Quest Diagnostics

Quest Diagnostics

Type	Public
Traded as	NYSE: DGX S&P 500 Component
Industry	Health care
Founded	New York City, United States (1967)
Founder	Paul Brown
Headquarters	Madison, New Jersey, United States
Area served	United States, Brazil, Mexico, United Kingdom, India
Key people	Steve Rusckowski (CEO)
Revenue	US$7.5 Billion (2015)[1]
Operating income	US$1.4 Billion (2015)[1]
Net income	US$0.7 Billion(2015)[1]
Total assets	US$10.0 Billion(2015)[1]
Total equity	US$4.7 Billion (2015)[1]
Number of employees	44,000 (2015)[2]
Website	QuestDiagnostics.com

Quest Diagnostics Incorporated is a Fortune 500 company providing clinical laboratory services with headquarters in Madison, New Jersey. Founded in 1967 as Metropolitan Pathology Laboratory, Inc., it became an independent corporation with the Quest name on December 31, 1996. In addition to the United States, Quest Diagnostics also runs operations in United Kingdom, Mexico, Brazil, Puerto Rico^[3] and a laboratory in India^[4] and also has collaborative agreements internationally with various hospitals and clinics.^[5] It is a member of the Fortune 500 and the S&P 500, with corporate headquarters located in Madison, New Jersey. The company has approximately 44,000 employees, generates more than $7 billion in revenue and offers access to diagnostic testing services for cancer, cardiovascular disease, infectious disease and neurological disorders.^[2]

History

• 1967: Founded by Paul A. Brown, MD as Metropolitan Pathology Laboratory, Inc., in New York.
• 1969: Name Changed to MetPath, Inc., in Teaneck, New Jersey.
• 1982: MetPath was acquired by what was then known as Corning Glass Works, and subsequently renamed Corning Clinical Laboratories.
• 1996: Quest Diagnostics becomes an independent company as a spin-off from Corning. Kenneth Freeman appointed CEO.
• 1997: Acquires clinical laboratory division of Branford, CT-based Diagnostic Medical Laboratory, Inc. (DML).^[6]
• 1999: Acquires SmithKline Beecham Clinical Laboratories; GlaxoSmithKline still holds a large portion of Quest Diagnostics stock. The SmithKline Beecham acquisition includes a joint venture ownership with CompuNet Clinical Laboratory
• 2000: Launch of Six Sigma program
• 2001: Completes acquisition of Ohio-based MedPlus, Inc. (NASDAQ: MEDP), a healthcare technology company.
• 2002: Completes acquisition of Virginia-based American Medical Laboratories, Inc. (AML) and an affiliated company of AML, LabPortal, Inc., for approximately $500 million in cash.
• 2003: Completes acquisition of California-based Unilab Corporation (NASDAQ: ULAB) in a transaction valued at approximately $800 million.
• 2005: Completes acquisition of Kansas-based LabOne, Inc. (NASDAQ: LABS) for approximately $934 million.
• 2005: forms a strategic alliance with Ciphergen Biosystems to commercialize novel proteomic tests.^[7]
• 2006: Completes acquisition of Virginia-based Focus Diagnostics, Inc., an infectious and immunologic disease laboratory, for approximately $185 million in cash.
• 2007: Completes acquisition of Sweden-based Hemocue, a point-of-care diagnostic testing company.
• 2007: Acquires AmeriPath (and subsidiary Specialty Laboratories) from Welsh, Carson, Anderson & Stowe, becoming the leading provider of cancer diagnostic testing services.
• 2011: Acquires Athena Diagnostics from Thermo Fisher Scientific
• 2011: Completes acquisition of Celera Corporation, a company that became famous by its sequencing of the Human Genome.^[8]
• 2012: Names former Philips Healthcare CEO Stephen Rusckowski as CEO.^[9]
• 2012: CEO, Surya Mohapatra, PhD (CEO From May 2004-April 2012) resigns after leading the company for 8 years
• 2012: Quest Diagnostics bought all the labs including the business from UMASS Memorial Hospitals in Worcester, MA.^[10]
• 2014: Acquires Solstas Lab Partners Group (and subsidiaries)^[11]
• 2014: Acquires Summit Health, Inc.^[12]

Controversies

Quest Diagnostics set a record in April 2009 when it paid $302 million to the government to settle a Medicare fraud case alleging the company sold faulty medical testing kits. It was the largest qui tam (whistleblower) settlement paid by a medical lab for manufacturing and distributing a faulty product.^[13] In May 2011, Quest paid $241 million to the state of California to settle a False Claims Act case that alleged the company had overcharged Medi-Cal, the state’s Medicaid program, and provided illegal kickbacks as incentives for healthcare providers to use Quest labs.^[14]

References

1. "Financial Statements for Quest Diagnostics". Google.com. Retrieved October 26, 2016.
2. "Quest Diagnostics 10-K SEC Filing". Quest Diagnostics 10-K SEC Filing. December 31, 2015. Retrieved October 26, 2016.
3. "International Facilities & Operations". Quest Diagnostics. Retrieved 2012-02-15.
4. "Birla Sun Life Insurance Names Quest Diagnostics its Exclusive Provider of Health Assessment Services in India". Quest Diagnostics. 2007-03-31. Retrieved 2012-02-15.
5. "Our Growing International Presence". Quest Diagnostics. Retrieved 2012-02-15.
6. "Quest Diagnostics Acquires Assets Of Diagnostics Medical Laboratory Inc.". Quest Diagnostics. Retrieved 2012-02-15.
7. "Ciphergen Biosystems and Quest Diagnostics Form Strategic Alliance to Develop and Commercialize Tests Using Ciphergen's Proteomics Technology.". July 22, 2005. Retrieved Jul 26, 2013.
8. Quest Diagnostics Successfully Completes Acquisition of Celera Archived July 9, 2011, at the Wayback Machine. May 17, 2011. Celera Corporation. Retrieved 2012-02-16.
9. Anjali Athavaley. "Quest Diagnostics names Rusckowski as CEO". MarketWatch. Retrieved 18 May 2015.
10. "DGX to Buy UMass Medical Lab (revised)". Yahoo Finance. 23 October 2012. Retrieved 18 May 2015.
11. "Quest Diagnostics Acquires Solstas for $570M". News: Industry Watch (paper). 34 (4). 15 February 2014. p. 10.
12. "Quest Diagnostics Completes Acquisition of Summit Health - Apr 21, 2014". newsroom.questdiagnostics.com. Retrieved 2015-07-16.
13. "Businessman exposed problems with Quest subsidiary's blood test kits; led to $302 million settlement." Phillips & Cohen LLP press release. April 15, 2009.
14. "Attorney General Kamala D. Harris announces $241 million settlement with Quest Diagnostics." State of California Department of Justice. May 19, 2011.

External links

• Quest Diagnostics Homepage

• • Business data for Quest Diagnostics: Google Finance
  • Yahoo! Finance
  • Reuters
  • SEC filings