Issue: Volume VIII No. 9 - July 2, 2001

Lab Regionalization Creates New Business Models

REGIONALIZATION OF LABORATORY TESTING SERVICES continues to be a dominant trend within the lab industry. That’s not news to our members and regular readers, because THE DARK REPORT closely tracks this important trend. What always surprises me, however, is the variety of new business models which emerge from efforts to regionalize lab services. These experiments …

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Memorial Hermann Lab Launches Crash Rebuild

CEO SUMMARY: This 600-bed hospital and core laboratory are in a crash rebuilding program as a result of flooding from tropical storm Allison. One important management lesson learned is the value of consolidating and integrating laboratory services within a health system. Previous lab integration efforts within the Memorial Hermann Health System are now contributing to …

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Connecticut Hospital Labs Win HMO Test Contracts

CEO SUMMARY: Connecticut Hospital Laboratory Network, LLC was formed in 1996 with the specific goal of winning managed care lab testing contracts. During the past five years it has steadily increased the number of patients covered by such contracts. Along the way, it has learned important lessons on how to price laboratory testing services and …

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Lab Competitors Form Common Test Data Repository for Doctors

CEO SUMMARY: Integrated hospital systems, government health plans and private insurers can frequently threaten the status quo for commercial laboratories in both the United States and Canada. Motivated by the desire to offer greater value, two commercial lab companies in British Columbia collaborated to pool their lab test data in a system called “PathNET.” The …

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Hospital Association Studies Nurse & Lab Staffing Issues

WIDESPREAD PUBLICITY about the nursing shortage is not coincidence. The American Hospital Association (AHA) is making “staffing relief” a primary reason why the current Congress should increase reimbursement and provide funding for training and recruiting healthcare workers. A variety of studies have looked at nursing vacancies and changes to the total number of registered nurses in …

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Bio-Reference Labs, Sunquest, Beckman Coulter, Vysis

BIO-REFERENCE LABS REPORTS STRONG GROWTH IN REVENUE & EARNINGS LIKE MOST PUBLIC LAB COMPANIES, the financial news continues to be good at Bio-Reference Laboratories, Inc., based in Elmwood Park, NJ. For second quarter ending April 30, 2001, the lab reported revenues of $19.8 million, an increase of 22% over revenues of $16.3 million for same …

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“July 2, 2001 Intelligence: Late Breaking Lab News”

Late last week DIANON Systems, Inc. announced it had signed a definitive agreement to acquire UroCor, Inc., based in Oklahoma City. In recent years, the two companies have competed intensely for case referrals from urologists. Valued at $180 million, the deal is expected to close by the end of 2001, subject to approval by shareholders …

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