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Why Lab Companies Buy Bankrupt Rural Hospitals

New twist on pass-through billing scheme targets small, financially-troubled facilities

CEO SUMMARY: Seeking the higher lab-test payment rates that insurers pay hospital labs, some lab testing companies are buying rural, financially-struggling hospitals in what may be the latest twist on the pass-through billing strategy that certain lab testing firms have found to be lucrative in recent years. Currently, two lab companies are seeking to buy …

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