Annual Reports DASA 2007

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health always on the top
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highlights
Highlights
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s u m m a r y
summary
2003
2004
2005
2006
2007
06
Management Report
12
Growth in Healthcare
18
Leadership in Latin America
24
Accelerated Expansion
30
15 Million Patients
36
Advanced Technology
42
Transactions on 100% of Trading Sessions
48
Motivated People
54
Focus on Corporate Responsibility
62
Perspectives of Growth
Operational
Requisitions processed (million)
3.9
4.6
5.2
9.3
15.1
PSC - Patient Service Centers
131
148
192
244
296
Mega Units
14
20
23
27
34
Central Labs
3
4
5
7
8
3,471
4,169
5,727
6,981
10,045
Employees
Financial Highlights (in R$ million, except percentuals and operacional data)
Gross Revenues
399.8
491.4
576.9
729.7
930.7
Gross Profit
106.7
141.5
165.9
227.0
274.2
Gross Margin (%)
29.4%
31.6%
31.4%
33.9%
31.9%
Adjusted EBITDA
99.4
123.1
135.9
167.8
197.8
Adjusted EBITDA Margin (%)
27.3%
27.5%
25.7%
25.0%
23.0%
Net Profit (Loss)
(8.5)
(18.9)
10.2
16.5
56.6
Net Margin (%)
-2.3%
-4.2%
1.9%
2.5%
6.6%
Shareholders’ Equity
134.6
244.3
266.0
469.2
512.4
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t i m e l i n e
timeline
Current Chairman of
the Board of Directors, Prof. Dr. Caio
Auriemo, joins the
Company.
Delboni Auriemo
is the first Brazilian
company to create
a Central Laboratory
specially designed
and built to the centralized processing of
clinical tests.
The company adopts
the name Diagnósticos
da América (DASA).
The number of PSCs
amounts to 59, receiving 4,300 patients
per day.
In this year, Curitiba
Santa Casa, a laboratory from Paraná, is
integrated to DASA
and at the same time
the company acquires
CRL – Centro
Radiológico da Lagoa,
from Rio de Janeiro,
one of the most
respected imaging
diagnostics centers.
1974
1996
2000
2003
1961
1985
1999
2001
Two Professors from
Escola Paulista de
Medicina - Dr. Humberto Delboni Filho
and Raul Dias dos
Santos – founded
MAP (Associate
Physicians in Clinical
Pathology).
Computerized
processing of PSCs
begins and the company is then named
Delboni Auriemo.
Funds managed
by Pátria – Banco
de Negócios invest
in the Company.
Lavoisier, one of the
most traditional and
well known laboratories in São Paulo, is
acquired.
Laboratório Bronstein,
local market leader,
and Lâmina, a benchmark in outpatient
and inpatient markets,
both in Rio de Janeiro,
are then an integrated
part of DASA.
DASA is the first
healthcare company
to become public,
with shares being
listed at Bovespa’s
New Market.
The proceedings
from IPO are invested
in the expansion of
DASA in the Brazilian
territory. Laboratories Pasteur in
Brasília, Frischmann
Aisengart in Curitiba,
Image Memorial in
Salvador and Alvaro
in Cascavel (PR) were
acquired.
Investments of
R$400 million in
expansion and acquisitions led DASA to
operate 296 PSCs in
A new share offering nine Brazilian states
led DASA to be
and the Federal
the first company
District. The acquisiof the healthcare
tion of CientíficaLab
sector with diffuse
enabled providing
control in the Stock service to the public
Market (62.5% of the sector, enhancing
total Company’s free the strategy of unifloat).
versalized services.
2005
2004
In this same year,
a 37 year tradition
laboratory in São
Paulo, Elkis e Furlanetto, is acquired.
2007
2006
A R$ 202.5 million
issue in debentures
reduced costs and
extended debt maturity. Lab Pasteur (CE),
MedLabor (DF), Vita
Lâmina Medicina
Diagnóstica (SC) and
Atalaia (GO) were
acquired.
Exame (DF) and
Med Imagem (RJ)
are acquired. The
company’s Board
re-structuring
enables the diffusion
of 93.5% of DASA
shares in the market.
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m a n a g e m e n t
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management report
from left to right, seated: gregory james ryan, caio roberto chimenti auriemo, jorge raimundo filho and alexandre teixeira de assumpção saigh.
standing: olímpio matarazzo neto, plinio villares musetti and claudia maria costin.
In 2007, we had
an unprecedented
expansion in the
number of PSCs and
in the acquisitions
and universalized
services, as a result of
the investments that
summed up to R$400
million.
For DASA, the year 2007 was distinguished by the enhancement of
the strategy of universalizing the offer for diagnostic service, aiming
to reach all economic classes of population with the same quality
standard, but focused on the needs of each specific segment.
In 2007, starting to attend the public sector and with the diffusion
of access to tests at reduced prices, the company registered an increase of 28.1% in net income, compared to last year. This performance indicates the rightness of the strategy adopted.
from left to right: luiz gastão mange rosenfeld, erich brants, maria cristina funck, maurício viécilli, marcelo marques moreira filho, carlos augusto
loureiro brandão, flávia pareto conrado and antônio carlos gaeta.
We evolved, in less than a decade, from a
sole brand company and less than 20 PSCs
(Patient Service Centers) acting at the
outpatient segment and only in the city
of São Paulo, to a complex of 17 brands,
with presence in ten metropolitan regions
and with approximately 300 PSCs. Besides
the outpatient service, we are present in
hospitals and in the support of other labo-
ratories, as well as rendering services to the
public sector. We have structured our activities in order to be seen as a company that
produces and delivers medical knowledge.
To maintain the quality of services and the
business profitability, in this growing speed,
demands strong investments.
In acquisitions and expansion of the
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existing base, in 2007, R$400 million
were invested, not only in new and
modern PSCs, integrated tests processing
centers, personnel and training, but also
in top technology, in the incorporation
of high quality equipment and large
processing capacity, or in automation and
communication system.
Based on those investments, in 2007 we
have registered an unprecedented organic expansion, with the opening of 34
PSCs, seven of them being mega-units. In
the last two years 50 PSCs were opened,
a number practically identical to the total PSCs opened during the seven former
years. Concerning acquisitions, 2007 also
marked a record. Through the absorption
of three brands, we have incorporated
revenues of R$165 million, more than the
total aggregated by acquisition in the period 2005-2006.
In 2007, it was also unprecedented the
investment in the acquisition of imaging
equipment and in the digitalization of
the whole analogical equipment plant,
transforming DASA into the most
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digitalized company of the market. To
support this expansion, a new call center
was constructed in São Paulo, which will
assume national extent.
Besides the investments in extending the
business, which enable to consolidate
DASA’s leadership in the segments in
which we are already operating, as well as
to enlarge its presence in new borders and
market niches, we would like to highlight
the successful efforts of structuring and
application of strategies to integrate the
PSCs, specially the ones of the new brands
acquired. This process runs without losing
the operational and regional characteristics of local leadership of each incorporated brand, adding value to the synergies
obtained. We represent more than 10
thousand employees, integrated in a culture of results and focused on the guaranty
of the service quality, in consonance with
the business profitability.
We are also a company aware of its socio-environmental responsibilities and of
its participation in the construction of a
sustainable world.
m a n a g e m e n t
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DASA was the first company of the sector
to obtain quality (ISO 9001) and environment certifications (ISO 14001) and is the
sole company holding an Occupational
Health and Safety Assessment Series OHSAS
18001. DASA was also the first company
to have PSCs entirely constructed in accordance with sustainability rules, as the
PSC of Delboni Auriemo in the north zone
of the city of São Paulo, opened in 2007.
From the social point of view, we are acting
in our area of specialty, focusing on healthcare. We have developed programs aiming
the consciousness of healthcare issues for
a better quality of living, besides providing
free tests to selected institutions.
We are sure that the results indicate the
rightness of the strategy adopted and the
success on its application. The economies
of scale obtained with the increase in attendance volume and in requisitions processed
have provided expressive profits, although
still under a strong investment maturation
period in all areas of the company.
The EBITDA has reached R$179.5 million,
expressing a growth of 30.7% over last
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year. The fact that our shares, in 2007, have
been transacted in all trading sessions of
the São Paulo Stock Exchange, where we
are listed since 2004, at the New Market,
is an assurance that the shareholders and
the investors are in accordance with this
evaluation.
The perspectives for 2008 and further years
are stimulating. In line with the expectations of advances in the healthcare market
in Brazil, we aim to obtain advantages of
the existent synergies, with the maturation
of the investments, and to register new
boost in the calls received, requisitions
processed, income and profitability, development in our position consolidation
in the medical diagnostic segment. To join
our competitive advantages of scale with
the competitive advantages of the medical knowledge is the path we chose to
reach DASA’s desired perpetuity.
Finally, we thank our employees for the
dedication and for the value of their
contribution, our partners for the rightness in their relationship, our clients
and shareholders for the confidence in
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m a n a g e m e n t
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our work. We also would like to state
our satisfaction with the assurance that
DASA’s sustained evolution prove it possible to treat health in an entrepreneurial
and wide scale of operation basis, without
losing the essential characteristic of Medicine, which is consubstantial to the ethic
relation with the human being, to attend
their needs and ambitions.
Caio Auriemo
Chairman of the Board of Directors
Marcelo Marques Moreira Filho
Chief Executive Officer
The 296 PSCs, of 17 different brands
under DASA’s management, are
spread through nine states and the
Federal District.
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GROWTH IN HEALTHCARE
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a consistent boost
of a great market
Moreover, a favorable economic trend has
helped to multiply the demand for healthcare services. With the increase in income
and the access of a significant part of the
population to private health plans, only in
the last four years 7.4 million people were
incorporate to the almost 40 million Brazilian holding medical assistance plans.
to 4.7% in 1990, and 2.4% in 2007.
When the life expectancy increases, it not
only raises inevitably the incidence of chronic diseases, but it also modifies the way people start to care for their health. The high
cost of treatments leads to prevention, to
the accurate diagnosis and to the adequate
monitoring of illnesses, important tools for
a healthy life at accessible prices.
At the same time, there has been an im-
Healthcare Area in Brazil
Size of
The Market
Nowadays, Brazilian
population is living
longer, increasing the
search for healthcare
services.
Funding
Population
Covered
In Brazil, demand for healthcare services has been growing consistently. The first reason for this positive trend is the increase in life
expectancy of the Brazilian people – from 54.6 years in 1960 and
62.6 in 1980 to 72.3 in 2006, thanks to a better access to healthcare, to the vaccination campaigns, to the growth in education rate,
to the prevention of illness and to the progress of Medicine.
75%
This scenario is completed with the significant decrease in the
children mortality rate in the country. Although still being high,
this rate decreased from 6.9% of children under one year, in 1980,
25%
57%
Source: World Health Organization, 2007 and National Agency of Additional Health (ANS).
Contractors
Providers
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provement in the access of the population served by the public health service,
which budget has been increasing year by
year due to the Fiscal Responsibility Law
that obstructs the deviation to other areas
of the budgetary resources allocated to
public healthcare. It is estimated that the
Brazilian healthcare market – including
suppliers such as physicians, pharmacists,
hospitals and medical diagnostic companies – handles R$ 207 billion a year. From
the total expenses, 53% are financed by
the public sector and 47% by the private
sector, attending respectively 75% and
25% of the population.
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The medical diagnostic has followed the
evolution of the demand and growth by
defining an operating model, where automation and robotics play an outstanding
role. This model allows attending a larger
contingent of people with a diagnosis
accuracy and speed in the retrieve of results, with higher productivity and lower
operational costs.
Based on that paradigm, DASA has been
developing a successful strategy to universalize the medical diagnostic, by intensively applying technology, obtaining a higher
scale and efficiency at lower costs.
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Beneficiaries of Private Medical Assistance* (million)
39.1
Lives in the end of the year
37.2
35.1
33.3
31.3
31.4
2001
2002
31.7
2003
2004
2005
2006
2007
Source: ANS Caderno de Informação de Saúde Suplementar, Mar/2008. (Data Dec/2007)
* Excluding dental plans
Brazilian Private Health Sector - Payers
Category
Scope
Number of
Entities
Users
(Million)
CAGR
(2004-2007)
Health Insurance
National
14
4.3
0.7%
HMO
Regional
716
16.3
5.1%
Medical Cooperatives
Municipal
349
13.0
10.3%
Self-Insured
Regional
299
5.5
0.6%
1,378
39.1
5.4%
Total
Source: ANS Caderno de Informação de Saúde Suplementar, Mar/2008. (Data Dec/2007)
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CRESCIMENTO
LEADERSHIP IN LATIN AMERICA
29 6 psc s in 9 state s and in the feder al distric t
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the number one in the sector
is moving fast
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In the executive segment are Delboni
Auriemo, Lâmina, Frischmann Aisengart,
Image Memorial, LabPasteur, Vita Lâmina
Medicina Diagnóstica, Atalaia and Exame.
Lavoisier, Bronstein, Curitiba Santa Casa,
Pasteur, MedLabor and Med Imagem are
brands of the standard segment.
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Gross Revenue - Total (R$ million)
930.7
2%
GR
CA
3.
=2
729.7
576.9
The regions where
DASA is present
concentrate 66.5%
of the population
and 76.9% of the
Brazilian GDP. The
brand Lâmina is
an outpatient and
inpatient benchmark
in Rio de Janeiro.
The largest medical diagnostic company in Latin America and the
fifth in the world among the publicly traded companies in gross
revenue and number of requisitions, DASA operates in the Federal
District and in nine Brazilian states - São Paulo, Rio de Janeiro,
Minas Gerais, Paraná, Santa Catarina, Goiás, Bahia, Ceará and
Tocantins. These regions concentrate 66.5% of the population and
76.9% of the Gross Domestic Product (GDP). There we operate
with 17 brands: Delboni Auriemo, Lavoisier and CientíficaLab
(SP); Bronstein, Lâmina and Med Imagem (RJ); Pasteur, MedLabor
and Exame (DF); Curitiba Santa Casa, Frischmann Aisengart and
Alvaro (PR); LabPasteur (CE); Image Memorial (BA); Atalaia (GO);
VitaLâmina Medicina Diagnóstica (SC) and Club DA (SP and RJ).
Under those brands, we attend the clients on a segmented manner, but with the same quality – the differences are in the conveniences offered. Club DA is our premium brand.
20
Moreover, with the Alvaro brand we
offer services to more than 2,600 small
and medium laboratories. And with
CientíficaLab we attend 44 public hospitals,
mainly in the states of São Paulo, Rio de
Janeiro and Minas Gerais. From DASA’s
total revenue in 2007, the outpatient and
inpatient operations represented 86.5%,
the lab-to-lab 8.2% and the public sector
5.3%. By test category, the imaging services
accounted for 37.6% of the revenue and
the clinical tests for 62.4% of the outpatient
and inpatient revenue.
In 2007, DASA’s gross revenue reached
R$ 930.7 million, 27.5% over the R$ 729.7
million of 2006 – in this period, growth
was over the average of 23.2% registered
during the period 2001/2007. This increase
is a result of the strong organic expansion,
expressed by the opening of 34 new PSCs
– of the growth of Alvaro lab-to-lab service
and of the acquisitions carried out during
the period. Considering the same units
only, the revenues increased 5.5%.
491.4
399.8
266.6
323.8
2001 2002 2003 2004 2005 2006 2007
Gross Revenue - Lab-To-Lab (R$ million)
R
CAG
.5%
= 43
76.3
60.4
40.5
27.2
18.0
2003
2004
2005
2006
2007
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INVESTMENT IN ORGANIC EXPANSION
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Requisitions x Average Price - Outpatient and Inpatient
Average Requisitions Price (R$)
In 2007, R$215 million were invested
Requisitions (million)
110.4
Opening of 34 new PSCs
109.9
106.8
Construction of the Central Laboratory
in São José dos Pinhais (PR)
104.8
102.5
7.7
Construction of the new local call center
6.1
Purchase of imaging equipment (the largest
purchase in the history of the company)
All analogical imaging equipment were digitalized
3.9
Construction of new
Advanced Telemedicine Center in São Paulo
In acquisitions – Exame, Med Imagem and
CientíficaLab – we have invested R$185
million. Under the criteria of annual revenue aggregated to the business, it was the
year that DASA invested the most: R$164.8
million, compared to the R$159.5 million
during the period of 2005 and 2006.
In 2007, EBITDA reached R$ 179.5 million,
30.7% over the R$ 137.4 registered in
2006. The adjusted EBITDA, excluding
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The net profit, however, registered variation of 242.9%, rocketing from R$16.5 million to R$56.6 million.
Outpatient and inpatient segment
The outpatient and inpatient operation
revenue showed an increase of 20.2%,
from R$ 669.3 million in 2006 to R$804.8
million in 2007, as a result of 26.2% growth
in requisitions processed – a total of 7.7
million compared to 6.1 million in 2006.
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Adjusted EBITDA (R$ million)
197,8
Non-recurring expenses
18.3
EBITDA
%
GR
CA
=
3
21.
16.9
38.5
99.4
62.2
30.4
135.9
123.1
80.4
167.8
15.3
15.5
15.0
5.2
4.6
Acquisition of servers and storage system
to archive patients historical data
Construction of new warehouse in São Paulo
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2004
2005
2006
2007
non-recurring expenses, reached R$ 197.8
million, 17.9% higher than in 2006.
Nevertheless, the margin, with the
adjusted EBITDA fell from 25.0% to
23.0%, due to investments in acquisitions
and in organic growth – with a large
number of new PSCs still in the process
of maturation. Those investments
consumed the cash generation and
demanded additional resources, which
led the net debt to R$ 361.4 million.
Lab-to-lab
The lab-to-lab segment grew by 26.5%,
from R$60.4 million in 2006 to R$76.3
million in 2007, as a result of an upturn
to the portfolio of 315 new laboratories
served in Brazil and an increase of 12.3% in
the average revenue per laboratory.
Public Sector
In accumulated terms of the year, the
gross revenue of the public sector
amounted to R$94.7million, pro forma, a
208.1% growth over 2006.
This performance is due to the contracts
with new clients, in special the São Paulo
Municipality and the Government of
Rio de Janeiro State, as well as the expansion of the services rendered to existing
clients.
47.2
64.9
84.1
84.6
119.0
137.4
179.5
2001 2002 2003 2004 2005 2006 2007
Revenue per Service Line (R$ million)
Outpatient and Inpatient
Lab-to-lab
Public Sector
729.7
8.3%
27.5%
26.5%
930.7
49.6
5.3%
76.3
8.2%
669.3
804.8
86.5%
2006
2007
60.4
20.2%
Evolution
2006/2007
91.7%
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ACCELERATED EXPANSION
da sa's 1 0 0 t h psc in são paulo - rua colômbia , 8 4
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a c c e l e r a t e d
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patient service centers
are propagating in the country
seven years, from 1999 to 2005 (54), an
evidence of the deliberated growth acceleration, according to the strategy of
reaching national coverage.
In 2007, as part of the organic expansion,
we accomplished the largest investment
in the company’s history, purchasing the
imaging equipment, having the whole
analogical park digitalized and amplifying
our presence in hospitals. To support this
expansion, we acquired and refurbished
a building in the district of Santana, in
São Paulo, where the call center services
will be centralized to attend 30 thousand
calls a day. The investment on new PSCs
and equipment were of R$215.2 million,
in this period.
What has taken seven
years in the past, DASA
managed to do in only
two: opened 50 new
PSCs, 34 of them in
2007.
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At the end of 2007, DASA had 296 Patient Service Centers (PSCs),
52 more than the 244 existent in 2006. The majority of this advance was due to organic expansion, with the opening of PSCs
– 34 during the period. In two years, 2006 and 2007, the number of new PSCs reached 50, very close to what was obtained in
Besides the 34 openings in 2007, 26 new
other PCS’s were aggregated to the network, with the incorporation of the laboratories Exame, in Brasília, and Med Imagem, a company of imaging diagnosis in
the state of Rio de Janeiro (in the capital,
Niterói and São Gonçalo). The total invested was R$185 million in acquisitions,
including CientíficaLab, that attends the
public outpatient and inpatient segment
of the Unified Healthcare System (SUS).
The year of 2007 was the largest in
growth by acquiring other companies,
when the total annual aggregated revenue summed up to R$164.8 million, compared to the R$159.5 million in 2005 and
2006, together. The three acquisitions
raised to 17 the total of brands under
DASA’s management.
Evolution of the Number of PCS´s
Outpatient and Inpatient Markets
296
244
192
131
2003
148
2004
2005
2006
2007
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a c c e l e r a t e d
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15 MILLION PATIENTS
centr al l abor atory científic al ab - barueri - sp
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growth trend
with quality assurance
In 2007, DASA served 15.1 million patients – an amazing growth of 62.4% over
the 9.3 million in 2006 – with constant
care and comfort. Our mega-units have
a differentiated area for children, besides
musical live presentations.
A large part of the expansion obtained
in 2007 is due to a new line of service:
the attendance of the public outpatient
and inpatient units, aggregated with the
acquisition of CientíficaLab. In 2007, exclusively in this area, 2.9 million clients
were served – or 50% of the 5.8 million
added during the year. Also in 2007, the
outpatient and inpatient segment assisted 7.7 million and the lab-to-lab segment 4.5 million.
The acquisition of CientíficaLab represented
an important step in the search of universalizing DASA’s services. From one sole
brand and 18 PSCs in São Paulo in 1999,
the company has consistently developed
to a model with regional multiplicity – of
brands, of products and of service payers.
In the beginning, we were operating only
32
in the outpatient segment, and later on
we have added the inpatient as a complement. Nowadays, DASA is present
in hospitals in São Paulo, Rio de Janeiro,
Curitiba, Brasília and Fortaleza. Then,
through the Alvaro brand, we have entered the lab-to-lab segment, where we
are processing more complex tests for
around 2,600 small and medium labs all
over the country.
In 2007, with the addition of a new
business unit to perform tests to the
public sector, we have actually reached
the base of the social pyramid. Before
that, DASA had approached that base
by offering tests at popular prices for the
private sector, with brands of the standard
segment.
Our interest in the low income private
range derived from the confirmation,
based on survey, that 50% of the Brazilian
workers are out of the formal working
market. Therefore, there is a huge contingent of people without health plan,
in Brazil, but with a great potential of income to use the medical diagnostic.
With CientíficaLab we have enlarged
the scope and reached the range of
healthcare financed by the public sector
– equivalent to quite half of all health
expenditures in Brazil. Volumes and automation and, therefore, lower costs,
have allowed to attend the patients of
the Unified Healthcare System (SUS), with
quality and speed.
We have got scale without abdicating the
quality, validated by two accreditations
– one international, from the College of
American Pathologists (CAP), and the
other national, of PALC (Accreditation
Program of Clinical Laboratories of the
“Sociedade Brasileira de Patologia Clínica”) – and quality certifications renewed
in 2007 – ISO 9001 (quality) and ISO
14001 (environment) and OHSAS 18001
(occupational health and safety). DASA
is the sole company of the healthcare
segment to simultaneously obtain both
certifications.
Moreover, we have assembled the largest
group of healthcare professionals among
the companies of the medical diagnostic
National and international
certifications attest the
quality of services offered by
DASA.
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sector, which assures the highest levels of
quality, whether in the collection of the
clinical laboratorial material and in the
imaging caption or for its processing and
analysis. The technical staff is formed by
997 physicians, 84 of them holding master or doctorate degrees in their specialty.
The tests are processed by eight central
laboratories, 23 emergency laboratories set up in private hospitals and 42
in public hospitals, equipped with the
highest technology in clinical and image
analysis. Among the so called Central
Laboratory is the one opened in Paraná
in 2007. Set up in São José dos Pinhais, in
the Great Curitiba area, with 2.5 thousand square meters of constructions, it
is the largest of the South of the country. Designed and built according to the
sustainability rules, it has state-of-the-art
equipment and a capacity to process
95% of the tests in the same day.
DASA works also with imaging centers
– located in São Paulo, Rio de Janeiro
and Curitiba – where tests with devia-
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tion of standard results receive always a
second opinion.
To supply this chain, a complex operation of logistics and transportation is held,
supported by advanced equipment and
communication system, able to orient
routes and trace down vehicles. On one
hand, it is necessary to deliver to all places
the material necessary for the attendance.
This process starts in the warehouse, standardizing the materials – in a network that
grows also through acquisitions – with
the objective of ensuring better quality
and distribution at lower prices.
On the other hand, it is necessary to deliver
safely to the labs the samples collected at
the PSCs, an operation which is frequently
audited by the accreditation organization.
In São Paulo, Minas Gerais and Rio de Janeiro we collect samples every day in 615
addresses, for CientíficaLab operations
only. For Delboni Auriemo and Lavoisier
there are other 99 addresses. The perfect functioning of the supply and logistic
chain results in the delivery of high quality
tests and an adequate timing.
35
ADVANCED TECHNOLOGY
t e l e m e d i c i n e a dva n c e d c e n t e r – s ão pau lo – s p
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the most modern resources
for precise diagnostics
This technology allows to complement,
or even to eliminate, invasive procedures,
such as catheterism.
We also use endoscopic capsules, a modern
dispositive which enables the visualization of the small intestine through a minicamera, simply swallowed by the patient.
The use of this technology has advanced
in the sense of obtaining and disseminating
medical knowledge, for the internal as
well as for the external public.
Destination of Investments (R$ million)
State-of-art digital
equipment gives the
exact information to
the professionals.
Information Technology
Opening and refurbishing of PCSs
Others
For clinical tests as well as for imaging diagnostics, DASA employs
the most advanced technology in use. The entire imaging equipment plant, for example, is digitalized and has high capacity magnetic resonance, 3D ultra-sound equipment and multi-slice tomography with 64 slices per second.
With the new generation of equipment it is possible to obtain
tridimensional images, as the fetus ultrasonography of this photo.
The intra-uterine visualization make possible the follow up of the
fetus morphologic development. In the same way, the multi-slice
tomography enables to visualize, for example, the heart in three
dimensions, with the details of the coronary arteries.
38
Medical Equipment
13%
129.8
10%
65.1
11%
40.4
17%
26%
15%
17%
42%
15%
42%
26%
39%
2003
2004
2005
11%
32%
32%
17%
33%
47%
2006
The integration of the system will lead to
the implementation of the unified medical register and listing of procedures for
the patients. With this unified register, it
will be possible to obtain the history of
tests and results of each individual, enabling
precise diagnostics.
215.2
14%
71.2
In this direction we have consolidated, in
2007, the IT operational system of the clinical laboratory in São Paulo (established in
2006), which is executing tests and analyzing
results. Integrated to the imaging manager
Image Quest, the system will be expanded
to hospitals and branches in 2008.
41%
2007
Moreover, we are targeting the standardization of procedure nomenclatures,
based on the concept LOINC (Logical Observation Identifier, Names and
Codes), which has been progressively established in countries such as the United
States, France, Germany and China. The
standardization will start from a base of
medical knowledge for all kind of tests
– with information such as names, clinical meaning and under which conditions
they can be required.
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Elaborated during five years and being
constantly updated, in 2007 this base
was made available for external use of
doctors through CDs and, already in
2008, it will be possible to be accessed
by Internet.
Among the support tools for the doctors,
in terms of knowledge, are the emails being sent to the professionals according to
their area of expertise, informing about
new tests or important events, such as
the stronger incidence of a certain illness.
A journal available by Internet, the “Informe Médico”, explains the diagnosis of
the most different illnesses.
We continue also with our policy of distribution of gifts of real professional utility,
such as the literary books of DASA Library
– which the company acquires in large
quantities and distributes to the professionals, updated and valuable information
for doctors.
In the Library, DASA
holds annual and useful
information for health
professionals.
40
Another way of healthcare diffusion and
integration is the Physician’s Channel. It is
a service available 24 hours a day through
which a team of 50 professionals of the
segment of clinical analysis gives support to external doctors and to the production of internal tests. Each of those
groups of specialists is responsible for a
specific technical segment. Acting in a
national ambit, the service is formed by
the best specialists of each area, wherever
they are located.
Still, as a way of approaching the medical community, in 2007 we have started
the program Looking Forward to the Future, when we host Medicine students
to visit our facilities and attend lectures
in Alphaville, a district of Barueri, in the
metropolitan area of São Paulo. Besides
this, we offer lectures and seminars to
the professionals, held by graduated doctors of our company or by guests. Two
of these courses are now considered as
grades in the process of revalidation of
the professional registration at the Regional Council of Medicine.
41
TRANSACTIONS ON 100% OF TRADING SESSIONS
in 20 07 da sa share tr ade s summed up to r $ 2 .5 billion at bove spa
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t r a n s a c t i o n s
o n
1 0 0 %
o f
t r a d i n g
s e s s i o n s
results of
a high liquidity share
Bovespa - DASA ON
Close (12/28/2007)
36.90
2007 High (R$ per Share)
50.50
2007 Low (R$ per Share)
33.25
Market Cap (R$ MM)
2,118,168
Market Cap (US$ MM)
1,195,827
93.50%
Free Float
57,402,935
Outstanding Shares (Th.)
Stock Exchange Performance
350
DASA3 X IBOVESPA / NOVEMBER 2004 = 100
DASA3
300
DASA Shares
traded in 2007 a
total volume of
R$2.5 billion and an
average daily trade of
R$10.2 million.
A public company since 2004, DASA shares are traded in BOVESPA’s
New Market, a segment accessed only by companies committed
to the highest level of corporate governance. We were one of the
first companies to enter the New Market.
In 2007, the company shares were traded in all BOVESPA’s trading
sections, with a total financial volume of R$ 2.5 billion and a daily
average trading of R$ 10.2 million. And they continued, for the
third year, to integrate the Corporate Sustainability Index (ISE) (see
Corporate Responsibility chapter).
44
IBovespa
Volume in R$ million
250
200
150
100
50
0
11/18
01/18
03/18
2004
05/18
07/18
2005
09/18
11/18
01/18
03/18
05/18
07/18
2006
09/18
11/18
01/18
03/18
05/18
07/18
09/18
11/18
2007
Source: Agência Estado
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BOVESPA’S INDEX
Corporate Sustainability Index (ISE)
7
t r a n s a c t i o n s
o n
1 0 0 %
In 2007, DASA maintained 93.5% of its
shares in the market (“free float”), when
the minimum required by the New Market
regulation is 25%.
We have managed to advance, in 2007, in
o f
t r a d i n g
s e s s i o n s
the quality of information rendered to the
stock market. Every quarter, the company’s
financial information were published simultaneously, not only according to the
Brazilian accounting standards, but also to
the American standards.
Comprised by shares from 34 companies with a recognized commitment to social responsibility and corporate sustainability.
Index of Shares with Differentiated Corporate Governance (IGC)
Comprised by shares traded on the New Market or on the Levels 1 or
2 of Bovespa’s Corporate Governance.
Brazil Index (IBrX)
It measures the return of a theoretical portfolio comprised by 100
shares selected among the most traded on Bovespa.
Index of Shares with differentiated tag along rights (ITAG)
Comprised by securities from companies that offer the best conditions to minority shareholders in the event of disposal of control.
46
DASA publishes the
financial information
according to the
Brazilian and
American rules, at
the same time.
47
MOTIVATED
CRESCIMENTO
PEOPLE
at da sa , women repre sent 74 % of the profe ssional staff
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more than 10 thousand professionals
trained and integrated
m o t i v a t e d
To evaluate the level of commitment and
satisfaction of the employees, DASA runs
surveys of internal environment every two
years. In the first one, in 2004, a general
level of 74% favorableness was achieved.
In the second, run at the end of 2006, this
level rose to 80%. The level of satisfaction
of the employees with the company rose,
from one survey to the other, from 83%
to 86% (¹).
The results of each item were considered
in improvement programs, adopted in
2007, to enhance the commitment and
satisfaction of the employees – factors
that we consider as fundamental to reach
better results in our business.
p e o p l e
each brand. In this way, a highlight in
2007 was the launching of Intranet, run
initially in São Paulo and Rio and extended
to other regions during the year.
In the intranet, a sole site, but with access
to all the brands, our employees have a
channel where information can be obtained and sent. It works, also, as a managerial tool, where career plans and human
resources policies are made available.
Number of Employees - Evolution
10,045
6,981
We have defined and established a specific communication strategy to disclose
the adopted measures to the employees.
An internal survey
shows that the index
of satisfaction with
the company has
grown in the last two
years, from 83% to
86%.
50
To maintain a large number of employees trained, integrated
and motivated is a priority task in large corporations and frequently celebrated as cases of success. For DASA, the achievements in 2007 represent a double merit as they were obtained
during a period of exponential growth of the staff: from 6,981
employees in 2006 to 10,045 at the end of 2007, aggregating yet
different cultures through the acquisitions carried out in this
period.
At DASA, the management of people
is focused in maintaining an integrated
team, under a corporate culture, but
without overseeing the peculiarity of
5,727
4,169
2,880
2002
3,471
2003
2004
2005
2006
2007
(¹) The survey was carried out with the application of open questions and multiple choice. In this case, a scale of 1 to
4 was applied, in which 1 and 2 demonstrated satisfaction and 3 and 4, dissatisfaction. The level of participation was
70.3% versus 61% of the former survey.
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Furthermore, in 2007 the program of
communication agent launched in 2006
was built up. By this program volunteers
indicated by the managers and validated
by the colleagues were acting as a connection between the staff management
and the company communication. Two
large meetings, held during the year with
the presence of the board and more
than one hundred agents, made evident
the success of this initiative.
As in the organizational environment
survey, there was an outstanding improve in the 180º Survey, whereby the
employees evaluate their leaders, specially under the item communication
– one of the most emphasized in the
leadership development program.
Besides reinforcing the role of the leaders
through communication programs and
routines of staff management, we have
consolidated a model of assessment by
competence. In this case, in 2007 we
have added a new tool to identify and
retain talents, which will become a program in 2008.
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Based on a structured methodology,
together with a routine of competence
assessment, we have promoted the search
for employees with differentiate behavior,
bringing in ideas and adding value.
Based on the grade obtained, we have
identified more than 1,000 employees
for a second selection, aiming to reach a
group of 600, in all levels. The quality and
potential of the employees selected will
be enhanced through specific learning
and development programs.
In 2007, the integration program for new
employees was remodeled by creating
the position of monitor - a professional
that supports newcomers, with a variable
remuneration. There has already been
an improvement in the quality of the
training and the success of the variable
remuneration has enabled the extension
of this benefit to other functions, without
leaving aside the non-monetary incentives
and awards. In this sense, actions for
the environment improvement, such
as the DASA National Volleyball and
Soccer Competition and the national
photography contest.
m o t i v a t e d
p e o p l e
Employees Profile
Gender
Business Area
Men
Administrative Area
Operational Area
Technical Area
Women
22%
26%
21%
74%
Instruction Level
57%
Age
No Instruction (0%)
Complete Elementary School
Complete Highschool
Complete College
Uncomplete Elementary School
Uncomplete Highschool
Uncomplete College
Master, extension course
1% 1%
2%
3%
17%
1%
7%
10%
66%
Up to 25
From 25 to 35
From 35 to 45
From 45 to 55
Over 55
25%
20%
47%
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FOCUS ON CORPORATE RESPONSIBILITY
selec ted wa ste collec tion in 1 0 0 da sa units
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f o c u s
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r e s p o n s i b i l i t y
an agent of positive changes
in the community
within the Brazilian business environment.
Every year, a deliberative committee decides whether the companies remain or
not in the index, based on the evaluation
of the following dimensions: general, nature of product, corporate governance,
economical-financial, environmental and
social.
One project within
the Consumption
Awareness program
is the selective waste
collection, to reduce
common garbage and
increase recycling.
Since the beginning, DASA has been positioned favorable to programs and actions to ensure its presence as a responsible company, committed with health, development and welfare of the
community, as well as aware of the environment problems. Besides contributing to the development of the country as a medical diagnostic company, DASA is an agent of positive changes,
through educational, sensitiveness and conscientiousness strategic initiatives with its diverse community.
This positioning is attested by DASA participation, for the third
year, as one of the companies with stocks integrating the Sustainability Index (ISE), of the São Paulo Stock Exchange (Bovespa). By Bovespa’s definition, ISE participants are companies
acknowledged as committed to the social responsibility and
business sustainability, and which are promoting good practices
56
The more outstanding is the challenge
of maintaining and incentivizing corporate responsibility practices, the more
accelerated is our growth, as it has been,
with the incorporation of other companies and cultures. To build up and consolidate our action, we have contracted
a consulting company specialized in corporate responsibility strategies and solutions. And we have reached a diagnosis,
after analyzing the actions carried out
and the expectations of our community.
One of the proposals, already being carried out in 2007, is to set up a Corporate
Responsibility Committee, formed by
representatives of the different sectors and
directly related to the Senior Management
of the company. The Committee will deliberate on the policies to be adopted,
in line with DASA Corporate Responsibility Program. This program, focused
on “health” has an institutional ambit,
related to local and global sustainability
and relationship initiatives – with well
defined basis of action with shareholders,
internal staff, suppliers, community and
environment.
As a first initiative in this new structure,
in 2007 the Consumption Awareness Program was established, aiming the preservation of the environment. The program
contemplates education, sensitiveness
and consciousness and incentive to citizenship, besides measures to optimize
the usage of natural resources, such as
adequate waste disposal and recycling.
Initially applied to the internal public, the
program will be extended to clients and
the nearby community, in the future. One
project of the program, already launched
and applied to the internal public, is the
selective waste collection, through which
we intend to reduce the volume of common waste and increase the recycling.
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All those initiatives were taken without
damaging others already in action, such as
the program of waste management and
strict control practices on the usage and
re-usage of water, as well as effluent treatment in the Central Laboratories. In 2007
we have started to set up indicators to
measure the consumption of natural resources, by test as well as by patient. And
we have yet maintained certifications such
as ISO 14001 (environmental) and OHSAS
18001 (occupational health and safety).
Children in an appropriate environment at one of
Delboni Auriemo’s PSCs, the first constructed under
the principles of sustainability;
An agenda for thematic corporate campaigns was also established, aiming to
stimulate citizenship and solidarity between employees and clients.
The materialization of the concepts defended by DASA was the opening, in
2007, of a PSC under the Delboni Auriemo brand in the north zone of São
Paulo, which was entirely designed and
built according to sustainability concepts
58
and the rules of Leadership in Energy and
Environmental Design (LEED).
It is the first medical diagnostic unit in
the city to follow sustainable principles,
from the conception and initial phases of
the work, using recycling materials of the
lowest possible environmental impact,
from mortar and bricks to electric motors
of high performance and reduced energy
consumption.
We are also aware of the importance of
corporate action for the development
of the community. We were awarded
by “Fundação Abrinq” with the stamp
“Empresa Amiga da Criança” for the
commitments assumed in the defense
and promotion of the children and adolescents rights, in Brazil. Moreover, we
have consigned to the Municipal Fund
for Children and Adolescents part of our
Income Tax due, besides sponsoring specific actions for this public.
Among these actions, there is the “Programa Doutores do Riso”, an interaction
In the “Programa Doutores
do Riso”, clowns interact
with sick children in the
hospitals.
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Landscape and gardening are among the
activities for youngsters of “Projeto Pescar”,
from Alvaro Laboratory, in Cascavel (PR).
of clowns and sick children in hospitals and “Casa Hope”, sponsored by the
brand Delboni Auriemo. Alvaro Laboratory in Cascavel (PR), sponsors the visit
of clowns to the “Centro de Oncologia
de Cascavel” and to the “União Oeste
Paranaense de Estudos e Combate ao
Câncer”. It maintains also, under the
“Projeto Pescar”, a classroom inside its
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r e s p o n s i b i l i t y
Elderly clients use the welfare activities in “Boulevard
do Forte”, a space in Bronstein, Rio de Janeiro (RJ).
PSC, with classes for administrative clerks,
landscape and gardening, and assembling
and maintenance of computers for the
adolescents. In Rio de Janeiro, Lâmina
brand subsidizes 100% of the tests run
for impoverished children supported
by the institute “Pró Criança Cardíaca”.
In São Paulo, Lavoisier also subsidizes
tests for social institutions and, for the
last two years, supports a program of
complementary nourishment for children under malnutrition risk. In Curitiba,
Frischmann Aisengart sponsors, with fiscal incentive resources, the improvement
at the “Hospital Pequeno Príncipe”. And,
in Brasília, Exame supports theater plays,
which teaches children personal hygiene
practices.
The initiatives are completed with actions aiming other communities, as the
brand Bronstein with the “Boulevard do
Forte”, a space designed to host clients
over 60 and offer them activities to enhance their well-being and quality of living
such as games, movies, lectures on prevention of illnesses.
61
PERSPECTIVES
CRESCIMENTO
OF GROWTH
outstanding re venue grow th of popul ar br ands
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PSCs IN BRAZIL
increase in the number
of patients and tests in the horizon
There is an increasing demand for medical diagnostic services. By living longer,
people start to worry more with the cost
of maintaining a healthy life. The early
detection of illnesses helps reducing
costs of Medicine and the maintenance
of health. In this sense, DASA will continue to take advantage of the opportunities being offered.
Following the strategy of serving all
classes of the population within the national territory, with multiple brands and
products, state-of-art equipment and
advanced resources in IT, DASA aims to
assure the successful application of scale
and quality.
In parallel to the continuous evolution of
the medical diagnostic, advanced medical methods and procedures will enable
the development of the predictive medicine – the one capable of avoiding future
diseases, based on possibilities of genetic
investigation.
The perspectives are promising, after a
high investment of R$400 million in 2007
in the opening of PSCs, in the purchase
of equipment and in the acquisition of
three new brands.
Such investments, which in the first moment had the obvious effect of reducing
our margins, enable us to be prepared
to attend a larger number of patients, of
higher quality due to the synergies that
could be obtained and, therefore, the
solid and positive final results. These, in
turn, will nourish new investments in the
future, able to ensure the objectives targeted in our business strategy.
The increase in the attendance capacity
is advancing in the sense of obtaining
a larger scale, converted into attractive
prices for our services and, therefore, in
pursuing new clients.
By using the modern medical resources,
increasingly accessible to a larger contingent of the population, the people live
more, and by living more, they use the
medical diagnostic in a larger scale. This
is a positive self retro-feeding process, in
which DASA is perfectly inserted.
A fragmented market
with a high growth
potential.
SP
RJ
MG
DF
Club DA*
18
Club DA*
3
Científica
Lab
Pasteur
23
Delboni
Auriemo
35
Lâmina
17
Lavoisier
64
Bronstein
44
Científica
Lab
Med
Imagem
8
296 PSCs
PR
CE
BA
Frischmann LabPasteur
Image
Aisengart
18
Memorial
28
2
GO
Atalaia
14
SC
TO
Vita Lâmina MedLabor
MD
1
1
MedLabor Curitiba
1
Santa Casa
8
Exame
17
Alvaro
15
Científica
Lab
* Club DA is located inside Delboni Auriemo’s PSCs (São Paulo) and Lâmina’s PSCs (Rio de Janeiro).
64
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g e n e r a l
i n f o r m a t i o n
general information
Board of Directors
Chairman
Caio Roberto Chimenti Auriemo
Imaging, Diagnostics and Graphic
Methods Officer
Vice-Chairman
Carlos Augusto Loureiro Brandão
Alexandre Teixeira de Assumpção Saigh
Business Officer
Claudia Maria Costin
Gregory James Ryan
Jorge Raimundo Filho
Olímpio Matarazzo Neto
Plinio Villares Musetti
Board of Executive Officers
Chief Executive Officer and Investor Relations Officer
Marcelo Marques Moreira Filho
Chief Financial Officer
Flávia Pareto Conrado
Human Resources Officer
Maria Cristina Funck
66
Banco Itaú S/A - Superintendência de
Serviços aos Acionistas
Centro Empresarial Itaúsa
Av. Eng. Armando de Arruda Pereira, 707
Torre Eudoro Villela - 9º andar
Phone.: +55 (11) 5029-1910
Soc. Brasileira de Patologia Clínica:
www.sbpc.org.br
Instituto Brasileiro de Metrologia:
www.inmetro.gov.br
International Standards Organization:
www.iso.org
U.S. Institute of Medicine:
www.iom.edu
Agência Nacional de Saúde:
www.ans.gov.br
Ministério da Saúde:
www.saude.gov.br
Antônio Carlos Gaeta
Independent Auditors
Sales Officer
KPMG Auditores Independentes
Erich Brants
Headquarters
Equity and Securities
Trading Market
Credits
Av. Juruá, 434, Alphaville
Barueri, SP
CEP 06455-010
Phone.: +55 (11) 4197-5500
Fax: +55 (11) 4197-5516
CNPJ: 61.486.650/0001-83
Bolsa de Valores de São Paulo (Bovespa)
Ticket: DASA3 (Common Shares)
DAMRY (Regs/144A-ADS) – JPMorgan
Depository Bank
Investor Relations
Diário Oficial do Estado de São Paulo
Valor Econômico
Text
Website
www.diagnosticosdaamerica.com.br
www.dasa3.com.br
Photography
Medical Officer
Luiz Gastão Mange Rosenfeld
Sources
Operations Officer
Maurício Viécili
Board Members
Depositary Agent
Tharso Bossolani
Email: : ir@danet.com.br
Phone.: +55 (11) 4197-6233
Fax: +55 (11) 4197-5516
Official Press
General Coordination
Relações com Investidores DASA
Graphic Design
Graphic Designers
José Paulo Kupfer
Marcelo Uchôa
GettyImages, Comstock
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www.diagnosticosdaamerica.com.br
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