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Volume X No. 15 - November 10, 2003

Supply and Demand for Lab Services and Pathologists

Commentary and Opinion by R. Lewis Dark / By

IT SEEMS THE LABORATORY INDUSTRY HAS MANAGED to beat back the proposed 20% patient co-payment for Medicare Part B laboratory testing services. Kudos to the hard-working laboratorians and their lobbyists who devoted money and time to oppose this proposal. But the news remains glum. Word is that lawmakers are considering a ten-year freeze on cost-of-living …

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HPV Test Volume Grows With Payer Acceptance

The Dark Report / By

CEO SUMMARY: Because cervical cancer screening involves more than 55 million Pap tests per year in the United States, it is a high-profile segment of the lab testing industry. HPV testing is making steady inroads into the cervical cancer screening process. Digene Corporation is the direct beneficiary of this, but Cytyc Corporation and TriPath Imaging …

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Tamtron Plans Comeback After IMPATH’s Chapt. 11

The Dark Report / By

CEO SUMMARY: It was only 21 months ago that IMPATH acquired Tamtron. Both companies had high expectations for the relationship. But with IMPATH now in Chapter 11 bankruptcy and facing an unclear future, Tamtron is now an attractive asset for potential buyers who want to enter the anatomic pathology marketplace with an established product like …

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Specialty Laboratories, Enterix, Medicare, Blue Cross/Blue Shield Association

Late Breaking Lab News / By

SPECIALTY LABORATORIES REPORTS THIRD QUARTER FINANCIAL PERFORMANCE THIRD QUARTER FINANCIAL REPORTS for Specialty Laboratories, Inc. show that the company is returning to a more normal routine, following the two unusual and unrelated events which hit it during 2002. Specialty Labs reported net revenue of $29.9 million for third quarter 2003. This is a decline of …

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Market Demand for Pathologists Shifts Toward Specialization

The Dark Report / By

CEO SUMMARY: Unlike the slack employment market for pathologists seen during the 1990s, there is strong demand for pathologists in this decade. Private pathology group practices now face competition for the best pathology talent. That’s because public lab companies are regularly in the marketplace looking to hire pathologists with the right subspecialty skills and expertise. …

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Bio-Reference Labs An Example Of How Regional Labs Can Grow

The Dark Report / By

IT’ S QUARTERLY EARNINGS TIME, which makes it possible to evaluate trends in the laboratory services marketplace by looking at the performance of public laboratory companies. Because of their large size and market dominance, the two national laboratory companies are closely watched to see how they have reacted to marketplace issues during the previous quarter. …

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Mergers Create Two Huge National Health Insurers

The Dark Report / By

ANOTHER ROUND OF CONSOLIDATION among health insurers has created a new “biggest in the nation” company and boosted the size of the second largest health insurance company. On October 28, in separate announcements that were just 30 minutes apart, Anthem Inc. disclosed it would pay $14.2 billion to acquire WellPoint Health Networks Inc. and United …

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“November 10, 2003 Intelligence: Late Breaking Lab News”

Late Breaking Lab News / By

Has the disappearance of much despised closed panel HMOs eased the financial woes of physicians? Apparently not, according to a recent study. Medical groups are losing money. Nationwide, the average loss-per-physician by medical groups was $3,977. In the 2003 survey, 25,784 physicians responded, a 26% increase from 2002. The study was conducted jointly by the …

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