SEC Filings

10-12G
AMSURG CORP filed this Form 10-12G on 03/11/1997
Entire Document
 
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SURGERY CENTER OPERATIONS
 
     Each AmSurg facility is generally designed, built, staffed and equipped to
meet the specific needs of a single specialty physician practice group. AmSurg's
typical ambulatory surgery center averages 3,000 square feet and is located
adjacent to or in the immediate vicinity of the specialty physicians' offices.
Each center developed by AmSurg typically has two to four operating or procedure
rooms with areas for reception, preparation, recovery and administration. Each
surgery center is developed to perform an average of 2,500 procedures per year.
As of January 31, 1997, 22 of the AmSurg centers in operation performed
gastrointestinal endoscopy procedures, three centers performed ophthalmology
procedures, one center performed orthopaedic procedures, one center performed
otolaryngology procedures, and one center performed ophthalmology, urology,
general surgery and otolaryngology procedures. The procedures performed at the
AmSurg centers generally do not require an extended recovery following the
procedures. AmSurg centers are typically staffed with three to five clinical
professionals and administrative personnel who are shared with the physician
practice group. The clinical staff includes nurses and surgical technicians.
 
     The types of procedures performed at each center depend on the specialty of
the practicing physicians. The typical procedures performed or to be performed
most commonly at AmSurg centers in operation or under development within each
specialty are:
 
     - Gastroenterology -- colonoscopy and endoscopy procedures
     - Ophthalmology -- cataracts and retinal laser surgery
     - Orthopaedics -- knee arthroscopy and carpal tunnel repair
     - Urology -- cystoscopy and biopsy
     - Otolaryngology -- myringotomy and tonsillectomy
 
     AmSurg markets its surgery centers and networks directly to third-party
payors, including HMOs, PPOs, other managed care organizations and employers,
and directly to patients. Payor-group marketing activities conducted by AmSurg's
management and center administrators emphasize the high quality of care, cost
advantages and convenience of AmSurg's surgery centers and are focused on making
each center an approved provider under local managed care plans. In addition,
AmSurg is pursuing relationships with selected physician groups in its markets
in order to market a comprehensive specialty physician network that includes its
surgery centers to managed care payors.
 
PHYSICIAN SPECIALTY NETWORKS AND PRACTICES
 
     Provider networks are primarily oriented to local markets. Physician groups
may be members of several networks in a locale. Most networks are either
multi-specialty or primary care based. AmSurg believes that its single specialty
networks, designed around the ambulatory surgery centers and designed to match
the membership base geography of the managed care payors, will be a more
competitive model than networks that do not have those advantages. AmSurg also
has the advantage of being introduced to prospective network members by its
existing practice partners who have already had a positive experience working
with AmSurg in joint ownership of the surgery centers. Pursuant to agreements
with the network, the physicians in these networks also will have the
opportunity to perform their surgical procedures in AmSurg's surgery centers or
develop additional centers with AmSurg as needed. Following the development of
the network, AmSurg will provide management services and marketing services to
the network to secure patient service contracts with managed care payors.
 
     AmSurg further believes that network development will expand services
available to managed care organizations. AmSurg believes that the physician
practice networks with practice-based surgery centers are attractive to managed
care organizations because of the geographic coverage of the network, the lower
costs associated with treatment, the availability of the complete delivery
system for a specific specialty and high levels of patient satisfaction. As a
result, AmSurg believes the development of such networks will capture an
increased volume of managed care contracts, including capitated contracts, and
will increase the market share and profitability of the practices and the AmSurg
surgery centers.
 
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