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FOR IMMEDIATE RELEASE
September 08, 2006

CONTACT: Regina Hall
(202) 434-7245

ADVAMED CAUTIOUS ABOUT GAINSHARING DEMONSTRATION PROJECTS

WASHINGTON, DC – AdvaMed President and CEO Stephen J. Ubl today issued the following statement regarding the Centers for Medicare and Medicaid Services (CMS) request for proposal (RFP) to implement hospital “gainsharing” based on legislative authority under Section 646 of the Medicare Modernization Act.

“AdvaMed is encouraged by CMS’s focus on improving the quality of care over the entire span of patient treatment by reducing post-surgical complications, infection rates, medical errors, better discharge planning and other patient care improvements. We are also encouraged that CMS included OIG patient safeguards that address patient notification, transparency, and accountability. However, we remain concerned that some demonstrations could be designed to reduce patient treatment options or place emphasis on cost savings at the expense of what is the best therapy for the patient. We continue to review the RFP and are seeking clarification from CMS on a number of issues. These include clarification on how CMS will ensure that each specific action under the demonstration projects will result in measurable improvements in quality, and that patient access to new technologies is not compromised. We will closely monitor the demonstration projects as they move forward.”

AdvaMed member companies produce the medical devices, diagnostic products and health information systems that are transforming health care through earlier disease detection, less invasive procedures and more effective treatments. Our members produce nearly 90 percent of the health care technology purchased annually in the United States and more than 50 percent purchased annually around the world. AdvaMed members range from the largest to the smallest medical technology innovators and companies.

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