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Medicare Sets Good Rates For Covid-19 Testing

Medicare Sets Good Rates For Covid-19 Testing

CMS has been very fair when establishing reimbursement rates for Covid-19tests in an effort to encourage widespread diagnostic and antibody testing.Furthermore, private health plans are required to cover both diagnostic and antibody testing without member cost-sharing...

LabCorp Reports First-Quarter Results

LabCorp Reports First-Quarter Results

LabCorp reported a net loss of $317.2 million for the three months ended March 31, 2020, down from net income of $185.6 million in the same period a year ago; revenue was up 1.2% to $2.824 billion. A summary of key topics discussed by CEO Adam Schechter and CFO Glenn...

The CARES Act — Not Much In It For Labs

The CARES Act — Not Much In It For Labs

The enormous $2 trillion Coronavirus Aid, Relief and Economic Security Act (CARES Act) was signed into law on March 27, but provides little in direct relief to the nation’s laboratories. The American Clinical Laboratory Assn. (ACLA) had lobbied for $5 billion in new...

Why Were Hospital Labs Excluded From The Initial PAMA Survey?

Why Were Hospital Labs Excluded From The Initial PAMA Survey?

A former CMS official involved in drafting the initial Medicare rules that determined which labs must report their private-payer pricing data to CMS for calculating Medicare CLFS rates says that PAMA was specifically designed to exclude hospital labs. This flies in...

Quest Reports Full-Year 2019 Financial Results

Quest Reports Full-Year 2019 Financial Results

Quest Diagnostics reported net income of $858 million for full-year 2019, up from $736 million in 2018. Quest’s overall revenue increased by 2.6% to $7.726 billion, with acquisitions contributing more than 2% to revenue growth. Quest’s average revenue per requisition...

Spotlight Interview with OmniPathology CEO Mohammad Kamal

Spotlight Interview with OmniPathology CEO Mohammad Kamal

OmniPathology (Pasadena, CA) was formed in 2009 with an initial focus on gastrointestinal pathology. The lab has 15 employees, five of whom are pathologists. Laboratory Economics recently spoke with Founder and CEO Mohammad Kamal, MD. What areas does Omni Pathology...

PAMA Reporting Period Delay Is Welcome News For Labs

PAMA Reporting Period Delay Is Welcome News For Labs

On December 20, President Trump signed into law a spending package that included provisions of The LAB Act. The legislation delays the PAMAprivate-payer data reporting schedule by one year, in order to give more time for all labs, especially hospital outreach labs, to...

Shareholder Vote To Decide Enzo’s Fate

Shareholder Vote To Decide Enzo’s Fate

The activist hedge fund manager Harbert Management Corp. (Birmingham, AL) is seeking to replace two board members at Enzo Biochem (New York City) with its own nominees. A shareholder vote at Enzo’s annual meeting on January 31 will decide the matter. Harbert has...

Enzo Hires Investment Bank Lazard

Enzo Hires Investment Bank Lazard

Enzo Biochem (New York City) has hired the investment bank Lazard to assist in “strategic relationships and new venture creation.” This news comes as Harbert Management Corp. (Birmingham, AL) has purchased a 12% equity stake in Enzo and nominated two new independent...

More Executive Changes At Labcorp’s Diagnostic Division

More Executive Changes At Labcorp’s Diagnostic Division

After only a few days in the position, LabCorp Diagnostics’ CEO John Ratliff has resigned to take a top executive position at an unnamed company. Ratliff, age 59, had become head of LabCorp’s diagnostic testing business effective November 1. He had formerly been CEO...

Top 25 Independent Nursing Home Labs

Top 25 Independent Nursing Home Labs

There are approximately 75 independent lab companies across the United States that are focused on the nursing home market. The table below lists the top 25 companies as measured by their volume of Part B services for G0471 in 2017 (the latest year of available data)....

Exagen Raises $58 Million From IPO

Exagen Inc. (Vista, CA) completed an IPO on September 23, raising gross proceeds of $58 million from the sale of 4.14 million shares at $14 per share. Net proceeds were approximately $54 million after deducting the underwriting discounts and commissions and other IPO...

Harbert Pushes For Change At Enzo

Harbert Pushes For Change At Enzo

Funds managed by Harbert Management Corp. (HMC-Birmingham, AL) have purchased an 11.8% equity stake in Enzo Biochem Inc. (New York City) and nominated two new independent directors—Fabian Blank and Peter Clemens—to Enzo’s board. Enzo currently has a fivemember board...

uBiome Headed For Chapter 7 Liquidation

uBiome Headed For Chapter 7 Liquidation

UBiome Inc. (San Francisco), which filed for Chapter 11 bankruptcy reorganization in early September, has moved to a liquidation under Chapter 7, after unsuccessful attempts to secure new loans or find a buyer. The company was founded in 2012 and had marketed its...

True Health Files For Chapter 11 Bankruptcy

True Health Diagnostics (Frisco, TX) filed for Chapter 11 bankruptcy protection on July 30, blaming CMS’s suspension of its Medicare payments since May 2017. In its bankruptcy filing, True Health said it had less than $50,000 of assets, and more than $100 million in...

ACLA Wins Appeals Court Decision; HHS Likely To Request Rehearing

ACLA Wins Appeals Court Decision; HHS Likely To Request Rehearing

On July 30, the U.S. Court of Appeals for the District of Columbia ruled in favor of the American Clinical Laboratory Assn. (ACLA) in its suit against the U.S. Department of Health and Human Services (HHS) regarding implementation of the Protecting Access to Medicare...

Top 20 Medi-Cal Laboratories

Top 20 Medi-Cal Laboratories

The largest Medi-Cal lab provider is The Genetic Disease Screening Program (GDSP) of the California Department of Health, which received $29.5 million of Medi-Cal FFS payments in calendar year 2018, according to the latest available data from DHCS. The Genetic Disease...

Latest Medi-Cal Private-Payer Payment Survey Underway

Latest Medi-Cal Private-Payer Payment Survey Underway

California’s Medi-Cal lab fee schedule has been pegged to private-payer rates since 2015. California’s Department of Health Care Services (DHCS) is currently in the midst of its fourth private-payer rate survey, which will be used to set Medi-Cal reimbursement rates...

LabCorp CEO Dave King To Retire

LabCorp CEO Dave King To Retire

LabCorp has announced that its CEO Dave King, age 62, will be retiring, effective October 31, 2019. Starting on November 1, King will become Executive Chairman of the Board through at least the end of 2020. He will also act as senior advisor to LabCorp’s new CEO, Adam...

When Will The EKRA Ban On Commission-Based Sales Reps Be Lifted?

When Will The EKRA Ban On Commission-Based Sales Reps Be Lifted?

As part of ongoing efforts to combat the nationwide opioid crisis, Congress enacted the SUPPORT for Patients and Communities Act (SUPPORT Act) effective October 24, 2018. As part of the SUPPORT Act, Congress enacted the Eliminating Kickbacks in Recovery Act of 2018...

What Kind Of Company Is 23andMe?

What Kind Of Company Is 23andMe?

A study led by researchers at the genetic testing lab company Invitae (SanFrancisco, CA) found that 23andMe’s direct-to-consumer BRCA test forhereditary breast cancer misses almost 90% of BRCA mutation carriers. 23andMe has been criticized for offering the test...

Redwood Toxicology Sold For 3.3x Revenue

Redwood Toxicology Sold For 3.3x Revenue

The investment firm American Capital Strategies (Bethesda, MD) has paid $79.5 million for a 67% stake in Redwood Toxicology Laboratory (Santa Rosa, CA). Redwood’s management team, including chief executive and founder Bob Mount, owns the remaining 33%. The deal, which...

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