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Saturday, January 11, 2020

Program meant to curb repeat hospital stays fails big test

Researchers thought they had a way to keep hard-to-treat patients from constantly returning to the hospital and racking up big medical bills. Health workers visited homes, went along to doctor appointments, made sure medicines were available and tackled social problems including homelessness, addiction and mental health issues.
Readmissions seemed to drop. The program looked so promising that the federal government and the MacArthur Foundation gave big bucks to expand it beyond Camden, New Jersey, where it started.
But a more robust study released Wednesday revealed it was a stunning failure on its main goal: Readmission rates did decline, but by the same amount as for a comparison group of similar patients not in the costly program.
“There’s real concern that the response to this would be to just throw up our arms” and say nothing can be done to help these so-called frequent fliers of the medical system, said study leader Amy Finkelstein.
Instead, researchers need to seek better solutions and test them as rigorously as new drugs, said Finkelstein, of the Massachusetts Institute of Technology and the National Bureau of Economic Research.
Federal grants and research groups at MIT paid for the study, which was published in the New England Journal of Medicine.
Just 5% of the U.S. population accounts for half of healthcare spending, and hospitalization is a big part.
A decade ago, Dr. Jeff Brenner started working with hospitals in Camden, a city with high poverty and crime rates, to identify people who go to hospitals frequently and target them with special services. He won a MacArthur genius grant for the work, and federal grants expanded the program to Aurora, Colorado; Kansas City, Missouri; Allentown, Pennsylvania; and San Diego. The government also paid for a study to see if it truly worked.
The study enrolled 800 hospitalized Camden patients with at least two other admissions in the previous six months and at least two of these conditions: homelessness, drug use, a mental health problem, trouble accessing services, lack of social support or use of five or more medicines.
Half were given usual care when they left the hospital. The rest were enrolled in Brenner’s program with nurses, social workers and others coordinating their care for three months. Patients received seven to eight home visits and nine phone calls on average. The effort cost about $5,000 per patient.
Six months later, the readmission rate was 62% in both groups, and there was no difference in total healthcare spending.
Researchers don’t know what usual care was for the comparison group. If that suddenly improved, it could explain why the program failed to prove better.
However, two key goals of the program — a home visit and a trip to a health provider within a week of leaving the hospital — were met for only 28% of participants. Homelessness and lack of a telephone were big reasons, and the program more recently has worked harder to get people into stable housing.
“If you’re in a shelter or on the streets, it’s just not easy to help and that sometimes leads to more hospitalizations,” said the Camden project’s leader, Kathleen Noonan.
Three months of help also wasn’t enough, and there weren’t enough places to get help for mental health or substance abuse problems, she added.
“We’ve evolved a lot” since the program began, said Brenner, who now is an executive working on similar programs at the insurance company UnitedHealthcare.
“The system is good at delivering care if you’re an average patient on an average day,” but not for, say, a homeless person in a wheelchair who is disoriented, Brenner said. “These patients have complex problems. If you don’t meet their needs, they’ll keep going to the hospital.”
The program was “clearly done with the best of intentions” and still may have provided useful care to the people who received it even though it didn’t reduce readmissions, said Dr. Aaron Kesselheim, a Harvard Medical School health policy expert who had no role in the work. Problems like readmission are much more complicated than they appear to be, he said.

Ambulatory sector buoys healthcare job growth amid skilled-nursing downsizing

The ambulatory sector fueled healthcare job growth in December, accounting for two-thirds of the expansion.
The ambulatory sector grew by 23,100 jobs while hospitals added 8,800 positions and senior care facilities brought on 2,600 employees, according to preliminary data from the U.S. Bureau of Labor Statistics’ most recent jobs report. But skilled-nursing facilities continued to downsize, shedding 6,700 jobs as the sector adjusts to a new payment model. Thousands of therapists have been laid off over the past year.
Overall, the healthcare industry expanded by 28,100 jobs in December, down from 45,200 in November.
Outpatient care centers added 7,300 jobs, doctor’s offices added 5,400, other health practitioners added 4,900 and home health added 3,900. Employment at dentist’s offices, labs, residential mental health facilities, other residential care facilities and other ambulatory services held relatively steady.
In 2019, the healthcare industry added 399,000 jobs, up 14% from 2018.
The unemployment rate remained at 3.5% in December. Across all sectors, average hourly earnings only increased by 2.9% in 2019 as inflation hovers around 2%.

CVS, Mayo, Tenet among healthcare companies to watch at #JPM20

J.P. Morgan will kick off its 38th annual healthcare conference in San Francisco on Monday, attracting some of the biggest names in healthcare across payers, providers, tech and biopharma.
It’s one of the most influential conferences of the year, bringing together a who’s who of healthcare executives, investors and regulators for three days. As many as 9,000 attendees across 450 public and private companies are expected to make an appearance, according to the investment bank.
This year is poised to bring its own set of political and legal risks as the country creeps closer to the presidential election and the legal threat to kill the ACA looms, potentially by the Supreme Court. Democratic challengers to President Donald Trump have made promises to overhaul the healthcare system to varying degrees, many of which would represent substantial upheaval for the industry.
Here are Healthcare Dive’s top companies to watch at #JPM20.
CVS Health: CVS has made big waves over the past year as the retail behemoth worked to integrate new payer asset Aetna, brought its wellness-focused HealthHUB locations into a handful of new markets and expanded its focus in prescription drug delivery and chronic care management.
The conglomerate continues to look for ways to capitalize on the overlap between Aetna and CVS’ retail hubs, which could guide it toward providing primary care. CEO Larry Marlo has said the company prefers to act as a “complement” to physicians. But analysts warn not to rule out such a move amid potential disruption from the likes of Amazon. And with CVS’ heft, raking in $63 billion in revenue in the third quarter of last year alone, there are few arenas out of its reach.
Intermountain Healthcare: Last year, the Utah-based health system made good on its promise to deliver generic drugs in low supply to hospitals through the country through its Civica Rx venture. Fed up with the high cost of drugs, Intermountain joined forces with other health systems to provide more predictable pricing and access to drugs for its member hospitals.
Civica Rx says 18 medications are now in production. With a willingness to disrupt the status quo, the question now becomes, what’s next for the venture and Intermountain?
Tenet Healthcare: The for-profit hospital operator has continued to trim its hospital portfolio and make key investments in specific service lines and outpatient services. Despite industry headwinds, Tenet reported admission gains for three consecutive quarters (a feat other for-profit operators logged, too).
During a call with investors in November, CEO Ron Rittenmeyer hinted the next move on strategy would likely be discussed at the JPM conference, noting his board had just finished a two-day strategy session.
Advocate Aurora Health and Bon Secours Mercy Health: The two nonprofit systems are on the heels of closing megamergers that created super regional systems. The deals come as evidence that mergers don’t increase quality or lower costs continues to mount. It will be interesting to hear whether these two talk about how they have benefited from the mergers and what’s next for them in terms of strategy and possible further consolidation.

Lyme Disease Vaccine Could Be Ready In 4 to 5 Years

Lyme disease is one of the fastest growing diseases in the northern hemisphere and this week’s announcement that pop star Justin Beiber had the diagnosis brought the tick-borne illness to the forefront of the news. For now, the main prevention lies in avoiding tick contact but one company, Valneva, is working fervently to develop what they believe will be the world’s first vaccine against Lyme’s disease.
Valneva’s has made a name for itself by developing vaccines for in-demand illnesses and now the biotech company has its eyes set on Lyme disease. Their Lyme disease vaccine prototype, VLA15 is currently in Phase 2 developments and is being tested on more than 800 people to measure both efficacy and safety. Although difficult to predict, Valneva’s CEO, Thomas Lingelbach told Forbes that he expected the vaccine to be completed in the next few years.
“Phase 2 will end in the middle of 2020. We expect this will enable us to enter the last clinical phase in mid-2021,” explained Lingelbach. “Depending on those results, we may be four to four and a half years away from the first potential Lyme disease vaccine.”
When completed, the vaccine will likely be administered in three doses, each a month apart. The initial vaccine is expected to last 6 seasons, referring to the time from spring to late summer when the ticks are active and therefore most likely to transfer the illness to humans. After six seasons, Lingelbach believes that boosters will be required, but will likely be needed to be administered every 2-3 seasons.
While Justin Beiber may have brought Lyme disease to the news this week, he is only one of a growing number of new diagnoses. Lyme disease is spread by ticks carrying the bacteria that cause the illness. The bacteria may pass to humans via a tick bite. For a number of reasons, ticks are spreading the disease to humans at higher rates than those in the past. However, according to Lingelbach, and many experts across the globe, climate change is one of the factors in this shift.
“Climate change has an impact on tick populations and the ticks are the main carrier of Lyme disease,” explained Lingelbach.
Typically Lyme disease peaks from spring to late summer, with most cases contracted during this time period. However, a warmer climate is extending the ticks’ peak period, thus extending the time in which they may pose a threat to human populations.
Lyme disease isn’t the only infectious disease that Valneva has its eye on curing. The biotech company is also in the midst of developing a vaccine for Chikungunya, a virus spread through mosquitoes that is particularly common in Africa, Asia and India, the Center for Disease Control and Prevention reports. There is currently no vaccine for Chikungunya, and Valneva also hopes to be the first to develop this drug as well. It may possibly be finished even sooner than a Lyme disease vaccine, Lingelbach explained.

CES: The Coolest AI

As seen at this week’s CES 2020 mega conference, the buzz for AI continues to be intense. Here are just a few comments from the attendees:
  • Nichole Jordan, who is Grant Thornton’s Central region managing partner: “From AI-powered agriculture equipment to emotion-sensing technology, walking the exhibit floors at CES drives home the fact that artificial intelligence is no longer a vision of the future. It is here today and is clearly going to be more integrated into our world going forward.”
  • Derek Kennedy, the Senior Partner and Global Technology Leader at Boston Consulting Group: “AI is increasingly playing a role in every intelligent product, such as upscaling video signals for an 8K TV as well as every business process, like predicting consumer demand for a new product.”
  • Houman Haghighi, the Business Development Partner at Menlo Ventures: “Voice, natural language and predictive actions are continuing to become the new—and sometimes the only—user interface within the home, automobile, and workplace.”
So what were some of the stand out announcement at CES? Well, given that there were over 4,500 exhibitors, this is a tough question to answer. But here are some innovations that certainly do show the power of AI:
Prosthetics: Using AI along with EMG technology, BrainCo has built a prosthetic arm that learns. In fact, it can allow for people to play a piano or even do calligraphy.
“This is an electronic device that allows you to control the movements of an artificial arm with the power of thought alone,” said Max Babych, who is the CEO of SpdLoad.
Today In: Small Business
The cost for the prosthetic is quite affordable at about $10,000 (this is compared to about $100,000 for alternatives).
SelfieType: One of the nagging frictions of smartphones is the keyboard. But Samsung has a solution: SelfieType. It leverages cameras and AI to create a virtual keyboard on a surface (such as a table) that learns from hand movements.
“This was my favorite and simplest AI use case at CES,” said R. Mordecai, who is the Head of Innovation and Partnerships at INNOCEAN USA. “I wish I had it for the flight home so I could type this on the plane tray.”
Lululab’s Lumine: This is a smart mirror that is for skin care. Lumine uses deep learning to analyze six categories–wrinkles, pigment, redness, pores, sebum and trouble–and then recommends products to help.
Whisk: This is powered by AI to scan the contents of your fridge so as to think up creative dishes to cook (it is based research from over 100 nutritionists, food scientists, engineers and retailers). Not only does this technology allow for a much better experience, but should help reduce food waste. Keep in mind that the average person throws away 238 pounds of food every year.
Wiser: Developed by Schneider Electric, this is a small device that you install in your home’s circuit breaker box. With the use of machine learning, you can get real-time monitoring of usage by appliance, which can lead to money savings and optimization for a solar system.
Vital Signs Monitoring: The Binah.ai app analyzes a person’s face to get medical-grade insights, such as oxygen saturation, respiration rate, heart rate variability and mental stress. The company also plans to add monitoring for hemoglobin levels and blood pressure.
Neon: This is a virtual assistant that looks like a real person, who can engage in intelligent conversation and show emotion. While still in the early stages, the technology is actually kind of scary. The creator of Neon–which is Samsung-backed Star Labs—thinks that it will replace doctors, lawyers and other white collar professionals. No doubt, this appears to be a recipe for wide-scale unemployment, not to mention a way to unleash a torrent of deepfakes!

One Medical is racing to an IPO - see the healthcare startup's data

One Medical ($ONEMEDICAL), the Alphabet-backed startup that runs tech-enabled primary care clinics, is racing toward an IPO and 2020 looks like a continuation of 2019 with a slew of disruptive tech initial public offerings arriving on public markets to scale up and achieve profitability with a huge dose of new investor capital.

One Medical is hot on the heels of other big startups like TopGolf that weren't so eager to try to end 2019 with an initial public offering in light of the fact that so many startups were falling out of favor with investors. One Medical job postings, shown in our first chart, are up 65% over the last year, a signal that the San Francisco-based startup is carrying a solid growth trajector into its IPO, expected for the Nasdaq.

Headcount is soaring at One Medical - the healthcare startup grew staff about 35% across most of 2019, according to its LinkedIn ($NASDAQ:MSFT) Employee Headcount.
One Medical has operations in nine US cities, with plans to approach more markets in the near future, according to its filing. And, according to the filing, it's expanding into "enterprise" relationships with companies like Google, and Carlyle Group (see its S-1, on P. 170).

Facebook ($NASDAQ:FB) Likes are one area where One Medical has seen a decline - something that is potentially worrisome given its expansion into new markets. It's not a steep decline - just 1.6% since 2018 - but it's a signal that some consumers that once liked One Medical, actively went through the process of going to its Facebook page and disengaging with the brand.
And, while that might be worrisome for a clothing retailer or a theme park, chances are, if you went to One Medical, you weren't expecting to have an awesome day to begin with.

About the Data:

Thinknum tracks companies using the information they post online - jobs, social and web traffic, product sales and app ratings - and creates data sets that measure factors like hiring, revenue and foot traffic. Data sets may not be fully comprehensive (they only account for what is available on the web), but they can be used to gauge performance factors like staffing and sales.
https://media.thinknum.com/articles/one-medical-is-racing-to-an-ipo-see-the-healthcare-startups-data/#

Cambrex Announces Management Changes and Board Appointments

Cambrex Corporation, the leading small molecule company providing drug substance, drug product and analytical services across the entire drug lifecycle, today announced changes to its management team and Board of Directors to accelerate growth and further operational excellence, building upon its trusted reputation for the highest quality pharmaceutical development and manufacturing capabilities.
The following appointments and new positions are effective immediately.
  • Robert Green has been named Executive Vice President and Chief Financial Officer, succeeding Gregory Sargen, who will depart the company on January 31. Mr. Green joins from General Electric Corporation, where he began his career in 1990 and was most recently CFO of GE Power, a global business unit with $35 billion in revenue operating in 180 countries. In his tenure at GE, Robert served as CFO for eight global business units, including as CFO of GE Healthcare Bio-Sciences, a leading medical diagnostic and life sciences products company.
  • Shawn Cavanagh has been promoted to President and Chief Operating Officer, and will join the Company’s Board of Directors. Shawn has served as EVP and Chief Operating Officer of Cambrex since 2011, having originally joined in 1999, and has been instrumental to the company’s long-term growth and strategic development.
  • Stephan Haitz has been promoted to President, CDMO Sales & Marketing. Mr. Haitz joined Cambrex in 2014 and has served as Vice President, Sales & Business Development. Stephan previously held various sales and business development roles at Lonza and Solvias AG.
The Company’s Board of Directors will now be comprised of Chairman Wayne Hewett, CEO Steven Klosk, President Shawn Cavanagh, Claes Glassell, who will be rejoining the Board, Permira Partners John Coyle and Henry Minello and Permira Principal Laura O’Donnell.
Steven Klosk, CEO of Cambrex, said, “I’m proud of the depth and experience of our talented team, which is reflected in the quality of individuals transitioning to these leadership roles. We are well-positioned for continued growth in the market given our best-in-class assets, broad product capabilities and customer reputation. I’m thrilled to be working with this group of individuals and look forward to the strong future ahead.”
Wayne Hewett, Chairman of the Board, said, “I am incredibly honored to serve as Chairman during this inflection point in Cambrex’s history. The management team and Board have a remarkable combination of healthcare leadership experience and operational expertise and, following the Permira funds’ investment, are well-positioned to support Cambrex’s growth and expanded product offering to better serve leading pharmaceutical companies around the world.”
Mr. Hewett added, “We are especially fortunate that we will continue to have the expertise and leadership of Claes Glassell on our Board. He is a well-respected industry veteran in life sciences and has already been an invaluable resource to the Board and management team of Cambrex for several years.”
Mr. Hewett concluded, “We would like to welcome Robert to Cambrex and are excited to add someone of Robert’s caliber and experience to the senior team. On behalf of the Cambrex Board, management and employees, I would like to thank Greg Sargen for 17 years of service to Cambrex. He has had a tremendously positive impact on the company. We wish him all the best.”
Henry Minello, Permira Partner, said, “We have long admired Cambrex for its excellent reputation for the highest quality products and services from clinical phase development and manufacturing through commercial production. Cambrex is one of a small group of top-tier players that can provide the full suite of services for pharmaceutical customers. With these important management additions and promotions completed, we are excited to be backing a talented senior team to drive growth and meet the ever-expanding needs of the marketplace.”