Providence Creates Clinical Lab Services Company

Providence Health & Services, California, is teaming with a Washington-based commercial laboratory company to create a new clinical laboratory service company that will serve the San Fernando Valley. The business agreement is with Pathology Associates Medical Laboratories, LLC, which is largely owned by Providence Health & Services. The newly formed California Laboratory Associates will begin business early next year and will eventually provide laboratory services throughout Southern California. California Laboratory Associates will perform laboratory work for medical practices and hospitals using the newly remodeled state-of-the-art laboratory at Providence St. Joseph Medical Center. The new business will also use the Washington company’s laboratory, where more specialized testing will be conducted. “The agreement offers us a strategic opportunity to expand our outreach laboratory business and to create the premier hospital-based outreach laboratory program in the Greater Valley Area,” said Barry Wolfman, CEO of Providence St. Joseph Medical Center. The partnership is also expected to reduce testing costs and expand the tests offered at the Burbank medical center. The nonprofit organization and out-of-state company have collaborated in similar ventures in Washington, Idaho and Utah. About 90 percent of the testing completed by California Laboratory Associates will be performed in California. Jessica Selva