Medical providers plan expansions

May 11, 1994|By Patricia Meisol | Patricia Meisol,Sun Staff Writer

Integrated Health Services Inc. plans to expand in Florida with at least a dozen of its new "post-acute systems," which provide care for patients after they are released from hospitals and nursing homes, Chairman Robert N. Elkins told investors and stock analysts yesterday.

The systems would provide medical care -- including rehabilitation and home health services -- for up to a year after a patient is released.

The Owings Mills company is one of the medical providers gathered in Baltimore this week for the annual Alex. Brown Inc. investment seminar that say they are expanding their lines of services to capture managed-care business.

"You can't be a stand-alone and survive," said Victor L. Campbell, senior vice president of the recently merged Columbia/HCA Healthcare Corp. After last year's merger of Louisville, Ky.-based Columbia Healthcare Corp. and Nashville, Tenn.-based HCA-Hospital Corp., Mr. Campbell said, the new company consolidated services and closed eight hospitals so that it could operate more efficiently -- crucial for cost-conscious managed-care firms. "We can be a better partner to JTC managed-care companies," he said.

Networking and expansion are occurring in virtually every segment of the health care industry:

* Silver Spring-based Manor Care Inc., third-largest nursing home operator in the country, is expanding its programs for Alzheimer patients who are less affected, with a new facility opening in Potomac this fall.

* Phycor Inc. of Nashville, Tenn., the nation's largest physician organization, said it is linking up with hospitals to offer package deals to managed-care companies.

* Drug maker SmithKline Beecham last week bought Diversified Pharmaceutical Services, a pharmacy benefit management firm that serves managed-care companies.

In the past, Integrated made its profits by providing high-level post-hospital care, or sub-acute care, inside its nursing homes. Last year it acquired pharmacy, rehabilitation and home health businesses so that it can expand into home care.

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