The company is pursuing a variety of strategies to address these headwinds, including terminating unprofitable contracts, negotiating subsidies in the form of cost-plus contracts with its hospital customers, and working with customers to right-size their coverage needs to optimize utilization and alleviate demand. We do not assume the company will generate additional divestiture-like fees from the termination of contracts. Indeed certain hospital customers are legally challenging non-compete agreements ASP NAPA maintains with its employees. We expect ASP NAPA?s margins to improve as it continues to terminate some low-margin or EBITDA-negative contracts. Moreover, the company has been relatively successful negotiating cost-plus contracts, as demonstrated by the 45% increase in client subsidy revenues (from the hospitals) in the first three quarters of
