Large, diversified U.S.-based health-care company focused on health insurance and health-care services Unique competitive advantages versus peers due to UnitedHealthcare/Optum combination Consistent earnings on disciplined strategic execution, business diversity, and strong medical management Lower investment risk than most peers because of highly conservative investment portfolio Strong EBITDA interest coverage and modest debt to EBITDA reflecting strong financial flexibility Likely rising competition for business/strategic acquisitions during the next several years Increasing Medicare and Medicaid exposure adding general program funding and regulatory risks Weakened balance-sheet quality due to higher run-rate financial leverage than peers Modest insurance capitalization based on regulatory and our risk-based capital (RBC) measures Highly active acquisition strategy with integration/execution risks S&P Global Ratings' ratings on UnitedHealth Group Inc. (UNH)
