Risk Factors Update Summary

• Risks associated with failure to protect patient privacy leading to financial penalties and adverse publicity.
• Cybersecurity risks and incidents could lead to financial penalties, reputational harm, and operational disruptions.
• In October 2023, proposed rules introduced new processes for independent dispute resolution.
• Increased regulatory costs and restrictions due to conducting business in a heavily regulated industry.
• Transitioning revenue to value-based reimbursement models may impact financial condition and operations significantly.
• The Medicare Physician Fee Schedule for 2024 cut the conversion factor by 3.4%.
• Failure to comply with privacy laws could result in increased data breach litigation.
• Potential financial penalties and exclusion from government health care programs for non-compliance.
• Increased costs and complexity due to evolving government regulations and transition to value-based care models.
• The number of EMR vendors was reduced from 53 to 50, impacting operational efficiency.
• Changes in stakeholder expectations may affect business reputation and growth prospects.
• Dependence on relationships with Medical Groups for profitability and potential adverse effects from increasing expenses.
• The company may face lawsuits and legal proceedings impacting financial results and operations.
• The company's ability to satisfy financial condition tests under the Credit Agreement is crucial.