Clinical Services Contract Crib Sheet

August 29, 2011 through September 12, 2011

Our contract crib sheets are a checklist of recent clinical contract announcements from Premier. For more detail and archived Crib Sheets go to www.gnyhaservices.com or refer to Supply Chain Advisor at www.premierinc.com.

Nursing RECALL – announcement that Hospira (PP-IV-035) is conducting a voluntary recall on 1 lot of 5% Dextrose Injection, USP 250mL, NDC 0409-7922-02 Lot 95-067-JT. Lot 95-067-JT has been identified to have potential for solution to leak from a tear near the perimeter seal and the hanger slot. The affected lot was distributed between December 2010 and July 2011. Hospira has not received any reports of adverse events resulting from this issue.

Suggested action steps:

·  Please contact Hospira customer care at 1.877.946.7747 or your Hospira account manager to obtain replacement product.

·  Please check your inventory and immediately quarantine any effective product.

·  Complete the attached reply form in its entirety and fax it to Stericycle at 1.877.523.9110, even if you do not have the affected product.

Imaging – announcement that GE Healthcare has added the Optima MR430s to Premier agreement PP-IM-085 for Magnetic Resonance Imaging. The Optima 430s is the industry’s only 1.5T MRI system designed to scan extremities only and therefore features a much smaller and lighter footprint than a typical whole body MRI system. Please reference the brochure posted to the contract details page in Supply Chain Advisor (SCA).

Imaging – announcement that GE Healthcare has added the Optima CT660 to its Computed Tomography agreement, PP-IM-084. The Optima 660 platform is scalable from 32 to 128 slices, incorporates GE’s unique ASiR dose reduction technology, and features an environmentally friendly design for refurbishment and end-of-life recycling, along with electronics innovations that cut power consumption by 60 percent using the energy saving mode. Please see the product brochure posted on the contract detail page in Supply Chain Advisor

Imaging – Afga Healthcare (PP-IM-131) Computed Radiography is offering a promotion from September 15, 2011 through December 31, 2011.

a.  Six cassette/plate sets in our DX-G Pack 2 Musica 2 GenRad package at no additional cost. These will be three 35x43 and three 24x30 sizes. This represents a savings of up to $5,477.16 depending on the respective tier discount. To take advantage of this offer, use product code 60+00092641.

b.  Agfa also offers a new DX-G package that includes the six cassette/plates and a user station (CRUS) in a package price. For this option use 60+00092661.

The following specifics apply:

·  All orders must be placed by December 31, 2011.

·  Normal tier discounts apply.

Contact Frank McGrain, Corporate Healthcare at 949.493.4629.

Distribution – announcement that all medical/surgical product distribution contracts have been extended 12 months and are effective through December 31, 2012.

American Medical Depot PP-DS-035

Buffalo Hospital Supply Co. Inc. PP-DS-036

Cardinal Health 200 Inc. PP-DS-037

Claflin Company PP-DS-038

DeKroyft-Metz PP-DS-039

Kreisers Inc. PP-DS-040

McKesson Medical-Surgical Inc. ("MMS") PP-DS-041

Medical Specialties Distributors LLC PP-DS-042

Medline Industries Inc. PP-DS-043

Midwest Medical Supply Co. LLC PP-DS-044

Owens & Minor Distribution Inc. PP-DS-045

Professional Hospital Supply Inc. PP-DS-046

Seneca Medical Inc. PP-DS-047

Van Zandt Distributing SD-DS-004

Distribution - The specialty distribution, respiratory therapy and anesthesia products agreement PP-DS-034 with Tri-anim Health Services Inc. has been extended 14 months through December 31, 2012.

Cardiology – announcement of new agreements for electrophysiology products. These agreements have been awarded to incumbents. The products included in this category are used in electrophysiology pacing studies and are generally disposable products. This category includes both diagnostic/therapeutic catheters and the connector cables used to connect the catheters to the monitoring equipment.

Effective December 1, 2011 through November 30, 2014

Supplier / New contract number / Expiring contract number
Bard / PP-CA-190 / PP-CA-135
Boston Scientific / PP-CA-191 / PP-CA-136

Materials Management – Effective September 1, 2011, Hill-Rom will take a 1.27 price increase in aggregate on beds, mattresses and therapeutic surfaces-purchases, (PP-MM-082).

Nursing – announcement of a new SEEDS agreement in the Safety Hypodermics category with Unilife Medical Solutions Inc.

Nursing – announcement of new agreements for arterial blood gas kits to incumbent Smiths Medical ASD Inc. The agreement is effective December 1, 2011, through November 30, 2014.

The current agreement with Vital Signs Inc. (PP-NS-530) expires November 30, 2011. This category includes products packaged in kits used to obtain arterial blood samples (ABS) for determination of a patient’s oxygen level, carbon dioxide level, pH level, bicarbonate level and oxygen saturation in the blood. This category does not include single-packaged, non-kit arterial catheters or central venous access catheters.

Surgical Services – announcement of new SEEDS agreement for Marpac, Inc. in the Tracheostomy tubes and related products category.

Imaging – announcement that a new agreement for cardiac ultrasound contrast media has been awarded to incumbent. Cardiac ultrasound contrast media, an injectable form of perflutren microspheres, is used in echocardiographic studies of patients with suboptimal echocardiograms. The agent allows the heart borders to be seen more clearly.

Effective December 1, 2011 through November 30, 2014

Supplier / New Contract / Expiring Contract
Lantheus / PP-IM-161 / PP-IM-122

Cardiology – announcement of new agreements for electrophysiology products that have been awarded to incumbents.

Effective December 1, 2011 through November 30, 2014

Supplier / New contract number / Expiring contract number
Bard / PP-CA-190 / PP-CA-135
Boston Scientific / PP-CA-191 / PP-CA-136

Cardiology – announcement that Boston Scientific drug eluting stent (PP-CA-166) prices will be reduced by $50 for all contracted tiers on September 1, 2011.

Surgical Services – announcement of a new product category – Skin Adhesives – Butyl Cyanacrylate. Skin adhesive is a liquid adhesive used in place of sutures or staples to close and seal wounds caused by lacerations or surgical incisions. These adhesives are a butyl cyanoacrylate based product. The Skin Adhesives- Butyl Cyanoacrylate category will be coterminous with the Endomechanical Products, Suture Products and Topical Wound Sealant categories.

Effective August 15, 2011 through March 31, 2012

Supplier / New contract number / Expiring contract number
Aesculap / PP-OR-763 / New
Cardinal / PP-OR-764 / New
SkinStitch / PP-OR-766 / New
TissueSeal / PP-OR-767 / New

Surgical Services – Cardinal Health will issue the following letter to their Presource customers;

Presource a division of Cardinal Health in reference to PP-OR-481, Custom Procedure Tray/Packs and Gowns and Related Products (CPT’s). In the letter, Cardinal Heath references the extreme volatility in commodities and the challenges to sustain the increases from suppliers of the products provided in the CPTs.

Terms and Conditions Agreement Summary: PP-OR-481

·  Tiers 1-8 (Packs and Gowns and Related Products) on the Premier agreement are price protected.

·  Tier 9 (Custom Procedure Trays – Locally Negotiated Tier)

-  Locally negotiated member agreements with Cardinal Health having terms and conditions allowing pricing adjustment will prevail.

-  For member agreements that do not reference a price adjustment, the terms and conditions of PP-OR-481 will prevail.

-  For members that have not signed terms and conditions of a local member agreement, the terms and conditions of PP-OR-481 will prevail.

·  Tier 10 (Custom Procedure Trays) customers will not be directly affected by the Presource price increases. Price increases only occur with pack changes for Tier 10 customers. Please see specific terms below (per Exhibit A-2 PMDF for PP-OR-481).

a)  Participating Members will be able to make one (1) change per year/per pack without affecting the sterilization, labor, or overhead segments of the Custom Procedure Tray. For the one (1) change per year/per pack, the only impact to the Custom Procedure Tray price will be the change in component price. Participating Members that make more the one (1) change per year/per pack will impact component price, sterilization, labor, and overhead based on the new activities required in the change to the pack (e.g., larger/complex packs require more sterilization, labor, and overhead). Should Participating Member make such changes, the resulting price of the Custom Procedure Tray will follow the price model found in Section b. below.

b)  Price Model. For Custom Procedure Trays, the following pricing model will be used for existing Custom Procedure Trays. The following four segments will be held firm for each twelve-month (12) period beginning 1/1/2009.

o  Component Price

o  Sterilization

o  Labor

o  Overhead

Women’s and Children – announcement for a new agreement for Radio Frequency Band Adult Infant Security Systems. These systems (also known as anti-abduction systems) are patient security systems utilized in various healthcare settings to prevent the abduction of children ranging in age from neonate through youth. The category also includes equipment to locate patients and prevent elopement or wandering in the older teen and geriatric populations.

Effective December 1, 2011 through November 30, 2014

Supplier / New contract number / Expiring contract number
RF Technologies* / PP-WC-084 / PP-WC-027

Surgical Services Alert – announcement that Stryker Orthopaedics and Corin PLC will resume direct distribution for the Cormet Hip Resurfacing system to US customers, (PP-OR-443).

Surgical Services Alert – announcement that a number of Stryker products that have been available on the ENT agreement (PP-OR-697) with Stryker will now be available through the new Stryker neurosurgical products agreement, PP-OR-761, which becomes effective September 1, 2011. The deletion of these products from the ENT agreement coincides with the effective date of the new neurosurgical products agreements. The pricing and tier structure for these products remains the same.

Surgical Services RECALL – Covidien (PP-OR-341) has initiated a voluntary medical device recall on various production lots of Duet TRS Universal Straight and Articulating Single Use Loading Unit. This action is due to the potential for the sterility and moisture barriers to be compromised.

Contact your Client Service Executive for details and required action.

Surgical Services RECALL – Ethicon Endo-Surgical (PP-OR-343) has issued a voluntary recall of specific lots of ENDOPATH ETS Compact Flex 45mm Articulating Linear Cutters.

If you have affected lot numbers you should cease using all products with the affected lot numbers and associated product codes, which includes item numbers CTS45, CTS45NK, SCW45, SCG45, 6CB45 and SCB45. This recall has been initiated by Ethicon Endo-Surgery due the possibility of damage to the blister pack that may have compromised the sterility of specific lots of the device.

This recall is being conducted with the knowledge of the U.S. Food and Drug Administration. Customers who have been shipped product from any of the affected lots have been notified of this recall.

Suggested actions:

·  Stop using affected product immediately.

·  Quarantine and remove all stock on hand.

·  Arrange for product returns.

·  Complete and return the “Business Reply Form” as required by the FDA.

Imaging – announcement that agreements for Conventional Film, Dry Media and Printers have been awarded to incumbents Afga Healthcare Corporation and FUJIFILM Medical Systems, U.S.A. Inc.

Supplier / New contract / Expiring contract
Agfa HealthCare / PP-IM-159 / PP-IM-118
FUJIFILM Medical / PP-IM-160 / PP-IM-117

Agfa’s agreement is effective September 1, 2011, through August 31, 2014. FUJIFILM’s agreement is effective September 1, 2011, through August 31, 2012. FUJIFILM’s agreement is for one year with the option of two one-year extensions.

Nursing Contract Termination – Digitcare Corporation has terminated their Exam Glove agreement, PP-NS-596, effective October 3, 2011. Termination is due to mid-cycle price changes.

Surgical Services – announcement of new agreements for Liquid Medical Waste Management Systems. Category offers both canister and cart-based systems with products including disposable canisters, smoke evacuators, docking stations, reusable collectors, wall mounted units, and disinfectant and enzymatic cleaners.

Effective November 1, 2011 through October 31, 2014

Supplier / New contract number / Expiring contract number
DeRoyal / PP-OR-768 / PP-OR-489
Dornoch / PP-OR-769 / New
Stryker / PP-OR-770 / PP-OR-488

Nursing – announcement of new agreements in Dialysis Products and Accessories. This product category assists patients whose kidneys are not able to perform normal duties. Subcategories include:

•  Dialysis consumable products
•  Dialysis capital equipment
•  Dialysis access catheters / •  Hemodialysis machines
•  Peritoneal dialysis (PD) products
•  Continuous renal replacement therapy (CRRT)

Effective November 1, 2011 through October 31, 2014

Supplier / New contract / Expiring contract
AngioDynamics / PP-NS-692 / New
B. Braun / PP-NS-693 / PP-NS-532
Covidien / PP-NS-690 / PP-NS-531
Hemosphere / PP-NS-694 / New
Medical Components / PP-NS-691 / PP-NS-533

Laboratory – announcement of a new category agreement for Specialty Distribution – Research. This category includes items that are used in the laboratory research setting and accompanying education and services.

Supplier / New Contract / Previous Contract
VWR International. LLC, / RS-LA-001 / New

Agreement Highlights:

·  Price activation (PA) or a Participating Member Designation Form (PMDF) is required for all tiers.

·  Aggregation is allowed.

·  Local negotiation is available.

·  VWR International, LLC list-less percentage is firm for the term of the agreement.

·  Discounts are based on member tier volume. For details, refer to pricing exhibit A-1, in Supply Chain Advisor®

·  The Agreement is available to acute and continuum of care members.

·  Value Add programs and additional services are included in this agreement. See Exhibit G - Value Adds, in Supply Chain Advisor

Cardiology – announcement of new agreements for Intra-Aortic Balloon Catheters and Pumps.

Intra-aortic balloon catheters and pumps (IABP) are circulatory assist devices placed inside the heart to reduce how hard the heart needs to work. The device inflates a small balloon right after the heart pumps and deflates it just before the heart beats again. It can reduce the heart’s workload by up to 30 percent.

Effective November 1, 2011 through October 31, 2014

Supplier / New Contract / Expiring Contract
Arrow / PP-CA-193 / PP-CA-127
Maquet / PP-CA-192 / PP-CA-126
(DataScope)*
* Datascope was acquired by Maquet Cardiovascular in 2008 after the launch of the current agreement.

Surgical Services – announcement that Cardinal Health (PP-OR-627) has added a new synthetic surgical glove to their product line. The new glove, Duraprene™ Plus Sterile Neoprene Powder-Free Surgical Gloves with Nitrile Coating. The new product is designed to replace two existing products, the Duraprene SMT and Duraprene surgical gloves. As a result, these two products will be discontinued and no longer available for purchase as of September 30, 2011.