Wal-Mart’s Perspective on Health Reform Saving people money so they can live better December 11, 2007 National Congress of Un and Under Insured Wal-Mart’s Perspective on Health Reform Linda Dillman Executive Vice President, Benefits, Risk Management and Sustainability

“We are continually faced with a series of great opportunities brilliantly disguised as insoluble problems.” John W. Gardner

2008 2007 2006 Benefit Solutions Personalized choices (> 50) Health care credits >2400 generic drugs for $4 New lower cost options And more… 2008 Discount on all drugs 10 % discount on fresh fruits and vegetables Nurse hotline Disease management resources 2007 Value Plan Health Savings Accounts Reduced waiting period for part-time associates Available for children of part-time associates 2006

Where do Wal-Mart Associates Obtain Coverage? As of January 2007: 90.4 percent of Wal-Mart associates reported having some sort of health coverage. More than 1 million associates and family members are covered by Wal-Mart health plans. 76.3 percent of Wal-Mart associates were eligible for coverage. 53.2 percent of associates who signed up for insurance, didn’t have insurance before Wal-Mart. 9.6 percent remain uninsured.

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$4 Generic Prescriptions 361 generic prescriptions covering up to 95 percent of prescriptions written in the majority of therapeutic categories. Open to both uninsured and insured. Nearly 30 percent of $4 prescriptions are filled without insurance – significantly higher than 10 percent industry trend. $4 prescriptions now represent approximately 40 percent of all filled prescriptions at Wal-Mart. More than $700 million savings to customers, employers and government programs in first year.

Convenient Clinics in Wal-Mart: Early Indicators of Customer Impact Demographics 79% are visits for adults 21% are visits for children Insurance Status Approximately 55% uninsured Alternative Considerations 40-50% PCP 20-35% urgent care 10-15% ER 5-10% would have foregone treatment Satisfaction 90+% overall satisfaction Top reasons for visiting * Convenient location * No appointment * Quick service * Affordable prices Service usage 25-40% stay well (immunizations and screenings) 60-75% get well (common illnesses) Profile of Customers Service, Usage & Experience Source: Surveys collected and shared by clinic tenants

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“The crisis we face cannot be resolved by our present strategies or with the patchwork efforts of the past. Resolution will require comprehensive health system reform.” - Dr. Henry Simmons National Coalition on Health Care Founding Member Health Policy Forums prioritizing and refining a vision for the future of health care in America

Our Work Continues… What are the key challenges we all face? Can we be doing more? In what areas? What other services or products can we offer consumers? How could our involvement with HIT help hospitals? What other partnerships could we form? What objectives do we share? What could we do in partnership with you? What other ideas can we share?