Editor’s note: The following news has been compiled by Major Accounts Exchange (The MAX), health care’s leading provider of real-world intelligence for the supply chain. The MAX serves as a Supply Chain “Community” where senior-level executives can easily Find, Digest, and Act on vital business and market intelligence. For the latest news impacting the supply chains of over 1,200 IDNs and all the GPOs, visit http://www.uslifeline.com/
Oregon: Salem Health whittling down merger options
Seven larger healthcare organizations interested in a partnership or merger are courting Salem Health (Salem, Ore), according to reports. While Salem Health declined to identify its suitors, it has been suggested by inside sources that Legacy Health (Portland, Ore.) and Dignity Health (San Francisco, Calif.) have emerged as two very strong contenders. PeaceHealth (Bellevue, Wash.) acknowledged that although it is interested, it was not invited to enter into negotiations with Salem Health.
Maryland: Upper Chesapeake Health merges with University of Maryland Medical Systems
Upper Chesapeake Health System (UCHS) (Bel Air, Md.) completed its merger with University of Maryland Medical Systems Inc (UMMS) (Baltimore, Md.), ending a process that took four years to complete. Upper Chesapeake Health is now known as University of Maryland Upper Chesapeake Health, Harford Memorial Hospital (Havre de Grace, Md.) is now University of Maryland Harford Memorial Hospital, and Upper Chesapeake Medical Center (Bel Air, Md.) is University of Maryland Upper Chesapeake Medical Center. The hospitals will become subsidiaries of UMMS and will adopt the system-wide brand and colors of UMMS. Lyle Sheldon, president and CEO of UCHS, will serve as a member of the UMMS senior leadership team and will become an employee of UMMS. The merger is expected to help lower costs, improve quality, and deliver better long-term outcomes for patients and payers. Upper Chesapeake Health cited the need to expand medical services, recruit more physicians, gain access to capital to finance the hospital’s growth and expansion, and sustain corporate services as the primary factors behind the merger.
Nebraska: Hospitals to form provider network
Nine Nebraska hospitals and health systems signed a LOI to form a provider network designed to lower costs, improve care coordination, and offer an alternative to Catholic Health Initiatives’ (Englewood, CO) Alegent Creighton Health System (Omaha, NE). The nine hospitals include:
- Bryan Health (Lincoln, NE)
- Columbus Community Hospital (Columbus, NE)
- Faith Regional Health Services (Norfolk, NE)
- Fremont Area Medical Center (Fremont, NE)
- Great Plains Regional Medical Center (North Platte, NE)
- Mary Lanning Memorial HealthCare (Hastings, NE)
- Nebraska Medical Center (System) (Omaha, NE)
- Methodist Health System (Omaha, NE)
- Regional Health Services (Rapid City, SD)
Together, the organizations represent nearly half of all inpatient care in Nebraska, which will allow the group to negotiate better prices with insurers and suppliers.