Banner Health scooped up one of the crown jewels of Arizona's medical-research community last week as part of its acquisition of the Sun Health system. Along with naming new executives for Sun Health's two West Valley hospitals, Banner announced new administrative leadership at Sun Health Research Institute

(SHRI), widely known for its research on Alzheimer's disease and other age-related ailments.

Joseph Rogers, who with Sun Health Corp. founded SHRI in 1986, has stepped down from his role as the institute's CEO, but is retaining his roles as senior scientist at SHRI's L. J. Roberts Center for Alzheimer's Research. William Camp, formerly executive vice president and COO, is the institute's new CEO. Marwan Sabbagh has added the title of chief medical/scientific officer to his role as director of SHRI's Cleo Roberts Center for Clinical Research.

"I'm just going to be one of the scientists now," Dr. Rogers said in the Arizona Republic. "But I had a wonderful ride. I am looking forward to getting back in the lab and continue what I started 35 years ago: creating a cure," for Alzheimer's disease.

Banner has not announced intentions to subsume SHRI into one or more of its existing research arms, but the Sun Health acquisition will enable more-seamless collaboration between scientists at such entities as Banner Alzheimer's Institute and those at SHRI. Banner and Sun Health researchers already have a history of working together on various studies, including those coordinated by the Arizona Alzheimer's Consortium.

"The level of collaboration will tremendously enhance research, having them all under the same umbrella," said Bill Byron, Banner's system director of public relations, in the West Valley Daily News-Sun. "It will be pretty powerful, and we're very excited."

Banner and Sun Health, which announced plans to merge nearly a year ago, received the Federal Trade Commission's approval for the transaction on June 27. Under terms of the acquisition, Banner is paying $316 million for Sun Health, and has agreed to assume around $200 million in Sun Health debt. The two Sun Health hospitals have been renamed Banner Boswell Medical Center (in Sun City) and Banner Del. E. Webb Medical Center (in Sun City West); SHRI will retain its name.

"All of our planning efforts have been focused on this week for a long time," Banner CEO Peter Fine said in the Republic. The Sun City communities "can expect Banner to continue to invest resources into their community to provide the best health-care service that we can and continue to support all the efforts they have had over time."

Additional personnel transitions include Dave Cheney, formerly senior administrator at Banner Good Samaritan, assuming the role of CEO of Banner Boswell, and Becky Kuhn, formerly CEO of Banner Gateway, assuming the role of CEO of Banner Del E. Webb. Nancy Burton, formerly CEO of Sun Health Boswell, is the new CEO of Banner Ironwood.

Banner now has 11 hospitals in the Phoenix area, and with over 28,000 employees in the region, it is Arizona's second-largest private employer. In addition to the two hospitals and SHRI, Banner also acquired Sun Health MediSun (a health-insurance plan), Sun Health Boswell Rehabilitation Center, Sun Health Residence for Alzheimer's Care, Sun Health Residence for Special Adults, Sun Health Olive Branch Senior Center, and Sun Health Community Education & Wellness Center.

One of the greatest assets of the Sun Health system was its network of volunteers and donors--especially tissue donors; SHRI operates one of the largest brain banks in the world, and has recently expanded that program into a sophisticated Brain and Body Donation Program. Banner has indicated its intention to sustain such community-centered programs.

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For more information:

"Banner completes acquisition of Sun Health," Arizona Republic, 09/03/2008

"Leadership changes mark merger," Daily News-Sun, 09/03/2008

Banner Health news release, 09/02/2008