News, Analysis, Trends, Management Innovations for
Clinical Laboratories and Pathology Groups

Hosted by Robert Michel

News, Analysis, Trends, Management Innovations for
Clinical Laboratories and Pathology Groups

Hosted by Robert Michel
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PAML & Providence Health Announce Clinical Pathology Laboratory Joint Venture in California

Hospital lab—commercial medical laboratory collaboration will launch in San Fernando Valley


Yesterday, Pathology Associates Medical Laboratories (PAML) announced a new clinical pathology laboratory joint venture (JV) that is likely to create a tough new laboratory competitor in Southern California.

Spokane, Washington-based PAML and Renton, Washington-based Providence Health & Services will create a new medical laboratory services company to serve California’s San Fernando Valley and its surrounding communities. The new company will begin operating early in 2011 and will be called California Laboratory Associates (CLA), LLC. CLA will provide routine laboratory testing services to medical practices and hospitals from the recently remodeled labs at Providence Saint Joseph Medical Center in Burbank, and more specialized reference and esoteric testing from PAML’s laboratory in Washington.

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PAML Has New Owner as Catholic Health Initiatives Buys a Stake

Deal with Providence Health gives PAML access to 78 CHI hospitals in 20 states

Yesterday it was announced that Pathology Associates Medical Laboratories (PAML) of Spokane, Washington, has a new equity partner. In a joint release, Catholic Health Initiatives (CHI) and Providence Health & Services acknowledged a “definitive agreement in which CHI will assume a 25% equity position” in PAML.

This is a significant development in the laboratory testing industry. It provides PAML with easier access to the capital it needs to sustain ongoing growth. The new agreement also positions PAML as a preferred partner to develop laboratory outreach joint ventures with hospitals owned by CHI, which is the second largest catholic-owned health system in the United States.

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