Income for Certified CME Continues to Fall

Just like in 2008, total income to produce all certified continuing medical education (CME) programs dropped by another 7% last year, from about $2.37 billion in 2008 to $2.18 billion, according to the latest data from the Accreditation Council for CME. But commercial support to publishing/ educational companies, or MECCs, fell even more dramatically—by greater than 20% (which is comparable to the drop observed between 2007 and 2008). Consequently total income to MECCs (which are down from a total number of 144 in 2008 to 135) declined by about 10% (companies evidently made up some of their losses with modest increases in advertising income, money from other sources,* and a slight reduction in expenses).

Here's the cut-up year-to-year table, which provides not only cumulative data, but average total and net incomes per MECC. The cumulative net income (total income minus total expense) and the average net income per MECC in 2009 were about half of what they were in 2007. The explanations: a general reduction in support from commercial sources to all CME providers (down 30% from 2007) and a directed reduction in support to MECCs (down nearly 40% from 2007).

Year	Total Income	Total Commercial Support	Advertising and Exhibits Income	Other Income	Total Expense
2005 (N = 148)	$780,783,394	$594,864,588	$18,757,802	$167,161,004	$598,727,647
2006 (N = 154)	$818,772,623	$620,657,405	$15,431,546	$182,683,672	$607,961,083
2007 (N = 150)	$830,811,192	$594,419,878	$10,831,027	$225,560,282	$615,705,205
2008 (N = 144)	$667,419,787	$463,382,991	$10,054,745	$193,982,051	$509,811,733
2009 (N = 135)	$604,024,888	$365,315,693	$11,406,679	$227,302,516	$500,057,330

Year (No. MECCs)	Net Income	Average Total Income per MECC	Average Net Income per MECC
2005 (N = 148)	$182,055,747	$5,275,563	$1,230,106
2006 (N = 154)	$210,811,540	$5,316,705	$1,368,906
2007 (N = 150)	$215,105,987	$5,538,741	$1,434,040
2008 (N = 144)	$157,608,054	$4,634,860	$1,094,500
2009 (N = 135)	$103,967,558	$4,474,258	$770,130

MECCs = medical education-communications companies.

* Like, for example, participant registration fees and "allocations from a provider's parent organization or other internal departments."