Quest Diagnostics 2008 Annual Report Download - page 14

more than 3,000 tests, and are the leading provider in the United States of gene-based and other esoteric
testing. We have strong logistics capabilities, such as approximately 3,500 courier vehicles and 25
airplanes that make approximately 90,000 stops daily. We believe that customers and payers prefer
providers that offer a comprehensive range of tests and services and the most convenient access to those
services and that, by offering such services, we will be able to profitably enhance our market position.
•Continue to lead in medical innovation and information technology solutions. We are a leading innovator
in the clinical testing market with unmatched medical and technical expertise. We have the most
comprehensive test menu and leading medical and scientific experts available for consultation. Over the
past several years, we have expanded our business in more complex and faster-growing testing areas,
including gene-based and esoteric testing, anatomic pathology services and point-of-care testing, reducing
the percentage of our revenues from routine testing services. We remain a leading innovator in the clinical
testing industry by continuing to introduce new tests, technology and services, including in the evolving
area of personalized and targeted medicine. As an industry leader with the largest and broadest U.S.
network and expanding presence outside the United States, we believe we are the channel of choice for
developers of new tests to introduce their products to the marketplace. Through our relationships with the
academic medical community and pharmaceutical and biotechnology firms, we believe that we are a leader
in bringing technical innovation to the market. For example, in 2008, we expanded our growing menu of
plasma-based Leumetatests to 22.
We empower healthcare organizations and clinicians with information technology solutions that can
improve patient care and medical practice. We develop products, such as ChartMaxx威, and the Care360
Physician Portal, and a clinical portal that are designed to support the creation and management of
electronic patient records, by bringing together, in one patient-centric view, information that includes
physician’s records and laboratory and hospital data. Our Care360products, which can be accessed by
more than 140,000 physicians, enable physicians to order diagnostic tests and review test results online. In
addition, the Care360 Physician Portal enables physicians to electronically prescribe medication, view
clinical and administrative information from various sources, file certain documents into a patient-centric
health record maintained in our repository and share confidential information with medical colleagues. We
believe that these products enhance the value we provide to our customers and result in increased
customer loyalty.
•Expand our geographic reach. In addition to growth opportunities in the United States, we see
opportunities to expand our presence in Ireland and Mexico and to bring our experience and expertise in
diagnostic testing to other international markets, particularly to developing countries where the testing
markets are highly fragmented and less mature. During 2008, we began offering services and products in
the growing market in India. Our product offering in India includes clinical testing for life insurance
companies, clinical trials testing for global pharmaceutical companies, advanced esoteric testing for
hospitals, physicians and patients, point-of-care products and wellness testing.
•Expand our diagnostic scope. Technology advances are enabling testing to move closer to the patient and
are becoming increasingly available and reliable. This enables more timely and effective decisions, with
the opportunity to improve patient care and reduce medical costs. Since July 2006, we have acquired three
businesses that offer point-of-care, or near patient, testing: HemoCue, Focus Diagnostics and Enterix. We
intend to expand their product menus, develop novel technology platforms and systems to meet the needs
of our clients and pursue potential additional acquisitions to supplement our offering. Results of their tests
can be entered into our Care360 system, enabling the integration of tests performed in a near patient
setting with those performed in our laboratories. We are well positioned to offer choice and integrated
solutions to physicians, hospitals, clinics and retail customers for the testing methods that are most
appropriate for each patient and practice.
In support of our strategy, in recent years we have undertaken several acquisitions. These acquisitions enable
us to expand our capabilities, further leverage our assets and differentiate our Company from our competition,
diversify our revenues and accelerate our growth. We expect to continue to selectively evaluate acquisitions in
the United States and in select international markets.
BUSINESS OPERATIONS
Quest Diagnostics is the world’s leading provider of diagnostic testing, information and services, providing
insights that enable patients, physicians and others to make decisions to improve health. We offer U.S. patients
and physicians the broadest access to diagnostic testing services through our nationwide network of laboratories
and Company-owned patient service centers. We provide interpretive consultation through the largest medical and
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