Walgreens to stop using Theranos’ Calif. lab for blood test analysis after CMS criticism

Walgreens Boots Alliance Inc. said Thursday it has informed startup Theranos Inc. that it will immediately stop using its Newark, Calif. lab for blood test analysis. Walgreens said the move comes in the light of a letter from the Centers for Medicare and Medicaid Services to Theranos that found practices that it said “pose immediate jeopardy to patient health and safety.” The CMS said an inspection completed in November found five major infractions that violate the federal law on clinical labs, The Wall Street Journal reported. Walgreens said it is suspending Theranos laboratory services at its Palo Alto, Calif. store, with immediate effect.

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