Tougher times in the clinical lab testing market have claimed another lab company. On February 28, Artherotech, Inc., posted a notice on its website stating that it had closed permanently, as of that date. Along with its several hundred employees, Artherotech’s closure caught many lab executives by surprise. Founded in 1994, during the heyday of closed-panel HMOs, the Birmingham, Alabama-based lab company had weathered more than two decades of tough market conditions. On its website, Artherotech stated that the closure “resulted from adverse changes in the regulatory environment, increased pressure from commercial insurance payers, and continued compression of profit margins.”
MORE ON: Artherotech
Artherotech’s cholesterol test, the VAP+ Lipid Panel, was generally considered to be a successful assay. In 2011, Artherotech was acquired by Berman Capital, a private equity company that had previously held ownership positions in such lab companies as Esoterix, Inc., and Athena Diagnostics. Financial analyst Dan Primack wrote that, at the time Berman Capital bought Atherotech, it had annual revenue of $30 million. That increased to $120 million within a few years. There may not be much for a Chapter 7 bankruptcy, as Primack noted that Artherotech’s proprietary cholesterol test is licensed from the University of Alabama. In a bankruptcy action, that license would revert back the university.
LIFELABS TO CLOSE 15 PATIENT CENTERS
In the Province of Ontario, Canada, LifeLabs announced that it would close 15 patient service centers and reduce hours at 53 other collection sites. Company officials said it was an “effort to cope with mounting costs, cutbacks in government funds, and a higher volume of patients.”
- Gregory D. Clark, PhD, is the new President and CEO of LABS, Inc., of Centennial, Colorado. Clark has held executive positions at PAML, Baylor Healthcare System, Westcliff Medical Labs, Oregon Medical Labs, and also at Quest Diagnostics Incorporated.
- Laboratory Alliance of Central New York, LLC, of Syracuse, New York, named Michael W. Graber, MD, as its new Medical Director. Graber is currently employed by Onandaga Hill Pathology PC, and is a staff pathologist at Upstate University Hospital.
Have you caught the latest e-briefings from DARK Daily? If so, then you’d know that…
…the LIS in an Australian hospital laboratory was infected with a virus that shut down all lab IT functions, requiring work to be done with paper and pencil. The computer was running Windows XP, which Microsoft no longer supports.
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That’s all the insider intelligence for this report. Look for the next briefing on Monday, April 11, 2016.
SPECIAL SESSION – Using Lab Test Data to Add Value for Physicians, Patients and Payers
TriCore’s Early Successes at Advancing Clinical Care and Improving Patient Outcomes with Enriched Clinical Intelligence
Bill Baker – Chief Information Officer, Tricore Reference Lab
In a world of healthcare big data and population management, can a laboratory transform itself into a “Diagnostic Health Exchange?” That is the strategy at Tricore Reference Laboratories in Albuquerque, New Mexico.
Bill Baker will advance the Tricore story, sharing current success. It was at last year’s Executive War College when Tricore CEO Khosrow Shotobani captured the audience by demonstrating how Tricore was already combining lab test data with other clinical data sets to deliver early alerts to physicians about which respiratory diseases were showing up in their communities and how Tricore was helping payers identify new beneficiaries with chronic conditions that might otherwise go undiagnosed or untreated.
You’ll learn how Tricore is using advanced analytics to crunch clinical data in real time and deliver more value to improve patient outcomes and reduce the cost of care. Act today to guarantee your place!
Conference on Laboratory & Pathology Management
April 26-27, 2016 • Sheraton Hotel • New Orleans, LA
Lean Makeover of Patient Service Centers Reduces Wait Times and Number of PSCs
How Pathology Group and Community Hospital Collaborated to Score Big AP Outreach Success
Why the Latest Generation of Molecular Analyzers Radically Changes a Lab’s ‘Make or Buy’ Decision