Issue link: https://beckershealthcare.uberflip.com/i/1242960
38 OUTPATIENT SURGERY USPI allegedly devalued company, shortchanged employee stockholders in merger with Tenet By Eric Oliver A former USPI Holding Co. executive is suing the company, alleging it shorted a select number of workers' stock payouts by undervaluing the company aer its merger with Tenet, Law360 reports. What you should know: 1. Former USPI Market President Jeff An- drews claims USPI offered its employees and minority owner Dallas-based Baylor Scott & White Health a stock incentive-based bene- fits plan to remain with USPI postmerger. e stocks would have an exercise price that would be determined by the fair market value of USPI. e complaint claims several em- ployees accepted lower-than market standard wages because the return on the stocks would be high, based upon the KPMG Valuation Model. 2. e complaint alleged that as the plan's re- demption date approached in July 2022, USPI and Tenet executives decided to reallocate the value of the options and transfer the wealth to Tenet shareholders. e complaint alleged that Tenet CEO Ron Rittenmeyer sought a second valuation, disagreed with that valuation and then settled on a valuation of $34.13 per share or what would equate to $300 million, different from the previous KPMG Valuation Model. e valuation USPI's Compensation Committee used was allegedly supposed to apply to both the key employees and Baylor's minority own- ership stake. e committee allegedly claimed that Baylor had different stocks that would be honored using the KPMG Valuation Model rate. 3. USPI allegedly held a meeting Feb. 24, 2020, where it announced it would cancel the plan, agreeing to pay the employees stock option pro- ceeds based on the $34.13 per share valuation. 4. Mr. Andrews seeks class-action status for the lawsuit as well as unspecified monetary damages for the affected workers from USPI. Tenet and its leadership are not named in the lawsuit. 5. A USPI spokesperson made a statement on the lawsuit, saying, "We believe these claims are without merit and will not comment fur- ther on pending litigation." n Nonsurgical procedures, mediocre care & COVID-19: 3 spine surgeons on the biggest threat to their practice By Alan Condon Three spine surgeons provide their insight on the biggest potential threats to their practice. Note: The following responses were lightly edited for style and clarity. Question: What do you see as the biggest potential threat to your spine practice? Christian Zimmerman, MD. Saint Alphonsus Medical Group and SAHS Neuroscience Institute (Boise, Ida- ho): Presently, idleness and social complacency for our current health situation. Like everyone else, the sheer number of postponements and delays will keep our prac- tices busy for months. Social responsibility and aware- ness will get us through these trying moments, with some sooner than others. My thoughts are duly directed to the healthcare workers on the front lines locally and nationally in our hardest-hit areas. They risk themselves and their families for all of us. They deserve our support and gratitude. Optimism is a vir- tue in difficult times. Guy Lee, MD. Rothman Orthopaedic Institute (Phila- delphia): There continues to be an abundance of proce- dures that are being marketed to non-spine surgeons and non-spine specialists. I routinely see patients who have had these newer procedures, which in my opinion, are not clinically indicated. For example, percutaneous decom- pressions done for back pain as well as spinal interspinous implants being performed for back pain. As spinal specialists, we know that getting rid of leg pain is generally the primary goal when treating these patients. However, it is unfortunate that some patients are looking for the newest and latest innovations to avoid surgery. I tell my patients it is always better to get a second opinion be- fore you have any procedure done to your back. Brian Gantwerker, MD. Craniospinal Center of Los Ange- les: I think the acceptance of the public at large of mediocre care. If patients are happy waiting three hours to see their doc- tors and to spend five minutes discussing a potentially life-al- tering surgery, then I think the whole system is going down the proverbial tubes. I believe my practice may actually thrive, once people wake up and realize that it is not acceptable. n