Med Center Health partners with DeRoyal and Premier Inc. to expand production of isolation gowns

Med Center Health
Med Center Health(MCH)
Published: Nov. 23, 2020 at 10:11 AM CST
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BOWLING GREEN, Ky. (WBKO) - Med Center Health partnered with DeRoyal Industries Inc., a global medical manufacturer, and Premier Inc., a leading performance improvement company, to create a new joint venture dedicated to the domestic production of isolation gowns.

The joint venture will produce isolation gowns in an existing facility outside Knoxville, Tenn., with raw materials sourced from U.S.-based manufacturers. Backup capacity will come from Mexico and South America.

“We are excited to work with Premier and DeRoyal on a domestic solution,” said Fred Genter, Vice President of Supply Chain Management with Med Center Health. “Having a PPE manufacturer this close to home will help protect the supply chain, and allow us to keep staff and patients safe.”

“Domestic manufacturers face tremendous handicaps against foreign competitors, many of whom draw from among the cheapest labor and supply markets on the planet,” said Brian DeBusk, DeRoyal CEO. “One way we can restore diverse, on-shore and near-shore manufacturing is by investing in automation combined with assurances of long-term purchasing volume at fair prices. With this added certainty, we are now able to move into an entirely new product category, create new American jobs and offer a domestic option for providers where one didn’t exist previously. Our intent is to leverage automation to remain price competitive for the long term.”

“Med Center Health is an early leader, stepping up and putting their investment dollars to work in ways that will help protect communities, patients and healthcare workers from shortages of essential medical products,” said Premier President Michael J. Alkire. “This is truly a win-win strategy – where Med Center Health will have access to a broader array of quality products at a fair price, all while rebuilding domestic manufacturing and better insulating communities from risk and disruption.”

The joint venture with DeRoyal and Premier is part of Med Center Health’s ongoing strategy to create supply chain resiliency and invest in domestic and geographically diverse manufacturers, including those producing products in shortage due to the COVID-19 pandemic.

Gowns produced by the new joint venture are expected to be available in mid-2021.

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