Dynacq Reports Surgical Center Expansion.

Business & Health/Medical Writers

HOUSTON--(BUSINESS WIRE)--Feb. 1, 2001

Dynacq International Inc. (Nasdaq:DYII) reports the beginning of expansion construction of its Ambulatory Surgical Care ("ASC") facility. The State of Texas has approved the plans for expansion of the existing facilities, creating an additional Operating Room and recovery stations. This expansion will result in a 33% increase in the facility's surgical capacity and operating room availability.

After securing bids for the $500,000.00 project, the successful contractor has obtained all necessary building permits and estimates the project will be completed no later than May 1, 2001. This renovation is designed to enhance the company's commitment to the delivery of quality and efficient healthcare and exceeds the requirements of the Texas Department of Health for like facilities.

This project will not interfere with current operations. All construction costs will be paid out of existing earnings and no debt will be incurred.

Mr. Chiu M. Chan, president & CEO of Dynacq stated, "This is but the first of many steps we are taking towards implementing our plan to expand our ability to provide exemplary and cost efficient healthcare through controlled and well managed growth. The company is continuing its efforts to penetrate the area and national medical markets and propagate its very successful model for creating quality and efficient community-based, one stop health care resource centers designed to meet the needs of physicians and their patients."

During the past fiscal year, Dynacq International Inc., has been recognized by the Houston Chronicle Newspaper as one of the top ten fastest growing public companies in Houston and by Wallstreet.com as one of the top 15% fastest growing public companies in America.

Certain statements in this release are forward-looking. Although the Company believes its expectations are based on reasonable assumptions within the bounds of knowledge of its business and operations, there can be no assurance that actual results will not differ materially from its expectations. For factors that may cause results to differ, please refer to the reports filed by the Company with the Securities and Exchange Commission.