OBJECTIVES: This study examined the demographics, comorbidities, clinical characteristics, and treatments of people with T2DM and an elderly subgroup.  Additionally, attainment of quality goals and its correlation with diabetes-related costs were assessed.   METHODS: Health insurance claims and electronic medical records from 14,532 adults with T2DM (2007-2011) were used to identify a sample receiving MET+SU.  The index date was defined as the first dispensing of MET+SU after 6 months of eligibility.  Clinical characteristics were assessed during baseline and quality measure attainment, defined as no values above specific thresholds (HbA1c <8%, body mass index [BMI] <30 kg/m2, blood pressure [BP] <140/90 mmHg, low-density lipoprotein cholesterol [LDL-C] <100 mg/dL), was evaluated during a 12-month landmark period after the index date.  Association between quality measure attainment and diabetes-related costs, calculated after the landmark period, was evaluated using non-parametric bootstrap methods adjusting for imbalance in baseline characteristics between cohorts. RESULTS: 2,044 patients (mean age: 67 years; female: 46%), including 1,283 (62.8%) patients ≥65 years, were identified.  Baseline comorbidities included cardiovascular disease (all patients: 25.5%; ≥65 years: 33.4%), congestive heart failure (5.9%; 8.1%), hypertension (66.5%; 74.2%), hyperlipidemia (73.9%; 78.1%), and neuropathy (16.0%; 20.2%).  Statins and loop and non-loop diuretics were taken by 60.5%, 10.5%, and 21.1% of all patients, and 66.9%, 13.8%, and 24.5% of patients ≥65 years, respectively.  The proportions meeting various quality goals were: 82.9% (≥65 years: 88.2%) for HbA1c, 34.4% (42.1%) for BMI, 31.6% (27.7%) for BP, and 68.2% (73.3%) for LDL-C.  Quality measure attainment was associated with significantly lower diabetes-related costs per-patient per-year (adjusted mean cost differences: -$1,445 for HbA1c; -$1,218 for BMI; -$2,029 for HbA1c and BMI; -$2,073 for HbA1c, BMI, and BP; all P<0.05) compared to non-attainment. CONCLUSIONS: This study highlights the high incidence of comorbidities and potential financial benefits of attaining T2DM quality outcomes at the population level.