HealthLeaders-InterStudy, a leading provider of healthcare market intelligence, reports that Kaiser Permanente's new Irvine, California hospital facility opening in 2008 provides the health system with a much-needed second hospital in Orange County. It is one of the first new hospitals to be constructed in the county in nearly a decade. According to the newly released Orange County Market Overview report, with the addition of this facility, the health system will now be able to capitalize on its captive clientele of Kaiser Foundation Health Plan HMO members

"The addition of a second hospital adds muscle to Kaiser Permanente, which has captured a relatively small share of the inpatient hospital market despite the Kaiser Foundation's domination of the HMO market," said Margaret Dick, HealthLeaders-InterStudy senior market analyst and author of the report.

With two hospitals in Orange County, Kaiser Permanente will no longer contract for some services with other hospitals such as Tenet's Irvine Regional Hospital and Medical Center. That will mean less business for those facilities, and an improved market position for Kaiser Permanente. In addition, Kaiser Permanente is planning a new 262-bed hospital to replace the company's Anaheim hospital. The $750 million facility will open in 2012.

Kaiser Foundation Health Plan, a staff-model HMO, is part of the Kaiser Permanente integrated health empire, which also includes Kaiser Foundation Hospitals and the for-profit Permanente Medical Groups.

About Market Overviews

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About HealthLeaders-InterStudy

HealthLeaders-InterStudy is the authoritative source for managed care data, analysis, and news. For more information, please visit HealthLeaders-InterStudy is a Decision Resources, Inc. Company.

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SOURCE: HealthLeaders-InterStudy

CONTACT: Elizabeth Marshall of Decision Resources, +1-781-296-2563,, for HealthLeaders-InterStudy

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