Question-and-Answer Session
Operator
(Operator Instructions). Your first question comes from Witt Mayo with Robert W Baird and Company. Mr. Mayo, your line is open. Okay, we'll go to the next question. Your next question comes from Charles Strauzer with CJS Securities.
Charles Strauzer - CJS Securities
Good morning. Can you hear me okay?
Bob Holster
Hello.
Charles Strauzer - CJS Securities
Can you hear me okay?
Bob Holster
Yes.
Charles Strauzer - CJS Securities
Hi sorry. Good morning. Bob, can you talk a little bit about some of the or maybe this is for Bill, some of the remaining competitive re-bids that are up for grabs this year and into next year?
Bill Lucia
Yeah. Charlie, this is Bill. Out of the larger states, this year the kind of largest state that's up for re-procurement is California. I believe our contract expires sometime in the fourth quarter, and the procurement is out now and I think they've extended the deadline for response as well.
Charles Strauzer - CJS Securities
Got it. And then we start to look into 2009. Are there any other larger states that are coming up for grabs?
Bill Lucia
I believe really the largest state up for re-procurement in 2009 is New York State.
Charles Strauzer - CJS Securities
Got it and then Bill, just remind us, too, again of the kind of the market opportunity on the MCO side, the number of lines that you've won versus what potentially the entire pool of lines that are out there.
Bill Lucia
Well, we think and you know the specifics change every month, and depending on who reports them, CMS or Private publications, there is probably about 22 million to 25 million members in Medicaid managed care at any given point. We have just under 50% of that membership, and ours is primarily scattered across the larger plans in the nation. We are starting to market to some of the mid-sized regional and smaller plans.
Charles Strauzer - CJS Securities
Got it, great. Thank you very much. And then, Walter just a couple of quick questions, on the data processing and occupancy costs, they were down sequentially from Q1. Was that related to kind of winding down some of the older facilities in Texas?
Walter Hosp
They were not down on an absolute basis, but they were down as the percentage of revenue that you are referring to?
Charles Strauzer - CJS Securities
- To read the full transcript on Seeking Alpha, click here »



