Archive: December 2001

NEW ORLEANS - If what Arnold Palmer did for the popularity of golf has legs beyond the links, the home medical equipment industry is about to become the beneficiary of a whole new level of recognition. At Medtrade, one of golf's most legendary figures, the man who brought legions to the game throughout the Fifties and Sixties as "foot soldiers" in Arnie's Army, kicked off his tenure as Invacare's worldwide spokesperson. Invacare plans to start filming its first TV spot with Palmer in January....

Research that quantifies the cost effectiveness of home-based sleep monitoring has resulted in some favorable attention for Palo Alto, Calif.-based Sleep Solutions, a development that company officials are hoping will propel remote apnea testing into the mainstream. In recognizing Sleep Solutions' recent clinical study that compares its home sleep monitoring system to a sleep lab polysomnogram, San Jose, Calif.-based research firm Frost & Sullivan named the company as the winner of its 2001 Market...

-� Florida provider Robert Slama on the state's decision to implement competitive bidding for medicaid. Go to story "We feel like we got kicked in the mouth." -� Provider Don Labbe on Electric Mobility's decision to no longer sell its popular rascal scooters through dealers. Go to story People PROVIDERS Home Care Medical in New Berlin, Wisconsin has hired Paula Carlo as director of sales and business development. She will be responsible for researching, formulating and implementing...

HARTFORD, Conn. - Aetna U.S. Healthcare is slashing 6,000 jobs, or 16% of its work force, saying it did not need as many employees given lower membership levels and the com-pany's withdrawal from certain markets. CEO John Rowe blamed the downsizing on the company's withdrawal from certain Medicare and HMO markets and a decrease in membership levels due to a rising cost of coverage that better reflects the increasing cost of medical care. In December 2000, Aetna undertook a similar restructuring,...

ALEXANDRIA, Va. - It's been a good year for sales representatives for medical products distributors. They've watched their salaries increase 28%, according to a survey recently released by the Health Industry Distributors Association (HIDA). The "2001-2002 Compensation and Benefits Survey" also noted a 15% increase in salaries for sales managers. Top employee benefits included medical and dental insurance, employee discounts, education assistance, and retirement programs. The survey was conducted...

SNFing out coverage for DME WITH NANCY BURMA Q. How can a supplier tell if the patient's residence is a skilled or intermediate care facility, or other classification where DME might or might not be covered? A. This is one of the toughest areas for an HME supplier to receive a clear-cut answer. According to Medicare definition, a Skilled Nursing Facility is a "facility which primarily provides inpatient skilled nursing care and related services to patients who require medical nursing, or rehabilitative...

MOBILE, Ala. -� Richard Powell, a pioneer in the distribution of nebulizer medications to the home healthcare market, was sentenced to one year and a day in a minimum security federal prison for his role in a scheme to defraud Boehringer Ingelheim Pharmaceutical in 1997 and 1998 (See HME News story, Aug. 15, 2001). Respiratory Druggist, Inc., a mail order pharmacy founded by Powell, was also sentenced to five years probation, which effectively puts the company out of business. Additionally,...

WASHINTON - The DMERCs have recently been taking closer and harder looks behind CMNs because they feel suppliers have compromised the certificates and are intentionally trying to affect the demand for equipment like power wheelchairs, a healthcare attorney is warning. Tom Antone, who spoke of the trend during a seminar at Medtrade, said not only are the DMERCs requesting additional information, such as physician chart notes, from suppliers, they're also asking for that information directly from...

Battling higher DSOs WITH MIKE ECCLES Q. I have read a lot about higher DSOs in some recent manufacturer press releases. How will this number affect my ability to receive favorable payment terms? A. This year has been a slow year for all aspects of business. Equipment vendors have been reporting higher DSOs in recent press articles. Days Sales Outstanding (DSO) is an important financial indicator showing both the age, in terms of days, of a company's accounts receivable and the average time it...

ALEXANDRIA, Va. - Furthering an initiative to forge a unified voice for home care on Capitol Hill, the field of major assocations representing home care dropped from four to three Jan. 2 when the American Home Care Association (AHCA) merged into the American Association for Homecare (AAH). "We think that what we're annoucing is a great milestone," said AAH Chair David Savitsky. "The more consolidated our voice, the more representation behind us, the greater the opportunity to influence legislation...