In brief: Purchasing group buys MED Group, Rotech reports earnings
LUBBOCK, Texas - Managed Health Care Associates (MHA), one of the largest alternate site group purchasing organizations (GPO) in the country, has acquired The MED Group. As part of the deal, MED CEO Bill Elliott will resign but remain on as a consultant to assist with the transition. All other members of MED's management team will join MHA, according to a Nov. 12 press release. MED includes 365 independent HME providers. The deal allows MHA to expand into a new market. "Aligning with MHA will allow MED Group to further expand its model and to make additional investments in business solutions," Elliott stated in the release. "We are certain this will be very positive for MED customers, employees and business partners."
More refinancing for Rotech?
ORLANDO, Fla. - Now that Rotech Healthcare has refinanced its senior debt successfully, the provider wants to refinance its subordinated debt "as soon as possible," it stated in a release last week on its third quarter earnings. Rotech in October completed the sale of $230 million in senior secured notes at 10.75%, refinancing its $225 million in senior debt due Sept. 26, 2011. But the provider also has $287 million in subordinate debt due April 1, 2012. Highlights from Rotech's earnings for the quarter ended Sept. 30, 2010, compared to the same period last year include: 8% growth in "revenue generating patients in the core product lines of oxygen and CPAP," and adjusted EBITDA of $28.2 million vs. $22.7 million. Adjusted EBITDA was $82.5 million for the nine months ended Sept. 30, 2010, up from $66 million for the same period last year.
NRRTS finalizes CELA program
TRINIDAD, Colo. - NRRTS has finalized the program for CELA 2011. The Continuing Education and Legislative Advocacy conference, Feb. 16-18, at the Hyatt Regency Hotel-Crystal City in Arlington, Va., will feature a keynote address on "perspectives on complex rehab in healthcare reform in the new Congress" by Jennifer Higgins of Capitol Health Group. The conference also features separate clinical and business tracks. For more information, go to www.nrrts.org and click on "CELA Program Info."
New releases: Fact sheets on NCB, FAQ on power wheelchairs
BALTIMORE - CMS posted three new facts sheets to www.dmecompetitivebid.com last week. They address competitive bidding issues related to non-contract suppliers, mail-order diabetes supplies and enteral nutrients. To read the fact sheets, go to http://www.cignagovernmentservices.com/partb/pubs/news/2010/1110/cope132... published an FAQ on power wheelchair rentals last week. The FAQ addresses the elimination of the first-month purchase option for standard power wheelchairs effective Jan. 1, 2011. To read the FAQ, go to http://www.cignagovernmentservices.com/jc/help/faqs/current/cope13253.html.
Permobil moves into new digs
LEBANON, Tenn. - Permobil has moved its North American headquarters into a new 120,000-square-foot facility here, the company announced last week. In addition to manufacturing innovations, the new location incorporates a variety of green-building technologies that help conserve energy and reduce overall operating costs, including low-flow fixtures and 90 skylights
CMS schedules next Open Door
BALTIMORE - CMS has scheduled its next Open Door Forum for DME for Dec. 1 at 2 p.m. EST. To participate, call 800-837-1935. Use the ID 24747689.