World's largest dialysis company
Fresenius Medical Care
) revealed an agreement with Heritage California ACO ("HCACO"),
an Accountable Care Organization affiliated to Heritage Provider
Network, to provide composite health management for HCACO
enrollees suffering from End Stage Renal Disease. The
understanding is along the lines of a population health program
under which Fresenius Medical Care will strive to enhance
outcomes and curtail cost of care.
Dialysis sustains life by removing surplus fluids and
cleansing waste material from the blood stream when a patient's
kidneys stop functioning.
The population health initiative is tailored after the 5-year
model project conducted by Fresenius Health Partners (subsidiary
of Fresenius Medical Care) on Medicare enrollees supported by
dialysis. The project, completed in December 2010, was conducted
with Centers for Medicare & Medicaid Services ("CMS").
Benefits from the project include lower health care costs,
reduced mortality and a fall in hospitalizations.
Heritage California ACO has an affiliation with the Heritage
Provider Network group of entities. Heritage Provider
Network provides health care to more than 700,000 persons. It
operates in eight counties of California, New York and
Fresenius is the largest provider of products and services for
patients undergoing dialysis treatment. The company's principal
competitor in the U.S. is
), which provides dialysis services for patients suffering from
chronic kidney failure or end stage renal disease. Fresenius also
) in certain niches such as peritoneal dialysis products.
The company continues to register strong operating results in
the North American as well as overseas markets. The integration
of acquisitions is also expected to be accretive to Fresenius'
earnings in the near term. However, the contagion of lingering
economic problems in Europe remains a matter of concern.
The stock carries a Zacks Rank #3 (Hold).
) carries a Zacks Rank #1 (Strong Buy) and is expected to do
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