XML 33 R22.htm IDEA: XBRL DOCUMENT
v3.5.0.2

RELATED PARTY TRANSACTIONS | 3 Months Ended
--- | ---
Sep. 30, 2016
Related Party Transactions [Abstract] |
RELATED PARTY TRANSACTIONS | (15) RELATED PARTY TRANSACTIONS GNYHA Services, Inc. ("GNYHA") and its member organizations owned approximately 11% of the outstanding partnership interests in Premier LP as of September 30, 2016. Net administrative fees revenue based on purchases by GNYHA and its member organizations was $17.7 million and $15.6 million for the three months ended September 30, 2016 and 2015, respectively. The Company has a contractual requirement under the GPO participation agreement to pay each member owner revenue share from Premier LP equal to 30% of all gross administrative fees collected by Premier LP based upon purchasing by such member owner's facilities through Premier LP's GPO supplier contracts. As GNYHA also remits to Premier LP all gross administrative fees collected by GNYHA based on purchases by its member organizations through GNYHA's own GPO supplier contracts, it also receives revenue share from Premier LP equal to 30% of such gross administrative fees remitted to the Company. Approximately $7.6 million of revenue share obligations in the accompanying condensed consolidated balance sheets relate to revenue share obligations to GNYHA and its member organizations at both September 30, 2016 and June 30, 2016. The Company also maintains a group purchasing agreement with GNYHA Alternate Care Purchasing Corporation, d/b/a Essensa, under which Essensa utilizes the Company's GPO supplier contracts. Net administrative fees revenue recorded with Essensa was $0.7 million for both the three months ended September 30, 2016 and 2015. At September 30, 2016 and June 30, 2016, the Company had revenue share obligations to Essensa of zero and $0.2 million, respectively. In addition, of the $22.1 million and $22.5 million limited partners' distribution payable in the accompanying condensed consolidated balance sheets at September 30, 2016 and June 30, 2016, respectively, $2.9 million are payable to GNYHA and its member organizations at both September 30, 2016 and June 30, 2016. Services and support revenue earned from GNYHA and its member organizations was $3.6 million and $3.2 million during the three months ended September 30, 2016 and 2015, respectively. Product revenue earned from, or attributable to services provided to, GNYHA and its member organizations was $3.8 million and $5.0 million during the three months ended September 30, 2016 and 2015, respectively. Receivables from GNYHA and its member organizations, included in due from related parties in the accompanying condensed consolidated balance sheets, were $3.6 million and $2.6 million at September 30, 2016 and June 30, 2016, respectively. The Company's 50% ownership share of Innovatix's net income included in equity in net income of unconsolidated affiliates in the accompanying condensed consolidated statements of income was $6.5 million and $4.4 million for the three months ended September 30, 2016 and 2015, respectively. The Company maintains a group purchasing agreement with Innovatix under which Innovatix members are permitted to utilize Premier LP's GPO supplier contracts. Gross administrative fees revenue and a corresponding revenue share recorded under the arrangement were $11.4 million and $9.4 million for the three months ended September 30, 2016 and 2015, respectively. At September 30, 2016 and June 30, 2016, the Company had revenue share obligations to Innovatix of $3.4 million and $4.2 million, respectively, in the accompanying condensed consolidated balance sheets. The Company's 49% ownership share of FFF's net income included in equity in net income of unconsolidated affiliates in the accompanying condensed consolidated statements of income was $3.0 million for the three months ended September 30, 2016. The Company maintains group purchasing agreements with FFF and receives administrative fees for purchases made by the Company's members pursuant to those agreements. Net administrative fees revenue recorded from purchases under those agreements since July 26, 2016, the date of investment in FFF, was $0.1 million. Administrative fees from FFF are typically received during the first month of the quarter. The Company conducts all operational activities for American Excess Insurance Exchange Risk Retention Group ("AEIX"), a reciprocal risk retention group that provides excess and umbrella healthcare professional and general liability insurance to certain hospital and healthcare system members. The Company is reimbursed by AEIX for actual costs, plus an annual incentive management fee not to exceed $0.5 million per calendar year. The Company received cost reimbursement of $1.1 million and $1.0 million for the three months ended September 30, 2016 and 2015, respectively. The Company did no t receive annual incentive management fees for the three months ended September 30, 2016 or 2015. As of September 30, 2016 and June 30, 2016, $0.4 million and $0.5 million in amounts receivable from AEIX are included in due from related parties in the accompanying condensed consolidated balance sheets, respectively.

X
- References No definition available. + Details
Name: | us-gaap_RelatedPartyTransactionsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(k)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39603-107864 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 4 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39622-107864 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39549-107864 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39678-107864 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 850 -SubTopic 10 -Section 50 -Paragraph 6 -URI http://asc.fasb.org/extlink&oid=6457730&loc=d3e39691-107864 + Details
Name: | us-gaap_RelatedPartyTransactionsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration