Bergen Brunswig Corp., Orange, Calif., has signed a five-year, $200 million contract to distribute both medical-surgical supplies and drugs to Northwestern Medical Corp., Chicago. Under the agreement, Bergen Brunswig will place two employees at Northwestern to direct materials management programs and drive cost-reduction efforts. The agreement includes financial incentives based on predetermined cost savings targets that were not disclosed.
American Oncology Resources, a Houston-based physician practice management company, is expected to buy more than $1 billion of drugs and supplies under a renewed five-year agreement with National Specialty Services, a subsidiary of Dublin, Ohio-based Cardinal Health. NSS also will develop software to forecast the needs of AOR's 251 physicians in 15 states.
Owens & Minor, a Richmond, Va.-based medical-surgical distributor, has entered an alliance with General Electric's Rockville, Md.-based information services division to develop an electronic commerce system called Value Network. The product offering will automate business transactions among providers, distributors and suppliers. It initially will focus on streamlining order management and purchasing compliance, the companies say.
Premier has signed a three-year, sole-source purchasing agreement covering radiographic cine film and related products with Agfa Medical, a Ridgefield Park, N.J.-based division of Bayer Corp. Separately, the national purchasing alliance said it has entered a three-year, dual-source purchasing agreement with Milwaukee-based Marquette Medical Systems for high-end patient monitoring equipment. Both agreements are effective April 1. Financial terms were not disclosed for either deal.