IT is the the largest target for cuts because a health plan is mostly an IT company. Others provide the service to people and MHI like other insurers manage claims electronically.
If you read the stock news (free apps all over the place) you will better understand the mechanics of what is planned.
MHI is reorganizing (mostly closing or selling) the businesses that actually deliver services to people like Molina Medical Group, the business C. David Molina (founder) actually started and built.
You would think the Molina children would be screaming about this legacy ending but too much $$ (shares of stock) are still held by them.
They are in a dilemma... Family legacy or wealth for this last generation before business is acquired!