CareFirst, Inc. has successfully combined the business operations of two major Blue Cross and Blue Shield companies under a new trade name - CareFirst BlueCross BlueShield. With this regional consolidation, we are moving forward with confidence and optimism. Our company has very quickly combined forces to become one team, pulling together, on course and leading the way. Today, the delivery of health care occurs against a backdrop of changing public expectations, evolving governmental policies and frequent corporate realignments. This atmosphere of change presents CareFirst with challenging opportunities to better serve our customers. The company has reinforced its position in the Mid-Atlantic regional market and is positioned to provide enhanced value to our customers and partners. By combining the operations of two strong, independent companies, we prepared CareFirst to meet the challenge of continuing to improve service and exceed the expectations of our customers. By offering managed care options for seniors and Medicaid members, CareFirst demonstrated its commitment to serve the needs of all our customers. By investing in new technology, CareFirst is creating a model for health care management that will serve our customers well into the next century. And, by advocating a more rational regulatory structure, CareFirst has sought progress toward a more integrated health care system that is both quality focused and cost effective. CareFirst is leading the way to create the integrated health care system for the future. We intend to aggressively pursue that objective and to build upon it at every opportunity. Our confidence in the future rises from the competence, dedication and commitment of our 5,300 CareFirst associates and from the customers and business partners who have placed their trust in us. We remain grateful for their support and will continue to pull together to meet their needs as CareFirst seeks to achieve its corporate best in the months and years ahead.