Question-and-Answer Session
Operator
Than k you, sir. (Operator Instructions). Our first question is from Darren Lehrich of Deutsche Bank. Your line is open.
Sudeep Singh – Deutsche Bank
Hi, it’s actually Sudeep Singh calling in for Darren. Thanks for taking my question. I guess to start-off here just to confirm on the Hyattsville. Is that did you say that’s 150,000 for the next three quarters, per quarter in start-up cost?
Stephen W. Everett
No, no this is Steve. No, it’s the $150,000 that we experienced in the first quarter we don’t anticipate that to recur.
Sudeep Singh – Deutsche Bank
Okay. So in terms of thinking about the next few quarters is there any sort of costs associated with that, that we should be thinking about or?
Stephen W. Everett
No, no it should be, no not at all. At the end of the day, we had transitional costs as you can imagine with any type of an acquisition that happened as well as some practice patterns that differed from what DCAI has done historically that are now inline with DCAI practice patterns. Those two items together are total about $150,000.
Sudeep Singh – Deutsche Bank
And then just one clarification is that also because I your, I guess in the release that you talked a little bit about there is some uncertainty surrounding commercial revenue. Does that do with the that that the patterns that you just talked about or if you could just give us some more detail on that?
Andrew J. Jeanneret
This is Andrew. There is a small piece of that relates to that, but it’s not exclusively to a Hyattsville center. Our commercial patient mix if you will the revenue from commercial patients when you look at the first quarter of last year to the first quarter of this year, it increased a little bit, that’s also a driver in that. But as I mentioned earlier I don’t think in subsequent quarters you’ll see that one we had in the first quarter ?09.
Sudeep Singh – Deutsche Bank
Okay. And then could you mainly just talk a little bit about kind of status of your IT integration and how that’s shaping up so far?
Stephen W. Everett
Sure, it’s right on target, we’ve right now are bringing on Board, we’re have brought on Board five facilities and we’ve got another five that are going into this quarter we essentially are expected the integration to continue throughout this year, and the first part of next year, first half of next year is our hope to how it’s fully integrated. Part of what we will drive the end date as you can imagine will be how many new facilities we bring on Board between now and then, and others that we’ve got, five, six, seven, eight new facilities that will slow down the process of the existing facilities. But we are on track actually slightly ahead of plan as far as bringing those on Board.
- To read the full transcript on Seeking Alpha, click here »
