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[Ken Helle | Times (2006)]
WellCare Health Plans' headquarters on Henderson Road in Tampa.
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Company information

Address: 8725 Henderson Road, Tampa, FL 33634; (813) 290-6200; www.wellcare.com

Business: Medicaid and Medicare managed care plans

Ticker symbol, market: WCG, NYSE

Market capitalization: $1.8-billion

Annual dividend: none

Top officers: Heath Schiesser, president and CEO; Thomas F. O'Neil, general counsel

Employees: 4,000 (2,400 in Tampa)

Financials
(filing delayed because of investigation)

Revenue: N/A

Net income: N/A

Per share: N/A

Return on equity: N/A

Two-year stock return: +4.5 percent

Biggest challenge: On the macro level, it's critical for WellCare to keep generous reimbursements coming for its Medicare Advantage and Part D drug plans in the face of growing pressure to rein in federal spending on the senior health program. More pressing on a corporate level, WellCare has to settle the government investigation that sent its once-high flying stock into a swoon after the FBI showed up at the Tampa headquarters in late October. WellCare's board, which includes former U.S. Sen. Bob Graham, jettisoned the executive team in late January and brought in replacements to resolve the crisis. Analysts are betting damage will be limited to a fine and WellCare will continue to grow.

Corporate culture

The work continues, despite a raid and turmoil

When the FBI shows up at the office and starts hauling away documents and copying computer files, the employees of any company are bound to get nervous. Six months after federal agents raided WellCare Health Plans in Tampa, its nearly 3,000 workers are still wondering what's going on.

To their credit, WellCare's employees seem to have remained focused on their jobs despite the turmoil. With only a few minor glitches, like confidential member data popping up on the Internet in March, WellCare has continued to service 2.3-million members in its Medicare and Medicaid plans. It even attracted more than 50,000 new Medicare members this year.

While front-line workers were tending to business, WellCare's board tossed out the top three executives and brought in new leadership. New president and CEO Heath Schiesser reportedly met with all workers soon after his arrival in late January. His message: Keep working.

Soon after the raid in late October, WellCare promised all employees a retention bonus equal to 20 to 50 percent of their base pay. Those checks will be paid out by June 30. Will the company reach a settlement with the government? Will it be sold? Will employees take the money and run? WellCare's workers figure they'll be the last ones to know.

—Kris Hundley, Times Staff Writer

Have a comment or story idea? E-mail the editors at biznews@sptimes.com.

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