The American Medical Association posted an operating profit of $11.7 million in 2002 -- a 138% increase over the previous year, according to financial results released today. Net income, however, amounted to about $100,000 because of about $11.6 million in nonoperating losses, largely on investments. It was the third straight year of robust operating profits at the AMA after a fiscal slump through the late 1990s. AMA officials credited the turnaround to a strategic plan implemented in 2000 that reduced staff and streamlined many business operations. Revenue increased in most of the AMA's business operations with the glaring exception of membership. The AMA's total revenue reached $250.5 million, less than 1% growth over the previous year. Total revenue from membership, meanwhile, fell $4.3 million to $50.2 million, a nearly 8% drop from 2001. The association's membership was 260,455 at the end of 2002, a loss of about 18,000 members from the previous year and almost 30,000 from 2001. -- by Michael Romano
Investment losses offset good operations at AMA
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