Aspen Dental

Last updated
Aspen Dental
Company type Subsidiary
IndustryCorporate dentistry
Dental support organization
Founded1994;30 years ago (1994)
FounderRobert Fontana CEO
Headquarters Chicago, Illinois, U.S.
Number of locations
1100+ offices
Area served
United States
ServicesManages branded Dental practices
Parent The Aspen Group (TAG)
Website www.aspendental.com

Aspen Dental Management, Inc. (ADMI) is an American dental service franchise with over 1100 offices in the United States. [1] Its headquarters is in Chicago, Illinois. [2]

Contents

The chain is best known for its corporate dentistry locations, which are targeted at individuals which do not currently have a relationship with traditional dentistry practices or otherwise face financial barriers.

History

Aspen Dental Management, Inc. (ADMI) was founded in 1994 by Robert Fontana, who is chief executive. [3] Fontana completed business school in 1991 and worked at Upstate Dental in Syracuse, New York. [4] It was a founding member of the Association of Dental Support Organizations (ADSO). [5] After predecessor company Upstate Dental merged with East Coast Dental in December 1997, the resulting firm was launched in 1994 as Aspen Dental Management, Inc. [6]

There were more than 50 Aspen Dental offices within five years of ADMI's establishment. [3] By April 2007, there were 106 branded practices in Arizona, Connecticut, Indiana, Maine, Massachusetts, New Hampshire, New York, Ohio, Pennsylvania, and Rhode Island. [7] The company was initially headquartered in Salina, New York, but moved to a new headquarters near Syracuse in DeWitt in 2006. [6] The new headquarters includes a training center to cater to Aspen Dental employees and other firms' training events. [8]

In 2010, Leonard Green & Partners purchased Aspen Dental from Ares Management for about $500 million. [9] By August 2010, private equity firms were bidding on Aspen Dental and Kool Smiles, the two largest national chains of dental offices in the United States. [10]

Between October 2010 and July 2015, Aspen settled with state consumer protection authorities in Pennsylvania, New York and Massachusetts and agreed to pay reimbursements to former patients and financial contributions to consumer protection probes in those states without admitting fault or wrongdoing. [11] [12]

In June 2012, a PBS series entitled Dollars and Dentists [3] produced by Frontline in partnership with the Center for Public Integrity described Aspen Dental's business model as one where dental services are advertised at steep discounts, but where patients were subsequently overcharged or given unnecessary treatments. [13] [14] [15] [16]

In 2015 the United States District Court for the Northern District of New York dismissed a class-action lawsuit accused the company of illegally owning dental practices and deceiving patients. [17] The lawsuit accused Aspen of violating of laws in 22 states which allow only dentists to own a dental practice. [18]

In 2015, as Moody's was placing Aspen's ratings under review, [19] an affiliate of private equity firm American Securities led the recapitalization of Aspen Dental Management Inc. in partnership with Ares Management, Leonard Green & Partners and the existing management team. [20]

In December 2020, lawsuits were filed against Aspen for negligence after an employee allegedly hid cameras in the office washroom at a practice in Illinois. [21]

Client-base

Aspen Dental in Selinsgrove, PA Aspen Dental in Selinsgrove, Pa.png
Aspen Dental in Selinsgrove, PA

Aspen's services are aimed at individuals who do not have an established dental routine or regular dental provider. [8] In 2012, Fontana described a typical Aspen Dental patient as middle-aged and possibly struggling to afford their day-to-day expenses, or someone who sees dental work as "discretionary" and therefore may have an emergency dental issue arise. According to Fontana, Aspen's locations and marketing are aimed at providing services to those individuals. [4]

Aspen Dental in Natick, Massachusetts Aspen Dental, Natick MA.jpg
Aspen Dental in Natick, Massachusetts

See also

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References

  1. ↑ "About Aspen Dental: Our Story". aspendental.com. Retrieved 4 December 2024.
  2. ↑ Soderlund, Kelly (June 19, 2015), New York attorney general takes action against Aspen Dental, New York: American_Dental_Association, retrieved October 1, 2016
  3. 1 2 3 Heath, David; Rosenbaum, Jill (June 26, 2012), Dollars and Dentists , retrieved October 1, 2016
  4. 1 2 Breslow, Jason M. (June 26, 2012). "Aspen Dental CEO Bob Fontana: "We're Big Advocates for the Patient"". PBS. Retrieved January 26, 2016.
  5. ↑ "About ADSO". Association of Dental Support Organizations. Archived from the original on April 3, 2016. Retrieved March 26, 2016.
  6. 1 2 Kevin Tampone (September 7, 2007). "Aspen plans rapid expansion". The Business Journal - Central New York. Retrieved April 27, 2016.
  7. ↑ Kist, Stephanie (April 19, 2007). "Aspen Dental opens Fairlawn office". Leader Online. Retrieved February 24, 2016.
  8. 1 2 Claire Duffett (December 16, 2005). "Aspen Dental building new headquarters". The Business Journal - Central New York. p. 3. Retrieved April 27, 2016.
  9. ↑ Beltran, Luisa (August 18, 2010), Leonard Green Sinks Teeth into Aspen Dental, PE Hub Network, retrieved October 1, 2016
  10. ↑ Kosman, Josh (August 27, 2010), Private-equity firms sink teeth into dentistry, New York Post
  11. ↑ Matt Miller (October 14, 2010). "Aspen Dental pays $175,000 to settle customer complaints". PennLive.Com. Retrieved February 8, 2012. pact stems from a state probe of more than 50 consumer complaints
  12. ↑ "Attorney General Corbett announces $175,000 consumer settlement with Aspen Dental". Pennsylvania Attorney General. October 13, 2010. Archived from the original (Press release) on December 24, 2011. Retrieved February 8, 2012.
  13. ↑ Heath, David; Rosenbaum, Jill (June 26, 2012), Patients, Pressure and Profits at Aspen Dental, Frontline, retrieved October 1, 2016
  14. ↑ Heath, David; Rosenbaum, Jill (June 26, 2012), Dollars and Dentists: Corporate dental chains see big profits in adults who can't afford care: How low-income adults get locked into debt for dental treatment, Center for Public Integrity, retrieved October 1, 2016
  15. ↑ Silver-Greenberg, Jessica (October 14, 2013), "A Vulnerable Age: Patients Mired in Costly Credit From Doctors", The New York Times , retrieved October 1, 2016
  16. ↑ Baucus, Max; Grassley, Chuck (June 2013). Joint Staff Report on the Corporate Practice of Dentistry in the Medicaid Program (PDF) (Report). United States Senate Committee on Finance. p. 1500. Retrieved October 1, 2016.
  17. ↑ "Aspen Dental Lawsuit Dismissed by US District Court". New York Dental Association (American Dental Association). May 19, 2015. Archived from the original on January 3, 2017. Retrieved June 20, 2016.
  18. ↑ Heath, David (October 19, 2012), Aspen Dental Facing Class-Action Lawsuit, Frontline & Center for Public Integrity, PBS
  19. ↑ Moody's places Aspen Dental's ratings under review for downgrade
  20. ↑ "American Securities Leads Recapitalization of Aspen Dental", Wall Street Journal, March 24, 2015, retrieved October 1, 2016
  21. ↑ "Workers sue Illinois dental practice over hidden cameras found in bathroom". 12 December 2020.
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