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Walgreens to roll out LabCorp services in some area drugstores this year LaMantia, Jonathan . Crain's New York Business ; New York  Vol. 36, Iss. 5,  (Feb 17, 2020): 7.

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FULL TEXT Walgreens is planning to add LabCorp services to 15 of its drugstores in the metro area later this year as the

pharmacy looks to provide more health services, the company confirmed to Crain's.

LabCorp will offer diagnostic testing at some locations in Nassau, Suffolk, Westchester and Rockland counties in

New York; Fairfield County in Connecticut; and Hudson County in New Jersey.

The LabCorp units will start opening in the middle of the year, a Walgreens spokeswoman said, and the company is

finalizing the specific stores. None of the locations will be in New York City, she said.

"These sites reflect Walgreens and LabCorp's shared objective to provide a differentiated, consumer-focused

experience that provides access to a broad range of health care services," the Walgreens spokeswoman said.

Industry trend

The drugstore chain's work with LabCorp is one of several examples of retailers pushing further into health care.

LabCorp first started embedding lab-testing sites in Walgreens stores in 2017, and the sites are now in nine states.

LabCorp pledged to open at least 600 patient-service centers in Walgreens locations.

CVS has aggressively added health services to its stores, including its MinuteClinics and Coram infusion centers.

In New York 18 CVS locations have optical shops as well. When the chain acquired Aetna in 2018, it said it would

create a series of HealthHub locations to help patients manage chronic conditions. Last year it announced plans

to open 1,500 HealthHubs by 2021.

The closest HealthHubs to New York City are in southern New Jersey and Philadelphia.

As traditional retail has struggled, the chains have looked for a boost by teaming with other brands. For example,

CVS also has made space within its stores available to Fedex and Sprint in order to get customers in the door. But

growing the chains' in-store health care business has been key, said Brian Tanquilut, a Nashville-based analyst

covering the industry for Jefferies.

"It helps them reinforce the strategy of being health carefocused as health care shifts to more consumer settings,"

he said.

Tanquilut said the expanded roll-out of LabCorp services inside Walgreens stores makes it easier for patients to

follow through on their doctors' lab requests and generates more foot traffic for Walgreens.

"On the surface, CVS is ahead of the game in terms of shifting the focus to health care," Tanquilut said. DETAILS

Subject: Health services; Drug stores

Business indexing term: Subject: Drug stores; Corporation: Walgreen Co Laboratory Corp of America Holdings

Location: New York City New York Connecticut New York Nashville Tennessee New Jersey

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Database copyright  2020 ProQuest LLC. All rights reserved.

Company / organization: Name: Walgreen Co; NAICS: 446110; Name: Laboratory Corp of America Holdings;

NAICS: 541714, 621511

Publication title: Crain's New York Business; New Yor k

Volume: 36

Issue: 5

First page: 7

Publication year: 2020

Publication date: Feb 17, 2020

Publisher: Crain Communications, Incorporated

Place of publication: New York

Country of publication: United States, New York

Publication subject: Business And Economics

ISSN: 8756789X

Source type: Trade Journals

Language of publication: English

Document type: News

ProQuest document ID: 2358804851

Document URL: http://library.capella.edu/login?qurl=https%3A%2F%2Fwww.proquest.com%2 Ftrade-

journals%2Fwalgreens-roll-out-labcorp-services-some-

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Copyright: Copyright 2020 Crain Communications Inc. All Rights Reserved.

Last updated: 2020-11-18

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