Issue: Volume IX No. 13 - September 16, 2002

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Removing Lab Players From the Chessboard

IN 1997-98, CEO Ken Freeman of Quest Diagnostics Incorporated made a keen insight about the commercial lab marketplace. At that time the three blood brothers—Laboratory Corporation of America, Quest Diagnostics, and SmithKline Beecham Clinical Laboratories (SBCL)—dominated the national market for physicians’ office testing. Freeman’s observation would be prophetic. He noted that, in any industry dominated …

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Esoterix Ready to Launch National Marketing Blitz

CEO SUMMARY: It was 1995 when several specialty testing lab companies were acquired by a new company called Esoterix. Immediately the lab industry viewed Esoterix as a “put-together” lab company. However, since 2000, executives at Esoterix have invested $50 million to integrate operations, create a new informatics platform, and position the company to compete for …

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Non-Pathologists Altering U.S. Laboratory Industry

CEO SUMMARY: It’s an interesting contradiction. On one hand, most pathologists enthusiastically recognize the value that diagnostic testing services provide to the healthcare community. On the other hand, too often it is non-laboratorians who provide the investment capital and entrepreneurial effort required to build the laboratory organization capable of delivering these diagnostic services. IS THE …

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Changes Expected in Market For Hospital Reference Testing

CEO SUMMARY: For the hospital send-out testing marketplace, 2002 has been an eventful year. First came the acquisition of American Medical Laboratories by Quest Diagnostics Incorporated. In April, Specialty Laboratories disclosed its problems with state and federal laboratory regulators. A few months later, Premier announced that Laboratory Corporation of America was now the third lab …

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Reactions To FL Court’s Ruling On Clin Path Fees

CEO SUMMARY: Reimbursement for clinical pathology professional services is under attack in a variety of ways throughout the United States. Recently a Florida Court of Appeal added a new court ruling to the growing body of legal decisions on this topic. Careful study of the ruling shows that the court affirmed the role of the …

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“September 16, 2002 Intelligence: Late Breaking Lab News”

It’s another sign of change that benefits clinical laboratories. The journal Quality and Safety in Health Care published a study recently which determined that 86% of mistakes in family care offices are administrative or process errors. Most involved misfiling patient information, ordering the wrong tests, or prescribing the wrong medication. Many of these errors would …

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