Medipattern Reports Second Quarter Fiscal 2012

The Medipattern Corporation ("Medipattern") (TSX VENTURE:MKI), a pioneer in the
development of medical imaging software solutions that help medical
practitioners to better understand lesions and critical anatomy, announced
second quarter results from the company's 2012 financial year, to December 31,
2011.


"Medipattern opened new market segments with its entry into the vascular arena,
allowing radiologists, cardiologists, vascular surgeons, endocrinologists and
primary care physicians to perform carotid duplex exams. During product launch,
it became clear that 3D rendering of the lumen in carotid arteries and
automatically measuring luminal reduction of the pathway to the brain could
provide significant clinical value," stated Jeff Collins, President and CEO of
Medipattern. "A white paper was presented at the Society of Vascular Ultrasound
and later two case studies show that Visualize:Vascular(TM) 3D rendering extends
beyond the clinical information gained from a 2D Carotid Duplex Exam. In both
case studies, the Carotid Duplex Exam showed minor elevation of Stenosis in the
internal carotid arteries while Visualize showed significant luminal reduction
indicative of restricted blood flow to the brain. Further imaging using Computed
Tomography Angiography (CTA) and Magnetic Resonance Angiography (MRA) confirmed
that the results from Visualize correlated to angiography, well above the levels
reported using 2D ultrasound. In each instance, Visualize gave the physician
vital information which impacted patient diagnosis, resulting in a revised
treatment plan and surgery. Post surgical pathology confirmed that the patients
did have significant plaque which was unstable, a classification of plaque that
is strongly associated with causing massive strokes. The patient treatment plan
was modified to avert potential stroke. Today the patients are recovered, well
and able to lead more active lives."


"We are pleased to receive acknowledgement from Aunt Minnie, the Radiology
industries leading web site, of Visualize:Vascular(TM) as a Semi-finalist for
"Best Radiology Software Product of the year in 2011. Medipattern was honored at
the same level as major ultrasound vendors such as GE Healthcare and Siemens as
well as major visualization companies such as TeraRecon and Vital Images."


"Medipattern continues to grow our installed base and to reach new market
segments. Visualize:Vascular(TM) is now installed in over 20 facilities carrying
the product's assistance to physician's serving primary, secondary and tertiary
care facilities," Collins continued. "Bringing each new facility online to embed
Visualize into their workflow requires process changes to these medical
facilities. They believe that Visualize:Vascular(TM) is worth including in their
standard protocol. Our product expansion positions the company well for the
remainder of calendar year 2012."


Financial Summary for Q2 Fiscal 2012:



--  Revenue totaled $7,477 (Q2 2011 - $21,739) for the fiscal quarter ended
    December 31, 2011, an overall decrease of 66%, while six month fiscal
    revenues declined to $13,981, a 75% drop from last years' six month
    total of $55,173. Subscription rental fees accounted for all Q2 2012
    quarterly revenue (Q2 2011 - $11,739) as the Company focused its core
    R&D resources and marketing expertise on meeting its deadlines for
    completion of final development and early commercialization of its new
    vascular software Visualize:Vascular(TM) which was rolled out on a
    limited basis in June 2011. In Q2 2012 the Company generated no
    licensing revenue or professional fees (Q2 2011 - $10,000 in licensing
    fees). For the six month period ended December 31, 2011 subscription
    rental fees also accounted for all revenue (2011 - $28,741) while
    $26,432 of licensing fees were earned in the similar period of fiscal
    2011. 

--  Non-interest operating expenses in Q2 2012 totaled $681,644 versus
    $588,823 in Q2 2011, an overall increase of 15.8%. For the six months
    ended December 31, 2011 operating expenses totaled $1,270,467 compared
    to $1,113,991, a 14% increase. Despite modest increases in R&D expenses
    associated with the final development of Visualize:Vascular(TM), and
    higher professional fees incurred with securing the Company's patents
    and conversion to IFRS, the Company remains committed to controlling all
    discretionary spending until operating cash flow improves in response to
    its ongoing commercialization of its award winning software products.
    
--  Total interest expense (including accreted interest on Convertible Debt)
    for Q2 2012 increased 112% to $121,541 (Q2 2011 - $57,103) as a result
    of a late fiscal 2011 Convertible Debt financing. For the six months
    ended December 31, 2011 interest expenses amounted to $241,638, compared
    to $112,427 for fiscal 2011, a 115% increase. 
    
--  In Q2 2012 the Company also recorded a fair value, non-cash gain on
    embedded conversion options in its Convertible Notes of $1,318,507 (Q2
    2011 - $82,541) with a similar gain for the six month period of
    $1,357,794 in 2012 versus $80,425 in fiscal 2011. These gains represent
    a reversal of losses recorded by the Company in previous fiscal periods
    as a result of its conversion to IFRS and are highly sensitive to the
    Company's share price. 
    
--  Resulting net profit for Q2 2012 was $525,392 ($0.009 per share basic
    and $0.008 diluted) versus a loss of $505,323 ($0.009 per share basic
    and diluted) for Q2 2011. For the six months ended December 31, 2011 the
    Company reported a net loss of $127,704 ($0.002 per share basic and
    diluted) versus a loss of $1,093,084 ($0.019 per share basic and
    diluted) for the similar six month period of fiscal 2011. 
    
--  As at December 31, 2011, cash and cash equivalents totaled $171,431
    (June 30, 2011 - $201,703), current assets, including highly liquid
    short-term investments of $1,471,765 (June 30, 2011 - $2,567,619), were
    $2,132,316 (June 30, 2011 - $3,313,658) and current liabilities were
    $348,810 (June 30, 2011 - $352,104). Working capital at December 31,
    2011 totaled $1,783,507 (June 30, 2011 - $2,961,554). At February 28,
    2012, the Company estimates working capital at $1,050,000.



Results of Operations (note 1):

THE MEDIPATTERN CORPORATION

UNAUDITED STATEMENT OF OPERATIONS and COMPREHENSIVE INCOME (LOSS)
FOR THE THREE and SIX MONTHS ENDED DECEMBER 31, 2011 AND 2010



                     Three Months  Three Months    Six Months    Six Months 
                            Ended         Ended         Ended         Ended 
                     December 31,  December 31,  December 31,  December 31, 
                             2011          2010          2011          2010 
                    --------------------------------------------------------
                      (Unaudited)   (Unaudited)   (Unaudited)   (Unaudited) 
Revenues                                                                    
  Licensing fees     $          -  $     10,000  $          -  $     26,432 
  Subscription                                                              
   rental fees              7,477        11,739        13,981        28,741 
                    --------------------------------------------------------
                            7,477        21,739        13,981        55,173 
                    --------------------------------------------------------
                                                                            
Expenses                                                                    
  Research and                                                              
   development            244,398       233,719       504,928       463,783 
  Administration and                                                        
   product support        329,797       207,358       539,707       427,283 
  Sales and                                                                 
   marketing               97,656       102,301       208,245       205,891 
  Interest on                                                               
   convertible debt        49,943        42,586        99,886        84,277 
  Accretion of                                                              
   interest on                                                              
   convertible debt        71,598        14,516       141,752        28,150 
  Gain on                                                                   
   convertible debt                                                         
   conversion option                                                        
   (1)                 (1,318,507)      (82,541)   (1,357,794)      (80,425)
  Foreign exchange                                                          
   loss                     2,771         2,594         2,500         7,273 
  Investment income        (5,364)       (2,146)      (15,126)       (5,008)
  Depreciation of                                                           
   property and                                                             
   equipment                9,793         8,675        17,587        17,033 
                    --------------------------------------------------------
                                                                            
                         (517,915)      527,062       141,685     1,148,257 
                    --------------------------------------------------------
Net Income (Loss)                                                           
 and Total                                                                  
 Comprehensive Income                                                       
 (Loss) (1)          $    525,392  $   (505,323) $   (127,704) $ (1,093,084)
                    --------------------------------------------------------
                                                                            
                                                                            
Basic Income (Loss)                                                         
 Per Share           $      0.009  $     (0.009) $     (0.002) $     (0.019)
                    --------------------------------------------------------
                                                                            
Diluted Income                                                              
 (Loss) Per Share    $      0.008  $     (0.009) $     (0.002) $     (0.019)
                    --------------------------------------------------------
                                                                            
Weighted Average                                                            
 Number of                                                                  
  Common Shares                                                             
   Outstanding -                                                            
   Basic               57,404,579    57,154,579    57,404,579    57,154,579 
                    --------------------------------------------------------
                                                                            
Weighted Average                                                            
 Number of                                                                  
  Common Shares                                                             
   Outstanding -                                                            
   Diluted             76,864,811    66,667,489    76,864,811    66,667,489 
                    --------------------------------------------------------
(1) The non-cash gain on the convertible debt conversion option represents  
the reversal of prior fiscal period losses booked in conjunction with the   
Company's conversion to IFRS and as outlined in further detail in note 5 to 
the accompanying condensed unaudited interim financial statements.          



For further details concerning Medipattern's results, please see the Company's
filings on SEDAR. (www.sedar.com).




Upcoming Events                                                         
Annual Hospital - Physician     Mar 16, 2012          Waltham, MA       
Leadership Conference MHA                                               
Annual Meeting - MHA            June 6 - 7, 2012      Brewster, MA      
SVU/SVS Annual Conference       June 7 - 9, 2012      Baltimore, MD     



About the Medipattern Corporation:

Medipattern(R) is a pioneer in the development of imaging software solutions
that help medical practitioners to better understand lesions and critical
anatomy. Medipattern uses its Cadenza(TM) technology to process images, finding
the salient region of interest and presenting them in 2D and 3D formats that
enhance the reader's perception. For more information, please visit the
Company's website: www.medipattern.com.


Medipattern(R) is a registered mark of The Medipattern Corporation.
Visualize:Vascular(TM) is a trademark of the Medipattern Corporation.


Forward-looking statements

This document contains forward-looking statements relating to Medipattern's
performance, operations, or business environment. These statements are based on
what we believe are reasonable assumptions given currently available information
and our understanding of Medipattern's current activities. We have tried,
whenever possible, to identify these forward-looking statements using words such
as "anticipates", "believes", "estimates", "expects", "plans", "intends",
"potential", and similar expressions. Forward-looking statements are not
guarantees of future performance and involve risks and uncertainties that are
difficult to predict or control. A number of factors could cause actual outcomes
and results to differ materially from those expressed in forward-looking
statements. These factors include but are not limited to those set forth in the
Company's corporate filings, (posted at www.sedar.com). In addition, these
forward-looking statements relate to the date on which they are made. The
Company disclaims any intention or obligation to update or revise any
forward-looking statements for any reason. Readers should not rely on
forward-looking statements.