Issue: Volume V No. 3 - March 2, 1998

Consumer Choice Decimates HMO Business Plan

I ENCOURAGE YOU TO CAREFULLY READ THE STORY about the financial woes of managed care plans in this issue. After virtually every big HMO company reported sizeable losses for 1997, Kaiser Permanente joined the club with a $270 million loss. Following years of soaring profits, it appears that health insurers are about to enter a sustained …

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1998’s Movers & Shakers Go Beyond The Ordinary

CEO SUMMARY: As the laboratory industry undergoes fundamental change, new business and management models must be developed. Our list of “Movers and Shakers” for 1998 highlights individuals now leading the science of laboratory management toward these new paradigms. FINDING EXAMPLES OF LEADERSHIP and innovation among executives and managers within the clinical laboratory industry can be …

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DIANON Systems Acquires Pathology Lab In Florida

CEO SUMMARY: Another national pathology player is betting on Florida. DIANON Systems, Inc.’s purchase of a local pathology laboratory raises the competitive bar in Florida. With AmeriPath and Pathology Service Associates already gearing up to battle for market share, DIANON’s local presence brings a savvy competitor closer to the battleground. FlORIDA IS ABOUT TO BECOME …

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Pathology Competitors Make Florida The Target

CEO SUMMARY: Florida is about to become the marketing battleground for anatomic pathology. Three well-funded players are preparing to launch major sales efforts. Pathologists in the state wait with trepidation. Expectations of discounted pricing and a “gloves-off” sales strategy concern Florida’s hospital-based pathologists. FOR PATHOLOGISTS CONCERNED with their economic and professional future, Florida is a …

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Kaiser Reports Huge Loss, Many HMOs Losing Money

CEO SUMMARY: Poor financial performance of many managed care plans is bad news for clinical laboratories. Those insurance plans losing money find it tough to increase reimbursement for laboratory tests. Financial struggles of the health insurance industry should be closely watched for its impact upon physicians, hospitals and laboratories. TURNABOUT IS FAIR PLAY. After reporting …

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Catholic Healthcare West, Tenet Form Joint Venture

CEO SUMMARY: This consolidation initiative brings together the resources of both hospital operators. The objective of the partnership is to more efficiently align services in California’s San Joaquin Valley. This is a proactive step that anticipates further reductions in reimbursement and inpatient admissions in California’s competitive environment. By Pooling Resources in California’s Northern San Joaquin …

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AmeriPath, SmithKline, Unilab, IMPATH, LabOne, Prudential/SBCL

AMERIPATH REPORTS EARNINGS, NEW PURCHASE AmeriPath, Inc. of Riviera Beach, Florida announced its 1997 financial performance. For the year, company revenues totaled $108.4 million. On February 17, the company also disclosed the acquisition of Anatomic Pathology Associates (APA), located in Indianapolis, Indiana. AmeriPath intends to combine APA’s 14 pathologists with the 13 pathologists of CoLab, …

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“March 2, 1998 Intelligence: Late Breaking Lab News”

An interesting executive shuffle is under way at Quest Diagnostics Incorporated. James D. Chambers was promoted to Senior Vice President, Marketing and Business Development. He will report directly to CEO Ken Freeman. Chambers will assume many of the duties handled by Don Hardison, Jr., who is leaving Quest Diagnostics. ADD TO:…QUEST Chambers has a non-laboratory …

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