Millennium HealthCare CEO Reports on Operational Developments and Progress

GARDEN CITY, N.Y., March 31, 2014

"We have spent the past year positioning Millennium Healthcare to become a leader in the delivery of innovative healthcare solutions that improve patient care and support implementation of new healthcare legislation in the United States.  We are leveraging our historical expertise in physician practice development, support and administration services, including medical procedure coding and billing to launch a medical equipment and device business focused on preventative testing.

The implementation of The Affordable Care Act makes the primary care physician one of the most important elements in executing the mandate.  As of January 1, 2014, certain preventative test costs are fully paid by Medicare and private insurers.  Under previous rules, individuals or corporations absorbed these costs until deductibles were met.  The immediate anticipated impact is that medical tests will be in much greater demand in order to identify people at risk for extremely costly diseases and avoid the skyrocketing of medical costs due to discovery of these diseases at later stages.  Millennium's strategy is to give primary care physicians access to groundbreaking preventative diagnostic devices that meet this demand while providing physicians with opportunities to expand their patient care capabilities and increase revenues.

Through our wholly owned subsidiary, Millennium Medical Devices, we are forming alliances and partnerships with medical device companies providing revolutionary devices utilizing cutting edge technology that are cost effective and cleared by the U.S. Food and Drug Administration (FDA).  The devices we plan to distribute are focused on preventative and diagnostic testing and care with the anticipation of detecting potential medical issues in their early stages, yielding positive medical outcomes.  These devices have obtained all necessary approvals and certifications and are fully reimbursable under current medical procedure billing codes.  Our goal is to ramp up and maintain an inventory of such devices and kits in anticipation of meeting and maintaining distribution and delivery requirements in a timely manner.

To date, we have signed exclusive distribution agreements for four products.  In May 2013, we entered into an exclusive distribution agreement with Heart Smart Inc. for Vasoscan, a heart health test and assessment device.  VasoScan is designed to analyze the Autonomic Nervous System (ANS) function, stress and peripheral blood circulation.  VasoScan is FDA-cleared and provides early detection of arterial wall elasticity and determination of biological arterial age using a non-invasive LED/Photodiode finger probe sensor.

In February 2013, we entered into an exclusive nationwide distribution agreement with CDx Diagnostics Inc. for OralCDx™, an oral cancer biopsy test.  The patented and proprietary oral swab diagnostic platform consists of a unique tissue sampling method combined with computer-assisted laboratory tissue analysis which can identify precancerous epithelial cells that cannot be practically found by any other means.  In February 2014, we signed another exclusive agreement with CDx Diagnostics for distribution of DermCDx™, a brush biopsy test kit that is used to confirm suspected basal cell carcinoma (BCC).  Like OralCDx™, DermCDx is also minimally invasive test combining a patented brush biopsy sampling instrument with sophisticated laboratory analysis.  It is designed to allow primary care physicians to easily confirm suspected BCC resulting in expedited referral to a dermatologist for treatment.

In addition, we entered into an exclusive distribution agreement with eWellness Corporation for distance monitored physical therapy programs in June 2013.  Distance monitored physical therapy programs (DMpt) are easy to use physical therapy programs that are critical elements in reducing the effects of diabetes and cardiovascular disease and have the potential to dramatically reduce the overall healthcare expenditures associated with these diseases.  DMpts are complete and comprehensive programs that include patient evaluation and testing, exercise intervention and exercise demonstration, all based around on-line program monitoring and follow-up.  DMpts yield the most beneficial exercise prescription in achieving optimal patient outcomes and results.