Millennium HealthCare Inc. Signs Network Selling Agreement with Large Physician Practice Network Contract Includes Minimum Usage Metrics
GARDEN CITY, N.Y., Feb. 27, 2014 /PRNewswire/ -- Millennium HealthCare Inc. (OTCBB: MHCC) today announced that its subsidiary, Millennium Medical Devices LLC, has signed a network selling agreement with a US based healthcare organization for the use of its medical devices in 200 of the organization's locations. This agreement includes an average monthly minimum use of 350 units per location.
The network selling agreement includes the use of the Company's exclusive distribution rights for the VasoScan cardiovascular assessment test device. VasoScan is an FDA cleared, non-invasive device that provides a reproducible assessment of arterial elasticity and stiffness which determines plaque levels in the arterial walls. Plaque buildup in the arteries can cause cardiovascular disease and inhibit blood flow to major organs causing heart attack and stroke. Millennium Medical Devices maintains the exclusive rights to market and distribute the VasoScan device in the United States.
The network selling agreement also includes the use of the Company's exclusive distribution rights for the OralCDx Brush Biopsy Test Kit. OralCDx is a non-invasive test that is used to test the small white and red tissue spots commonly found in the mouth to rule out precancerous change. According to the oral cancer foundation, close to 42,000 Americans will be diagnosed with oral and oropharyngeal cancers this year. This disease will cause over 8,000 deaths. The test has previously been available to dentists nationwide, and has already resulted in the prevention of thousands of oral cancers. Through the exclusive distribution agreement with Millennium Medical Devices, primary care physicians will now be able to easily administer this test to their patients.
"Being able to detect disease for early intervention could potentially help the over 800,000 people alone (according to the CDC) who die annually from cardiovascular disease in the United States," said Dominick Sartorio, CEO of Millennium.
"There are over 250,000 primary care physicians in the United States who could utilize these tests in their practices. We anticipate that a majority of the 200 locations under contract will be operational within the next 12 months and we will continue to introduce VasoScan and OralCDx as quickly as we can utilizing the contracted model. We feel that this sales model can assist investors in easily understanding the opportunities we have through these exclusive distribution relationships. Based on the minimum contracted amounts within this one agreement, Millennium can be in a position to potentially exceed $100,000,000 in revenues annually."
About Millennium HealthCare Inc.
Millennium HealthCare Inc. through its wholly owned operating subsidiaries provides primary care physician practices, physician groups and healthcare facilities of all sizes with cutting edge medical devices focused primarily on preventive care through early detection. The Company also provides advanced billing and coding services and practice development and management services.
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SOURCE Millennium HealthCare Inc.