How Much Money Is A Pint Of Blood

Close to half a million dollars worth of donated blood is at the eye of a lawsuit betwixt Oklahoma Blood Institute and a Minneapolis-based blood broker.

But information technology's the details revealed in court filings and interviews nearly the high-dollar market for human being blood and blood products that may come as a daze to donors, who requite away the valuable product for complimentary.

Donors ofttimes believe their blood is given to local hospitals, and all donations stay in the community — neither of which is true. A pint of claret in America sells to hospitals for $180 to $300, depending on the market, and expired blood often is sold to enquiry laboratories, said Ben Bowman, principal executive of General Blood, the blood banker engaged in a legal tussle with Oklahoma City-based OBI.

OBI Responds:

Bowman's company, formed four years ago, acts as a middleman betwixt blood suppliers, like blood donation centers, and buyers such as hospitals and research laboratories.

Information technology's an unusual industry considering the product is completely dependent on donors, who aren't paid for their donation. All the same selling the blood — which technically is a pharmaceutical product—makes millions of dollars for nonprofit entities such as Oklahoma Claret Found.

"Nosotros have a charitable side, which is trying to motivate people to do an amazing thing to help their swain human being or woman," said Dr. John Armitage, OBI's chief executive officer. "You turn that effectually: We are providing a drug. On the business concern side of what we do, the comparing is to a pharmaceutical company."

According to taxation forms filed with the IRS, OBI generated $85.6 meg in the tax yr catastrophe March 31, 2013.

And its top executives are well paid. Armitage reported earning $421,561 from OBI that year. Numerous others were making half-dozen-figure salaries, including Chief Fiscal Officeholder Randall Stark, who reported earning $202,886, and Chief Medical Officer James Westward. Smith, who earned $273,597.

The organization has six vice presidents, all making $140,000 or more.

Armitage, who spoke with The Oklahoman on Thursday, says the compensation is off-white and comparable to like large, nonprofit companies in Oklahoma City.

On its tax form, OBI describes one of its key programs every bit managing the blood donations from more than 209,000 people each year. The claret is tested and processed by OBI, then distributed "to patients across the states we serve," a task that cost $65 million just generated $75 1000000 in the 2012 tax twelvemonth.

"Technically, we similar to say the claret is gratis, simply they (hospitals) pay a service charge" for the blood bags and testing and drivers to go the unit in that location, Armitage explained. "Information technology's bundled, and then it's a service fee."

Lawsuit

Bowman says at once, OBI was spending $2 million annually with his company.

"They were running an efficient operation and had proficient pricing and for whatever reason ... they slowly stopped sending u.s. product," Bowman said.

On June thirteen, OBI filed suit confronting General Blood in Hennepin Canton (Minn.) Commune Courtroom, asking a guess to honor the organisation the $426,302 information technology claims General Blood owes. Several bi-weekly invoices were included, each ranging from $21,000 to $101,000.

General Blood fired back in court filings, denying information technology had failed to pay its bills and instead accusing OBI of violating a confidentiality agreement, costing the company $15 million in a deal with a Utah laboratory.

Armitage says OBI is no longer doing business organization with Full general Blood.

"They essentially constructed an statement that nosotros know has zilch merit," he said. "We call up their claims are groundless."

Ane reason OBI works with claret brokers is to avoid waste, something donors should appreciate, Armitage said. "If a unit of measurement of blood is well-nigh to elapse, we endeavor to discover a home for it," he said.

Cherry claret cells generally are considered expired after 42 days. More specialized products, such as platelets, last simply five days.

Bowman explains why his company'southward payments to OBI stopped. "Information technology'due south not like we ran out of money. ... Nosotros're running a very robust concern. Simply it was just, 'Hey, if you actually damaged united states to the melody of over $14 million past breaching your agreement of confidentiality and not-circumvent, we desire to meet that play out before we cutting any checks.'"

Misconceptions

Bowman says he wishes in that location was more transparency in the blood donation industry.

"The general public — 99 percentage of Americans — don't know that claret is sold," he said.

Armitage said since blood banks tin can't pay donors, they have to inspire them with the donating side of what they are doing.

"That's why we spend then much fourth dimension focused on the amazing, giving forepart of what we do," Armitage said. "On the back end, nosotros are supplying an FDA-approved drug with all the traceability and trackability and quality parameters behind information technology out to hospitals who, in a lot of places, call back of us as a specialty pharmaceutical product."

Source: https://www.oklahoman.com/story/lifestyle/health-fitness/2014/07/05/what-many-donors-dont-know-their-blood-is-sold/60813970007/#:~:text=A%20pint%20of%20blood%20in,with%20Oklahoma%20City%2Dbased%20OBI.

Posted by: leefolong.blogspot.com

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