses like transaction- and integration-related costs.

The changes will be reflected in Aetna’s first quarter release scheduled for May 1. Aetna will not hold a first quarter earnings call due to the pending CVS Health deal.

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