Humana Insight Humana About: Humana Inc. (Humana) is a health and well-being company. The Company operates in three segments: Retail, Employer Group and Healthcare Services $48.5 Billion in annual revenues (2014) 49,000 associates Medical membership in all 50 states Number 73 in the Fortune 500 (2015) Board of Directors Kurt J. Hilzinger - Chairman of the Board Bruce D. Broussard - President, Chief Executive Officer, Director Brian A. Kane - Chief Financial Officer, Senior Vice President Elizabeth D. Bierbower - President - Employer Group Segment Thomas J. Liston - President - Retail Segment Tim S. McClain - President - Government and Other Businesses Bruce D Perkins - President - Health and Well-Being Services Segment James E. Murray - Chief Operating Officer, Executive Vice President Timothy S. Huval - Chief Human Resource Officer, Senior Vice President Brian P. LeClaire - Senior Vice President, Chief Information Officer Products & Services Medical, Dental, Vision, Consumer Funds, Life, Disability, Group Medicare, Pharmacy, Behavioral, myHumana Web Portal, Health Rewards – Humana Vitality: (Bike sharing program – B-cycle) , multipayer database shared with BC/BS

Retail Consists of products sold on a retail basis to individuals, including medical and supplemental benefit plans Employer Group Segment consists of businesses, which offers services, including pharmacy solutions, provider services, home-based services, integrated behavioral health services, and predictive modeling and informatics services to other Humana businesses, as well as external health plan members, external health plans, and other employers or individuals.   Healthcare Services Consists of products sold to employer groups, including medical and supplemental benefit plans, as well as health and wellness products. Geographical – Home office in Louisville Kentucky; Mail Order Phoenix AZ & West Chester OH; Call centers in Cincinnati OH Demographics – 14 million medical customers in US with 7.7 million in specialty products. 52,000 EE’s Historical Points: 1961 – Founded by David A. Jones and Wendell Cherry opening a nursing home in Louisville, KY. Later renamed to Extendicare 1968 – Extendicare becomes the country’s largest nursing home company & purchases its 1st hospital 1972 – Sells all nursing homes 1978 – Humana grows to become one the nation’s largest investor owned hospital systems. 2000 – Mike McCallister becomes CEO, initiated a focus on consumerism. (the customer is at the core of the business strategy) 2008 – Named one of the Top Five Most Admired Healthcare Co. in U.S. 2013 – Bruce Broussard becomes new CEO; McCallister retires as CEO

Humana Strategies Integrated care makes it easy for people to achieve their best health Humana’s Integrated Care Delivery Model Humana believes the elements described come together to form a powerful investment thesis for shareholders: (Value propositions) Continued robust organic membership and revenue growth, Proven superior clinical operating performance, and Disciplined capital allocation, which all lead to A sustainable competitive advantage.

Humana (HUM) core strategy is an integrated care delivery model, with the required ancillary services provided mainly by Humana’s Healthcare Services segment. Humana's value proposition is provide a lower cost and superior experience for consumers. Services: Humana’s strategy is to offer members access to quality, affordable health care services through a consistent, best-in-class member experience. The engine of this strategy is our integrated care delivery model, which uses sophisticated data analytics to provide effective, seamless, personalized care with high member engagement. At the center of our model is the primary care provider, who delivers coordinated care that is consistent, cost-effective and member-focused. Humana’s Values: Our goal of helping people achieve lifelong well-being is reflected in the values that guide at work, an example of how we inspire health and thrive together is our partnership with KaBOOM!, who we’re teaming up with to build more than 50 multigenerational playgrounds in communities nationwide topromote lifelong well-being. Inspire Health Cultivate Uniqueness Pioneer Simplicity Thrive Together Rethink Routine Humana believes the elements we’ve described come together to form a powerful investment thesis for shareholders: • Continued robust organic membership and revenue growth, • Proven superior clinical operating performance, and • Disciplined capital allocation, which all lead to • A sustainable competitive advantage.

The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, solid stock price performance, increase in net income and reasonable valuation levels. We feel its strengths outweigh the fact that the company shows weak operating cash flow.

Financial Comparison Metric Statement Utilized Humana 2014 Result Cigna 2014 Result CASH Cash Bal Sheet $1,935B $1,420B Cash Flow $1,618B $1,994B PROFIT Total Revenue P&L $48,500B $34,914B Operating Profit $2,170B $3,304B Operating Profit Margin 4.5% 9.5% Net Profit $1,147B $2,102B Net Profit Margin 2.4% 6.0% EPS $7.36 $7.83 Assets Return on Equity P&L + Bal Sh 11.9% 19.5% GROWTH Revenue Growth 17.4% 7.8% Net Income Growth (6.8)% 42.4% EPS Growth (4.9)% 51.2%

Group Members Dani Makkay Joseph Paul Anthony Michalak Mukesh Pandey