[BUSINESS] Chiu Moon Chan/Dynacq Intl. - One of the Fastest Rising Businesses
- CEO: Chiu Moon Chan
R. Ph., Founder, Chairman and Chief Executive Officer
Chiu M. Chan, R. Ph., has served as President and Chief Executive
Officer of Dynacq International, Inc. since July 1992. He is the
founder of Dynacq and serves as the Chairman of the Board.
Prior to founding Dynacq and its predecessor AITS, Mr. Chan was
employed by several healthcare services organizations in Houston,
including Lifemark Corporation and M.D. Anderson Cancer Center. Mr.
Chan earned a Bachelor of Science degree in Pharmacy from the
University of Houston and is a registered pharmacist. He has been
involved in the healthcare industry since 1971.
Address: 10304 Interstate 10 East , Suite 369
Houston, TX 77029
Industry: Health Care
Revenue ($ millions, four quarters to 12/31/02) 75.1
Revenue growth (%, 3-year annual rate) 63.6 4
Net income ($ millions, four quarters to 12/31/02) 17.4
Earnings per share growth (%, 3-year annual rate) 43.0 41
Total Return Rank
Total Return (%, 3-year annual rate) 43.5 29
Stock price ($, on 5/16/03) 12.72
Dynacq runs four surgical hospitals in the Houston area. It's
appearing on the list of Fortune Magazine's 100 fastest growing
the third straight year.
Dynacq focuses on efficient, high-volume specialty surgical
hospitals and ambulatory surgery centers. Our facilities specialize
in a small number of higher-margin specialties and procedures
orthopedics, neurosurgery and general surgery. Surgeons are able to
reserve large blocks of time in adjoining operating rooms, so they
can perform consecutive procedures without the usual disruptions
occurring in general hospitals. Procedures are not bumped due to
emergencies. And, there are no compromises in equipment or staff.
We believe that our facilities attract premier surgeons who wish to
take more control over their practices. Because our facilities focus
on a limited type of procedures, scheduling is much more efficient
and predictable. This means that the surgeons' time is optimally
utilized, making their services available to more patients in less
We strive to attract top surgeons by giving them more authority to
specify the quality equipment they want and need. We also give them
more decision making power on nursing and support staff decisions as
well as the ability to become partners in the business. This means
our physician partners can generate income in two ways through
increased volume of procedures, as well as a share of the profits
from our facilities. This means that they have a vested interest in
the success of the facility.
In other words our business model enables surgeons to gain more
control over their work, their time and their income.
More importantly, however, we are in the business of providing
excellent healthcare for our patients. That is why we have designed
our facilities to be much more patient and staff-friendly than large
hospitals. Surgeons find that it just takes them no time to go from
their parking space to the operating room. Surgeons have access to
adjacent operating rooms in close proximity to intensive care and
diagnostic units. Nurses and staff are professional and courteous.
All of this means that our patients enjoy much more relaxed,
healthful surroundings where more one-on-one attention is the rule,
not the exception.
Philip S. Chan
CPA Vice President and Chief Financial Officer
Philip S. Chan has served as a director and as VP, Chief Financial
Officer and Treasurer of Dynacq since July 1992. Mr. Chan earned
advanced accounting degrees from the University of Houston and is a
Certified Public Accountant in the state of Texas. He has more than
25 years of corporate accounting experience. Despite the same last
name, Philip S. Chan is not related to the company's CEO, Chiu M.
age 51, has served as a director and as our Vice President--Finance,
Chief Financial Officer, and Treasurer since July 1992. Mr. Chan
earned advanced accounting degrees from the University of Houston
and is a CPA in the State of Texas. Prior to his employment with
Dynacq, Mr. Chan had previous corporate and outside accounting
experience. Philip Chan is not related to Chiu Moon Chan.
James N. Baxter
Executive Vice President
James N. Baxter has served as Executive Vice President since July
2003. His responsibilities include investor relations and financing
transactions. Prior to joining Dynacq, Mr. Baxter was President of
Global Investment Alliance Inc. since 1994. From 1994 to 1999 Mr.
Baxter was President of GIA Securities Inc., a broker-dealer engaged
in private placement finance. Early in his career Mr. Baxter was a
corporate lawyer at Sullivan & Cromwell in New York. Subsequently he
was a Managing Director in investment banking at Merrill Lynch in
New York and Tokyo. Later he was Manager of the Pension Services
Department of Salomon Brothers in New York, advising on
institutional investment policy and strategy. Mr. Baxter, a graduate
of Yale University and Harvard Law School, is a member of the New
York Bar and a certified arbitrator for the NASD.
Christina L. Gutel
Senior Staff Attorney for Reimbursement
As the company's Senior Staff Attorney for Reimbursement, Christina
L. Gutel is responsible for streamlining Dynacq's reimbursement
procedures, and represents the company in the administrative and
dispute resolution process for claims. Ms. Gutel has built a track
record in the area of workers' compensation litigation, specializing
in representing healthcare providers before the Workers'
Compensation Commission, the State Office of Administrative Hearings
and the District Courts of Texas. She received a Bachelor of
Business Administration from Stephen F. Austin State University.
Following her graduation, she attended South Texas College of Law
where she received a Doctor of Jurisprudence Degree. She is a member
of the South Texas Law Review.
Chantell L. Preston
Vice President of Development
Chantell Preston's duties consist of project management for new
campuses outside of the Houston market area. Preston's strong
background in surgery center development enables her to identify
additional acquisition and construction opportunities for Dynacq as
well as perform feasibility studies for potential new hospital
Prior to joining Dynacq, Ms. Preston developed and implemented
strategic marketing plans for the design and construction of
ambulatory surgery centers and surgical hospitals for Shiloh
Enterprises in Oklahoma. Ms. Preston also worked in various
healthcare project management capacities, including working with
regulatory agencies to meet all federal, state and local
regulations. Prior to that, she served as Director of Development
for U.S. Surgical Partners in Houston, Texas, being responsible for
syndication of physician ownership and evaluating surgical centers
for operational efficiency, profitability and acquisition
Ms. Preston received her Masters of Business Administration from Sam
Houston State University.
Richard D. Valentine
Vice President of Operations
Richard D. Valentine brings 25 years management experience with both
public and non-public companies. Mr. Valentine has experience in all
phases of day-to-day operations in entities ranging from home health
to acute care hospitals. Prior to joining Dynacq, Mr. Valentine held
CEO/COO positions with Autumn Hills Convalescent Centers, Pine Haven
Health Care, Phoenix Management and Houston Community Hospital.
Dynacq Healthcare Inc. specializes in creating surgical facilities
that are models of efficiency, technology, clinical skills, - and
most importantly, patient care.
In 1986, our Chairman and Chief Executive Officer, Chiu M. Chan,
founded Ambulatory Infusion Therapy Specialists (AITS), a firm that
specialized in the delivery of intravenous products to home-based
In 1992, that company became Dynacq Healthcare Inc. through a
reverse merger and began trading under the symbol DYII. Home
infusion therapy business was our core operation for several years
before we diversified our healthcare operations. In 1994, we
acquired Vista Healthcare, Inc. and started to own and operated a
15,000 square foot ambulatory surgical center in Pasadena, Texas
Southeast of Houston.
We then enlarged the campus by designing and constructing Vista
Medical Center Hospital and an adjacent professional building
housing corporate headquarters, doctors' offices and ancillary
services. The Hospital opened in May 1999, and the 35,900 square
foot office building adjacent to the Vista facility was completed in
Vista Surgical Hospital of Baton Rouge is the newest member of
Dynacq's network of top-notch facilities, Vista Surgical Hospital of
Baton Rouge introduces the company's unique surgical model to
This 49,800 square-foot facility has been renovated into a leading
edge surgical hospital, including a newly-constructed 20,000 square-
foot surgical suite containing multiple operating rooms, intensive
care unit and pre- and post-operative beds.
Our stock commenced trading on the Nasdaq Small Cap system in
September 1993. In April, 2000, we started trading on the Nasdaq
National Market System under the same trading symbol, DYII.
Dynacq International has all the bases covered in the Houston area.
The company, which began life as a provider of home infusion
therapy, today owns a 15,000-sq.-ft. outpatient surgery, X-ray, and
laboratory facility; a medical office complex; and a physician
practice management subsidiary. Dynacq International also operates
an acute care hospital (Vista Medical Center). The company also
acquired Charis Hospital in Baton Rouge, Louisiana (Now Vista
Surgical Hospital of Baton Rouge) and turned the 50,000-sq.-ft.
facility into a surgical hospital. Chairman and CEO Chiu Moon Chan
owns about two-thirds of Dynacq International.