Pittsburgh-based insurer Highmark filed amended paperwork for its pending acquisition of West Penn Allegheny Health System last week, noting its new CEO, contract extension with UPMC and other business changes, according to a Pittsburgh Post-Gazette report.
Highmark and WPAHS hope the acquisition will be approved by the state before year's end. The payor submitted an updated Form A, the title of the document it originally submitted for the pending acquisition, to the state Insurance Department. It also released its quarterly statement. The following amendments from its original November 2011 Form A were noted:
• William Winkenwerder Jr., is slated to begin work today as Highmark president and CEO. He replaced Kenneth Melani, MD, who was fired in April.
• In October 2011, Highmark entered an agreement for 50-50 joint venture with WPAHS to own and operate its core laboratory facility. That agreement was terminated in February 2012.
• Highmark sold its interest in Medicare processing unit Highmark Medicare Services to Diversified Service Operations in January for $8.62 million in cash as well as a distribution of capital and earnings received from HMS of $27.4 million in cash and receivables, according to the report. Financial terms of the deal were previously undisclosed.
• The updated form says Highmark's contract extension with UPMC through Dec. 31, 2014, will not change the payor's pending acquisition of WPAHS or its strategic vision.
• Effective in 2012, Highmark became the sole member of Blue Cross Blue Shield of Delaware, changing its name to Highmark BCBSD.
Highmark Names William Winkenwerder Jr., as CEO
Payor-Provider Integration: Anatomy of the Highmark-West Penn Deal
Highmark and WPAHS hope the acquisition will be approved by the state before year's end. The payor submitted an updated Form A, the title of the document it originally submitted for the pending acquisition, to the state Insurance Department. It also released its quarterly statement. The following amendments from its original November 2011 Form A were noted:
• William Winkenwerder Jr., is slated to begin work today as Highmark president and CEO. He replaced Kenneth Melani, MD, who was fired in April.
• In October 2011, Highmark entered an agreement for 50-50 joint venture with WPAHS to own and operate its core laboratory facility. That agreement was terminated in February 2012.
• Highmark sold its interest in Medicare processing unit Highmark Medicare Services to Diversified Service Operations in January for $8.62 million in cash as well as a distribution of capital and earnings received from HMS of $27.4 million in cash and receivables, according to the report. Financial terms of the deal were previously undisclosed.
• The updated form says Highmark's contract extension with UPMC through Dec. 31, 2014, will not change the payor's pending acquisition of WPAHS or its strategic vision.
• Effective in 2012, Highmark became the sole member of Blue Cross Blue Shield of Delaware, changing its name to Highmark BCBSD.
More Articles on Highmark and West Penn Allegheny Health:
Highmark Alters Pay-for-Performance Program to Emphasize Readmission PreventionHighmark Names William Winkenwerder Jr., as CEO
Payor-Provider Integration: Anatomy of the Highmark-West Penn Deal