Geisinger Launches xG Health Solutions

New company offers intellectual property and expertise to other health systems, backed by $40 million financing from Oak Investment Partners

Danville, Pa. – Jan 31, 2013- Geisinger Health System, in partnership with Oak Investment Partners, announced today the formation of a new company, xG Health Solutions™, an independently operated venture that will make Geisinger’s intellectual property and expertise available to other healthcare systems.

The new venture is supported in part by a $40 million investment by Oak Investment Partners.

“Over the past 16 years, Geisinger has prepared for today’s healthcare challenges by redefining and reengineering the way we care for our patients and members,” said Glenn D. Steele, Jr., MD, PhD, president and chief executive officer, Geisinger Health System. “Our innovative solutions help transform how healthcare will be provided and financed in the future, and xG Health Solutions will enable us to extend these innovations well beyond Geisinger.”

Oak Investment Partners is a leading investor in healthcare. With more than 30 years of investment experience, Oak Investment Partners is a multistage venture capital firm that has invested more than $9 billion in more than 500 companies throughout the world.

“The creation of xG Health Solutions is indicative of the successful innovation in motion at Geisinger Health System,” said Ann Lamont, managing partner at Oak Investment Partners. “Geisinger’s unique model has resulted in better patient outcomes and reduced cost, something we are proud to support and are confident we will see replicated throughout the nation with the formation of xG Health Solutions.”

xG Health will offer a variety of products and services, including consulting; population health data analytics, interpretation and reporting; patient- and population-focused care management; health information technology optimization; and third-party administration (TPA) services. Non-TPA products and services are based on Geisinger innovations and expertise that have enabled Geisinger to consistently deliver high-quality care while controlling healthcare costs.

ProvenHealth Navigator®, Geisinger’s advanced medical home initiative, for example, has resulted in an 18 percent reduction in hospitalizations, a 24 percent reduction in readmissions, and a 20 percent reduction in emergency room visits for Medicare patients in 2011. The hospitalization and emergency room visit rates were 13 percent and 28 percent lower, respectively, in 2011 among commercially insured individuals cared for in advanced medical home sites compared with those cared for in nonmedical home sites. Geisinger has achieved similar results at several unaffiliated hospitals in Pennsylvania and a hospital in West Virginia, and it is working with health systems in Maine, New Jersey, Delaware, and several other states.

Earl P. Steinberg, MD, MPP, Geisinger’s executive vice president of innovation and dissemination, will serve as xG Health’s chief executive officer. To generalize and scale key Geisinger capabilities, xG Health has recruited a team of healthcare and technical experts who also will leverage physicians, nurses, case managers, clinical and actuarial informatics experts and hospital administrators from Geisinger’s Clinical Enterprise and Health Plan who have played key roles in Geisinger’s success. Dr. Steinberg is a nationally renowned expert in evaluation and improvement of healthcare. Before joining Geisinger, Dr. Steinberg was a successful entrepreneur, building Resolution Health into a leader in healthcare population analytics that was ultimately acquired by WellPoint.

“It’s a formidable task to meet the many challenges facing healthcare today,” said Steele. “It is generally accepted in the healthcare industry that somewhere between 30 to 40 percent of the care that is provided is not only unnecessary, but may actually cause harm to patients. We strongly believe that the products and services available through xG Health will provide proven solutions to help other healthcare systems improve their performance.”

About Geisinger Health System

Geisinger Health System is an integrated health services organization widely recognized for innovatively using the electronic health record and developing innovative care models such as ProvenHealth Navigator® and ProvenCare®. As the nation’s largest rural health services organization, Geisinger serves more than 2.6 million residents throughout 44 counties in central and northeastern Pennsylvania. The physician-led system is composed of more than 17,000 employees, including a 1,000-member multispecialty group practice, six hospital campuses, two research centers and the 310,000-member Geisinger Health Plan, all which leverage an estimated $5.5 billion positive impact on the Pennsylvania economy. The health system and the health plan have repeatedly garnered national accolades for integration, quality and service. In addition to fulfilling its patient care mission, Geisinger has a longstanding commitment to medical education, research and community service. For more information, visit www.geisinger.org, or follow the latest Geisinger news and more on Twitter and Facebook.

About Oak Investment Partners

Oak Investment Partners is a multistage venture capital firm and a lead investor in the next generation of enduring growth companies. Since 1978, the firm has invested $9 billion in nearly 500 companies around the world, earning the trust of entrepreneurs with a senior team that delivers steady guidance, deep domain expertise and a consistent investment philosophy. The firm’s five major growth sectors of focus are information technology, Internet and consumer, payments, healthcare services and clean energy. For more information, visit www.oakvc.com.



Rocky Edmondson RN, BSN, MBA, CCRN
Senior Director, Bundled Payments, Care Redesign and Management Advisors, xG Health Solutions

Rocky Edmondson is the Senior Director of Bundled Payments for Care Redesign and Management Advisors at xG Health Solutions. Rocky has been involved in workflow redesign, program implementation, and analytic evaluation of Bundled Payment Programs across the country, and he coaches Hospitals, Health Systems, Post-Acute Providers, and Physician Groups on how to successfully implement care redesign in the Bundled Payment for Care Improvement (BPCI) and CJR Programs.

Rocky’s passion is helping people to understand the intricacies of Bundled Payment Programs. He has a talent for teaching people how to cut through all the noise and just do the things that matter to be successful in these programs.

Rocky holds an Associate’s Degree in Nursing from the University of Hawaii Maui, and a Bachelor’s Degree in Nursing and a Master’s Degree in Business Administration (MBA) from Boise State University.

Prior to joining xG Health Solutions, Rocky was the Southeast Region Director of Clinical Operations for Remedy Partners, overseeing program design, implementation and analytic evaluations for Bundled Payment Programs. Prior to embarking on a career in Bundled Payments, Rocky was a Registered Nurse for 18 years, working in a number of positions within Critical Care. Before becoming a Nurse, Rocky was an Institutional Broker at Merrill Lynch and advised a number of healthcare systems and large corporations on cash management strategies. In addition, Rocky has started several businesses and provided consulting for small business startups. Rocky served in the U.S. Marine Corps as a Recon Marine.

Janet Comrey RN, BSN, MHSA
Director, Population Health Solutions, Geisinger Health System

Janet Comrey, RN, BSN, MHSA has over 30 years of diversified nursing and leadership experience at Geisinger Health system and currently serves as Director of a small department embedded within Population Health. One of her key roles is managing the Bundle Payment for Care Improvement (BPCI) program since January 2014 earning an overall positive net payment reconciliation to date. Janet also serves as the coordinator for Project Achieve at Geisinger which is a national PCORI funded study related to patient’s perceptions of transitions of care.

Janet received her nursing education through Geisinger’s diploma program, her BSN through Bloomsburg University, and later earned her graduate degree from Marywood University. During her tenure at Geisinger she taught quality improvement methodology and facilitated improvement teams the Geisinger Quality Institute. She is currently enrolled in the Institute for Healthcare Improvement Advisory program.

Professional memberships include Sigma Theta Tau, Phi Kappa Phi, American Society for Quality.

Andrew Blackmon, MBA, MHS
Chief Sales and Business Development Officer

Chief Sales and Business Development Officer Andrew Blackmon, MBA, MHS, has more than 18 years of experience in healthcare product sales, marketing, and strategy.

Before joining xG Health, Andrew was vice president of sales for population health and risk management solutions at McKesson. He came to McKesson through acquisition of MedVentive, an early population health vendor. Before MedVentive, he served as vice president of enterprise solutions development at MedAssets. He is a past president of the Georgia chapter of HIMSS, and he has held strategy and planning positions at PricewaterhouseCoopers and Orlando Health.

Andrew has an MBA and a Master’s of Health Science from the University of Florida Warrington, College of Business, and a Bachelor of Arts degree in Psychology from Rollins College.

Holly Barbella, RN, MBA

Risk Coordinator, Geisinger Health System

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Earl P. Steinberg, MD, MPP
Chief Executive Officer

Earl P. Steinberg, MD, MPP, is a nationally recognized expert in healthcare quality improvement and serves as xG Health’s chief executive officer. Earl also is an adjunct professor of Medicine and of Health Policy and Management at Johns Hopkins University and a member of Blue Cross/Blue Shield Association’s National Medical Advisory Panel.

Before joining xG Health, Earl was executive vice president of Innovation & Dissemination, and chief, Healthcare Solutions Enterprise at Geisinger Health System.

Before joining Geisinger, he was senior vice president for Clinical Strategy, Quality & Outcomes at WellPoint, Inc., the largest commercial health insurer by membership in the US, and president and CEO of Resolution Health Inc. (RHI), a leading healthcare data analysis company that provides innovative quality improvement and cost reduction services to health plans, employers, pharmacy benefit managers, and disease management companies.

Before joining RHI, Earl spent six years as vice president of Covance Health Economics and Outcomes Services Inc., director of its Quality Assessment and Improvement Systems Division, and co-director of its Outcomes Studies Group. He also spent 12 years on the full-time faculty at Johns Hopkins University, where he was professor of Medicine and of Health Policy and Management and director of the Johns Hopkins Program for Medical Technology and Practice Assessment, and four years on the Federal Physician Payment Review Commission. He co-chaired the Institute of Medicine’s panel on Standards for Development of Trustworthy Practice Guidelines.

Earl has received many awards, including the Henry J. Kaiser Family Foundation Faculty Scholar Award in General Internal Medicine (1984), the “Outstanding Young Investigator” Award from the Association for Health Services Research (1988), and a Special Presidential Visionary Award from the National Kidney Foundation (NFK) (2004) for his work as the scientific director of the NKF’s landmark Kidney Disease Outcomes and Quality Initiative, which produced more than 250 clinical practice guidelines for management of patients with end-stage renal disease. He also is a fellow of both the American College of Physicians and AcademyHealth, and he has published more than 125 articles in peer-reviewed journals.

Earl received his AB from Harvard College (summa cum laude), his medical degree from Harvard Medical School, and a Master of Public Policy from the Kennedy School of Government. He performed his residency training in internal medicine at Massachusetts General Hospital.