Merrill Lynch & Co. Strategic Return Notes Linked TO The Select 10 Index (AMEX:RSY)
Historical Stock Chart
From Jul 2019 to Jul 2024
![Click Here for more Merrill Lynch & Co. Strategic Return Notes Linked TO The Select 10 Index Charts. Click Here for more Merrill Lynch & Co. Strategic Return Notes Linked TO The Select 10 Index Charts.](/p.php?pid=staticchart&s=A%5ERSY&p=8&t=15)
Deals to Develop State-of-the-Art Heart Catheters and Acquire
Heart-Monitoring Product Line Will Provide Recom With
Immediate Market Share
Recom Managed Systems (AMEX: RSY) announced today that it has
entered two binding, definitive agreements with cardiac-device company
TZ Medical, Inc. of Portland, Ore. Both agreements involve the
acquisition of significant existing products and devices that will
enhance Recom's market share during its roll-out this quarter. By
expanding its market share at this early stage, the Company's
proprietary and patented noise-reduction technologies will receive
maximum exposure.
Showcased among its acquisitions, Recom acquired the distinguished
OTC TZ Cardio Sentry event recorder, which essentially is the size of
a credit card and can be carried by the patient in his or her shirt or
pants pocket. This event recorder has been cleared for sale by the
Food and Drug Administration and is available without prescription for
over-the-counter purchase. Thus the Company is already negotiating
with global, international partners to mass-distribute OTC Cardio
Sentry for the benefit of the general public. Recom anticipates that
its amplifier will quickly be deployed for OTC Cardio Sentry, which
will have a salutary and striking effect on the way heart disease is
managed, as the device and specialized amplification will be readily
available for patients nationwide without prescription.
Recom acquired other devices and technologies, such as TZ's
prescription CardioSentry RX event recorder, as well as the FM
Demodulator, which converts the signal from event recorders to an
electrocardiograph (ECG). Both of these products are FDA-cleared, as
well. With Recom's technology, they will provide significant choices
for patients in what is now an industry filled with guesswork. By
expanding its product suite as it proceeds to market, the deal fully
expands and matures the Company's product line.
The Asset Purchase Agreement also includes employment agreements
with the founding partners of TZ Medical, Tom Tribou and Byron Zahler,
who will continue marketing efforts for the current monitoring devices
and for the next-generation products that incorporate the Recom
noise-reduction technology. These employment agreements are
"incentive-oriented," with compensation based upon profitable sales
for Recom as the roll-out is ongoing. The Company is fortunate to have
landed such experienced and visionary veterans of the industry for its
go-to-market period.
Company and TZ Also Complete Catheter Joint Venture
The Company has completed its catheter joint venture with TZ
Medial in furtherance of the Memorandum of Understanding announced on
August 22, 2005. Not only does this enhance the Company's immediate
revenue base, but the Company also will realize monitoring revenues
from the devices. This opportunity was thoroughly discussed in the MOU
press release on this transaction which was recently issued on August
22, 2005.
As previously announced, TZ Medical is contributing its entire
line of intracardiac catheters to the joint venture, and Recom is
contributing its patented and patent-pending signal-amplification and
noise-reduction technologies. The companies will immediately commence
development of a new state-of-the-art catheter line incorporating this
technology, allowing physicians to make more accurate diagnoses and
better therapeutic choices. The status of the intracardiac prototype
testing will be reviewed in upcoming press releases, as Recom has
already begun, and made extraordinary progress, on that development
with the assistance of its renowned scientific advisory panel.
The Joint Venture for the manufacture, development and marketing
of intracardiac catheters will be conducted through the creation of a
limited liability corporation, to be managed and controlled by Recom.
For the first six months, TZ will receive 70 percent of profits, and
Recom will receive the remainder; profits will be split equally
thereafter. Significantly, this yields earnings for Recom from the day
of this press release forward.
By utilizing Recom's noise-reduction technologies, the Company
anticipates that physicians will be empowered to make more accurate
diagnoses and better therapeutic choices.
These transactions are subject to board approval, as well as
potential regulatory evaluation, approvals, other conditions, and due
diligence. Notwithstanding these facts, the parties have already begun
the joint venture and the asset purchase marketing roll-out, and Recom
has completed initial testing on the first catheter prototype with
certain of its scientific partners. The market will be quickly updated
regarding the progress of that integration.
"We are excited to enter this two-pronged relationship with TZ
Medical, which offers Recom yet another opportunity to use its unique,
patented noise-reduction technology to help improve patient outcomes
by providing physicians in the EP lab with better data during
diagnostic and therapeutic procedures that utilize intracardiac
catheters," said Pamela Bunes, president and chief executive officer
of Recom. "We also are pleased to create further value for our
shareholders through the revenue that will be generated by these
agreements. Of particular interest is the OTC Cardio Sentry device,
FDA approved and now owned by Recom, which provides patients with
access to their own cardiovascular information over the counter at
drugstores and outlets nationwide. Recom will aggressively market this
device and monitor patient outcomes on a level that will be both
methodical and global. As we have said, this is will be our showcase
to introduce the public to the benefits of real-time, effective,
cardiovascular information."
"We are delighted by the opportunity to partner with Recom, as we
believe the company's technology will provide significant value for
physicians who need to evaluate their patients' heart conditions,"
said Tom Tribou, co-founder of TZ Medical and a respected, 15-year
veteran of the cardiac-monitoring industry.
About Intracardiac Catheters
An intracardiac catheter is a flexible tube that is inserted
through a vein in the leg and fed into the heart. When used for
diagnostic purposes, the catheter is equipped with electrodes
connected to an electrocardiographic monitor that allows physicians to
evaluate cardiac function, including arrhythmia, or irregular
heartbeat. The physician can then predict the patient's risk for
future cardiac events and determine the best therapy. With current
technologies, the presence of interference (also called "noise" or
"artifact") in the reading makes the true reaction of the heart to the
diagnostic or clinical procedure difficult to measure.
About Cardiac Monitors
The Holter monitor currently is the most commonly used ambulatory
monitoring device. Holter monitors provide a continuous recording of
ECG data for 24 hours. The patient also keeps a diary of activities
while wearing the Holter monitor, allowing the physician to compare
the timing of any anomalies on the ECG with the activities being
performed.
Cardiac-event recorders also provide continuous ECG monitoring and
are used over longer time periods, typically one month. Patients may
activate the recorder when they experience symptoms or, with more
advanced recorders, the device may automatically activate when it
senses an event, even if a patient does not realize one is occurring.
Recordings may be transmitted by phone to a monitoring center or
posted to a secure Web site, where physicians and trained technicians
can spot problems as they occur.
About Recom Managed Systems, Inc.
Recom Managed Systems, Inc. is an emerging life-sciences company
focused on the monitoring and detection of disease through continuous
biomedical signal monitoring. Recom uses its patented signal
technology to design and develop medical devices that simplify and
reduce the costs of diagnostic testing and patient monitoring in an
ambulatory setting. With its patented signal-technology platform,
Recom brings clinical-quality physiological signal monitoring to the
ambulatory setting.
Recom's first proprietary product, the Model 100 Heart Monitor, is
an ambulatory patient heart monitor that uses patented
signal-processing technology to record a clinical-quality ECG signal
in the present of interference generated by the patient's body
movements and ambient environment. Recom's Model 100 currently is in
clinical trials at Duke University Medical Center; results are
expected by year's end. The Model 100 has received 510(k) clearance
from the Food and Drug Administration.
Recom Managed Systems, Inc. is traded on the American Stock
Exchange under the symbol RSY. More information is located at
http://www.recom-systems.com.
About TZ Medical, Inc.
TZ Medical was founded in 1990 by Tom Tribou and Byron Zahler to
manufacture pacemaker monitors and cardiac event monitors. Tribou and
Zahler both experienced successful careers at United States Surgical
Corporation prior to founding TZ Medical. Tribou has 33 years'
experience in healthcare sales while Zahler has spent 25 years in the
healthcare industry.
TZ Medical has a primary emphasis on cardiovascular products with
niche products for the cardiac catheter, interventional radiology and
electrophysiology laboratories. The company sells intracardiac
catheters, cardiac monitors, hemostatic products and defibrillation
electrodes with 510(K) FDA approval.
Caution Regarding Forward-Looking Statements
Statements in this release that are not strictly historical are
"forward-looking" statements. Forward-looking statements involve known
and unknown risks, which may cause Recom's actual results in the
future to differ materially from expected results. Factors which could
cause or contribute to such differences include, but are not limited
to, failure to complete the development and introduction of new
products or services, failure to obtain federal or state regulatory
approvals governing medical devices, monitoring and other related
services or products, inability to obtain physician, patient or
insurance acceptance of Recom's products or services, adverse
equity-market conditions and declines in the value of Recom's common
stock, and the unavailability of financing to complete management's
plans and objectives. These risks are qualified in their entirety by
cautionary language and risk factors set forth and to be further
described in Recom's filings with the Securities and Exchange
Commission.