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Phoenix-based Banner Health knew it was taking on an unprofitable venture when it acquired the University of Arizona Medical Center in 2015 — including its health insurance plans. Some problems still exist or have gotten worse.

The $7.6 billion Banner improved its profitability in 2016 with a 2.1% operating margin, up from 1.8% in 2015, according to audited financials released Tuesday. But that's mostly because Banner's hospitals and clinics made up for the shortfall in the health insurance operations, which were part of the University of Arizona deal. The operating losses at Banner's health plans quadrupled from 2015 to 2016, totaling $154 million. It's yet another example of a health system struggling to own an insurance company.

There's an Obamacare angle: Banner's losses from its commercial health plans were 27 times higher in 2016. The system blamed the collapse of Arizona's Obamacare marketplace, where most insurers have exited and "resulted in significant numbers of high-cost enrollees migrating to Banner narrow-network products in 2016," executives wrote to bondholders.

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Updated 7 mins ago - Politics & Policy

Coronavirus dashboard

Illustration: Sarah Grillo/Axios

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  4. Public health: Fauci hasn't briefed Trump on the coronavirus pandemic in at least two months — We're losing the war on the coronavirus.
  5. States: Louisiana governor issues face mask mandate.
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Biden's doctrine: Erase Trump, re-embrace the world

Photo illustration: Sarah Grillo/Axios. Photo: Bastiaan Slabbers/NurPhoto, and Bastiaan Slabbers/NurPhoto via Getty Images

Foreign policy will look drastically different if Joe Biden defeats President Trump in November, advisers tell Axios — starting with a Day One announcement that the U.S. is re-entering the Paris Climate Agreement and new global coordination of the coronavirus response.

The big picture: If Trump's presidency started the "America First" era of withdrawal from global alliances, Biden's team says his presidency would be the opposite: a re-engagement with the world and an effort to rebuild those alliances — fast.

Robert Mueller speaks out on Roger Stone commutation

Former Special Counsel Robert Mueller testifies before the House Permanent Select Committee on Intelligence on Capitol Hill on Wednesday July 24, 2019. Photo: The Washington Post / Contributor

Former special counsel Robert Mueller responded to claims from President Trump and his allies that Roger Stone was a "victim" in the Justice Department's investigation into Russian interference in the 2016 election, writing in a Washington Post op-ed published Saturday: "He remains a convicted felon, and rightly so."

Why it matters: The rare public comments by Mueller come on the heels of President Trump's move to commute the sentence of his longtime associate, who was sentenced in February to 40 months in prison for crimes stemming from the Russia investigation. The controversial decision brought an abrupt end to the possibility of Stone spending time behind bars.