CVH Raises 2010 Guidance

Coventry Health Care (CVH 17.54 +0.35) announced this morning that the company will incur approx. $1.18 per share non-recurring charge in the second quarter related to class action lawsuit. Also, the company raised its fiscal year 2010 guidance.

Based upon results through the month ended May 31, 2010, Coventry is revising its guidance range, including this one-time charge, to an EPS range of $1.57 to $1.72 for its fiscal year 2010. Excluding the one-time charge, co raises guidance by $0.40 to a range of $2.47 to $2.62, ex-$0.28 benefit from the Medicare Advantage Private-Fee-for-Service charge versus Thomson Reuters consensus of $2.31.

Coventry's fundamental business operations, across all measures, have continued to build upon the strong performance reported for the quarter ended March 31, 2010 with all seven core businesses performing at or above internal expectations.