According to a survey conducted by consulting firm KPMG LLP, healthcare industry managers and executives are expecting profits to be hurt from the introduction of value-based contracting.

The KPMG survey, which polled 240 representatives from hospitals, physician practices, health plans and pharmaceutical companies, found that approximately one-third (33 percent) of healthcare managers said they expect value-based contracts to dampen operating results. In fact, more than 12 percent of the respondents expect operating income to fall 10 percent or greater from these agreements.

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