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DAVITA El Segundo, California; Dialysis Centers Face Heavy Demand In U.S.(THE NEW AMERICA)

Investor's Business Daily

| April 01, 2004 | COPYRIGHT 2004 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: DAVID ISAAC

Imagine if you had to visit a center three times a week to get your blood cleaned. Sounds downright ghoulish.

It's reality for those with kidney failure.

Technically, the ailment is known as end stage renal disease. Some patients -- the luckier ones -- receive kidney transplants

But most of those with chronic kidney failure -- 90.1% in 2001, according to the U.S. Renal Data System -- visit an outpatient dialysis center. During dialysis, a machine does the things kidneys usually do: cleanse blood of toxins, salt and fluids.

Rising demand for outpatient dialysis centers drives growth at DaVita, which provides dialysis services at 300 hospitals.

The company serves more than 48,000 patients in the U.S., making it the second largest provider of dialysis services in the country. It holds about 15% of the market, says analyst Balaji Gandhi of Deutsche Bank Securities Inc.

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