# Optical Forums > General Optics and Eyecare Discussion Forum >  VSP buying who?

## ADO

Posted on V-mail today.

VSP Vision Care recently filed with Californias Department of Managed Health Care for approval of a planned $700 million acquisition of all of the outstanding stock of a vision care company, unnamed in the filing. 

In a note to a financial statement filed with the department for the period ended March 31, VSP said it had entered into a definite agreement on April 30 to acquire the unnamed company, with financing for the purchase to be funded through a combination of available cash and debt which is in the process of being arranged. 

The California filing said VSP also would file with the Connecticut Department of Insurance, and that the acquisition is pending and subject to receiving such approvals. 

VSP executives declined to comment on the California filing; a company spokesman said VSP can't comment on a filing that is still pending. The spokesman also would not identify the other firm involved. 

VSP has been in a strong expansion mode since last fall, first making an equity investment in Perfect Optics in Vista, Calif., then acquiring Legends 4.0, located near Dallas. On June 5, VSP announced it had acquired Tri-City Optical in Clearwater, Fla., in partnership with Carl Zeiss Vision, as well. 

Rob Lynch, VSPs president and chief executive officer, has publicly stated that the company is considering other lab acquisitions, possibly in partnership with lens suppliers. In a related development, VSP launched a private label line of progressive lenses this week.

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## Russ in Texas

I hope it's Davis Vision :angry:.  That's absolutely the worst vision plan we take right now.  It's a total ripoff for the optical in my opinion.   I'd get rid of it but a company that I have a valuable safety eyewear contract with uses it.  I'd take VSP over Davis any day.

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## pga0008

I have been hearing for a little while that VSP would be buying Marchon. But who knows. With all that money they can buy whom ever they want. Just think though, if the rumor about Marchon is true they then control half of an offices frames board and now lenses coming with lab. So the path is use our frames, with our private label lens and send it to our lab.

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## buckeyeguy

if thats true good bye Marchon

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## ADO

I am wondering if the name of the company and the motive behind it are not in the announcement already.

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## Johns

> if thats true good bye Marchon


Why?  Hasn't VSP built the Altrair line into a megapower house?  I'll bet I have 10 people a day coming in and saying, " I'd like to see something in the Altair line".
:bbg:

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## Grubendol

I have heard Marchon from several sources too.   

And Marchon's a little different from Altair.

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## buckeyeguy

> Why? Hasn't VSP built the Altrair line into a megapower house? I'll bet I have 10 people a day coming in and saying, " I'd like to see something in the Altair line".
> :bbg:


 
Yeah they are our top sellers!;)

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## wolfman

It would be nice if it was Spectera. I doubt that I'm that lucky though.

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## obxeyeguy

> I hope it's Davis Vision :angry:. That's absolutely the worst vision plan we take right now. It's a total ripoff for the optical in my opinion. I'd get rid of it but a company that I have a valuable safety eyewear contract with uses it. I'd take VSP over Davis any day.


Would not happen.  Highmark owns davis, and oh, buy the way, owns VIVA!!!!  They can have both of them for all I care.

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## Johns

I find it amazing all the folks that are hoping VSP will buy another 3rd party that they don't like!  If that keeps happening, and there's only VSP left...then what do you hope for.

I wish some of these folks could experience a world, not long ago, where you had a say in what you charged for your services. 

I can't believe the number of practitioners (not just on this board) that have the attitue of, "Well, at least they allow us to make___much."  

ON a side note:  Has anyone recieved the mailing from VSP disparaging Luxottica?  It's a real laugher!  It says something like " Over 40% of Eyemed members get their eyewear from a Luxottica chain store."   It just goes to show that VSP is feeling the heat from all sides.

Turn up the heat!!:angry:

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## bob_f_aboc

If all "insurance" was to go back to the days of "Major Medical" where you didn't use insurance for a cold or a cut but only for major expenses (hospital, surgery, trauma care, etc.) this industry would be able to lower prices and make more.  

As long as the insurance companies dictate how much we charge patients, nobody but the insurance companies will make money.

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## Uncle Fester

I just love the smell of Optidirt in the morning.

Smells like------Victory.

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## Andrew Weiss

> I just love the smell of Optidirt in the morning.
> 
> Smells like------Victory.


For whom?  :Confused: 

G'day, Fester, hope all's well in my old digs.

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## Chris Ryser

> *I just love the smell of Optidirt in the morning.*
> 
> *Smells like------Victory.*


Fester................Could you define that word a bit closer ?  Was not able to find in dictionary.

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## Uncle Fester

> For whom? 
> 
> G'day, Fester, hope all's well in my old digs.


I just can't help a chance at using a good Apocalypse Now quote (paraphrase). :Eek:

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## Uncle Fester

> Fester................Could you define that word a bit closer ?  Was not able to find in dictionary.


Optidirt-A rumor, usually unsubstantiated, about something of or relating to the optical world.:)

PS- Been using it since before there was an Optiboard.

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## cocoisland58

> if thats true good bye Marchon


Only carry Nike so no big deal and our rep already jumped ship to another company. Lots of jumping around with our reps lately but all seemingly good moves.

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## cocoisland58

> Why? Hasn't VSP built the Altrair line into a megapower house? I'll bet I have 10 people a day coming in and saying, " I'd like to see something in the Altair line".
> :bbg:


This office has been with VSP for ten years and not once have I ever heard anyone ask for Altair. Seriously.

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## cocoisland58

> Yeah they are our top sellers!;)


You don't really carry Altair do you?

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## bob_f_aboc

> This office has been with VSP for ten years and not once have I ever heard anyone ask for Altair. Seriously.


Sure you have, "Where are those ones that are free with my insurance?"

(Translation:  Please show me the Genesis line of eyewear manufactured by Altair Eyewear.)

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## Johns

> As long as the insurance companies dictate how much we charge patients, nobody but the insurance companies will make money.


 
:cheers::cheers::cheers:

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## optical24/7

> As long as the insurance companies dictate how much we charge patients, nobody but the insurance companies will make money.


 
As long as offices keep accepting these plans, you'll be dictated too. Just stop taking them! There _is_ life (and profit) without accepting _any_ insurance!

:cheers:

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## ADO

I don't believe it is a frame company or an insurance company. I am guessing it is a lab and lens manufacturer. Strictly a guess though.

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## bob_f_aboc

> As long as offices keep accepting these plans, you'll be dictated too. Just stop taking them! There _is_ life (and profit) without accepting _any_ insurance!
> 
> :cheers:


If I was in the position to make those descisions for my office I would have long ago. Unfortunately, I'm not and can't afford to open my own shop. So I am stuck here for at least the time being.  :Mad:

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## cocoisland58

> Sure you have, "Where are those ones that are free with my insurance?"
> 
> (Translation: Please show me the Genesis line of eyewear manufactured by Altair Eyewear.)


Well they'e never said "Altair" and I don't have any to show them anyway. 99% of the time they come in and ask me what their coverage is on a frame. I look at the fax, say "they cover $$$.00 towards any frame and you get 20% off the difference out of pocket.

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## "X"

I heard last week, from a very reliable source, that it is indeed Marchon.
At $700,000,000 (that's a heck of a lot of zeros), it is definitely a big player. Looks like they're okay with no longer being a non-profit.
It's unfortunate that the industry has had such a difficult time establishing some credibility and value in the public's eye, which has directly led to the growth of vision insurance. The public feels they need vision insurance. 
We are a tremendous value when you look at other medical specialties. A simple E.R. visit will cost you what a comprehensive exam and a simple pair of glasses will. How can the public justify paying $400 for a GPS unit that takes them to the same places they've been going to for years, or sleep out all night in the middle of winter to spend $800 on a Playstation 3, but kick and moan about spending LESS to maintain healthy vision (which happens to be the sense that they value the most)?
Shame on us, we just sit back and watch.:finger:

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## IndianaOD

Well said.

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## Uncle Fester

> I heard last week, from a very reliable source, that it is indeed Marchon.
> Shame on us, we just sit back and watch.:finger:


The horror.  The horror.

Cue- The Doors... The End

PS Jim Morrison died 36 years ago to the day today.

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## john-atlanta

I have also heard that it is Marchon.  Who does that leave as big independents? :Confused: 

John

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## optigrrl

I thought the press release said "vision care companies" - wouldn't they have said "vision care products company"?

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## allanon

Can't stand Marchon either.  I'd carry Lux before Marchon.

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## Matthew

Dont you find it amazing VSP has that kind of money?  

Its really not hard to believe when a practice has been a VSP provider in the past and knows first hand how little the compensations are.   :cry:

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## chip anderson

Anybody ever looked into VSP's books.  Particularly the amounts collected vs. the amount paid out for patient claims.  And of course the amount *claimed* to have been paid out for patient claims?

Chip

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## Jacqui

> Anybody ever looked into VSP's books.  Particularly the amounts collected vs. the amount paid out for patient claims.  And of course the amount *claimed* to have been paid out for patient claims?
> 
> Chip


A good project for Congress and/or the IRS

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## chip anderson

Appearently at least the tax courts have looked into them.
I found the abouve post and link after posting my comments in this thread.

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## tigerlilly

What's the deal with Cigna and VSP? That whole thing is confusing.

There are too many monopolies, period, in too many industries. It's not a good thing for optical or any other business.

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## Foveator

> I heard last week, from a very reliable source, that it is indeed Marchon.


So instead of a frame company buying a major insurance plan, here's an insurance plan buying a major frame company.

Both use the purchase to get into thousands of additional offices. Will another commercial chain be forthcoming or will a mammoth virtual chain arise in private offices to challenge the LC behemoth?

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## allanon

Does Marchon already manufacture the Altair frames for VSP?

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## Foveator

I'm puzzled by this part of the news release. 

There would be no need to seek the approval of a CT regulatory department if it were just a frame company like Marchon or even a chain of labs being purchased.

It may be a bigger deal than we are imagining. Recall that RLI was a small "lens insurance" company that grew into a huge player in other markets before dropping optical altogether. 

*RLI reports record year*PEORIA, ILLINOIS, January 22, 2008 -- RLI Corp. (NYSE: RLI)  RLI Corp. reported 2007 *net* *earnings of $175.9 million*($7.30 per share), compared to $134.6 million ($5.27 per share) reported in 2006.

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## shanbaum

> There would be no need to seek the approval of a CT regulatory department if it were just a frame company like Marchon or even a chain of labs being purchased.


That would surprise me; I would expect any purchase of another business by a company that falls under the purview of the CT Insurance Department (which I would expect to include prepaid plan operators like VSP) would be subject to review.  The Department's concern is directed less towards the purchased entity than the purchasing entity; they have to ensure the purchaser's ongoing solvency.

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## brucekrymow

> Appearently at least the tax courts have looked into them.
> I found the abouve post and link after posting my comments in this thread.


I saw that, too - VERY insightful. Hard to believe some of the stuff. It's a *must-see*. Here's the URL:

http://www.optiboard.com/forums/showthread.php?p=251432

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## drk

From the perspective of EyeMed vs. VSP, I would not be suprised.

What do they gain? I guess that they will (continue to) be in the frame retailing business as well.

Eyemed has the advantage of underselling VSP with groups; what they lose on the front end, they can make up on the back end...Eyemed collects dollars from employers and employees and then doesn't get burned by utilization, like VSP does.

I read the VSP report, too. IIRC, VSP collects $2 for every $1 paid out in benefits. The more the utilization, the less VSP keeps (used to be non-taxed, as well!). (Have you ever wondered why VSP doesn't provide members with plan identification cards? To keep utilization low.)

But Eyemed doesn't have that problem. Utilize to the members' heart's content...they'll upsell them at Lenscrafters, anyway. Generates foot traffic and gets people into the habit of buying glasses. Gotta give it to the guys.

Now if VSP owns Marchon, then they can have you order it from them online when submitting a claim, and they will make all the more. They can also compete with Eyemed in the healthcare buying market...lesser cost for equal benefits, subsidized by increasing frame sales.

Marchon makes sense: they're big and broad enough to compete in the US market. They're small enough in the sense that they're a US company. (It's not like they could purchase Safilo or something.)

The question will be: Who's AFTER Marchon? Tura? Just depends on when the DeBergs and whomever owns Tura is ready to ca$h out.  Other than that, I don't see any plum US frame companies anymore.

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## optigrrl

VSP has been looking to go into the lab side, even the lens manufacturing part of the industry. 

Zeiss/Sola wouldn't be opposed to selling off their US lab operations...:drop:

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## Johns

> Does Marchon already manufacture the Altair frames for VSP?


Marchon doesn't manufacture ANY frames.  They simple have their name put on it , and set up a distribution chanell to sell it.

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## Johns

> Dont you find it amazing VSP has that kind of money?


Amazing?  No...  all that money used to go to the ODs, but they traded it in for more traffic.

(I say "ODs" because opticians can't take VSP.)

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## "X"

> Amazing? No... all that money used to go to the ODs, but they traded it in for more traffic.
> 
> (I say "ODs" because opticians can't take VSP.)


ODs AND labs.

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## rdcoach5

> Marchon doesn't manufacture ANY frames. They simple have their name put on it , and set up a distribution chanell to sell it.


I know , or at least I have been told, that Charmant always made their memory metals, but I find it astounding that they never made their own frames. If that is true, how did they (Marchon) ever get their start in the frame business?

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## Fezz

> I know , or at least I have been told, that Charmant always made their memory metals, but I find it astounding that they never made their own frames. If that is true, how did they (Marchon) ever get their start in the frame business?


Avant-Garde/Luxottica!

My understanding is that Avant-Garde, which was family run, was sold to Lux. The Moms, and Pops, with their new found riches, funded a couple of their kids eyewear ventures=Marchon.

I am probably wrong, but will research for real facts!

OK...

Here is what I was looking for!! Sorry it took so long!!!

http://www.optiboard.com/forums/showthread.php?t=14914

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## optigrrl

My final answer (guess) is:


*CIGNA*

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## john-atlanta

> My final answer (guess) is:
> 
> 
> *CIGNA*



Now, that is FUNNY!!!:bbg:

CIGNA

Note that market cap (10.07 BILLion)

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## Fezz

Maybe....just maybe they will...


Buy FezzJohns, Inc.!!!!!!


Oh yeah......Easy Street, here we come!!


:cheers::cheers::cheers::cheers:

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## Jacqui

> Maybe....just maybe they will...
> 
> 
> Buy FezzJohns, Inc.!!!!!!
> 
> 
> Oh yeah......Easy Street, here we come!!
> 
> 
> :cheers::cheers::cheers::cheers:


Nah, they're going to buy my lab. I could retire on 700 Million  :Cool: 

:cheers:

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## bob_f_aboc

> Nah, they're going to buy my lab. I could retire on 700 Million 
> 
> :cheers:


You might still need to go in at least one day per week.  For disposible income...:cheers:

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## Andy Bernard

> I don't believe it is a frame company or an insurance company. I am guessing it is a lab and lens manufacturer. Strictly a guess though.


 I would guess a lens manufacturer as well. I heard something about a "VSP PAL" ??? There is one sort of smaller lens company with headquarters in Minnesota?? I could see that happening. I am strictly guessing also.  :Confused:

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## drk

I don't see how a lens company helps them  :Confused:

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## L.A.B.

I heard it's a frame company as well but one that actually manufactures. They would have to do that to compete with Lux, which is their goal. Lux  has purchased several large manufacturing plants in china so eventually anyone who doesn't manufacture or gets their product in China, will have difficulty getting product.

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## snotbagel

They originally sold themselves as being optometrist owned and operated. now they're just corporate..and selling discount plans, no less..what do we get out of that?????

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## Uncle Fester

> They originally sold themselves as being optometrist owned and operated. now they're just corporate..and selling discount plans, no less..what do we get out of that?????


A resounding *SMACK* followed by a "Thank you sir may I please have another!"

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## cocoisland58

Judging by something odd I recieved when I authorized a patient's benefits yesterday I am going to say NVA.

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## john-atlanta

There are over 600 frame manufacturing plants in China, so it seems impossible that Lux or anyone else could ever buy enough manufacturing capacity in China to affect availability.  If anyone tried, the nature of the market is that more manufacturing operations would open to capitalize on the opportunity that created for them.





> I heard it's a frame company as well but one that actually manufactures. They would have to do that to compete with Lux, which is their goal. Lux  has purchased several large manufacturing plants in china so eventually anyone who doesn't manufacture or gets their product in China, will have difficulty getting product.

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## Jacqui

I still think it's a care provider. Labs, lens companies and frame manufacturers just don't make sense, unless they are buying a number of them.

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## Jacqui

> I would guess a lens manufacturer as well. I heard something about a "VSP PAL" ??? There is one sort of smaller lens company with headquarters in Minnesota?? I could see that happening. I am strictly guessing also.


That one is for sale for a lot less. You could start one for less than $700 Million.

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## fvc2020

Hey wanted to throw my 10 cents in.  I spoke to my Calvin rep and he said his boss was in closed meetings in NewYork, unable to be reached.  he also said that he had heard from another marchon rep that vsp is buying them


christina

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## L.A.B.

I hear it was a done deal today between VSP and Marchon.

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## Fezz

I called Marchon on Friday and asked the customer (dis) service rep if they had been sold to VSP. Right after she gasped loudly....she exclaimed "I sure hope not!".

I said " I sure hope not either!"


;):cheers::bbg::cheers:;)

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## Jacqui

I still say it's a care provider.

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## Chris Ryser

So far it looks like a rumor only...........no press releases available. 

*Key Marchon Eyewear Financials* 
Company Type Private -Main Headquarters 
Fiscal Year-End December2007 
Sales (mil.) $79.1(est.)
2007 Employees 1,055

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## optical24/7

Imho, if VSP were to buy anything, it would be a chain of opticals so it can cut the middleman out.......All you good doctors that have accepted the deal with the devil and built them into this powerhouse. Look at Davis/Highmark/ECCA ( Eyemasters).


 Doctors need to stop taking the path of instant gratification...Opening up and taking these stinking "insurance" plans. What happen to the day of hanging your shingle out and building a business? And by the way, there _are_ doctors and opticals out there doing just fine without taking any insurance. You reap what ya sow.....

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## Optimonte

And they say they are a not for profit company, haha

We've been in business 25 years without VSP.  We don't want or need them.  My father told the VSP rep to get out of his office 25 yrs ago and never looked back.  This is why I am still able to offer affordable prices for the people who do not have vision plans.  I haven't had to mark up 3 times to make up for the losses taken on vision plans.

Sure wish everyone would tell the plans to take a flying leap.  Less paperwork and more profits for the O's

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## optical24/7

> And they say they are a not for profit company, haha
> 
> We've been in business 25 years without VSP. We don't want or need them. My father told the VSP rep to get out of his office 25 yrs ago and never looked back. This is why I am still able to offer affordable prices for the people who do not have vision plans. I haven't had to mark up 3 times to make up for the losses taken on vision plans.
> 
> Sure wish everyone would tell the plans to take a flying leap. Less paperwork and more profits for the O's


 

:cheers::cheers::cheers:

welcome to Optiboard!

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## Johns

> And they say they are a not for profit company, haha
> 
> We've been in business 25 years without VSP. We don't want or need them. My father told the VSP rep to get out of his office 25 yrs ago and never looked back.


I think your father misunderstood that rep.  The rep promised to make your optical a "non-profit" enterprise.  They certainly planned (and succeeded in taking/making plenty of profits!

Here's to you and your father!:cheers:

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## VisionAiry

Does make me wonder if I'm going to quit marchon eventually. IMO buying vision "insurance" is for suckers and "accepting" it is for suckers as well.  It just plays along with the old "self employed" persons false idea that it's a good idea to try to "make it up on volume".  It can help get a place started but it's a herculean feat to break the addiction once you're up & running.  A busy practice drives good paying customers away.  The best customers, even those with "insurance", will come to you anyway regardless of whether you "accept" it or not.  They don't care about $100 when they're spending $1000+.  They want to do biz w/someone they trust.

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## cocoisland58

It's Marchon. Got it from one who knows. Pretty much a done deal.

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## Uncle Fester

> It's Marchon. Got it from one who knows. Pretty much a done deal.


Marchon's silence is speaking volumes!

How's the market like it?

WOW- Maybe I should've said 4,000!!

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## Fezz

Just got of the phone......Customer (dis)-Service knows nothing about. They seemed rather surprised.

Maybe I'll call Altair and see how they feel about maybe being second best?

I kid...I kid.....

:bbg::cheers::shiner::cheers::D

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## Jacqui

It still makes no sense to me to buy a frame company first. It would seem better to buy the outlets. where VSP is used the most, and use them as leverage to get a better deal on the frame and/or lens company. Just my opinion.

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## optical24/7

> Posted on V-mail today.
> 
> VSP Vision Care recently filed with Californias Department of Managed Health Care for approval of a planned *$700 million acquisition of all of the outstanding stock* of a vision care company, unnamed in the filing. 
> 
> In a note to a financial statement filed with the department for the period ended March 31, VSP said it had entered into a definite agreement on April 30 to acquire the unnamed company, with financing for the purchase to be funded through a combination of available cash and debt which is in the process of being arranged. 
> 
> The California filing said *VSP also would file with the Connecticut Department of* *Insurance*, and that the acquisition is pending and subject to receiving such approvals. 
> 
> VSP executives declined to comment on the California filing; a company spokesman said VSP can't comment on a filing that is still pending. The spokesman also would not identify the other firm involved. 
> ...


 
I agree with Jacqui, I don't think it's Marchon. The above is the 1st post on this thread. The best I could pin down is that Marchon had aprox. 79.1 million in sales....Why would anyone buy a company for almost 10 times annual sales? It also says purchasing outstanding stock. Marchon is not a publicly traded company. It also says they filed in Ca. and Ct. Marchon isn't there, it's in NY. It just dosn't add up to Marchon, imho.

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## Uncle Fester

> I agree with Jacqui, I don't think it's Marchon. The above is the 1st post on this thread. The best I could pin down is that Marchon had aprox. 79.1 million in sales....Why would anyone buy a company for almost 10 times annual sales? It also says purchasing outstanding stock. Marchon is not a publicly traded company. It also says they filed in Ca. and Ct. Marchon isn't there, it's in NY. It just dosn't add up to Marchon, imho.


Can we someway, somehow, please--- get a femme fatale involved?

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## Jacqui

> Can we someway, somehow, please--- get a femme fatale involved?



I'm here :D:D

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## Jacqui

If you read the statement, it says *vision care company*.

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## optical24/7

> Can we someway, somehow, please--- get a femme fatale involved?


 
A film noir produced by FezzJohns!
Shot in Colmascope Color!

Staring *24/7* 
With *Jacqui* as femme fatale :)
In..

*The VSP Peccadillo* 

The scene: Smoke filled backroom of Pence Nez Optical, midnight.
24/7 kicks back in his chair. Jacqui sits cross legged on the desk, seductively

24:   Have ya heard?

Jac:   Heard what?

24:   VSPs up to it again.

Jac:   Again?

 24:  Again.

Jac:   What did you hear?

24:   Theyre buyin something.

Jac:   Buyin something?

24:  Buyin something..700 million clams of something.

Jac: Whered you hear about it?

24:  Back ally..

Jac:  Fester?

24:  Yea, Fester

Jac:  Is he reliable?

24:  He was right about the Cruxlite Caper..

Jac:  Cruxlite Caper?

24:  Yep.. Cruxlite Caper.

Jac:  What was that about?

24:  Someone started callin it Rose #1..

24:  Lets blow this joint..

Jac:  Yea, lets get outta here.

24:  Got a cigarette?

Jac:  Only cigars..



24/7 and Jacqui exit, stage left.




:cheers::cheers::cheers:

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## bob_f_aboc

> A film noir produced by FezzJohns!
> Shot in Colmascope Color!
> 
> Staring *24/7* 
> With *Jacqui* as femme fatale :)
> In..
> 
> *The VSP Peccadillo* 
> 
> ...


It's ok. Not every script is good. As long as you have a carreer in opticianry to fall back on.  Keep on writing.

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## optical24/7

> It's ok. Not every script is good. As long as you have a carreer in opticianry to fall back on. Keep on writing.


 
Hey, that's nothing. Wait till you see the dirctors cut!!!


:D:cheers::D

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## fvc2020

bad choice of info 

christina

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## drk

I've heard from a reputable source that this is a done deal...

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## Johns

> I've heard from a reputable source that this is a done deal...


I have too, but when's the official announcment?  I've got some product to lose! :Confused:

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## Bethbabie

Well I have heard through the grapevine that Altair has bought Marchon for 
700 million. So my guess this has something to do with Luxottica buying eyemed now these two will be the major players. I'm sure Colevision will be the next to get into the game if they have not already. So I could be wrong, but I'm sure I'm not.

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## Johns

> I'm sure Colevision will be the next to get into the game if they have not already. So I could be wrong, but I'm sure I'm not.


"Colevision" is Lux.

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## Fezz

> I'm sure Colevision will be the next to get into the game if they have not already. So I could be wrong, but I'm sure I'm not.



 :Rolleyes: 

;):cheers::hammer::cheers::shiner:

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## Judy Canty

> Well I have heard through the grapevine that Altair has bought Marchon for 
> 700 million. So my guess this has something to do with Luxottica buying eyemed now these two will be the major players. I'm sure Colevision will be the next to get into the game if they have not already. So I could be wrong, but I'm sure I'm not.


Actually, LensCrafters Vision Care Management Systems became EyeMed.

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## Bethbabie

I did not know that Colevsion and Luxxottica are one and the same. Learn something new everyday on this site. Well now what VSP is doing makes more sense and Marchon's officemate and Eyefinity will soon be altogether. I'm just 
wondering if anyone else thinks this looks  strange. This deal may change everthing  or nothing.  :Rolleyes:

----------


## optical24/7

> This deal may change everthing or nothing.


 
It's gonna change my vendor line-up.

----------


## Fezz

> It's gonna change my vendor line-up.


Not mine!

;):cheers::p:cheers::D

----------


## Johns

Driving home from the office, I got to thinking about this Marchon/VSP thing.

How can an insurance company that has continued to exclude opticians from participating, expect to run a company, that depends (to some extent) on opticians for their livlihood?  Now, granted, opticians aren't the biggest source of income for Marchon, but I'm sure that if you took optician sales away, it would have some impact on their bottom line.

Ok, so now you can say that Lux did it, and everybody forgot they were the enemy in no time, and business went on as usual.  The difference here was that Lux purchased the retail component that feeds the manufactury that they already had in place.  VSP is buying a distributor,  that does not have a retail component to feed into it.  A portion of the retail component (opticians and chains) have been ostricized by them.

Now, do you think that it's possible that VSP could come to opticians with their hat in their hands (yeah right) and invite opticians to join the panel? After all, they are not a not for profit anymore, and could probably benefit from an increase in providers.

Or, will they pull back and offer the Marchon products exclusively to VSP panel providers, as a benefit (ha, ha) to being a panel provider.

I for one do not carry any Altair frames, even those disguised (Tommy Bahama) as mainstream.  If this deal is for real, then the names Altair, Nike, Marchon, Coach, Fendi, and many others area all interchangeable, and have no place in my office.

----------


## Chris Ryser

> *I for one do not carry any Altair frames, even those disguised (Tommy Bahama) as mainstream. If this deal is for real, then the names Altair, Nike, Marchon, Coach, Fendi, and many others area all interchangeable, and have no place in my office.*


Good thinking....................but so far this thread is nothing than a rumor mill

----------


## Craig

> Good thinking....................but so far this thread is nothing than a rumor mill


I was told that this is a done deal.  :cheers:  Will be announced shortly.

Hold on to your hat's; there may be more to come in the near future!  There are a few players with tons of cash to spend and they are continuing to look at all possible suitors.  

What we thought could never happen to the optical industry over the past 15 years, is only going to see more consolidation of service and companies.  The frame business is the only one left with many small companies.  There are only a few players in retail, labs and lenses.  Frames are next and the others are not done either.

Essilor will buy more optical companies; they have $$$ to spend.

Craig

----------


## Lee H

I heard it will be announced August 15th

----------


## Jacqui

I still don't think it's a frame co.

----------


## Johns

> Good thinking....................but so far this thread is nothing than a rumor mill


Note that I said "_If_ this deal is for real..."

----------


## Johns

> There are a few players with tons of cash to spend and they are continuing to look at all possible suitors.


Hear that Fezzy!?!

Our ship's a comin' in!:cheers::cheers::cheers::cheers:

----------


## Jacqui

> There are a few players with tons of cash to spend and they are continuing to look at all possible suitors.  
> 
> Craig


I wanna know who they are !!! I want my share too !!!

----------


## drk

VSP has been waging a mud-slinging campaign against Lux/Eyemed on their websites...very immature and unprofessional.

VSP is probably quaking in their boots about Eyemed. They know they can be undersold because Lux makes up the difference on the retail end. 

VSP is unable to have it's own provider panel, so they will always have that disadvantage to Eyemed. What they could do is bring the labwork in-house to save a little money, but the headaches! They can also try to make a little money pimpin' frames, and Marchon is right there for the taking.

VSP actually has a very nice frame supply logistic available to providers, and I'm sure they'd be very happy to take independent optician dollars for Marchon frames.

If I were independent opticianry, I'd lobby hard for inclusion on the panel. The whole "promote private practice optometry" farce is a little played out by now. They apparently need the frame income to compete. While most opticians working in optometry/ophthalmology/retailer may not give a hoot, it's possible that the OAA could make a case that a Marchon boycott could hurt VSP.

I think they'll eventually let indies on the panels, but never their mortal enemy.

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## HarryChiling

I heard it through the grapevine and my grapevine is pretty strong.  I am making the assumption it's true and stocking or rather destocking accordingly.

----------


## Johns

> VSP actually has a very nice frame supply logistic available to providers, and I'm sure they'd be very happy to take independent optician dollars for Marchon frames....
> 
> 
> ...I think they'll eventually let indies on the panels, but never their mortal enemy.


And hopefully, opticians won't forget who their mortal enemy is!

VSP has made their money destroying opticianry by their exclusionary practices. And if you're an OD that's been supporting VSP all these years, and now VSP invites their enemy (in some minds) into the tent, how does that make you feel?

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## drk

Hope this doesn't hurt, Johns, but I don't think many optometry practices consider independent opticianry a serious market force.  Let 'em on.

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## Bethbabie

I heard that the 15 of this month we will know what and who bought what, but Essilors name keeps coming up. They are buying up labs right and left who knows. This is just a thought:drop:

----------


## Johns

> Hope this doesn't hurt, Johns, but I don't think many optometry practices consider independent opticianry a serious market force. Let 'em on.


 \

No Drk, I am under on illusions that most optometrist view opticians as a serious market force.  I sure don't.

However, stick around long enough, and I think you'll see that many optometrists will not be considered serious market forces either.  Given the way they are content to sleep outside the doors of all the third party plans, and fight over the scraps that their masters throw them (they are the new masters), the ODs will be nothing more than eye examiners.  Their window of opportunity began closing a long time ago, and you can already see some of the results.

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## Johns

> ... how does that make you feel?


 
I know, I know...we hate it when people quote themselves, but to clarify... 

What I meant by this was that VSP signed all the ODs on w/ the promise that it was to have an exclusive club.  Well they've alread invited many of the chains in with their far-reaching plans.  So if you've played by the rules, and now that VSP has the money they want, they change them, I'd be pretty upset.

Look, we've already got it all figured out, and we don't even know which company it is!:p

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## obxeyeguy

> Look, we've already got it all figured out, and we don't even know which company it is!:p


Three forms of communication.  Telephone, television, and tell an optician.;)

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## drk

Johns, we ODs do just enough health care as to be subject to the trends in medical care.

The fact of the matter is that the American public "pre-buys" their health care, vision care included.  Health care professionals contract with third parties to provide medical services to the *third parties' members* and not the public directly.  

Optical services are still largely exempt from this trend, but it seems to show some "two-tiered-ness"...the free-market fashion accessory purchase and the pre-paid medical device.  

For the short term, there will be a dichotomy.  In the future, I think there will be a lot of the pre-paid stuff.  You have to "be in" to play the game, I'm sad to say.

Contrarians will, of course, do well, but the market will be concentrated, to say the least.

JMHO.

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## optirep

> VSP has been waging a mud-slinging campaign against Lux/Eyemed on their websites...very immature and unprofessional.
> 
> VSP is probably quaking in their boots about Eyemed. They know they can be undersold because Lux makes up the difference on the retail end. 
> 
> VSP is unable to have it's own provider panel, so they will always have that disadvantage to Eyemed. What they could do is bring the labwork in-house to save a little money, but the headaches! They can also try to make a little money pimpin' frames, and Marchon is right there for the taking.
> 
> VSP actually has a very nice frame supply logistic available to providers, and I'm sure they'd be very happy to take independent optician dollars for Marchon frames.
> 
> If I were independent opticianry, I'd lobby hard for inclusion on the panel. The whole "promote private practice optometry" farce is a little played out by now. They apparently need the frame income to compete. While most opticians working in optometry/ophthalmology/retailer may not give a hoot, it's possible that the OAA could make a case that a Marchon boycott could hurt VSP.
> ...


Prediction!

DRK  If it is in fact Marchon!   VSP is sending letters bashing Luxottica.   If they are buying Marchon they will then say its Luxotticas fault and they had to buy them.  They then will say buy Marchon frames to help us stop Luxottica.  JUST MY OPINION NO FACTS HERE!

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## Johns

> Prediction!
> 
> They then will say buy Marchon frames to help us stop Luxottica.


Stop Lux? Stop Marchon at the cost of pumping up VSP even more?  Who cares? 

It's like watching a dog fight, and I don't have a dog in it.

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## cocoisland58

> Prediction!
> 
> DRK If it is in fact Marchon! VSP is sending letters bashing Luxottica.


It IS Marchon. We've known this for weeks and it has been confirmed by the reps. As for the letters, I laughed. So they're telling us something we don't know? And what are they going to do about it? And then we get a fax letter stating that VSP has lost a large contract to(I assume)EyeMed. Ok, why are you telling me this? Should I fax back a "nice going VSP" response? I tell you the insurance racket has got my head spinning. No wonder I need a drink when I get home.

----------


## Johns

> I tell you the insurance racket has got my head spinning. No wonder I need a drink when I get home.


 
Back in the old days, when I was a rep, teh opticians didn't need a drink when they got home because they drank all day at work!
:hammer::finger::D:cheers:

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## Chris Ryser

Plenty optical 
purchases by VSP listed in Google at:

http://www.google.ca/search?sourceid...cal+company%3f

interesting

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## orangezero

So now VSP won't mind be a "for profit" company?  Or does this somehow still qualify as nonprofit in their minds even as they buy up other companies?

Do you all taking VSP care they are wasting millions (probably) in lawyers fees to fight this instead of paying you?

----------


## Snitgirl

Harry,

I just got word from my extremely strong grapevine that YES, it IS happening and FYI, it will be very soon!!!




> I heard it through the grapevine and my grapevine is pretty strong.  I am making the assumption it's true and stocking or rather destocking accordingly.

----------


## rob.optician

vsp is a pain to deal with. Especially when we are forced to use their labs...I have never had more problems with a lab than at VSP.

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## cocoisland58

> vsp is a pain to deal with. Especially when we are forced to use their labs...I have never had more problems with a lab than at VSP.


You can switch VSP labs anytime you want.  If you aren't happy with the one you use now just pick another from the list.  We were using a local small lab(we like local if possible)but the quality was going downhill. We switched to one on the other side of the state and though not perfect comes close to what we need and expect.

----------


## rob.optician

With the Signature Choice plans and Sight For Students my VSP rep has told me I am REQUIRED to use a VSP lab. Everythign else - does not go to a VSP lab. 

Though, one good thing I will say about VSP is they have great customer service (well, 90% good). Whenever I call about insurance questions they are very helpful and friendly...now if they could transfer that to the lab they might stand a chance of getting more business.

----------


## DragonLensmanWV

> With the Signature Choice plans and Sight For Students my VSP rep has told me I am REQUIRED to use a VSP lab. Everythign else - does not go to a VSP lab. 
> 
> Though, one good thing I will say about VSP is they have great customer service (well, 90% good). Whenever I call about insurance questions they are very helpful and friendly...now if they could transfer that to the lab they might stand a chance of getting more business.



Try calling them to ask about billing for a saddleback myodisk. All I got was "It's just a lens! Bill it like a lens!" No amount of explaining how the lens was quadruple the labor cost and that there are extremely few of these in the country would make any difference.

----------


## rob.optician

> Try calling them to ask about billing for a saddleback myodisk. All I got was "It's just a lens! Bill it like a lens!" No amount of explaining how the lens was quadruple the labor cost and that there are extremely few of these in the country would make any difference.



haha...

touche!

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## allanon

Shouldn't it be "VSP buying whom?"

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## Johns

> Shouldn't it be "VSP buying whom?"


Only if...

A. You're turning it in for  a grade.
B. You've got nothing better to think about.

:hammer:

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## harry888

Rob,

You can opt out of the signature choice plan.  I did.  

I have no problems with all other VSP plans and find them to be the easiest insurance company to deal with.

I hear signature choice was started because of Davis and Spectera, they were foolishly considered competition.  Like Roseanne Barr is competition for Julia Roberts.

Overall, an alarming trend of VSP. 

Harry

[quote=rob.optician;255827]With the Signature Choice plans and Sight For Students my VSP rep has told me I am REQUIRED to use a VSP lab. Everythign else - does not go to a VSP lab. 

quote]

----------


## Uncle Fester

> I heard it will be announced August 15th


Anyone know what time?

----------


## Jacqui

> Anyone know what time?



Just as soon as they get rid of the hangover  :Rolleyes:

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## Uncle Fester

> Anyone know what time?


Just placed an order. Rep says big meeting at the end of the day.

----------


## Uncle Fester

Fester was worried. Ya see he'd trusted the Board and now he was gonna get burned for more dead presidents than you could imagine. His Shylock was tickled pink though.

All this time. All this planning. All this carefully cultivated optidirt was about to bury him. The clock ticked closer to midnight.

It had to be the dame's fault. Yeah, Jaquie. She must've thrown a monkey wrench into the works. Next time they met he would show her what for. 

This time for sure. Maybe. Well, until the next time at least. 

The day started sweet. The night before the Red Sox had won and the Yankees had lost. The phone reps at Marchon were dishing that the beans get spilled at the end of the day. The day turned sour however as there was no news from the front office.

Why?

Perhaps the principals wanted to call a class time out to retreat to the study hall.

Perhaps the OD's and independent Opticians needed a bathroom break. This was after all going to make the USA's optical world once again soil themselves.  

No.

No.

Upon reflection it can only be one thing and one thing only.



























The power of Optiboard!
copyright Fester

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## Jacqui

Cute

I haven't heard anything either

The only thing I know for sure about it is that they are *not* buying me out.....yet.

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## Chris Ryser

> *I heard it will be announced August 15th*


*Today is the day..............and from today on all my worried friends on this thread will be able to sleep again a full nights sleep.*

...........if ever there is no press release on the subject we can all go on guessing.




> *The only thing I know for sure about it is that they are not buying me out.....yet*.


Buy a lottery ticket...........win and then just give it away to your employees. Buy a yacht, get a captain and just go on cruising. :D

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## Fezz

August 15, 2008 11:59pm:

*Industry Mavericks Snub VSP's Pot-O-Gold
*

"Talks between industry insurance giant VSP and FezzJohns, Inc. broke down this evening. The two sides have been in talks concerning the buyout of FezzJohns, Inc. by the insurance Gorilla. Insiders tell us that heated talks raged on for days as the two sides fought bitterly on several sticking points. VSP offered FezzJohns, Inc. a cash buyout of a reported 100 million dollars. FezzJohns executives could not get VSP to commit to several key points concerning the companies future, its employees and, Golden Parachutes for the key executives. Anonymous sources tell us that the two FezzJohns, Inc. founders walked away from the deal when VSP would not agree to allowing Opticians to participate in any VSP provided plans and refused to commit to a business plan that included honesty and ethics. The business world was stunned upon this report. The thought of two *Maverick Entrepreneurs* walking away from $100 million dollars is proof that ethics and honesty are still important values to even the most talented business professionals. Word of the Mavericks unwavering values has inspired hundreds of optical professionals around the world to rise up and turn the tide on the MegaCorps that bully the industry"


HERE IS TO THE MAVERICKS OF FEZZJOHNS, INC.!!!!

Come on.......Join the REVOLUTION!!!!

:cheers::cheers::cheers::cheers::cheers::cheers:






(The above is an opium induced daydream put to written word and has no direct, indirect or supportive evidence of any fictional or non-fictional business dealings that may or may not be happening to the above named companies. The piece was written in satire. The author claims zero responsibility and he hopes and prays that VSP does not unleash its hords of hungry lawyers on him.)

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## Fezz

August 16, 9:53am



_Free Beer-Slide Rides for ALL!!

_
Just hours from walking away from a reported $100,000,000 buyout of their company, FezzJohns, Inc. the two Optical Renegade Entrepreneurs have decided to provide some much needed stress relief to company employees, their families and any optical professional. FezzJohns, Inc will be offering free rides on the now legendary Beer-Slide! This ride has been an industry Icon for years. Crowds of deserving optical professionals are expected to join the two Mavericks as they celebrate honesty, ethics, and the dedication to doing the right things in life! Rumor of the FezzJohns Bikini and Macarena dancing team doing performances all day have also been reported. Events also will include:
1.) The Lens Blank "Chucking" Contest-this is where lens blanks are chucked (thrown) and not really "chucked"
2.) Human Triple-Gradient Dyeing Contest-self explanatory 
3.) Make the Dragon Spit Fire Contest-contestants will compete to see who can ignite a pgx glass blank the fastest in an old Coburn 108 generator. Extra points will be given for the contestant that can launch the flame engulfed ball of fire the furthest!
4.) Row-Row-Row Your Boat Contest-the competitors in this contest challenge each other in a raft race down the River of Tears and Beers. Contestants will have to paddle the raft with temples gathered from old Ronsir and Leading Lady frames.

The company executives thanked their legions of fans and loyal employees for their support during the trying buyout talks. Rumors have circulated that the Optical Mavericks will be sneaking out of the festivities early to catch a direct flight to China where they will be doing intensive buying frames and lenses at unbelievable prices. They will be meeting with their key executive Doc-in-China to solidify plans for their Asian Invasion!

The executives started the events with shouts from their megaphones:

_
"Come on....Join the Revolution!!!!"


:cheers::cheers::cheers:
_

----------


## Johns

> HERE IS TO THE MAVERICKS OF FEZZJOHNS, INC.!!!!
> 
> Come on.......Join the REVOLUTION!!!!
> 
> :cheers::cheers::cheers::cheers::cheers::cheers:


Yeah!  Here's to...us!:o:cheers::cheers::cheers:

----------


## Chris Ryser

Does anyone know or heard about the rumor that FEZZJOHNS have made a reversal and put in a bid for 10% above share value for all the shares of VSP. Their offer apparently is valid through September 15, 2008.  :hammer:

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## Johns

> Does anyone know or heard about the rumor that FEZZJOHNS have made a reversal and put in a bid for 10% above share value for all the shares of VSP. Their offer apparently is valid through September 15, 2008. :hammer:


Hey!  Isn't is still September 15th in Austrailia?;)

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## Chris Ryser

> *Hey! Isn't is still September 15th in Austrailia?*


Don't you know that they are 36 hours ahead ?  :bbg:

----------


## Johns

> Don't you know that they are 36 hours ahead ? :bbg:


So does that mean it's really the 14th here?:shiner:  

(Does that mean Hillary's still running? :Eek: )

----------


## Uncle Fester

> Hey!  Isn't is still September 15th in Austrailia?;)


:hammer:It's still August in this neck of the woods!:D

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## Johns

> Just placed an order. Rep says big meeting at the end of the day.


 
Are there no Marchon reps that were at the big "meeting" that want to give Optiboard a scoop?


The silence is defeaning!:o

----------


## Websta

Hey guys, 

September is turning out to be a wonderful month......Spring has sprung!!!
:D:D
I could spoil the party and tell you how the olympics medal tally ended up, but some things have to stay sacred!!

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## k12311997

I got the fax this morning it's official, no more rumors, VSP buys Marchon.

----------


## allanon

Just got the Vmail Breaking News... $735mil.

----------


## john-atlanta

Dear OfficeMate Software Solutions Valued Clients:

As valued customers, we would like to share some exciting news with you: Marchon Eyewear and OfficeMate Software Solutions have been acquired by VSP!

As the founder of OfficeMate Software Solutions, I have witnessed several events during the past 25 years that have considerably strengthened OfficeMates position in the marketplace. Our acquisition by Marchon in 1994 brought us major brand recognition and working capital that facilitated OfficeMates current phase of software development and growth. However, no event in our history can parallel todays announcement. This unique partnership will allow us to expand our products and services by offering the latest in technology-driven practice management products to you, our clients.

OfficeMate and Eyefinity will merge into a new practice solutions division of VSP. Going forward, OfficeMate and Eyefinity have developed the rallying theme, You Aint Seen Nothing Yetand just wait until you see whats coming! Our technology teams are already hard at work creating a VSP Web-driven patient out-of-pocket calculator featuring real-time integration with Eyefinity and VSP systems and an electronic remittance advice format for OfficeMate. We believe that these two new product introductions will significantly enhance your practice efficiency and streamline your financial reporting.

Our drawing board is full of design plans as we move to fully integrate the current Eyefinity services including eBuy, eWeb, ReorderContacts.com, etc., with OfficeMate and ExamWRITER. Our technology teams have been actively brainstorming over the past few months, and what you will soon see from OfficeMate, ExamWRITER, and Eyefinity will definitely excite you.

Our mission at OfficeMate and Eyefinity is to create the eyecare industrys most comprehensive practice solutions company that provides you with real choices in selecting the products and services that best meet your needs. And to support that vision, we have assembled a collective team of nearly 200 eyecare software and optical industry professionals working together to ensure that your practice will thrive in the future.

So please join me in celebrating this exciting event and look to the future as you aint seen nothing yet! If you have any questions, please feel free to e-mail me at ed@officemate.net or call me at 949.754.5001. I invite you to stop by our booth at Vision Expo West in Las Vegas this October and meet our great new team. In the meantime, for more complete details, please go to our website at www.officemate.net.

Kindest regards,

C. Edward Buffington,
President & COO, OfficeMate Software Solutions, Inc.

----------


## bob_f_aboc

Here it is!

----------


## Chris Ryser

*Press Release                        * Source: VSP

VSP Vision Care Acquires Marchon Eyewear

Monday August 18, 8:36 am ET Merger Creates $3.3 Billion Eyecare Company 

RANCHO CORDOVA, Calif., Aug. 18 /PRNewswire/ -- VSP®, the nation's largest eyecare benefits provider with 55 million members, today acquired Marchon® Eyewear, Inc., one of the industry's largest manufacturers and distributors of quality eyewear and sunwear for $735 million funded in a combination of cash and debt. The acquisition received regulatory approval from the California Department of Managed Care and the Connecticut Department of Insurance. 
ADVERTISEMENT
Under the terms of the agreement, Marchon will become a wholly-owned subsidiary of VSP. Al Berg, Marchon president and CEO, and Larry Roth, executive VP of Marchon, along with the Marchon global team will continue in their current roles. Marchon will operate from its New York-based headquarters as an independent entity within the VSP organization. Altair® Eyewear, the VSP-owned eyewear company, will become a division of Marchon and remain in its Rancho Cordova, Calif., headquarters. 
"Bringing together the world-class products and expertise of Marchon with Altair, VSP's for-profit eyewear company, creates an integrated organization that benefits eyecare professionals and their customers," says Rob Lynch, president and CEO of VSP. "Together we will deliver value by focusing on quality and operational excellence." 
Marchon manufactures and sells branded and proprietary eyewear and sunwear for such internationally-recognized brands as Calvin Klein, Coach, Emilio Pucci, FENDI, Jil Sander, Karl Lagerfeld, Michael Kors, Nautica, Nike, Oscar de la Renta, Sean John and X Games. Additionally, the company manufactures its own collections of eyewear including products such as Airlock® and Flexon®. 
Marchon offers the North American optical industry the most widely-used practice management and electronic medical records software through OfficeMate® Software Solutions. The acquisition merges OfficeMate with VSP's Eyefinity®, the leading Web-based eyecare business management partner, to form the industry's premier eyecare business solutions organization. 
As part of the transaction, VSP will also acquire Marchon's 50 percent ownership interest in Eye Designs®, which is a leader in the design of custom interiors and merchandising systems for the optical industry. 
"Given the rapidly changing eyecare marketplace, this is a win for Marchon, VSP and the optical industry," Al Berg, president and CEO of Marchon, states. "This merger will help us continue our vision for growth by expanding our products, services and programs to our global customer base." 
VSP and Marchon will provide the following offerings to the marketplace: -- Vision care benefits and services; -- A global distribution channel; -- An international portfolio of eyewear brands; -- Integrated eyewear design and manufacturing capabilities; -- Practice management technology; and, -- Custom interior designs and merchandising systems.
VSP Vision Care provides vision insurance benefits to one in every six Americans. Through its network of more than 25,000 private practice eye doctors, VSP delivers full-service eyecare benefits to 55 million members in the United States and Canada. VSP is based in Rancho Cordova, Calif., and has a workforce of 2,400 employees. VSP's total revenue in 2007 was $2.6 billion. 
Since its founding in 1983, Marchon has grown into one of the three largest eyewear companies in the world. Headquartered in Melville, N.Y., Marchon has international offices in Amsterdam, Hong Kong and Tokyo. The Marchon sales team and employees number more than 2,500 globally. Marchon's total sales in 2007 exceeded $525 million. 
About VSP 
VSP®'s family of companies includes the largest not-for-profit vision benefits and services company in the United States with 55 million members; VSP Labs, industry leaders in new technologies, production processes, service and logistics; Altair® Eyewear, which supports private-practice eye doctors with advanced eyewear technologies, distinctive brands and dispensary resources designed to complete the patient experience and Eyefinity®, offering innovative solutions to improve overall practice management and the patient experience. 
Since 1997, VSP has provided more than 470,000 low-income, uninsured children with free eyecare. Through relationships with the American Diabetes Association, Prevent Blindness America and the Center for Health Transformation, VSP promotes the importance of annual eye exams for maintaining eye health and overall wellness. 
About Marchon 
Marchon is one of the world's largest manufacturers, designers and distributors of quality fashion and technologically-advanced eyewear and sunwear. The company offers internationally recognized brands including Calvin Klein, Coach, Emilio Pucci, FENDI, Flexon, Jil Sander, Karl Lagerfeld, Marchon, Michael Kors, Nautica, Nike, Oscar de la Renta and Sean John. Headquartered in Melville, N.Y., with regional offices in Amsterdam, Hong Kong and Tokyo, Marchon distributes its products to more than 100,000 customer locations in more than 100 countries. OfficeMate, a wholly-owned subsidiary of Marchon, is the premier practice management software and technology company in North America. 



Source: VSP

----------


## sharonm516

Got the fax this morning too! *sigh* I have Office Mate and they are going to merge that all too...since Marchon owns Office Mate.

----------


## Fezz

First, Moms and Pops starta small company called Avant Garde. They build it into an industry leader......then cash out to Luxottica!

They then fund the kids to start a frame company-Marchon. Well, these budding businessmen build it up and cash out for some serious scratch to VSP!

What a country!

Congrats to Al Berg, Larry Roth, and to the family of Jeff White(his family started Avant Garde)!!

:cheers::cheers::cheers:

----------


## Johns

> Congrats to Al Berg, Larry Roth, and to the family of Jeff White(his family started Avant Garde)!!
> 
> :cheers::cheers::cheers:


No doubt!  Having worked for them, I know it couldn't have happened to a nicer bunch of people.

Having said that...

Unless there are DRASTIC changes on the horizon w/ VSP, I don't see myself doing business with them anymore.

It's all been said before...

----------


## Jacqui

*D--n !!* This cost me a bottle of scotch

----------


## Matthew

Yep its official, i just got my letter today, its a great world, now the monster VSP owns Marchon and Officemate, hurray for the opticians...:shiner:

----------


## sharonm516

I checked eyefinity today (VSP claim filing site)...and they are offering docs an extra $5 for every marchon frame they sell and submit to VSP.  

And it begins.............................. :Rolleyes:

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## Johns

> ...have developed the rallying theme, You Aint Seen Nothing Yetand just wait until you see whats coming!


Truer words were never written.:finger:

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## Jacqui

Be afraid Be VERY afraid.

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## labbrat

...and filing for tax exemption too.  Gobble, gobble...

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## Uncle Fester

> *D--n !!* This cost me a bottle of scotch


Blended or single malt? I hope it's at least 12 years old!

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## Uncle Fester

> Be afraid Be VERY afraid.


Back when my Doc's first signed on with VSP (we did all of it on paper :Eek: ) I remember them saying how the independent optical shop's days were numbered and so it is coming to pass unless you can be like Johns and think and work outside the box.

For now I'm going to embrace the horror.

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## Metronome

Delete.

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## Johns

> I think they will end up buying everybody. If you don't already work for an OD, you'd better think about it.


And what if you're an OD?:hammer:

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## bob_f_aboc

There are soon to be 4 choices for opticians.

1)  Work for Lux.
2)  Work for VSP.
3)  Work for Essilor.
4)  Don't work.



...gee whiz, they all look so tempting!  How will I ever decide?

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## jma

Besides the fax and an email from OfficeMate, I just got a call from VSP.  They were asking us if we had any questions about the deal??? Funny.  They did not care for our opinion before the deal.
I just told them that they were doing pretty well for a non-profit organization, over 700 very big ones.
We have been VSP providers for quite some time, and have been using OfficeMate for years, right now I simply haven't a clue as to how this will impact us. I will say that I'm a bit uneasy knowing VSP nows owns our office software.

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## CME4SPECS

So what's everyones take on how this will affect opticians? I stopped carrying that JUNK along time ago!

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## specti-wolf

> There are soon to be 4 choices for opticians.
> 
> 1) Work for Lux.
> 2) Work for VSP.
> 3) Work for Essilor.
> 4) Don't work.
> 
> 
> 
> ...gee whiz, they all look so tempting! How will I ever decide?


 

Bob, don't forget... if properly trained, we can always flip burgers. :p

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## bob_f_aboc

> Bob, don't forget... if properly trained, we can always flip burgers. :p


That's how I got my first optical job at LC. 


...Seriously! I was recruited from McD's

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## Johns

> That's how I got my first optical job at LC. 
> 
> 
> ...Seriously! I was recruited from McD's


And the first question in the interview was, "Are you willing to take a pay cut?":hammer::D

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## cocoisland58

> I checked eyefinity today (VSP claim filing site)...and they are offering docs an extra $5 for every marchon frame they sell and submit to VSP.


Oh whoopie ding dong :Rolleyes: .  What's five bucks?  Better than a stick in the eye but wouldn't a larger discount off the wholesale prices be better received by VSP providers?

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## Metronome

> And what if you're an OD?:hammer:


Delete.

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## cocoisland58

> There are soon to be 4 choices for opticians.
> 
> 1) Work for Lux.
> 2) Work for VSP.
> 3) Work for Essilor.
> 4) Don't work.


I will opt for number four.  After 30 years I can say I was there when it was "good". I won't stay to see this industry die. Maybe I'll work for a real non-profit.  I've got good years left in me.

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## Metronome

> So what's everyones take on how this will affect opticians? I stopped carrying that JUNK along time ago!


Delete.

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## Metronome

> Back when my Doc's first signed on with VSP (we did all of it on paper) I remember them saying how the independent optical shop's days were numbered and so it is coming to pass unless you can be like Johns and think and work outside the box.
> 
> For now I'm going to embrace the horror.


Delete.

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## Metronome

> With the Signature Choice plans and Sight For Students my VSP rep has told me I am REQUIRED to use a VSP lab. Everythign else - does not go to a VSP lab. 
> 
> Though, one good thing I will say about VSP is they have great customer service (well, 90% good). Whenever I call about insurance questions they are very helpful and friendly...now if they could transfer that to the lab they might stand a chance of getting more business.


Delete.

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## Metronome

> First, Moms and Pops starta small company called Avant Garde. They build it into an industry leader......then cash out to Luxottica!
> 
> They then fund the kids to start a frame company-Marchon. Well, these budding businessmen build it up and cash out for some serious scratch to VSP!
> 
> What a country!
> 
> Congrats to Al Berg, Larry Roth, and to the family of Jeff White(his family started Avant Garde)!!
> 
> :cheers::cheers::cheers:


Delete.

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## nickrock

What's $735 million between friends?

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## Johns

> You don't got no problem with none of this, do you? I mean, it's the American way, ain't it? There's just not enough room at the top of the pyramid for everyone, that's all.


Do you have a problem with taking a gamble, working your tail off, and selling to the highest bidder?  I don't.

We should all be so lucky!

The fact that they sold out to the company that was founded for the purpose of destroying some of the very practices that made Marchon succesful is certainly ironic, but that's beside the point.

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## Alleyesonyou

I am really surprised to see so many hating on VSP. Especially considering the volume of patients they send to the offices. 
Great move for both VSP and Marchon. I'd love to go work for VSP at a time like this. I had a friend that worked in their Customer Service Department, I honestly don't know how they do what they do. They are superb and so easy to deal with. I certainly wouln't have the patience that they have.

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## Chris Ryser

> *Do you have a problem with taking a gamble, working your tail off, and selling to the highest bidder? I don't.*


Johns is right................and by the way that is today's trend in business, happens in ever field these days.




> Originally Posted by *bob_f_aboc*  
> _There are soon to be 4 choices for opticians.
> 
> 1) Work for Lux.
> 2) Work for VSP.
> 3) Work for Essilor.
> 4) Don't work._


You still have another choixe than the above ones. Invest a bit of time and find other products , other brands of which there are plenty on the market, change your way of thinking and ignore all the companies you think are taking away your independent future and you life will go on as usual.
You are the personal and last contact to the end user of the product and can have the largest influence on the patients choice of what he buy;s.

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## scriptfiller

I don't care where my company gets their stuff.  As long as the vendor demonstrates a commitment to us we will carry their stuff.  We're a Pearle franchise with an extremely limited Lux. inventory.  Lots of Safilo, Marchon, Silhouette and others.  We sell the heck out of Nike and will continue to do so as long as VSP will talk to us.  We just implemented Officemate in our newest franchise and plan on new installations in the rest of our offices.  The bottom line is what matters most to us, after all eat or be eaten.

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## Johns

> I am really surprised to see so many hating on VSP. Especially considering the volume of patients they send to the offices.


Welcome to Optiboard!!:cheers::cheers::cheers:

Before you get too surprised, realize that not everyone is against VSP.  VSP was created by a group of optometrists for the sole purpose of defeating opticians (indy and/or chains) that they felt were threatening their livlihood.

When you see someone that doesn't like VSP, look at what profession they're in and notice that it's ususally not the ODs complaining, although I've fielded soem calls in the past few days from ODs also that feel VSP often oversteps their bounds in "managing" their practices. (I see you're in "other" so I understand why you might be surprised)

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## Uncle Fester

> Bob, don't forget... if properly trained, we can always flip burgers. :p


Mc job--Opticianry----I knew it- It's all in the wrist!:D

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## Bratcatjen

> ON a side note: Has anyone recieved the mailing from VSP disparaging Luxottica? It's a real laugher! It says something like " Over 40% of Eyemed members get their eyewear from a Luxottica chain store." It just goes to show that VSP is feeling the heat from all sides.
> 
> Turn up the heat!!:angry:


 
I'd be curious about reading this, does anyone have a copy?

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## fvc2020

When talking to my marchon reps(who I love and respect), I was told the reason for the purchase was to have the money it needs to continue to keep the lines they have or purchase other ones.  It stems from the loss of DKNY and not having the money to fight Lux.  This could be the story the have been told to say, but I believe them.  

As to VSP, I don't understand why everyone is going on about "we can't get on the panel".  It was started for ODs for OD's.  Can this purchase change to scoop of everything, maybe maybe not.  Me I will accept the change and the extra cash and go on.  Vsp will keep their insurance non-profit(as it always has)and, I will continue seeing their patients, upgrade them, sell them multiple pairs, educate them on seeing us for their medical issues and make money....(I know I'm not following the norm, but that's me)

christina

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## optirep

First off I am a Luxottica rep! What I say is not what I am told to say because we have been told to say nothing!

VSP is a profit company and has been for the last 5 years. They are trying to go non profit again but I believe just for VSP.

VSP has been bashing Luxottica since about April. When they started to buy Marchon.


I THINK! I THINK that VSP knew they would lose Marchon business to the non VSP O's and then thought they could bash Luxottica so thier Docs would dump Luxottica. Then they would send the Marchon reps in to sell them more frames to make up for the loss to the other O's. 

VSP is in the insurance business everything they do is based on selling more plans!

Luxottica is in the frame business everthing they do is based on selling more frames!

Essilor is in the lens business You get my point!

Last if they were going to let Opticians into VSP I THINK they would have announced that the day before they annouced the Marchon deal

I guess my point is I dont think much will change!

OH! and the reason Marchon sold out to VSP was for the $$$$$$$$$$$$$$ But I would do the same thing!!!! Marchon did 500 million is sales and sold the buz for 700 plus. Sounds like a good deal for Marchon to me!!


Just one mans extremly bias opinion!!!

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## optirep

*VSP asks Supreme Court to rule on nonprofit status*

*By Jim Downing - jdowning@sacbee.com* 

Last Updated 12:08 pm PDT Friday, August 8, 2008
Print | E-Mail | Comments (1)|  
Rancho Cordova-based VSP Vision Care asked the U.S. Supreme Court today to decide whether the company is a tax-exempt, not-for-profit business.
VSP, which provides eye-care insurance to one of every six Americans, lost the designation in 2003 after an IRS audit concluded it didn't meet the legal threshold for the exemption, defined as "organizations not organized for profit but operated exclusively for the promotion of social welfare."
The company paid its taxes and then sued the government. The U.S. District Court in Sacramento ruled in 2005 against VSP. In January, San Francisco's 9th U.S. Circuit Court of Appeals upheld the decision. 


The Supreme Court will decide by the end of the year whether to hear the case.
VSP's legal team is headed by Kenneth Starr, the former Whitewater investigator and current dean of Pepperdine University's law school.
The case has potentially far-reaching implications because it could further define when a business is "not-for-profit."

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## cocoisland58

> I don't care where my company gets their stuff. As long as the vendor demonstrates a commitment to us we will carry their stuff. We're a Pearle franchise with an extremely limited Lux.


If you are a franchise, how are you able to be a VSP provider?  They took it away from LC but not Pearle?

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## cocoisland58

> I'd be curious about reading this, does anyone have a copy?


I may still have it since I was tempted to fax it back to them with a note saying "Tell us something we don't know".  It was a very lame letter.  If I find it I wil PM you. We are now on limited Eyemed plans and our loyal patient's are having a fit about it.  They don't want to go to LC. I have been billing out of network and they do pay. The problem is figuring out what they'll pay before the sale.  Only the patient's have access to the plan sheets.

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## MarcE

> OH! and the reason Marchon sold out to VSP was for the $$$$$$$$$$$$$$ But I would do the same thing!!!! Marchon did 500 million is sales and sold the buz for 700 plus. Sounds like a good deal for Marchon to me!!


Marchon's worth $500M and Oakley is worth $2B???!!

Sounds like a outragously GREAT deal for Oakley.

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## optirep

> Marchon's worth $500M and Oakley is worth $2B???!!
> 
> Sounds like a outragously GREAT deal for Oakley.


 
100% agree with you!!!

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## LENNY

> If you are a franchise, how are you able to be a VSP provider? They took it away from LC but not Pearle?


Maybe because they were "owned" by OD!?

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## cocoisland58

> Maybe because they were "owned" by OD!?


Nope.  I worked for a franchise owned by an OD and they were in the process of taking VSP away from us when the OD decided to disengage from the parent chain to keep VSP.  Had to jump through hoops and hire an attorney.  This was only a few years ago too. The "chain" was also owned in some way by ODs also.

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## Johns

> Nope. I worked for a franchise owned by an OD and they were in the process of taking VSP away from us when the OD decided to disengage from the parent chain to keep VSP. Had to jump through hoops and hire an attorney. This was only a few years ago too. The "chain" was also owned in some way by ODs also.


 
That's what Lenny said.  The practice _is_ owned by an OD.

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## MarcE

> Marchon's worth $500M and Oakley is worth $2B???!!
> 
> Sounds like a outragously GREAT deal for Oakley.


Great deal for Oakley, 
Meaning it was a terribly overpriced purchase for Lux.

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