Cognitive Computing Authors: Pat Romanski, Yeshim Deniz, Liz McMillan, Elizabeth White, Jason Bloomberg

News Feed Item

A "Plain-English" Post-Filing Letter to the Stockholders of MMR Information Systems, Inc.

LOS ANGELES, CA -- (Marketwire) -- 03/31/10 -- MMR Information Systems, Inc. (OTCBB: MMRF)

Dear Stockholder:

We have just filed our second Annual Report. A copy of it is available on our website at www.mymedicalrecords.com in the Investor Relations section and under Edgar company filings at www.sec.gov. I would like to take this opportunity to highlight some of the information included there so that you will have more of an understanding of the first post-merger year of MMR Information Systems, Inc.

Although we officially began publicly trading as MMRF almost a year ago, several years of hard work prior to that had already been accomplished. Concepts were imagined and put into motion, our evolving technology had been developed and implemented, money was being raised for development, operations, infrastructure, sales and marketing, while staff had to be hired and a business formed, shaped and launched to serve no less a task than to help consumers manage personal health care costs and, most important, be a tool to help save lives. In what is a very short time for a new enterprise, MMR has gone from a private start-up to a recognized player competing vigorously with companies many times our size.

When you read our Annual Report you will see that MMR's 2009 revenues increased by 37.2%, as compared to 2008. We believe this is due primarily to recognition of the importance of what we do, namely providing Personal Health Records ("PHRs"). It also reflects the increased awareness by consumers and employers of the importance of maintaining a Personal Health Record to improve care and reduce costs boosted by the Obama Administration's emphasis on Health Information Technology and the billions of dollars of stimulus attached to it. Because our business is highly scalable, while our revenues in 2009 increased by 37% over 2008, our costs of sales increased by only 11%.

Although our General and Administrative costs were higher, a big portion of the increase was due to one-time charges directly related to our merger with Favrille, including a one-time charge for merger related general and administrative expenses in the amount of $2.2 million. Having said that, our technology costs rose because of the significant monies spent to develop MMRPro, which we believe will be widely accepted by physicians as we roll it out during the year. In the future, we plan to continue to invest in technology to support MMRPro and other products in our effort to keep them current with features our customers are looking for. Through investments in technology, licensing and use agreements with strategic partner relationships, we plan on evolving MMRPro into a product that resembles more of a fully functioning EMR.

We believe that the Company's strategy of selling MMRPro as an easy-to-use document management system will enable us to have a customer base that we will bring along with continued improvements in technology. I just spent two days this week with the CEO of Nihilent, the Company's development partner (here in Los Angeles from India) regarding our future development projects. Joining us were senior executives from Kodak. Both organizations are committed to keeping MMR at the forefront of the market and ahead of our competitors.

Many have questioned the Company's increase of debt and other liabilities in the amount of $5.2 million at the end of 2009 over 2008. So there are no misunderstandings the increased amounts include non-cash derivative liability of $1.6 million which were mostly attributable to equity transactions used to raise cash necessary for the operations of the Company. An additional $1.1 million is attributable to an increase in deferred compensation, increases in The RHL Group Secured Credit Line and other related party vendor payables. In addition, $1.5 million of that relates to one-time non-recurring merger expenses. Of the company's total liabilities $1.5 million were one-time pre-merger Favrille liabilities resulting from the merger transaction. This totals $5.0 million or 68% of the Company's total liabilities of $8.4 million.

The Company also incurred significant additional consultant expenses in 2009 to support our sales, marketing, operations and infrastructure, particularly as it relates to anticipated growth through the sales of MMRPro, which we believe will start to show in the second quarter.

During 2009, we also terminated non-performing contracts with international licensees and are now in direct control of our future in the international marketplace. For example, you will recall that in late 2009, the Company concluded a definitive agreement with Unis-Tonghe Technology (Zhengzhou) Co., Ltd., or UNIS, to form a joint venture to build a customized version of MMR's proprietary PHR services and professional document imaging and management solutions in China. MMR's patented technology is expected to support a UNIS medical records development project for China's public and private hospital system. We are also in talks with Kodak and GRSworldwide, a strategic company assisting us on our biotech assets, about other opportunities in China that may include pre-clinical trials on our Anti-CD20 antibody and other biotech assets. Over the course of last year, we have become aware that the pre-merger biotechnology assets of the Company may have value, although we continue to focus the majority of management's attention on our core business of Health IT.

For all of healthcare's complexities, we are optimistic about the future based on the continuing attention that is being drawn to Health IT from the Obama Administration, through organizations such as GE Healthcare, Kaiser Permanente and others who are spending tens of millions of dollars to emphasize the value and importance of our business, Health IT, and particularly the need and value of a Personal Health Record.

These, combined with the passage of healthcare reform by Congress anticipated to create as many as 32 million newly insured people, is expected to grow consumer demand for Personal Health Records while the physicians treating them will require cost-effective means to chart, follow, and administrate this influx of new patients. As a result, it appears that the expanding need for Health IT solutions to curb the spiraling costs of healthcare spending can create tremendous opportunities for MMR, further given that U.S. healthcare spending is projected to reach $4.5 trillion by the end of the decade, nearly double the $2.5 trillion spent last year.

Our goal is to capture a significant portion of those newly insured in our PHR platform while at the same offer healthcare professionals (including veterinarians) cost-effective tools to streamline operations and take the first step towards receiving government stimulus funds under the HITECH Act of 2009. At the same time, while the government has allocated over $19 billion in stimulus funding towards these efforts, MMR launched its own stimulus program at the recent Kodak Executive Summit and HIMSS Conference. MMR's stimulus program offers an easier, less complex process which creates an electronic relationship between doctor and patient, giving patients timely access to their personal health information, a requirement of HITECH.

MMR is also an Independent Software Vendor of Kodak, which manufactures the scanner used in the MMRPro system. As such, MMR will be able to take advantage of and utilize the resources of the national Kodak reseller and distribution channel to sell this product into doctors' offices nationwide.

Digitization of medical records is now a national policy, and not a wish list. MMR is fortunate to be positioned to take advantage of this historic and opportune event. MMR's technology platform already integrates voice, fax and e-storage document management solutions in both English and Spanish. MMR also continues to be an integrated service provider on Google Health, which allows users to synchronize information between the highly publicized Google Health offering and a MyMedicalRecords PHR account at the click of a mouse.

If you want to know more about having a MyMedicalRecords PHR and what it can mean to you and your family, go to our MyMedicalRecords.com website, watch the video and then try the service for 30 days. To celebrate the completion of our first full year one, input MMR Promotion Code: MMRoffer9. You will be charged only "One" dollar in celebration of the Company's Year One during the 30-day trial.

While there is much to do, MMR will continue to work hard for our stockholders to become a major provider of user-friendly and easy to deploy Health Information Technology solutions. Thank you for your interest in and support of this Company.

Very truly yours,

Robert H. Lorsch
Chairman & CEO

About MMR Information Systems, Inc.

MMR Information Systems, Inc., through its wholly-owned operating subsidiary, MyMedicalRecords, Inc. ("MMR"), provides secure and easy-to-use online Personal Health Records ("PHRs") and electronic safe deposit box storage solutions, serving consumers, healthcare professionals, employers, insurance companies, unions and professional organizations and affinity groups. MyMedicalRecords enables individuals and families to access their medical records and other important documents, such as birth certificates, passports, insurance policies and wills anytime from anywhere using the Internet. The MyMedicalRecords Personal Health Record is built on proprietary, patented technologies to allow documents, images and voicemail messages to be transmitted and stored in the system using a variety of methods, including fax, phone, or file upload without relying on any specific electronic medical record platform to populate a user's account. The Company's professional offering, MMRPro, is designed to give physicians' offices an easy and cost-effective solution to digitizing paper-based medical records and sharing them with patients in real time. MMR is an Independent Software Vendor Partner with Kodak to deliver an integrated turnkey EMR solution for small to mid-size physician practices. MMR clients include AFL-CIO, LegalZoom, The Latino Coalition, MedicAlert, XN Financial and others. MMR is also an integrated service provider on Google Health. To learn more about the Company and its products, visit www.mymedicalrecords.com and view the video demonstrations at www.mymedicalrecordsonline.com.

Forward-Looking Statements

Any statements contained in this press release that refer to future events or other non-historical matters are forward-looking statements. MMR Information Systems, Inc. disclaims any intent or obligation to update any forward-looking statements. These forward-looking statements are based on MMR Information Systems, Inc.'s reasonable expectations as of the date of this press release and are subject to risks and uncertainties that could cause actual results to differ materially from current expectations. The information discussed in this release is subject to various risks and uncertainties related to changes in MMR Information Systems, Inc.'s relationship with its strategic and joint venture partners, its business prospects, results of operations or financial condition, government regulations, and such other risks and uncertainties as detailed from time to time in MMR Information Systems, Inc.'s public filings with the U.S. Securities and Exchange Commission.

CONTACT: Bobbie Volman
MMR Information Systems, Inc.
(310) 476-7002, Ext. 2005
[email protected]

Michael Selsman
Public Communications Co.
(310) 553-5732
[email protected]

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

IoT & Smart Cities Stories
The platform combines the strengths of Singtel's extensive, intelligent network capabilities with Microsoft's cloud expertise to create a unique solution that sets new standards for IoT applications," said Mr Diomedes Kastanis, Head of IoT at Singtel. "Our solution provides speed, transparency and flexibility, paving the way for a more pervasive use of IoT to accelerate enterprises' digitalisation efforts. AI-powered intelligent connectivity over Microsoft Azure will be the fastest connected pat...
There are many examples of disruption in consumer space – Uber disrupting the cab industry, Airbnb disrupting the hospitality industry and so on; but have you wondered who is disrupting support and operations? AISERA helps make businesses and customers successful by offering consumer-like user experience for support and operations. We have built the world’s first AI-driven IT / HR / Cloud / Customer Support and Operations solution.
Codete accelerates their clients growth through technological expertise and experience. Codite team works with organizations to meet the challenges that digitalization presents. Their clients include digital start-ups as well as established enterprises in the IT industry. To stay competitive in a highly innovative IT industry, strong R&D departments and bold spin-off initiatives is a must. Codete Data Science and Software Architects teams help corporate clients to stay up to date with the mod...
At CloudEXPO Silicon Valley, June 24-26, 2019, Digital Transformation (DX) is a major focus with expanded DevOpsSUMMIT and FinTechEXPO programs within the DXWorldEXPO agenda. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of business. Only 12% still survive. Similar percentages are found throug...
Druva is the global leader in Cloud Data Protection and Management, delivering the industry's first data management-as-a-service solution that aggregates data from endpoints, servers and cloud applications and leverages the public cloud to offer a single pane of glass to enable data protection, governance and intelligence-dramatically increasing the availability and visibility of business critical information, while reducing the risk, cost and complexity of managing and protecting it. Druva's...
BMC has unmatched experience in IT management, supporting 92 of the Forbes Global 100, and earning recognition as an ITSM Gartner Magic Quadrant Leader for five years running. Our solutions offer speed, agility, and efficiency to tackle business challenges in the areas of service management, automation, operations, and the mainframe.
The Jevons Paradox suggests that when technological advances increase efficiency of a resource, it results in an overall increase in consumption. Writing on the increased use of coal as a result of technological improvements, 19th-century economist William Stanley Jevons found that these improvements led to the development of new ways to utilize coal. In his session at 19th Cloud Expo, Mark Thiele, Chief Strategy Officer for Apcera, compared the Jevons Paradox to modern-day enterprise IT, examin...
With 10 simultaneous tracks, keynotes, general sessions and targeted breakout classes, @CloudEXPO and DXWorldEXPO are two of the most important technology events of the year. Since its launch over eight years ago, @CloudEXPO and DXWorldEXPO have presented a rock star faculty as well as showcased hundreds of sponsors and exhibitors! In this blog post, we provide 7 tips on how, as part of our world-class faculty, you can deliver one of the most popular sessions at our events. But before reading...
DSR is a supplier of project management, consultancy services and IT solutions that increase effectiveness of a company's operations in the production sector. The company combines in-depth knowledge of international companies with expert knowledge utilising IT tools that support manufacturing and distribution processes. DSR ensures optimization and integration of internal processes which is necessary for companies to grow rapidly. The rapid growth is possible thanks, to specialized services an...
At CloudEXPO Silicon Valley, June 24-26, 2019, Digital Transformation (DX) is a major focus with expanded DevOpsSUMMIT and FinTechEXPO programs within the DXWorldEXPO agenda. Successful transformation requires a laser focus on being data-driven and on using all the tools available that enable transformation if they plan to survive over the long term. A total of 88% of Fortune 500 companies from a generation ago are now out of business. Only 12% still survive. Similar percentages are found throug...