In earlier reports, Lehrich downgraded Apria because he believed Medicare reimbursement would be reset "substantially lower" because of the competitive contract bidding. But competitive bidding, Stifel Nicolaus & Co.'s Gommel wrote, could act as a catalyst for industry consolidation for Apria and Lincare, which "have a track record of making acquisitions." Earlier this decade, Apria was an aggressive buyer of smaller home health providers and integrated them under a process called "Apriatization." Apria later moved to growing on its own. It jumped back into the big deal market late last year by buying Coram.