FLAGSTAFF, Ariz.-Flagstaff Medical Center and Marcus J. Lawrence Medical Center in Cottonwood, Ariz., have signed a letter of intent to merge their facilities, hospital executives said. Financial details of the agreement weren't released. No layoffs are expected from the merger, executives said. Flagstaff Medical Center employs 1,000, while Marcus J. Lawrence has 340 employees. In January 1993, the two hospitals announced plans to build new medical centers in Sedona, Ariz., each with cancer centers and emergency facilities. To avoid duplicating services, Flagstaff modified its plans so it wouldn't compete with Marcus J. Lawrence's plans. The merger is the next step in their affiliation, executives said.
CYPRESS, Calif.-PacifiCare of California is launching a statewide PPO this month consisting of 25,000 physicians and 250 hospitals. It will offer discounted premium rates of up to 15% for group enrollees. Jeff Folick, president of PacifiCare of California, a subsidiary of PacifiCare Health Systems, said the expanded managed-care offering is part of the company's plan to provide a full range of employee health benefits. Publicly held PacifiCare operates an HMO, various specialty HMO products and an independent affiliate, PacifiCare Life and Health, which will serve as the PPO's underwriter. The PPO will be offered as a "stand-alone" product and as part of PacifiCare's multi-option health plans. PacifiCare Health Systems serves 1.1 million managed-care enrollees in six states.
PASADENA, Calif.-HealthCare Partners Medical Group, formed last year by the merger of Los Angeles-based California Primary Care Physicians and South Pasadena-based Huntington Medical Group, has acquired Torrance, Calif.-based Bay Shores Medical Group. Terms of the deal weren't disclosed. Executives of both organizations said the relationship will help expand the geographic reach and patient base of the newly combined medical group practice. HealthCare Partners is a 150-physician multispecialty group with 20 medical offices serving Los Angeles and the San Gabriel Valley. Bay Shores is a 75-physician multispecialty group operating eight sites in the South Bay area of Los Angeles. Together, HealthPartners and Bay Shores will provide medical care to 128,000 enrollees in prepaid healthcare plans.