LabCorp 2015 Annual Report Download - page 4

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Laboratory Corporation of America® Holdings together with its subsidiaries (LabCorp® or the Company) is the world’s leading healthcare diagnostics
company, providing comprehensive clinical laboratory services and end-to-end drug development support. The Company’s strategic vision is to improve
health and improve lives by delivering world class diagnostic solutions, bringing innovative medicines to patients faster and developing technology-
enabled solutions to change the way care is provided.
The Company, headquartered in Burlington, North Carolina, is a Delaware corporation and was incorporated in 1971 and was listed on the New York
Stock Exchange under the ticker symbol LH in 1995. On February 19, 2015, the Company completed its acquisition of Covance Inc. (Acquisition), a global
leader in drug development services, which significantly expanded the Company’s offering to the biopharmaceutical industry, increased the Company’s
international presence and enhanced the Company’s financial growth opportunities.
The Company has more than 50,000 employees and serves more than 220,000 customers, including managed care organizations (MCOs),
biopharmaceutical companies, governmental agencies, physicians, hospitals and health systems, employers, patients and consumers, food and nutritional
companies and independent clinical laboratories. The Company believes that it generated more revenue from laboratory testing than any other company in
the world in 2015.
The Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, and all amendments to those reports are
made available free of charge through the Investor Relations section of the Company’s Website at www.labcorp.com as soon as reasonably practicable after
such material is electronically filed with, or furnished to, the Securities and Exchange Commission (SEC). Additionally, the SEC maintains an Internet
Website at http://www.sec.gov that contains reports, proxy and information statements, and other information regarding issuers, including the Company, that
file electronically with the SEC. The public may also read and copy any materials that the Company files with the SEC at the SEC's Public Reference Room
at 100 F Street, NE, Washington, DC 20549. Information on the operation of the Public Reference Room may be obtained by calling the SEC at 1-800-SEC-
0330.
The matters discussed in this “Business” section should be read in conjunction with the Consolidated Financial Statements found in Item 8 of Part II of
this report, which include additional financial information about the Company, including financial information about geographic areas. This report includes
forward-looking statements that involve risks or uncertainties. The Company’s results could differ materially from those anticipated in these forward-looking
statements as a result of certain factors, including the risk factors described in Item 1A of Part I of this report and elsewhere. For more information about
forward-looking statements, see “Forward Looking Statements” in Item 7.
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The Company reports its business in two segments, LabCorp Diagnostics (LCD) and Covance Drug Development (CDD). For further financial information
about these segments, including information for each of the last three fiscal years regarding revenue, operating income and other important information, see
Note 20 to the Consolidated Financial Statements. In 2015, LCD and CDD contributed 72.9% and 27.1%, respectively, of net revenues to the Company.
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LCD is an independent clinical laboratory business that consists of a network of 39 primary laboratories and approximately 1,700 patient service centers
(PSCs) along with a network of branches and STAT laboratories, which offer a focused menu of routine and frequently ordered tests with the ability to
perform quickly and report the results to the physician.
With over 36,000 employees, LCD processes tests on approximately 500,000 patient specimens daily and has clinical laboratory locations throughout
the U.S. and other countries including Canada, the U.K. and the United Arab Emirates. Its clients include physicians, hospitals, MCOs, governmental
agencies, employers, and other independent clinical laboratories that do not have as wide a range of testing capabilities.
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Laboratory tests and procedures are used generally by hospitals, physicians and other healthcare providers and commercial clients to assist in the
diagnosis, monitoring and treatment of diseases and medical conditions through the examination of substances in blood, tissues and other specimens. The
results of such tests can help in the evaluation of health, the detection of conditions or
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