AMA in black for 6th straight year

NEWS IN BRIEF — Posted Nov. 28, 2005

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The American Medical Association expects $15.1 million in operating profits in 2005, marking the sixth year in a row that the Association has posted operating profits. That trend is expected to continue in 2006, according to numbers released at the Association's Interim Meeting this month. The AMA expects it will see a $9.5 million operating profit next year.

The expected $15.1 million in operating profits this year is 47% higher than the $10.3 million originally projected in the 2005 budget. Business revenue increases and lower variable costs of products sold and selling expenses account for much of the increase, according to the budget report. The Association authorized an unbudgeted $12.3 million for marketing and communication expenses in 2005. That money largely paid for the AMA's new brand launch.

Looking ahead to 2006, the AMA will continue that higher spending level on new membership and communications, including the brand launch. It also will maintain the nearly $4 million added to the budget in 2005 for issues such as physician Medicare reimbursement, health disparities, increased access for the uninsured, national disaster preparedness and scope-of-practice issues.

The AMA expects to spend an additional $1.2 million for core activities in 2006, including public health advocacy, a practice management center and a public health readiness office. The 2006 budget also includes a 1% increase in membership dues revenues, based on a projected increase in full-paying dues members.

Note: This item originally appeared at

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