Two founding officers have resigned from Brentwood, Tenn.-based New American Healthcare Corp. to start their own healthcare company.
Neil McLean, 50, was senior vice president of acquisitions and development, and Craig Watson, 51, was a vice president. Other senior managers at the company are taking on their duties.
McLean declined to give details about his new venture because financing has not yet been secured and another potential partner is involved. "We are assuming that we can obtain financing, and it will be in the healthcare industry," he said. "We have definitive plans."
McLean said he will likely stay in the Nashville area.
McLean and Watson were among five founders of New American in 1996. Their departures come two months after Thomas Singleton was named president and chief executive officer, replacing Robert Martin, the company's first president and CEO.
Dana McLendon Jr., New American senior vice president and chief administrative officer, said he and Martin recruited McLean and Watson. When asked whether their departures were related to recent management changes, McLendon said, "not directly, no."
He declined to elaborate.
The company announced in February it was downwardly revising its earnings projections for the fourth quarter ended March 31. Expectations were reduced from earnings of 8 cents per share to a loss of 10 cents per share for the quarter. The company's yearly earnings statement is due out this week, McLendon said.
McLean had been a group vice president in the Atlanta office of Quorum Health Resources, the hospital management unit of Quorum Health Group, and was a senior executive at Hospital Corporation of America before that, he said.
Watson was previously a hospital CEO at Gulf Coast Medical Center in Wharton, Texas, while he was with HCA, McLendon said.
McLendon and Martin were former Healthtrust executives who left to create New American when Columbia/HCA Healthcare Corp. acquired Healthtrust in 1995 (Sept. 7, p. 36). The company went public in August last year.
New American has targeted rural hospitals with little competition. It has 11 hospitals in nine states. According to its Securities and Exchange Commission filings, New American reported $3.5 million in net income for 1998 and net revenues of $169 million.