Humana and Aetna leaders share more about buyout plans and compa - WDRB 41 Louisville News

Humana and Aetna leaders share more about buyout plans and company branding

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LOUISVILLE, Ky. (WDRB) -- After Friday’s announcement that Humana will sell to Aetna, fear of the unknown continues to build.

“My first initial thoughts were fear of job loss in Louisville. We hope it’s all good for the town and no job loss,” says Louisville resident Kathy Ryan.

The $37 billion deal will combine the second and fifth largest health insurers in the U.S.

By doing so, Aetna's CEO says the two companies will save $1 billion a year in operating expenses by 2018.

But at what cost to employees?

Leaders of both companies say the government business will be consolidated in Louisville and commercial business in Hartford, Connecticut.

Aetna officials say they'll maintain the current employment level in Louisville, and possibly increase it down the road.

It's a high profile business venture that Humana CEO Bruce Broussard believes will pay off in the long run.

"I believe that Humana employees will feel energized and motivated by Aetna’s strategy and culture and will be meaningful contributors to the combined companies’ future success," said Broussard.

Also on the call Aetna CEO Mark Bertolini, who revealed what many locals and city leaders were hoping:

The Humana brand will stay alive," said Mayor Greg Fischer. "Obviously, it's been built over 50 years, which means quality and consistency to customers.  So that's great news that the Humana brand will still be with us."

Should the deal go awry, Aetna would owe Humana a $1 billion break-up fee.

The deal also includes a provision that would allow either company to back out if it receives a better takeover offer from another company.

But for all intents and purposes, the two companies are moving forward with the transaction.

It’s a deal that will hold a significant spot in Louisville history.

Related:

Aetna CEO says Louisville employment will stay flat or grow after Humana sale

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