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The Honolulu Advertiser
Posted on: Tuesday, January 20, 2004

Straub to cut pediatrics, ob-gyn departments

By Robbie Dingeman
Advertiser Health Writer

Straub Clinic & Hospital is eliminating four departments, including pediatrics and obstetrics/gynecology at its flagship King Street hospital, as part of a cost-cutting and restructuring move, officials said.

The cuts will affect about 13 doctors and take place over the next four months, Straub spokeswoman Claire Tong said.

Services at Straub's eight community clinics statewide will not be affected, Tong said.

It wasn't immediately clear how patients would be affected. Straub will offer affected doctors the option of continuing to see patients there under their private practice, rather than as employees of Straub. Straub would rent office space to those doctors.

Straub Chief Executive Officer Ray Vara announced the change in a Jan. 14 memo to employees at the hospital.

"Recent evaluation of the services located at our King Street campus has made it clear that change is necessary," Vara said in the memo. He said cost-cutting was part of the decision. The other hospital-run services targeted for termination are occupational medicine and urogynecology.

"This decision was based on analysis of clinic performance, overall organizational impact, cost structure, capital requirements and strategy," Vara said.

Tong said the hospital plans to focus on such specialties as heart disease, radiology, cancer, orthopedics and gastroenterology. "We are trying to grow areas that the community needs," she said.

Although Straub is cutting its pediatrics and ob-gyn departments, such services are offered by its sister hospital, Kapi'olani Medical Center for Women and Children.

In December 2001, Straub merged with Kapi'olani Health and Wilcox Health System to form Hawaii Pacific Health, a not-for-profit corporation. That merger combined four hospitals: Straub, Kapi'olani Medical Center for Women and Children, Kapi'olani Medical Center at Pali Momi in 'Aiea and Wilcox Memorial Hospital on Kaua'i.

Tong said the move to in-demand specialties will allow Straub to add a CT scanner and pediatric heart services, as well as a surgeon who specializes in gastroenterology. She said the hospital also plans to begin other long-delayed and visible improvements to the King Street hospital within the month at the entrance, surgical service and intensive-care units, and the emergency room.

"While I recognize these changes are difficult, I believe they are critical to our future success," Vara said.

Reach Robbie Dingeman at rdingeman@honoluluadvertiser.com or 535-2429.