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20 ASC MANAGEMENT Optum CEO taking temporary leave, Q1 revenues hit $32.8B — 7 things to know By Angie Stewart O ptum announced April 15 that CEO Andrew Witty is taking a temporary leave of absence and reported $32.8 bil- lion in revenues for the first quarter of 2020. Seven things to know: 1. Mr. Witty, who also serves as Minnetonka, Minn.-based UnitedHealth Group's president, is leaving to help lead the World Health Organiza- tion's new vaccine development and distribu- tion initiative. He will return to his roles upon completion of the assignment. 2. As UnitedHealth Group's health services arm, Eden Prairie, Minn.-based Optum posted a 24.6 percent year-over-year increase in revenues for the first quarter of 2020, with double-digit revenue growth across OptumHealth, OptumIn- sight and OptumRx. 3. Optum's first-quarter earnings from opera- tions hit $2.1 billion, up from $1.9 billion in the first quarter of 2019. However, operating margins were at 6.4 percent, down from 7.1 percent in the same quarter last year. 4. OptumHealth revenues reached $9.2 bil- lion, representing a 36.9 percent year-over-year increase. e business served about 96 million people in the first quarter of 2020, compared to roughly 93 million people in the first quarter of 2019. 5. OptumHealth's revenue per consumer was up 33 percent year over year, driven by growth in value-based care arrangements. 6. Highlighting actions taken to combat the COVID-19 pandemic, UnitedHealth Group said it shied more than 4,000 OptumCare physicians to telehealth for visits that would have otherwise been canceled over safety concerns. 7. UnitedHealth Group is providing full wages for its entire workforce, as well as pay hikes for front-line clinical workers in communities hit hard by COVID-19. e company said it does not intend to request or retain any government assistance. n Tenet furloughs 10% of its workforce, including those involved in elective surgery: 6 things to know By Laura Dyrda Tenet announced more furloughs and additional measures to control costs amid the COVID-19 crisis, according to Reuters. Six things to know: 1. Tenet has furloughed around 10 percent of its workforce of more than 113,000 employees. About 3 percent of the furloughs affected hospital staff. The furloughed employees primarily work in administra- tive support roles, corporate office jobs and elective care, including joint replacements and routine colonoscopies. 2. Earlier this month, the company said it only planned to furlough 500 employees. The number increased as elective surgeries remain suspended. 3. Tenet ASCs and surgical hospitals not needed to care for COVID-19 patients have been shut down. 4. CEO and Chairman Ron Rittenmeyer plans to donate 50 percent of his salary from April to June to a fund for employees who are finan- cially affected by the coronavirus. Other executives plan to devote 10 percent to 20 percent of their salaries to the fund. 5. Tenet withdrew its full-year guidance for 2020. 6. The company completed a debt offering of $700 million to pay off debts and spend on other capital needs. It is also working to boost borrowing capacity of its revolving line of credit to $2 billion. n Physician partners sell ASC, many seeking exit strategy — 3 details By Angie Stewart A 14,384-square-foot ASC was sold for an undisclosed amount, ac- cording to ERE Healthcare Real Estate Advisors. What you should know: 1. Based in the Southeastern U.S., the ASC features four operating rooms, 10 preoperative bays and 10 post-anesthesia care unit bays. 2. The ASC is a hub for 26 physicians specializing in ENT, neurology, ophthalmology, orthopedics, pain management, plastics, podiatry and urology. 3. The ASC's physician partners tapped ERE Healthcare Real Estate Ad- visors for guidance on the transaction. Many are retired and seeking an exit strategy. n