WESTBURY, N.Y., July 16, 2014 /PRNewswire/ -- Vasomedical, Inc. ("Vasomedical") ("the Company") (OTC BB: VASO) today announced the signing on June 27, 2014 of a Value Added Reseller Agreement ("VAR Agreement") with GE Healthcare ("GEHC"), a division of General Electric Company (NYSE: GE), to become a national value added reseller for GE Healthcare IT's Radiology PACS (Picture Archiving and Communication System) software solutions and related services, including implementation, management and support. This multiyear VAR Agreement focuses primarily on existing customer segments currently served by VasoHealthcare, a wholly owned subsidiary of Vasomedical, on behalf of GE Healthcare and is effective immediately.
"The VAR Agreement with GE Healthcare IT is another significant step in our diversification strategy, as it immediately places the Company into the rapidly growing business of information technology and service provision. Healthcare information technology and healthcare connectivity are important game changers for the improvement of healthcare quality, increased efficiency and enhanced accuracy, all at reduced costs. They are among the very few industries that are enjoying double-digit annual growth rate," commented Dr. Jun Ma, President and CEO of Vasomedical, Inc. "This new business opportunity will also provide our service business model with recurring revenue for the future," he continued.
"It is a great honor to be selected by GE HCIT, one of the major healthcare IT solutions providers, as a national Radiology PACS value added reseller. Also, it is certainly a reflection of the success with our VasoHealthcare subsidiary, which has been an exclusive United States representative for various GEHC diagnostic imaging products in certain market segments for the last four years. We believe that our strong nationwide reach and deep customer relationships of Vasomedical in the healthcare market will provide us with a tremendous advantage as we enter into this high growth business," Dr. Ma concluded.
"We're excited to have entered into this comprehensive VAR agreement with Vasomedical," said David Hale, VP & General Manager of GE Healthcare IT for the US. "The VAR channel is an important part of our growth strategy and Vasomedical is ideally positioned to help us grow in specific market segments with our Radiology PACs software solutions."
Vasomedical has committed significant commercial resources, including capital, incremental sales management and leadership personnel, and will start the new business in multiple phases. The initial phase will be the marketing and sales of GE Healthcare IT Radiology PACS software solutions in specific segments and will be followed by implementation and service provisioning upon certification by GE HCIT.
Vasomedical, Inc. is a diversified medical technology company specializing in the manufacture and sale of medical devices and in the domestic sale of diagnostic imaging products. The Company operates through three wholly owned subsidiaries: Vasomedical Solutions, Inc., Vasomedical Global Corp. and Vaso Diagnostics, Inc. d.b.a. VasoHealthcare. Vasomedical Solutions manages and coordinates the design, manufacture and sales of EECP® Therapy systems and other medical equipment operations; Vasomedical Global operates the Company's China-based subsidiaries; and VasoHealthcare is the operating subsidiary for the exclusive sales representation of GE Healthcare diagnostic imaging products in certain market segments. Additional information is available on the Company's website at www.vasomedical.com.
Except for historical information contained in this release, the matters discussed are forward-looking statements that involve risks and uncertainties. When used in this release, words such as "anticipates", "believes", "could", "estimates", "expects", "may", "plans", "potential" and "intends" and similar expressions, as they relate to the Company or its management, identify forward-looking statements. Such forward-looking statements are based on the beliefs of the Company's management, as well as assumptions made by and information currently available to the Company's management. Among the factors that could cause actual results to differ materially are the following: the effect of business and economic conditions; the effect of the dramatic changes taking place in the healthcare environment; the impact of competitive procedures and products and their pricing; medical insurance reimbursement policies; unexpected manufacturing or supplier problems; unforeseen difficulties and delays in the conduct of clinical trials and other product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; uncertainties about the acceptance of a novel therapeutic modality by the medical community; continuation of the GEHC agreement; and the risk factors reported from time to time in the Company's SEC reports. The Company undertakes no obligation to update forward-looking statements as a result of future events or developments.
SOURCE Vasomedical, Inc.