PROFESSIONAL EXPERIENCE
U.S. Renal Care, Inc. Dallas, TX and Jonesboro, AR
Senior Vice President & Chief Financial Officer January, 2006 – March, 2007
U.S. Renal Care, Inc. (“USRC”) is a privately-held outpatient dialysis service provider to patients who suffer from chronic kidney failure. During this 15 months, under challenging circumstances, USRC grew from $25 million to $90 million in revenues, refinanced and then raised additional debt and equity, and moved most existing headquarter functions from Jonesboro to Dallas.
• Responsible for debt and equity financing, financial reporting, forecasts and budgets, reimbursement, and information technology.
• Refinanced debt, raised additional equity, and completed the February, 2006 acquisition of a San Antonio dialysis provider. Difficult and complex acquisition due to existing diligence, seller, audit and financing issues. Challenging post-acquisition integration and performance issues continued thru 2006.
• Refinanced debt, raised additional equity, and completed the July, 2006 acquisition of a Ft. Worth dialysis provider. Again, difficult and complex acquisition due to existing diligence, seller, audit and financing issues. Significantly improved debt financing terms by replacing incumbent lead bank mid-way thru the syndication process. Subsequently renegotiated more favorable financial covenants and successfully avoided default.
• Replaced existing inaccurate financial reporting, forecast and budget packages with significantly improved versions. This was not a trivial undertaking since, due to USRC’s partnership model, the company reported on more than 40 entities each month. Developed accounts receivable reserve analysis and revenue models, neither of which existed previously. The company never wrote off accounts receivable due to reserve misjudgments during this 15 months.
• Recruited new management team, designed new incentive compensation criteria, and managed company’s relocation from Jonesboro to Dallas.
• Recruited Directors of Accounting, Reimbursement, Acquisitions, and Information Technology, each of whom reported to me. Three of these four were successful hires.
• Located, negotiated, designed, and managed build-out of new Dallas headquarters.
• Balanced and managed significant billing system, cash flow, accounting, reporting, tax, performance and leadership issues. Replaced auditors and tax advisors, and worked closely with legal counsel on various issues.
Pathology Partners, Inc. (currently “Caris Dx”) Dallas, TX
Senior Vice President & Chief Financial Officer September, 2001 – October, 2005
Pathology Partners, Inc. (“PPI”) is a privately-held anatomic pathology laboratory that delivers diagnostics and technology solutions to gastrointestinal physicians who practice in ambulatory surgery centers located throughout the United States. In 2001, the company generated less than $5 million in revenues and carried significant negative equity. In 2005, PPI’s venture investors sold the company to a private equity firm for $120 million. The new owner replaced all existing senior management shortly thereafter.
• Responsible for identifying and solving all of PPI’s financing needs. Conceptualized, marketed, negotiated, closed and implemented many varied financing solutions to most effectively leverage the company’s position.
• Together with CEO, led $120 million recapitalization and related debt issue. Marketed the company on and off Wall Street. Negotiated sensitive potential conflicting objectives (financial vs. strategic buyer) with previous venture investors and bankers. Led day-to-day efforts with the bankers, lawyers and advisors, from the letter of intent thru funding.
• Renegotiated credit facilities six times in order to expand financial capacity and flexibility, and to reduce credit and administrative costs.
• In 2002, organized and executed a simultaneous Series C round and dividend exchange. Devised and executed the dividend exchange as a creative solution to resolve potential cash flow problems associated with a maturing dividend obligation. Solution won for both the company and its investors.
• Developed and implemented a new financing strategy for the company’s customer technology solutions which removed less desirable assets and the related debt from the company’s balance sheet.
• Key strategic partner to the CEO and management team.
• In 2002, engineered and executed a creative solution to a critical and complex voting control problem.
• Renegotiated win-win contract with pathologists to generate significant cost savings for the company (> 2% of EBITDA).
• Provided strategic and financial guidance on the company’s complex, and sometimes difficult, relationships with its technology partners.
• In 2005, with little or no leverage, negotiated an advantageous resolution to a relatively complex four-party lease transaction which, if not resolved, could have hampered PPI’s short-term growth prospects.
• Responsible for all accounting operations and results. Consistently generated timely, accurate and strategically-interpreted financial reports to external and internal constituents, including financial statements, key indicators, annual reports, forecasts, budgets and other analysis.
• No audit adjustments or management letter comments of substance in any year.
• Financial statement package was used as a model for several other venture-backed companies.
• No escrow adjustments at final settlement of company sale.
• Responsible for the company’s billing and reimbursement operations. The Vice-President of Reimbursement reported to me.
• Revenue-related cash receipts and days sales outstanding consistently exceeded appropriate targets.
• PPI never wrote-off receivables due to reserve misjudgments. The company’s bad debt rate ranged from 5.1% to 4.9%.
• Beginning in 2005, responsible for supervising and developing the Director of Information Technology.
Dynacare Laboratories, Inc. (previously NASDAQ-traded: DNCR) Dallas, TX
Chief Financial Officer (U.S. operations) June, 1998 – September, 2001
Dynacare Laboratories, Inc. (“DLI”) was the U.S. holding company for Dynacare, Inc., the third largest clinical laboratory testing company in North America. Shortly after I left, Dynacare was sold to LabCorp. DLI had more than 3,500 employees, 20 primary testing labs and 200 other testing locations in 18 states. Clinical labs perform tests which assist in the diagnosis, monitoring and treatment of medical conditions by examining substances in blood, tissues and other specimens.
• Responsible for financial management, reporting and related activities for approximately $350 million in U.S. revenues. Reported directly to COO of U.S. operations, and indirectly to CFO for Dynacare, Inc. Nine laboratory Finance Directors reported directly to me from the field. Approximately forty others reported to me indirectly.
• Primary accomplishment was to improve the accuracy, timing and information content of financial reports, with limited human and technology resources, while the U.S. compound annual growth rate for revenues exceeded 40%. DLI acquired approximately 15 labs, entered into two new partnerships, and generated same-store growth of 15%.
• Other accomplishments: led U.S. operations through November, 2000 IPO; managed and performed, in approximately 5 weeks, forensic reconstruction of inception-to-date financial statements for one of Dynacare’s larger entities; retained U.S. CFO responsibilities when original COO was replaced.
Laboratory Corporation of America (LabCorp; NYSE: LH) Dallas, TX
Regional Director of Finance February, 1995 – August, 1996
• Managed 85 employees in financial reporting, billing, and purchasing/inventory departments for $80 million region of one of the two largest clinical laboratories in the U.S.
• Reduced receivable write-offs 40%, which improved operating margins 10%. Accomplished by quickly identifying problems, selecting the proper strategies, re-constructing and motivating the team, and relentlessly implementing the strategies.
• Re-engineered 70-employee billing department. KPMG subsequently recognized this as LabCorp’s best billing department in the country. Was previously ranked last.
• Developed and mentored a direct subordinate who won the company’s highest award (Presidential Achievement).
• Improved accuracy, timing and completeness of financial reporting, primarily by reorganizing the staff and by providing clear objectives and goals, technical support, and leadership.
The Open Systems Group Dallas, TX
Controller, then Chief Financial Officer September, 1992 - August, 1994
• Responsible for all phases of accounting for company named the 127th fastest-growing private company in America by Inc. magazine. Substantially increased bank financing capacity and vendor credit relationships, which allowed revenues to double both years. Reduced receivable collections from 45 to 30 days, thereby reducing borrowing requirements. Significantly improved systems of internal controls and accounting, which facilitated credit expansion.
SBC Communications (NYSE: SBC) Dallas, TX
Financial Manager, four departments May, 1989 - September, 1992
• Earned 1991 and 1989 company “VIP” awards for combining financial analysis with strategic vision and cost savings. VIP awards given annually to top two or three performers, by function.
Ernst & Young Dallas, TX
Auditor September, 1985 – May, 1989
• Managed engagements in positions of increasing responsibility. Clients included SEC (American Airlines, DSC Communications) and non-SEC companies.
EDUCATION
University of Chicago, Graduate School of Business Chicago, IL
Master of Business Administration, Finance and Strategy August, 1996 – June, 1998
University of North Texas Denton, TX
Master of Science, Accounting (3.8/4.0), Bachelor of Science, Accounting August, 1985
• Scholarship NCAA football player and letterman.
Certified Public Accountant (#57480) Texas
OTHER
New Business Venture Chicago, IL
Founder January, 1998 – present
• In last year of MBA study at University of Chicago, developed new business model which won $20,000 first prize in New Venture Challenge (judged by venture capitalists; 32 competitors). Business has raised several rounds of equity and is operating today. Maintain founder’s interest but not involved in day-to-day operations.
Member: Financial Executives International (professional association for senior financial executives) |
