Mobile Medical International

Vermont Business Magazine, Aug 01, 2006 by Edelstein, Art

Remember MASH, the TV show and movie? In that long running show Hawkeye and gang performed their medical miracles from Army tents. Back 50 years ago that may have been the military version of a high tech field hospital, but not today. With war in Iraq and other potential hotspots Americans demand better treatment for injured soldiers.

Mobile Medical, based in St. Johnsbury has developed units that can meet that demand. It has also developed civilian mobile medical surgical units. With the growing cost of building or adding on to hospitals, especially in rural areas, a mobile unit that could be brought in when needed could be a big cost saver.

Mobile Medical currently has 25 employees in leased space at the Fairbanks Scales complex but could grow significantly should the Department of Defense order its medical units. As it is, the company has seen sales grow from $4 million in 2004 to $9.5 million in 2005 and this year is should top $16 million.

"We are clearly on a curve," says company president Rich Cochran.

The 11 year old company has poured a significant amount of R&D into its products and is just starting to reap the benefits of that work, says the Danville native.

According to Cochran, "our military program is starting to mature." He hopes will contracts will be signed in 2007. Currently the commercial side is where the sales are made. The company's commercial mobile surgery unit sits on an 18-wheel tractor-trailer. The sides expand tripling the size for what Cochran says is 11 a full US code compliant mobile hospital." His remains the only company in the US with state licensed Medicare certified and joint commission accredited JCHO mobile surgery units. He has sold five units and leases out five others. Each costs $2-$2.5 million.

While Mobile Medical has yet to sell to the military, Cochran says this is because of the R&D needed to meet military standards. A two star commander has seen the product and the company has taken it on the road to military bases, where, according to Cochran, he heard that his product was liked but was too big, and not mobile enough for military use.

In 1997 the company submitted its first proposal to the army and got its first contract in 1998 to develop requirements and definitions of what new field hospital would be.

Cochran says the US military has 5000 mobile container systems and some are used as hospitals. "They are ordering second generation prototypes from us," he noted. This year the company will build preproduction models approved in the 2006 defense budget. By 2008 the company anticipates a larger purchase.

Employment at the company should rise. Oman in the Middle East has ordered a commercial unit and three have been shipped to Saudi Arabia. "We see the Middle East and the US military as active markets," says Cochran who expects the increase in orders will boost the already maxed out workforce here.

There should be more military work for the company for as Cochran sees it, "because of Afghanistan and Iraq much of what the US has in mobile units is being used and much of it won't come back. Now there is a track to sustain the military, but medical lags in that process. Those systems must be sustained and replaced."

While other companies make mobile medical units, Cochran says his company is the leader. "We have something easily 18 months to two unique, we are years ahead of the competition."