INNOVATE Issue 03

Fall/Winter 2005

Dear Readers: Welcome to our 2005 second edition of INNOVATE by HKS Architects.

Our ongoing intent with this magazine is to communicate our firm's vision through the projects designed for our esteemed clients.

HKS is managed by a four-person executive committee comprised of (left to right) Nunzio M. De Santis, Executive Vice President; C. Joe Buskuhl, Executive Vice President; H. Ralph Hawkins, President and CEO; and Ronald L. Skaggs, Chairman.

In this issue, we discuss the reinvention of RadioShack from the personal perspective of David Edmondson, the company's new CEO. This award-winning project is the result of major strategic changes in the way that RadioShack does business.

Our sports feature this month focuses on the new home for the Indianapolis Colts.

The NFL stadium will creatively recall the football field houses of the past while incorporating many of today's state-of-the-art features. On the residential side, the stylish, 12-story Artisan offers Fort Lauderdale dwellers a hip, new mixed-use development to live and play.

Also this month, we focus on one successful for-profit healthcare company, Universal Health Services (UHS). UHS has expanded rapidly across the U.S., providing cost-effective designs that allow healthcare services to a growing number of communities. We are also excited about our role on the new D/FW Airport International Terminal D and Grand Hyatt Hotel. This new terminal is one of the most inviting in the world. It incorporates art and architecture in a seamless design – serving travelers who arrive into the Dallas/Fort Worth area from all over the world. HKS's ARCHengine is also featured. The ARCHengine program allows owners to see their buildings in 3D animation even before they are built.

Again, I would like to personally thank all those who made this magazine possible.

Our clients offer HKS the challenges to create exciting architectural design while our consultants and contractors allow us to innovate. With the firm's current $4 billion in construction underway, it takes a collaborative effort to build and design memorable and enduring structures.

We hope that you enjoy this issue of INNOVATE. Sincerely, H. Ralph Hawkins, FAIA, FACHA President and CEO

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Fall/Winter 2005

INSIDE

VOLUME 2, ISSUE 1

4 Design Details Chic Clinica Cumbres, Chi-town Show, HKS Awarded Stevie, Renowned Architect Visits States, Welcome to W Hollywood, Women and Children First. 6 The Terminal D/FW International Airport’s new Terminal D, designed for passenger convenience, comfort, and service, positions the airport to serve as a gateway to the Dallas/Fort Worth region and a welcome venue for international travelers.

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3D Accessibility Powered by ARCHengine Imagine not just viewing a building

but actually walking through it as it is under design. ARCHengine creates real-world architecture from conceptual designs.

16 Staying Ahead of the Game Respecting the past while designing a savvy

sports stadium is the name of the game for principal architect Bryan Trubey, as he designs the new Indianapolis Stadium.

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Reinventing RadioShack David Edmondson, president and chief

operating officer, is revitalizing the 86-year old firm, reinventing the environment from the inside out.

26 Living at the Artisan Doug Compton's design vision was to create a contemporary, mixed-use building to command the attention of the young and young at heart. 28 UHS: Taking Care of the Healthcare Business The ingredients for a winning healthcare system include careful planning, cost effective design and operations, and high-quality healthcare, according to UHS.

credits EDITORIAL HKS Communications; DESIGN HKS GrafxLab; PHOTO pg. 1: HKS, Inc.; pg. 4: Clinica Columbres-HKS, Inc.; US Cellular Field-Ed LaCasse; pg. 5: Nak Choon Kim-HKS, Inc.; pg. 6: (left) Brad Feinknopf; (right) Brad Feinknopf; pg. 7: (left) HKS, Inc.; (right) HKS, Inc.; pg. 8: Brad Feinknopf; pg. 9: HKS, Inc.; pg. 10: Brad Feinknopf; pg. 11: (left) Brad Feinknopf; (right) Brad Feinknopf; pp. 20-21: HKS, Inc.; pg. 24: HKS, Inc.; pg. 25: HKS, Inc.; pg. 28: Ed LaCasse; pg. 30: Rick Grunbaum; page 31: John Larson; page 32: (left, middle, and right) provided by United Health Services; 3D IMAGE Front cover: HKS, Inc; pg. 5: W Hotel-HKS, Inc.; University of Michigan Women’s and Children’s Replacement Hospital - HKS, Inc.; pg. 13: HKS, Inc; pg. 14: HKS, Inc.; pg. 15: HKS, Inc.; pg. 16-17: HKS, Inc; pg. 18: (top, middle, and bottom) HKS, Inc.; pg. 19: HKS, Inc; pp. 26-27: HKS, Inc.

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DESIGN CHI TOWN SHOW

CHIC CLINICA CUMBRES Ambulatory care is an established service model in the United States. Mexico is following the ambulatory surgical healthcare trend by offering outpatient services with the completion of Clinica Cumbres, a 15,000-square-foot ambulatory surgery center. The center, the first of its kind in the area, is located in Chihuahua, a colonial town located in the northern Mexico region. A group of local surgeons and anesthesiologists, along with local investors, developed the center to better serve the one-million-plusperson community. “Ten years ago, this part of Chihuahua was a remote desert,” said Bruce Johnson, AIA, vice president, HKS, Inc. “Now, the area is growing with housing, retail, and healthcare services. It is one of northern Mexico's fastest growing areas due to the economic surge and easy access to a major freeway thoroughfare.”

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The spirit of the city and the long-standing history of the Chicago White Sox baseball team are celebrated through a series of photographic murals located throughout the newly renovated U.S. Cellular Field in Chicago, Illinois. Called “For All Ages,” the murals– designed by HKS Environmental Graphics– bring together Chicago's sophisticated architectural growth, superior transportation modes, and exciting entertainment venues with the famous White Sox. Images of famous buildings as well as political, entertainment, and sports figures are mixed with images from six eras of Chicago's rich baseball history from the early 1900s to today.

HKS

GETS STEVIE

HKS was named a top-20 Stevie finalist in the “Best Overall Company” category at the second annual American Business Awards held on June 6 at the Marriott Marquis Hotel in New York City. Hailed as “the business world's own Oscars” by the New York Post (September 22, 2002), The American Business Awards is the first national, all-encompassing business awards program highlighting great performances in the workplace.

HKS was noted in the “Best Overall Company” category for successfully expanding its services into new markets and new locations in Washington DC; Mexico City, Mexico; and London, England – as well as continually developing its 10 existing U.S. offices.

It was also noted for furthering its open-door, employee-involved management practices.

DETAILS RENOWNED ARCHITECT

WOMEN & CHILDREN

VISITS STATES

FIRST WELCOME TO

Renowned South Korean architect, Nak Choon Kim, recently visited the United States to study American architecture. His work, including oil paintings and architectural studies, has been the subject of gallery openings throughout the world.

HKS Architects and the University of Texas at Arlington hosted the visiting professor who was awarded a research grant. Kim, born in Seoul, Korea, is currently serving as professor of architecture at Chungbuk National University in the Republic of Korea. He instructs on urban architecture and architectural design.

W

HOLLYWOOD Celebrity-like living, working, and entertainment is within reach at the new W Hollywood Hotel and Residences. Located at the world-famous intersection of Hollywood and Vine, the mixed-use development plan includes a 300-room hotel, 144 luxury residences, and more than 40,000 square feet of street-level retail. With upscale shopping, dining, and entertainment, the W Hollywood Hotel and Residences offers hotel guests and condominium owners alike the opportunity to capture the essence of Hollywood glamour and glitz. The W Hollywood Hotel and Residences opens in late 2008. The project breaks ground in the first quarter of 2006.

Starwood, the parent company of W Hotels, manages the hotel and residences. Gatehouse Capital serves as the project developer.

Women and children are priority at the University of Michigan Children's and Women's Replacement Hospital in Ann Arbor, Michigan, one of the nation's top-10 children's hospitals. The $200 million, one million-square-foot project, under design

by HKS, is aimed at creating an environment of care focused on comfort and healing that supports the academic, research, and clinical care missions of the University of Michigan Health System.

“The distinctive and prominent building will host wide spans of glass to allow natural daylighting as well as views to nature due to its location across from the University of Michigan's Nichols Arboretum,” said Ronald W. Dennis, AIA, ACHA, principal-in-charge, HKS, Inc. “Inside, the environment will be playful and inviting for children and sophisticated and meaningful for women.”

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D/FW INTERNATIONAL AIRPORT’S NEW TERMINAL D IS DESIGNED FOR PASSENGER CONVENIENCE, COMF

ORT, AND SERVICE – POSITIONING THE AIRPORT TO SERVE AS THE GATEWAY OF CHOICE FOR INTERNATIONAL TRAVELERS.

ravelers passing through the Dallas/Fort Worth International Airport's new Terminal D will experience a new look and feel – unlike any other airport terminal. Boutique-style retail shops, a day spa, children's play area, upscale restaurants, and gathering plazas allow the terminal to seem more like an intimate community village.

and crew noted its original design, intuitive wayfinding, and expressive artwork.

Enhancing the airport experience begins even before entering Terminal D. From the new 8,100-space parking garage to the inter-terminal Skylink automated people mover system, the emphasis on customer convenience is unmistakable.

Adding to the traveler's feeling that Terminal D is much more than a destination of arrival and a place of departure is an integrated 298-room D/FW Grand Hyatt hotel. Travelers arriving at Terminal D can take advantage of the hotel's lounge, experience five-star dining, schedule a massage, relax at the hotel's rooftop pool and spa/fitness center, and sleep for the night or rest between flights.

Special business traveler amenities include conference spaces, meeting rooms, a full-service business center, and valet services.

First-time D/FW Terminal D traveler, Daniel Chung commented, “the new terminal is impressive. It is beautiful and functional. Picking up my luggage and going through customs was a snap.” Other travelers

The centerpiece of the positive passenger experience is the 100,000-square-foot, one-of-a-kind concession spaces. Courtyards with skylights and windows, multi-level open spaces, and upscale concessions and

TRAVELERS CAN TAKE ADVANTAGE OF THE HOTEL’S LOUNGE, ROOFTOP POOL, SPA,

AND FITNESS CENTER, AND SLEEP FOR THE NIGHT OR REST BETWEEN FLIGHTS. amenities are just a few of the things that differentiate Terminal D from other typical airport spaces.

“The airport terminal is designed to create an enjoyable experience for travelers - not a rushed and harried occurrence,” said Clay Paslay, executive vice president of airport development, D/FW International Airport.

According to Wesley Wong, AIA, senior HKS designer for the Terminal D project, most airports have a runway of retail and restaurant spaces. “Terminal D offers two distinct, two-level spaces, creating a village with a community-like environment. Glass accents allow an abundance of natural light to enter the area.

The dynamic facility provides open spaces, views, and a sense of activity, along with world-class dining and retail experiences.”

All of the terminals at D/FW airport currently provide typical concession and specialty amenities such as duty free shopping and currency exchange for international passengers, ATMs, Internet access, along with barbershops and shoe shine services.

In addition to these amenities, the new Terminal D village features exclusive retail boutiques including Bachendorf's Fine Jewelry, MallaSadi Men's Boutique, and Le Bodega Winery as well as a variety of upscale restaurants such as Cantina Laredo, La Duni Latin Café, and Blue Mesa Café.

“The goal was to design two varied concession areas – the north and south villages – that evoke an innovative look while following the design tenets that are present throughout the terminal,” said Wong. “Consisting of its own color palette and textures, the design allows for future redevelopment flexibility. The distinctive concession signage allows tenants to express their individuality while supporting the overall wayfinding.

left: A sweeping roofline defines Terminal D. above: Dramatic canopies provide shelter at the Terminal D/Grand Hyatt entrance.

“Walk-up food service and retail, along with news and magazine stands, are located in both villages and throughout the terminal,” he continued. “The north village is designed for travelers with short connection times. These concessions are designed with higher traffic and quicker services in mind.”

The south village focuses on passengers with more time for amenities such as upscale restaurants, a day spa, and duty-free shopping. Instead of running through the airport, grabbing a bite to eat, and picking up a newspaper, passengers are provided with a variety of restaurants and shops. Fine restaurants offer uptown cuisine in a relaxed environment.

Additionally, upscale coffee shops provide an area where guests can read and drink a cup of java while waiting for their plane.

“The concession layout provides constant stimuli and interaction for passengers,” said Sheldon Klapper, president, Center for Airport Management. “We 9

located one village in visible view of the other, placing high-profile, appealing shops along the path. If you don't want to shop or eat, the village offers places of retreat as well as entertainment.”

lighting cues. Its colored terrazzo and curved glass walls are interspersed along labyrinth paths to convey a sense of playfulness to an essentially business-like environment.

Two children's playgrounds, one sponsored by Pepsi and the other by McDonalds, provide an area for kids to play with choices ranging from playground equipment to interactive games.

Located nearby is a staged performance area for special entertainment venues, creating a festive environment for passengers.

Public art also serves to aid those with disabilities.

Floor textures, such as medallions fabricated from stone and mosaic materials, give the floors a different texture from the rest of the flooring – allowing sight-impaired travelers to identify gate areas without assistance. From the “Destination Game” by Pamela Nelson to “Celebration” by Beatrice Lebreton, each piece is uniquely designed to integrate art and wayfinding into architecture.

Art celebrates D/FW's world-class distinction, enhancing the identity of the airport. Local, national, and international artists lent their talents to create an enhanced passenger terminal experience through paintings, sculptures, and mosaics. A glass labyrinth, entitled “Circling,” by Christopher Janney, hosts a corridor of coloredglass panels with hidden sound effects and

Another unique aspect of the project is its ability to meet the needs of non-passengers – specifically meeters and greeters and well-wishers. Following September 11, security regulations prohibited non-passengers in the terminal.

LOCAL, NATIONAL, AND INTERNATIONAL ARTISTS LENT THEIR TALENTS TO CREATE

AN ENHANCED EXPERIENCE THROUGH PAINTINGS, SCULPTURES, AND MOSAICS.

“People were waiting to meet family members and friends without access to concession services,” said Klapper. “To meet the needs of our valuable hometown folks, the baggage claim areas have been redesigned with coffee shops, delis, bookstores, newsstands, and other amenities.”

left: Distinctive artwork throughout enhances the airport experience.

“Over the past 30 years, D/FW International Airport has become one of the world's preeminent airports,” said Pasley. “We believe that Terminal D's design will immediately become a preference for passengers and will provide D/FW Airport with a competitive advantage over other U.S. entry points.”

above left: 99 ticketing positions expedite travel. above right: Arriving international passengers.

"D/FW considers the International Terminal D Program the 'crown jewel' in its Capital Development Program,” said Rick Lee, HKS project manager for the Terminal D project. “The $1.2 billion, two-million-square-foot project provides a signature terminal for D/FW that consolidates all of its international flights and Federal Inspection Services, capable of processing 2,800 passengers per hour, under one roof. The terminal is the gateway to the Dallas-Fort Worth region and a welcome venue for all travelers."

Opened on July 23, 2005, Terminal D, with 99 ticketing positions, accommodates 37,000 passengers daily and 12.8 million annually. The Terminal D project was designed in a collaboration of three design firms. HKS, executive designers for the project, designed the terminal in conjunction with HNTB and Corgan Associates, Inc. The D/FW Grand Hyatt was designed by HKS, Inc., who served as lead architect, with Vidaud + Associates as lead architect-of-record. Wilson & Associates served as the interior designer. The hotel opened to the public in July 2005.

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3D ACCESSIBILITY

D POWERED BY

A first-time 3D presentation technology, ARCHengine, offers a means for the architect, client, and others to come together as avatars (an avatar is a 3D representation of one's self in virtual reality) to tour the project and discuss the 3D environment with full interaction capabilities.

ARCHengine, an exclusive HKS program, was developed in-house through the HKS Visualization Studio alongside world-renowned Epic Games. The program adapts a gaming engine to create functional 3D visualizations of architectural space, complete with moving figures, operational elevators, flowing water, and running escalators.

“No other architectural firm offers this scale of 3D presentation technology,” said Pat Carmichael, manager, advanced technologies, HKS, Inc. and co-founder of ARCHengine. “We are the first to offer a comprehensive 3D environment displaying all elements of design (e.g. site context, interior, exterior, function, etc.). Additionally, ARCHengine allows architects the ability to render their project 100 times faster than typical 3D software packages.”

ARCHengine was recently used to create project-winning presentations for the Grand Prairie ISD's Gopher Bowl renovation in Grand Prairie, Texas; Desoto ISD's Ben Dial Athletic Complex renovations in Desoto, Texas; and the Frisco Soccer & Entertainment Complex in Frisco, Texas.

According to Phil Jimerson, Grand Prairie Independent School District's assistant superintendent of operations and facilities, the software allows people who are not familiar with construction drawings a real-life glimpse into the project. “Our project required updating a 1956 sports facility into a cutting edge destination complete with a contemporary press box, inviting entry, and ADA-compliant seating. I don't know how we could have effectively portrayed the project to our staff, the board, or the community without ARCHengine.”

Clients are also using ARCHengine to market their new buildings to generate private funding. “It's always hard to sell a building to prospective donors before it is built,” said Thomas Schramm, director of development, Baptist Health's Homestead Hospital Foundation. “With ARCHengine, we were able to incorporate a virtual tour into the campaign video to show patient rooms, lobby spaces, operating rooms, and more. We didn't even print a brochure. The virtual tour said it all.”

Traditionally, the only way to communicate a design in its early phase is to build scale models, refer to concept sketches, or spend days creating 3D computer renderings using commercial 3D modeling and rendering applications – generating single viewpoint renders or pre-determined animated walk throughs frame by frame. According to Chris Roberts, ARCHengine co-founder, ARCHengine's collaborative opportunities allow the architect to depict texture, detail, and lighting to create an unprecedented experience.

“The client stopped us in one of our recent educational presentations and asked if they could see a view from the press box of the stadium,” said Jesse Corrigan, AIA, senior vice president and director of the HKS Education Group. “So, we did. No one else could do that for them. We won the job on the spot due to our ability to show them what they were buying.”

The ARCHengine technology was introduced, in part, through the movie industry. However, most movie productions are given more time and a bigger budget to produce. The chart-buster movie “Finding Nemo” took four years to produce – given a $100 million budget and 1,500 person staff. Architects are given significantly less time and funds.

The gaming industry also played a role in developing today's ARCHengine technology.

“The gaming industry is currently using a low-polygon version of ARCHengine,” said Carmichael. “Our version is 10 times more complex than any game currently on the market.

“The next iteration of the technology, which we are currently working on, will incorporate real-time shadows and lighting to projects,” he continued. “The pinnacle of this technology will be to incorporate realistic people within the facility. In the future, the client, meaning a life-like version of the client, will be able to walk into a stadium, order hot dog, and interact as they watch a baseball game.”

page 13: Frisco Soccer & Entertainment Complex; Frisco, TX left: W Hotel and Condominiums; Dallas, TX above: Frisco Soccer & Entertainment Complex; Frisco, TX

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I

n a national competition held in early 2005, HKS Sports & Entertainment Group was awarded the design for the retractable-roof stadium that will serve as the venue for NFL, NCAA, and other Indiana Convention and Visitor’s Bureau events.

“The team is excited about the opportunity to work with a nationally-acclaimed firm in creating another sports landmark in the state of Indiana,” said John Klipsch, executive director, Indiana Stadium & Convention Building Authority. “HKS came to the table with innovative ideas allowing us to create a unique venue for Indiana.”

Fred Glass, president of the Capital Improvement Board, added, “HKS understands the challenges of Indianapolis being a middle market city and provides a building design that is economically viable. The firm

came to the table with original ideas regarding stadium design including different price points in the suites and a flexible bowl design that allows us to create a unique venue that responds to a variety of events, our players, fans, and the community.”

In May 2005, the State of Indiana General Assembly approved a financing plan for a new multi-purpose stadium and expansion to the Indiana Convention Center. The move will inject $2.5 billion into the local economy – creating 4,200 permanent jobs and 4,900 construction jobs over the next 10 years – and further solidify Indianapolis’ place in the sports and entertainment market.

The step also further promotes the city’s future with the NFL’s Indianapolis Colts. Across the country, cities are vying to keep their sports teams intact by

designing updated facilities that offer the revenues and amenities needed to woo the team’s top talent to their cities and provide a year-round setting that hosts multiple events.

The new multi-use stadium will replace the existing RCA Dome opened in 1984. According to Klipsch, professional sports stadiums do not have a long life.

“Today’s stadiums have to generate income through restaurants, special club seating, luxury suites, sponsorships, and more.

“You can’t support the team just through ticket sales like you could in the 70s and 80s when a quarterback’s annual salary was $200,000 instead of today’s $10 million to $14 million per year,” Klipsch continued. “It costs millions of additional dollars today to keep the team on the field.”

HKS, ranked among the top five architectural/ engineering firms according to Building Design & Construction magazine, has been responsible for designing many of the past two decades’ most innovative professional venues including its current work for the new Dallas Cowboys Stadium in Arlington, Texas; Miller Park in Milwaukee, Wisconsin; and US Cellular Field renovations in Chicago, Illinois.

“Our goal is to design an exciting setting for the team and fans, incorporating many elements unique to Indiana and its history as a football and basketball sports powerhouse,” said Bryan Trubey, AIA, design principal, HKS Sports & Entertainment Group.

The brick exterior, reminiscent of the old collegiate football stadiums of the early 20th century, is part of the stadium’s design. “The brick, steel, and glass structure reflects the traditional forms and historical feel of the state’s venerable collegiate and high school venues,” continued Trubey.

previous page: The sliding north window opens to views of downtown Indianapolis. this page, top images: Football and basketball configurations take advantage of premium seating. this page, inset images above: The stadium’s retractable roof maximizes blimp views.

A massive, operable, clear-glass window, located on the stadium’s north side, provides fans with dramatic views of downtown Indianapolis. The expansive window can be opened before or after the game as well as during halftime shows. From an architectural standpoint, the facility is also noteworthy due to its distinctive retractable roof and seating bowl configuration which add to the stadium’s unique look and further enhances its function.

“The building’s roof creates a branded look that is instantly recognizable,” said Trubey.

“This is especially important due to the fact that most of the stadium’s coverage will come from national broadcasts of the Colts games.

The blimp view becomes extremely important and the best opportunity to make an impression on tens of millions of viewers.”

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“Also, most roofs are designed with overlapping panels that extend from each of the stadium’s end zones,” continued Trubey.

“Our retractable pitched roof design will open along the longest sides of the building and come together at the top of the building’s highest pitch.”

The dynamic stadium bowl sets this sports facility apart from others. The plan calls for a variety of seating to best serve the fans – including general admission, club seats, mini suites, and luxury suites for all intended events. Since Colts fans were used to their club seats being located on street level, that’s where HKS left them. These premium seats are thoughtfully located near private club lounges and restaurants.

While the Colts only host eight to 10 games per year, the stadium is designed to host over 200 additional events including conventions, religious gatherings, supercross races, band festivals, concerts, etc. The stadium will also host the NCAA Final Four for both men’s and women’s basketball games.

To promote flexibility and improve site lines, the design team incorporated articulating seating that can be mechanically raised for basketball and lowered for a football setting.

“We also have retractable and removable stadium platforms that create infill for the Final Four,” said John Hutchings, project manager, HKS, Inc. “Instead of a typical end zone design, we will run the court parallel with the football field, incorporating all of the premium suites and amenities.”

More than 45,000 square feet of additional space is earmarked to accommodate NCAA events. This adaptable space can be converted for dining, media interviews, or exhibit space.

The NCAA, the Indiana Sports Corporation, and the Colts helped to make the city’s vision of a new stadium a reality. The NCAA and Indiana Sports Corporation signed a memorandum of understanding awarding Indianapolis a variety of high-profile NCAA events through 2039 assuming the RCA Dome is substantially improved or replaced by 2010.

The Colts are also in negotiations with the city to stay in Indianapolis for 30 years.

The apex – hosting a Super Bowl.

“Indianapolis would likely bid for the opportunity to host a Super Bowl in the new venue,” said Klipsch. “If Indianapolis is awarded a Super Bowl, it would become one of a small, select group of cities to host the prestigious event. That – and, of course, a Super Bowl win – would be a victory for Indianapolis.”

In addition to being a good corporate citizen, the Colts are a good value, according to Mark Rosentraub, PhD, Dean of Maxine Goodman Levin College of Urban Affairs at Cleveland State University. The Colts-commissioned study found that the annual value of the intangible benefits of the Colts to Indiana residents is $83.9 million. It also concluded that residents believe the Colts make a critical contribution to the state’s identity and pride.

“You can somewhat put a dollar amount on the economic development generated from a sports team – but you can’t evaluate the intangible portion of building a new stadium,” said Klipsch.

“However, it is easy to demonstrate economic decline when a team leaves the city.”

“We feel that the addition of an NFL team provides unmatched exposure for any city,” said Indianapolis Colts senior executive vice president, Pete Ward. “The Colts brand and franchise is well recognized not just in the state but throughout the region. We want to celebrate this by designing an extraordinary facility that will reflect our rich football history in Indiana as well as the NFL’s roots in the Midwest.”

The stadium project is targeted to break ground in the fall of 2005 with an August 2008 opening date.

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REINVENTING TAKING ONE OF THE NATION'S LARGEST RETAILERS TO THE TOP

D

avid Edmondson, president and chief executive officer of RadioShack, believes that positive leadership creates outstanding results. He demonstrates that commitment by helping a work force of 40,000-plus feel empowered to do the right thing for customers and shareholders.

David Edmondson joined RadioShack in 1994 as vice president of marketing. His leadership impact was immediate, powerful, and positive. He began building innovative marketing programs that energized RadioShack. He reintroduced America to the company by letting them know that “You've Got Questions …

We've Got Answers.” His marketing savvy earned him the title of “one of the top marketers in the country” by Advertising Age magazine.

It didn't take long for senior leadership to notice his high-energy management style and innate ability to establish and maintain long-term and mutuallybeneficial business partnerships. In 1995, he was promoted to senior vice president of marketing and advertising. He became executive vice president and chief officer just three years later. In January 2005, RadioShack's board of directors selected Edmondson as chief executive officer.

Today, he is the driving force behind the implementation of the company's solutions strategy – namely, to dominate cost-effective solutions to meet everyone's routine electronics needs and families' distinct electronics wants. He continues to modernize and streamline RadioShack by improving its efficiency and effectiveness. He has also played a key role in formulating strategic alliances with Sprint, HewlettPackard, Cingular Wireless, and SAM'S CLUB.

HKS: Can you discuss the transformation that RadioShack is undergoing as a company?

“RadioShack is a very good company and has been a very good company for a long time. However, our ultimate goal is to become a truly great company.

Achieving that goal requires a relentless focus on the customer. We realize that customers in different

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locations have different needs and wants. Today, we are developing a customized assortment of products based on neighborhood. We want to accommodate their specific needs and thereby provide the best service to our customers. We are also strengthening the training of our people who operate the stores – improving how they interact with customers. And, finally, we are changing the store environment to be brighter, less cluttered, more appealing to the eye, and easier to locate the exact item that you are looking for.

By the end of this year, 1,000 stores – or 20 percent of our network - will be completely remodeled.”

HKS: What are some of the exciting products that you have in your stores now?

“You'll see new products this holiday season. We're introducing a high-tech modeling product called Vex Robotics. We developed Vex to teach math and science to high school students. In fact, students actually used the product to create a robot that helped us cut the ribbon at our StoreOne opening this year.

Cinego, an instant theater projector featuring Texas Instruments' proprietary Digital Light Processing (DLP) technology, is another new product at RadioShack.

This all-in-one video projector, progressive-scan DVD player, and theater-like sound system unit – which is about the size of a New York phone book – allows digital quality projection indoors and outdoors. For $1,299, there isn't a product on the market like it for the price. We are also introducing a new, comprehensive line of Apple products.

In addition, we just signed a 10-year agreement with Cingular and extended our Sprint agreement for another 11 years. This brings RadioShack front and center in high-tech CDMA, GSM, and iDEN wireless network platforms.”

HKS: How do you differentiate yourselves from competitors such as Best Buy and Circuit City?

What sets you apart from others?

“Our biggest asset is our multitude of convenient store locations. Approximately 94 percent of all Americans either live or work about five minutes away from a RadioShack store. We also offer an intimate, customerfocused environment to ensure that the customer finds the right product, at the right price, and at the right store. When you walk into our stores, you won't be among 100 people. Our customers typically call us, 'their RadioShack.' We've also found that people connect extremely well with our store teams. For example, when you have a problem, you can call Bill at your RadioShack and he will take the time to help you.

That's the difference between our business model and that of other big-box retailers. They have to sell largeticket items to make a profit.

Our average transaction is $35. A customer typically stops by to pick up convenience items such as a cable, connector, or a wire.

If they are interested in purchasing a cell phone at the same time, that's great. But our strengths are helpful service, knowledge, convenience, and reliability.”

HKS: What is StoreOne, your new concept store?

to learn about consumer needs and wants and then implement those findings systems-wide.”

HKS: What is RadioShack's business philosophy?

“RadioShack is about connecting with people, technology, and convenience. Philosophically, we've always been about helping Americans by providing access to technology and assistance to effectively use it. Unlike some businesses, we're not trying to reach a specific segment of the market. We want to reach all Americans - from Manhattan, New York to Boseman, Montana - whether they shop in suburban, urban, or rural areas.”

HKS: What is your management philosophy?

“I believe that you should never forget where you came from. My grandfather was a truck driver and my father was a soldier.

I know that becoming CEO of one of the largest companies in America could not have happened in many other parts of the world. I'm well aware that it is a privilege to be RadioShack's leader. I believe that everyone in the company provides value and importance and should be treated with dignity and respect.

That doesn't mean that we don't have a hierarchical decision-making process or levels of management.

What makes us different is that we are a performancebased organization. Your value is based on your performance rather than your job title. We reward employees through raises, additional responsibility, and rewards and recognition programs that support stellar performance. We want people to work in an energetic team environment and contribute to the overall viability of the company. I don't believe in entitlements. You earn your job every single day.

Those who don't fit in with this culture and work philosophy are simply promoted to customer.”

“...we are able to track how people shop and even how long people look at the products. This provide(s) helpful data to determine whether or not to produce a particular item for mass consumption.”

“StoreOne offers an incredible experience to visitors, but even more importantly, it provides valuable insights that enable us to strengthen our people, processes, and product offerings for the benefit of our customers. While product selection is quite similar to what we have online or through your local store, the environment is vastly different. Through the store's RF badge identification system, we are able to track how people shop and even how long people look at the products. This will provide helpful data to determine whether or not to produce a particular item for mass consumption. It's a great testing ground that allows us

23

very employee enters through one entrance that we call ‘Main Street.’ This allows everyone to interact and get to know each other – even though they might work in different departments.”

24

HKS: Does the design of your new headquarters campus reflect this philosophy?

“Like our management philosophy, our building is very open and inviting. In our prior headquarters, we had 23 entrances. Today, every employee enters through one entrance that we call 'Main Street.' This allows everyone to interact and get to know each other – even though they might work in different departments. As you walk around the building, it is amazing to see how the work environment creates excitement and pride.

This morning, for example, we had a Beatles tribute band on 'Main Street' to kick off our United Way campaign. We held a bingo match during lunch in the Riverfront Café. You can walk down the hallway and see people smiling. Employees also really enjoy all of the free coffee bars on every floor, amenities like casual work spaces, and the full-service café. If you come in on a Sunday afternoon, you'll see employees touring their families and relatives through the building. It speaks to a new, less formal, more interactive and productive work style. And that's what we're all about these days.”

ments with Sprint and Cingular Wireless. Of course, becoming CEO was a proud day for my family and me as well as the people who I worked with along the way.

Moving into this new corporate headquarters was a five-year endeavor that I feel is a complete success.

We've truly come a long way as a company and have a long way to go. We can never stop evolving.”

HKS: What are your future plans for RadioShack?

“We want to be a retail innovator. I believe that CEOs should have term limits because you can lose your ability to look at your business in a fresh and inventive way.

My goal in the next decade is to make RadioShack synonymous with technology like The Limited is to clothing, Brinker International is to restaurants, and Walt Disney is to entertainment. We plan on focusing on operational excellence, retail innovation, replication and acquisitions, and international expansion. We feel that these future plans will create a truly unique and successful company.”

HKS: How do you want to be remembered?

HKS: Why did you choose to maintain your corporate headquarters in Fort Worth?

“Our desire was to stay in Fort Worth. Our roots are here and we know that Fort Worth is a great community. RadioShack had the opportunity to do something truly fantastic for the downtown area. We happened to own 23 riverfront acres and had the opportunity to purchase 22 acres around the nearby bluffs. It's not often that a company has access to 45 acres of continuous property in a downtown area to develop a corporate headquarters. We also had unprecedented cooperation with the City of Fort Worth. The end result is a win-win situation for everyone involved.”

HKS: What have been some of your proudest moments with RadioShack?

“I am very proud of the fact that 10 years ago, we signed a long-term contract with Sprint Corporation based on a technology that some scientists said defied the laws of physics and would never work. We took a tremendous risk and it paid off. Recently, we celebrated our $1 billion dollar of residual income from our wireless model and signed further long-term agree-

“I hope to be someone who made a positive difference in the lives of people who worked at RadioShack. I would also like to be known as someone who was brave enough to take charge as well as give charge while being caring enough to actively manage people's hopes and dreams. Finally, when I leave, I hope that people look back and say that he didn't lead for himself but for the people that followed him. That's very important to me.”

Edmondson's success is mirrored by the firm's bottom line. RadioShack is one of the nation's largest retailers of consumer electronics with over $4.8 billion in annual revenues. The company operates a vast network of sales channels including nearly 7,000 company-owned and dealer stores.

However, he is acutely aware that nothing meaningful ever happens without the help, support, and hand work of others. As a leader, he continues to be committed to creating a powerful and positive difference in the lives of RadioShack people, customers, community, and shareholders. His vision – to keep providing answers to America's many high-tech questions.

left: “Main Street” lobby and entrance below: RadioShack Corporate Headquarters main entrance, Fort Worth, Texas.

Living

at

Artisan

the

Offering chic, cool living environments was one of the goals of HKS architect Doug Compton when he began designing the contemporary, mixed-use development called the Artisan. The stylish 12-story high-rise, located in the midst of a revitalized area in northeast Fort Lauderdale, is the inspiration of Key West Hobe Sound developers John Doyle and Paul Kozel.

“Our goal was to design a contemporary building that offers unique alternatives to typical area condominiums,” said Compton. “We wanted to speak to the vitality and vibrancy of today's younger generation by creating an open, crystalline structure with duplex loft apartments.”

The loft building is thoughtfully sited to be oriented perpendicular to the east and west, allowing its floor-to-ceiling, glass-walled sides to capture scenic canals, coastal areas, and ocean views. The building's slender east side is designed to face toward existing single-family residential housing.

A four-story icon, made of backlit glass and metal framework, is a welcoming and wayfinding beacon at the building's entrance – located along Federal Highway. Every one of the units hosts generous balconies for outdoor leisure activities and enjoyment.

A fourth-floor pool is located atop the entrance garage. Additional building amenities include a fitness area with sauna, media room, and 4,000-square-foot upscale restaurant. “We incorporated a variety of interesting design expressions into the building,” said Compton. “From our cantilevered-style pool to the entry icon, the building will be a welcome, inviting addition to the neighborhood.”

A three-story covered parking garage, located off of Federal Highway, is available for condominium tenants.

The development also includes three contemporary townhouses. A back-of-house approach to parking was taken for the building's town homes, allowing residents to drive down a service alley to an adjacent parking garage. This allows less congestion and friendlier views to the townhouses from the neighboring residential area.

The Artisan includes three townhouses and 42 loft condominiums ranging in price from $449,900 to $995,000.

Each town home offers more than 3,200 square feet of space.

The loft units range from a 1,200-square-foot, one-bedroom, 1.5-bath unit to a 1,885-square-foot, three-bedroom, threebath unit.

According to Doyle, a surge in South Florida-area owned properties took place about three years ago. “We originally purchased the property to build a medical office building.

When that did not reach fruition, turning the development into a condominium/rental community just made sense.”

Today, the building's condominiums and town homes are completely sold out,” he continued. “We expect to receive the development permits in September, break ground by Christmas, and complete the project by early 2007.”

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UHSCARE TAKING

HEALING

of the

BUSINESS

Universal Health Services (UHS) knows how to create a successful, sound business that is dedicated to the

art of healing.

The healthcare system that began as one hospital in 1978 has grown into more than 100 full-service acute care, behavioral health, ambulatory surgery, and radiation oncology centers located throughout the United States.

The system’s successful growth has stemmed from the acquisition and development of hospitals located in fast-growing cities across America. After the system buys or builds the facilities, they develop them into strong franchises - based on exceptional service and effective cost control.

According to founder and president/CEO, Alan Miller, UHS maintains one of the strongest balance sheets in the industry. “At a time when many healthcare operators are struggling to meet the challenges of a changing market, UHS has recently posted consecutive years of increased earnings from continuing operations.”

In 2004, the company posted a net income of $169.5 million on net revenues of $3.9 billion. “UHS owes this success to a responsive management style and a service philosophy that is based on integrity, competence, and compassion,” said Miller. “We are committed to providing the lowest cost care with the highest quality healthcare facilities to all of the communities in which we serve.”

getting started Prior to founding UHS, Miller served as chairman and president of American Medicorp, until its takeover by Humana Inc. in September of 1978. At age 35, he became president of Medicorp, at a time when the company’s future was uncertain. He resolved the company’s serious financial and organizational problems, and over the next five years, built it into one of the most profitable healthcare companies in the industry. This same forward thinking was applied when he was named president and CEO of Universal Health Services in 1978.

The first accomplishment attributed to Miller’s leadership was the acquisition and development of four healthcare facilities located in Florida, Texas, California, and Nevada. “Many companies expand by region – typically around their corporate headquarters,” he said. “However, coming from a national firm, I knew that we could successfully expand nationally. Our secret was hiring a good management group, seeking appropriate business opportunities, and acquiring the capital needed to make the facilities a reality.”

Another savvy move had to do with the creation of a unique design and construction department.

Just like the organization, the group is run with little bureaucracy and numerous opportunities to continuously streamline and improve processes.

“We learned to work together to create high-quality, low-cost architecture through a method that begins with operational planning,” said Don Pyskacek, assistant vice president, design and construction, UHS. “Before we design, we look at the area’s demographics, the culture, the types of patients served, the severity of illnesses in that part of the country, etc. None of the UHS designs are cookie cutter. However, certain parameters and principles are continuous. You won’t find two UHS facilities that are exact replicas.”

The healthcare provider targets areas or existing hospitals where they could improve or expand upon their services to benefit the community. Some of its early successes in the 70s and early 80s included the acquisition of Valley Hospital Medical Center in Las Vegas, Nevada and five hospitals, two in Chicago and three in Washington State, purchased from the Steward Foundation. In 1983, UHS acquired Qualicare, Inc. which added 11 acute-care and four psychiatric facilities to its list of facilities in addition to new facilities in Nevada, Louisiana, Arkansas, Michigan, and Georgia.

Page 28: The George Washington University Hospital, Washington, DC; below: Wellington Cancer Center, West Palm Beach, Florida; right: Auburn Medical Office Building, Auburn, Washington

a decade of success In the late 80s, a vast number of hospitals began to close due to financial difficulties.

Universal Health Services continued to grow geographically and in revenues – with first quarter net earnings up $1.1 million.

Boosting its vast behavioral health portfolio, the healthcare provider opened Two Rivers Psychiatric Hospital in Kansas City, Missouri, Glen Oaks Hospital in Greenville, Texas, River Crest Hospital in San Angelo, Texas in addition to acquiring La Amistad Psychiatric Treatment Facility in Maitland, Florida, and Chalmette Medical Center in Chalmette, Louisiana.

the trends The 90s served as a platform for steady growth for Universal Health Services – with 22 new developments or acquisitions expanding outreach to Massachusetts, South Carolina, Illinois, Indiana, Washington DC, and Puerto Rico.

Healthcare trends, such as centers of excellence, served as the basis of many healthcare designs in the decade.

Wellington Cancer Center, an award-winning project, was designed to create a peaceful setting for cancer patients.

At the same time, trends in professional office buildings continued to change to adapt to new reimbursement systems in the 90s.

Universal Health Services shaped the industry with the inclusion of a number of medical office buildings including the Auburn Medical Office Building in Auburn, Washington and the Medical Office Building at Doctor’s Hospital in Hollywood, Florida.

“We have found that medical office buildings serve as a necessary adjunct business to a community hospital as the population ages,” said Miller. “Most are necessary in supporting the basic business. They serve as the roof to the healthcare house.”

more expansion In 1992, the healthcare provider took a step outside of its typical business plan – defined by fast-growing suburban areas – to acquire downtown Washington DC’s The George Washington University Hospital.

According to Jay Hornung, director of design and construction, UHS jumped at the chance to work with one of the most prestigious 30

hospitals in the country. The replacement facility, constructed in 2002, is a premiere healthcare facility, designed specifically to meet the high-tech needs of its clientele. It serves the President of the United States and Congress, when in session.

Today, UHS has expanded throughout the United States with a number of targeted high-growth areas. South Texas has seen rapid expansion in the past 10 years with more than 27 projects completed or underway. Numerous projects are also underway in Nevada, Florida, and California.

construction creativity UHS’ cost per bed – versus the national average – is lower than any healthcare system in the United States. To accomplish this, the healthcare system employs a number of honed construction methods to save time and costs.

UHS develops solid, long-lasting relationships with its architects and engineers – including a 20-plus-year relationship with HKS – in addition to in-house medical equipment planners. “Given the strength of these individuals and a full-time UHS design/ construction staff, we are able to produce air-tight documents for bid to pre-qualified contractors – reducing change orders, errors and omissions, and additional services,” said Hornung.

Noel Barrick, AIA, HKS principal-in-charge of UHS projects said, “the team designs high-quality, low-cost architecture by investigating architectural, structural, civil, and MEP options. We simplify the project’s structural system minimizing costly formwork allowing them to be constructed quickly. Working with our engineers, the team also compartmentalizes the mechanical distribution system. These items reduce construction material and labor costs as well as construction time, allowing UHS to occupy the facility early.”

“We think before and as we design,” said Pyskacek. “For example, we wouldn’t design a facility with a decorative piece of marble in every bathroom if that were the only use of that trade. That one aesthetic element could set us back months on our schedule because we would have to basically wait for one trade.

Instead, we investigate other materials that are equally as functional and good-looking to do the job.”

The task of working with user groups has also been streamlined. “Typically, the hospital

operations people mandate the design working with various user groups from project start to opening,” he said. “We work directly with the administrative staff and users, guided by the community, to develop a design that meets everyone’s needs. During the early design presentations, we ask ‘what won’t work?’ At that point, we evaluate input and develop a design that receives final sign off at design development – not the construction document phase or, worse yet, during construction.” Lessons learned also provide a means of improving the healthcare environment. The group conducts postoccupancy reviews at six, 12, and 18 months and continuously shares the information with its internal staff as well as close-knit architects and engineers.

Most recently, UHS created a new corporate subsidiary to make the most of its unique design and construction capabilities, UHS Building Solutions. Viewing its solid success in building better quality hospitals at a lower cost as a major competitive advantage, UHS offers design and construction services to other hospital systems.

a new day

District of Columbia. Currently, UHS oversees an estimated 48 acute care hospitals with more than 6,250 beds, 20 ambulatory surgery and radiation oncology centers, and 45 behavioral health centers with 4,400 beds – making it the largest behavioral health provider in the U.S. Additionally, the company currently has 90 renovation and addition projects.

“While some markets fluctuate in activity, healthcare is steady,” said Pyskacek. “A major factor in continued design/construction opportunities is the constant change in technology. All of our new hospitals are designed to incorporate wireless technology.

We’re retrofitting our older facilities. Healthcare equipment is also always changing. In many cases, the new equipment has new physical requirements – requiring a move or renovation.”

“Continued growth is in Universal Health Services’ strategic plan,” said Miller. “We will continue to face the future with optimism – trusting in our strength, experience, and foresight to chart a successful course.”

Now in its 27th year of operation, UHS is operating 82 facilities in 22 states and the

Trust the Advice; Experience the Value.

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EDI, Ltd. ATLANTA - SEATTLE 770.956.7000 www.ediltd.com info@ediltd.com 31

Alan B. Miller President and CEO

Don Pyskacek Assistant Vice President of Design & Construction

Jay Hornung Director of Design & Construction

“...committed

to providing the lowest cost care with the highest quality healthcare facilities to all of the communities in which we serve.”

Alan B. Miller, the founder of Universal Health Services, Inc. (UHS), combined his business savvy with his desire to help people by solidifying a career in the healthcare profession.

An authority on hospital management and development, Miller served as healthcare advisor to the Federal Mediation and Conciliation Service and has formulated positions on healthcare policy that have affected major national legislation.

Miller's accomplishments are many and highly regarded in the healthcare industry including recently receiving the first “Lifetime Achievement Award” from the Federation of American Health Systems, “CEO of the Year for Health Service Industry” from the Financial World Magazine, and being listed in Modern Healthcare magazine as one of the “100 Most Powerful People in Healthcare.”

Don Pyskacek’s passion for healthcare architecture goes back more than 45 years.

He was one of the first architects in the country to focus solely on healthcare architecture – opening his own practice in 1958. With the knowledge gained through his own practice, design work as well as

32

experience with other high-profile, Chicagobased firms, he joined UHS in 1982 as founder and director of the design and construction department. He has since been promoted to assistant vice president of design and construction. According to Pyskacek, his greatest satisfaction is working to design aesthetically-pleasing, functional facilities that meet the criteria of the people they are intended to serve – patients, families, and staff.

Jay Hornung grew up knowing that the healthcare industry was of interest to him, in part, due to the fact that his mother was a nurse. While earning his bachelor’s degree in business administration from Temple University – after a two-year stint at the school of architecture – he joined Franciscan Health Systems, a non-profit healthcare system located outside of Philadelphia, where he worked his way up the ranks. He has been with Universal Health Services for 10 years, serving today as the director of design and construction. He manages an 11-person staff responsible for more than $300 million in construction annually.

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