FOR: CARDIOCOMM SOLUTIONS, INC.
TSX VENTURE SYMBOL: EKG
Ammendment to reflect the new release of GEMS™ WIN as a Windows 7 compatible ECG management software upgrade
TORONTO, ONTARIO - CardioComm Solutions, Inc. (TSX VENTURE:EKG) (“CardioComm Solutions” or the “Company”) today announced that it has amended its GEMS™software license agreement (“SLA”) with MD Primer Inc. (“MDP”), which was previously described by the Company in its press releases on January 22, 2014, and February 20, 2014.
Pursuant to the amending agreement, the second payment milestone by MDP to the Company has been modified to reflect the GEMS™ WIN software release schedule of CardioComm Solutions. Accordingly, the SLA now associates the second $150,000 milestone payment with the commercial release of GEMS™ WIN and the third and final $100,000 milestone payment with the commercial release of a GEMSTM 4.0 software upgrade. The SLA allows the Company to complete GEMS™ WIN within the next six months if required; however, the Company has recently announced an expected GEMS™ WIN release in the first week of June 2014. The SLA also allows the Company a further 18 month period to complete the GEMSTM 4.0 commercial release.
“The replacement of the XP operating system to Windows 7 by Microsoft has been a disruptive and expensive challenge for many and necessitated a reprioritization of work by our development team. In early 2014, we responded to requests from our clients to help minimize, where possible, their need for additional investments of time and finances for staff to be trained on any new WIN 7 based ECG management software purchase. Accordingly, we postponed our April GEMS™ 4.0 release in favour of releasing GEMS™ WIN, a GEMS ™ upgrade with Windows 7 compatibility that provides the familiarity and traditional stability of GEMSTM 3 that our customer base was already comfortable with. GEMS™ WIN will also enable customers to continue to benefit from the use of our HL7, AutoAttendant and GEMS™ Air modules,” stated Etienne Grima, CEO of CardioComm Solutions. “In order to also meet our obligations to MDP, we have now added the provision of GEMS™ WIN to our software license agreement so that MDP may have a solution available until GEMSTM 4.0 is released. Indeed, work on GEMSTM 4.0 has already been re-engaged given the imminent release of GEMS™ WIN.”
The amended SLA states that should CardioComm Solutions elect not to complete GEMSTM WIN or GEMSTM 4.0, MDP will be permitted to acquire the unfinished software works without restrictions and the Company’s right to repurchase the software license pursuant to the terms of the SLA will be terminated.
“Modifying the software license agreement was a responsible response to enable MDP to have an ECG software solution available as originally contemplated in the agreement. GEMSTM WIN will be released in the next few weeks with a first release of GEMSTM 4.0 expected in the ensuing few months,” said Mr. Simi Grosman, member of the Company’s Board of Directors.
About CardioComm Solutions
CardioComm Solutions’ patented and proprietary technology is used in products for recording, viewing, analyzing and storing electrocardiograms (ECGs) for diagnosis and management of cardiac patients. Products are sold worldwide through a combination of an external distribution network and a North American-based sales team. The Company has earned the ISO 13485 certification, is HPB approved, HIPAA compliant, and has received FDA market clearance for its software devices. CardioComm Solutions is headquartered in Toronto, Ontario, Canada, with offices in Victoria, B.C.
CardioComm Solutions' patented and proprietary
technology is used in products for recording,
viewing, analyzing and storing
electrocardiograms (ECGs) for diagnosis and
management of cardiac patients. Products
are sold worldwide through a combination of an
external distribution network and a North
American-based sales team. The Company has
earned the ISO 13485 certification, is HPB
approved, HIPAA compliant, and has received FDA
market clearance for its software devices.
CardioComm Solutions is headquartered in
Toronto, Canada, with offices in Victoria,
INFORMATION PLEASE CONTACT:
Etienne Grima, Chief Executive Officer
This release may contain certain forward-looking
statements and forward looking information with
respect to the financial condition, results of
operations and business of CardioComm Solutions
and certain of the plans and objectives of
CardioComm Solutions with respect to these
items. Such statements and information reflect
management's current beliefs and are based on
information currently available to management.
By their nature, forward-looking statements and
forward-looking information involve risk and
uncertainty because they relate to events and
depend on circumstances that will occur in the
future and there are many factors that could
cause actual results and developments to differ
materially from those expressed or implied by
these forward-looking statements and
In evaluating these statements, readers should:
specifically consider risks discussed under the
heading "Risk Factors" in the Company's Annual
Information Form, available at www.sedar.com;
not to place undue reliance on forward-looking
statements and forward-looking information; be
aware. the Company does not assume any
obligation to update the forward-looking
statements and forward-looking information
contained in this Annual Information Form other
than as required by applicable laws (including
without limitation Section 5.8(2) of National
Instrument 51-102 (Continuous Disclosure
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