TORONTO, April 19, 2016 /CNW/ - Medical Facilities Corporation (TSX: DR) ("Medical Facilities", "MFC" or the "Corporation") in response to comments received from ISS Proxy Advisory Services, wishes to provide clarification concerning certain fees paid to members of its board of directors.
MFC board policy requires that, prior to being formally proposed for nomination to the board, a candidate attend board meetings of the company and its subsidiary, Medical Facilities Holdings Inc., in addition to committee meetings and subcommittee meetings. The purpose of this policy is to confirm the suitability of board nominees prior to their appointment. In MFC's 2015 and 2016 management information circulars, fees paid to Ms. Dale Lawr and to Mr. Jeffrey Lozon for their attendance at meetings in accordance with MFC's policy were described as consulting fees. The fees were not for consulting purposes or for any other advisory, consultative or executive function, but were in substance board meeting fees for individuals who were subsequently appointed to the MFC board.
About Medical Facilities
Medical Facilities owns controlling interests in four specialty surgical hospitals located in South Dakota, Arkansas and Oklahoma, as well as an ambulatory surgery center in California. The specialty hospitals perform scheduled surgical, imaging, diagnostic and other procedures, including primary and urgent care, and derive their revenue from the fees charged for the use of their facilities. The ambulatory surgery center specializes in outpatient surgical procedures, with patient stays of less than 24 hours. In addition, Medical Facilities owns controlling interest in a diversified healthcare service company located in Oklahoma City that provides third-party business solutions to healthcare entities such as physician practices, facilities, and insurance companies. Medical Facilities is structured so that a majority of its free cash flow from operations is distributed to the holders of its common shares in the form of dividends. For more information, please visit www.medicalfacilitiescorp.ca.
SOURCE Medical Facilities Corporation
For further information: Michael Salter, Chief Financial Officer, Medical Facilities Corp., (416) 848-7380 or 1-877-402-7162, firstname.lastname@example.org; Craig MacPhail, Investor Relations, 416.586-1938, email@example.com