DYIIE Dynacq International (MM)

Barrack Rodos Files Suit Against Dynacq Healthcare, Inc. (DYII or DYIIE), and its Officers and Directors Alleging Misrepresentations PHILADELPHIA, Dec. 29 /PRNewswire/ -- Counsel for Class Plaintiff, Barrack, Rodos & Bacine, today issued the following: A class action has been commenced in the United States District Court for the Southern District of Texas on behalf of all persons who purchased the securities of Dynacq Healthcare, Inc. (NASDAQ:DYII) or (NASDAQ:DYIIE) ("Dynacq" or the "Company") between January 14, 2003, and December 18, 2003, inclusive (the "Class Period"). The complaint charges Dynacq, which develops and operates surgical hospitals focusing on certain surgical specialties, and certain of its officers and directors with violations of the Securities Exchange Act of 1934. On December 2, 2003, the company announced that, as part of the Securities and Exchange Commission's routine review of filings of public companies, the SEC's Division of Corporation Finance had "commented upon" the company's public filings and, as a result, the company had requested an automatic 15-day extension to file its 10-K for its fiscal year ended August 31, 2003. Two weeks later, the company announced it would further postpone the filing. Two days later, the company announced that its auditor, Ernst & Young, had resigned and that the SEC had begun an informal probe of the company's accounting. According to news reports, the resignation was due to the company's lack of internal controls necessary to develop reliable financial statements. On the same day, the company also revealed that it had received a NASDAQ determination that, because it had not filed a timely 10-K, the stock would be delisted. The news caused Dynacq's stock price to tumble from a close of $8.95 on December 18, 2003, to $4.09 the following day. The plaintiff seeks to recover damages on behalf of all purchasers of Dynacq securities during the Class Period. He is represented by the law firm of Barrack, Rodos & Bacine, which has extensive experience in prosecuting investor class actions involving financial fraud. Barrack, Rodos & Bacine has prosecuted securities, antitrust and consumer class actions for over 25 years. The firm has offices in Philadelphia, San Diego, New York and New Jersey and has been designated lead counsel by federal and state courts across the country in large, complex cases. For more information about Barrack, Rodos & Bacine, please visit their website at http://www.barrack.com/. If you are a member of the Class described above, you may, no later than February 24, 2004, move the Court to serve as lead plaintiff of the Class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action or have any questions concerning this case or your rights or interests, please contact Maxine S. Goldman, Shareholder Relations Manager, at Barrack, Rodos & Bacine, 3300 Two Commerce Square, 2001 Market Street, Philadelphia, PA 19103, at 215- 963-0600; fax number 215-963-0838 or by e-mail at . CONTACT: Counsel for Class Plaintiffs, Barrack, Rodos & Bacine, Shareholder Relations Manager, 215-963-0600; or fax 215-963-0838; or e-mail, . DATASOURCE: Barrack, Rodos & Bacine CONTACT: Counsel for Class Plaintiffs, Barrack, Rodos & Bacine, Shareholder Relations Manager, +1-215-963-0600, or fax: +1-215-963-0838, Web site: http://www.barrack.com/

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