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American Company Spotlight

 

Revolutions Medical Corp. Website: Click Here

Information As Of September 14, 2009

Exchange: OTCBB Market Cap: 14.9 Million
Outstanding Shares: 30.4 Million 52 Low / High: $0.14 / $0.71

Price September 14, 2009: $0.49

RMCP Recent Stock Quote and News: Click Here

'The safety needles and syringes market represents a large and growing segment of the healthcare industry. In 1999, total sales of needles and syringes in the U.S. reached $759 million. This figure is expected to increase to $2 billion by 2010.'


Overview

Revolution Medical's products include the Rev Vac safety syringe (FDA Approved), safety blood drawing device and safety IV catheter. Revolutions Medical also provides software solutions and proprietary tools that are compatible with standard MRIs and standard PACS. Since 2005, South Carolina-based Revolutions Medical Corporation has been developing and acquiring new products and tools to make health care safer and less expensive. The software includes sorting of images, color, 3D and automatic segmentation of images.


Investment Highlights

  • Huge Market Potential. Three immediately addressable health care markets totaling more than $14 Billion.
  • Urgent Need. With the H1N1 (Swine) Flu of great concern to all people, the need for safety-engineered medical devices such as the FDA approved, Rev Vac Safety Syringe made by the Company could be in great demand in order to inject the H1N1 flu vaccine quickly and safely.
  • Quick & Robust Anticipated Revenues. Anticipated profitability is expected in the first full year of operations, and 320% Compounded Annual Growth Rate through 2014 is estimated.
  • Competitors With Inferior Products. Two closest public competitors have market caps of $50 Million - $100 Million, with syringe products that are inferior to Rev Vac.
  • Strong Leadership. Leadership team has medical, financial and product commercialization expertise.


Profile

Revolutions Medical Corporation operates in the safety-engineered medical devices (SEMDs) arena. Its products include the Rev Vac Safety Syringe (FDA Approved), safety blood-drawing device and the Rev Vac Safety IV Catheter. The world market for SEMDs was projected to exceed $1.6 billion last year and is forecasted to maintain a 20% annual growth rate in the near term. The Theta Report estimated the number of needles and syringes sold in the U.S. and International market combined should exceed 20 billion units in 2007. Revolutions Medical Corporation also provides software solutions and tools that are compatible with standard MRI and standard PACS. Their technology includes sorting of images; grayscale and color, 3D rendering, and automatic segmentation of images. The company is continually looking for new and improved technology through internal product development and acquisition.

These tools will enhance the physician's diagnostic confidence in an industry that is growing at 10% - 15% (more than 25 million procedures) per year with a worldwide market potential for these tools that exceeds $3.5 billion.

Rev Vac Safety Syringe

The combined major benefits of the Rev Vac Safety Syringe are improved ease of operation and enhanced safety through simplicity of design and use.

Revolutions Medical owns the patents and will manufacture a disposable retractable syringe and phlebotomy device. The products use a proprietary patented technology in which a vacuum causes the needle to retract into the barrel of the syringe or device after an injection is administered or blood is drawn. Prototype units have been produced and tested, but no units have been manufactured. The products have been designed to be manufactured at a cost that is approximately equal to the cost of traditional disposable syringes and phlebotomy devices and are intended to be a safe replacement for existing non-safe syringes and phlebotomy devices and even currently marketed syringes and devices labeled as safety products.

With traditional syringes and phlebotomy devices, a needle contaminated with a patient’s blood remains a danger to healthcare professionals handling the needle until it is permanently disposed of in a proper biohazard containment unit. Revolutions Medical’s safety products do not present a “needlestick” hazard to health professionals after use because the contaminated needle is retracted into the barrel of the safety product and locked in place.

The Company recently confirmed that the opportunities for its Rev Vac safety syringe became even more significant with the August 31 announcement of close competitor Retractable Technologies, Inc.. Per the announcement, Retractable Technologies has been awarded a contract by the Department of Health and Human Services to supply a portion of the safety engineered syringes to be used in the United States' efforts to vaccinate the U.S. population against the H1N1 virus (swine flu).

"It is not often that a competitor's achievements are cause for excitement, but this is that rare case," stated Revolutions Medical CEO Ron Wheet. "Retractable Technologies has proven that major regulatory bodies are actively seeking and engaging suppliers of safety syringes, for efforts on a massive scale. Retractable Technologies' VanishPoint safety needle is indeed a quality product, but one against which we believe our Rev Vac safety syringe compares very favorably. Both have similar features, but the VanishPoint product relies on an additive metal spring that injects some uncertainty of performance, while our Rev Vac requires no additional parts and operates through a consistently reliable vacuum mechanism. Our vacuum is created by design when the plunger is drawn, ensuring predictable speed and ease of retraction."

Added Revolutions Medical President Tom O'Brien, "And likely as important to cost-sensitive agencies and hospitals, we will bring the Rev Vac to market at less than half the published cost of the VanishPoint safety needle. Cost is a function of design, parts count and manufacturing investment; the financial commitment we have made to engineering a patented design of such elegant simplicity allows us to outperform competitive products, while keeping production costs lower than our peers.

"This announcement confirms the magnitude of the opportunity before us, and we believe our product's competitive advantages will well position Revolutions Medical to pursue and win business of this kind."

The safety needles and syringes market represents a large and growing segment of the healthcare industry. In 1999, total sales of needles and syringes in the U.S. reached $759 million. This figure is expected to increase to $2 billion by 2010.

According to the industry participants in Frost & Sullivan’s study, many believe that safety needles and syringes will eventually represent a majority of the needles and syringes market. The market for safety needles and syringes is expected to grow from 23% in 1999 to a majority of the total needles and syringes market. The number of safety needles and syringes shipped is expected to grow from 900 million units in 1999 to over 10 billion units worldwide by 2010.

Investrend Communications, Inc estimates the number of needles and syringes sold worldwide to be over 24 billion.

The Cost of Change

  • The cost of needlestick injury follow-up in the U.S. per incident is around $3,000.
  • Accident follow ups cost the US medical industry $1.2 billion annually.
  • Annual treatment for contracted diseases in the US is $1.8 billion.
  • A total of $3 billion is spent annually in the US on needlestick injuries.
  • This is three times the amount spent on conventional syringes.
  • And almost 3 times the cost of converting to safety syringes.

The balance of power is in transition, and the stage is set for the right product to gain more market share than has been achievable in recent history.

Rev ColorMRI

Since inception, the Company’s principal business has been to complete the development of and to commercialize color MRI Technology. The technology consists of software, which uses various color masks to produce full-color composite images from gray-scale MRI output. The resulting color images can be quickly viewed individually or all together as a “riffle stack”.

A riffle stack consists of the individual MRI images assembled to create a single composite image that contains the data from the individual images. The riffle stack allows a radiologist, using a computer mouse, to page through the images, creating a 3-D appreciation of the colorized MRI output even though the images themselves are not 3-D.

The software program can also segment the data and create a true 3-D image of the area to be examined. For instance, bone, fluid and other tissue displayed in an MRI scan of the head can be electronically eliminated to allow a 3-D rendering of just the brain.

The color images can be transferred to a CD-ROM or other digital storage device, instead of bulky film, for storage or for a patient to take to their referring physician. Because the color images are transferred to digital storage in a standard *.jpeg format, the color images can be viewed on any PC without the need for special software.

Magnetic Resonance Imaging (MRI) is a widely used imaging system that safely creates many different and detailed views of the inside of the body. The images produced by the MRI scanner are gray-scale images similar to an X-ray.

These gray-scale images can be difficult and time-consuming to read. A radiologist “reads” these images on film by comparing the different scans of each tissue slice, sometimes evaluating one hundred (100) to three hundred (300) individual gray images to obtain a diagnosis. The successful diagnosis of a condition using MRI depends not only on the ability of the radiologist to detect the subtle differences in shades of gray, but also the radiologist’s ability to visually compare the vast number of individual images

Because human vision is keyed to color, the Company believes that software products provide radiologists, doctors and patients an opportunity to look at MRI images in a more intuitive way. The software applications are valuable for educating patients or a research team, or for showing a surgeon who may not have experience in interpreting MRI images how he or she can visualize and understand them better. Following FDA approval, color MRI also has great potential to be used for surgical planning and for diagnostic purposes.

Frost & Sullivan 2004 report on the diagnostic imaging market earned more than $15 billion globally. The report cited the following trends that will continue to boost the market over the next decade:

  • Increasing shift to film-less or digital technologies
  • Growth in information systems technologies
  • Broadened focus on functional and fused imaging
  • Technology improvements that allow faster, more patiently friendly, and less expensive

The Revolutions Medical product offerings fit into each of the these growth trends making the the world-wide market for the Revolutions Medical products $1.1 billion and $3.7 billion respectively.


Market Opportunity

  • 1 Million+ U.S. health care workers stuck with hypodermic needles annually; in some countries 90% of injections are unsafe; safety-engineered medical devices now a $3 B industry, but existing syringes are sub-optimal.
  • Global MRI market is $1.8 Billion, and exploding as the Baby Boomers age; dangerous information overload as radiologist numbers stay static; new tools are required to more efficiently/effectively interpret data.
  • 300K annual breast cancer diagnoses in the U.S.; screening industry now a $9.5 Billion market; existing non- and minimally-invasive diagnostic solutions leave much to chance; a more precise tool is critically needed.

Investment Paradigm

  • Three recurring revenue business lines with blended gross margins projected to exceed 50%
  • Anticipated profitability in first full year of operations, and 320% Compounded Annual Growth Rate through 2014 estimated.
  • Two closest public competitors have market caps of $50 Million - $100 Million, with syringe products inferior to Rev Vac.

Ongoing Product Introductions Drive Revenue Growth:

Q4 2009

1) Rev Vac safety syringe mass manufacturing process
2) MRI software suite commercial introduction: RevColor, RevDisp, Rev3D

2010 (Estimated Revenue: $14.8 Million)

• MRI software suite commercial launch
• Rev Vac safety syringe commercial launch
• Breast Biopsy System - stereotactic commercial launch
• 4 additional products spanning the 3 lines

2011 (Estimated Revenue: $40.9 Million)

• 2 products rounding out Breast Biopsy System line


Recent News and Press Releases

Revolutions Medical Engages Cirrus Financial Communications to Build Visibility, Marketability and Liquidity
Marketwire (Thu, Sep 10)


Revolutions Medical Dramatically Streamlines Flagship Product, Readies for Mass Production and Commercial Launch
Marketwire (Wed, Sep 9)


Competitor Paves Way for Broad Adoption of Revolutions Medical's Rev Vac Safety Syringe
Marketwire (Wed, Sep 2)


Revolutions Medical Significantly Bolsters Capital Markets Team With Appointments of Prominent Transfer Agent and Legal Counsel
Marketwire (Tue, Sep 1)


REVOLUTIONS MEDICAL CORP Files SEC form 10-Q, Quarterly Report
EDGAR Online (Fri, Aug 14)


Revolutions Medical Intellectual Property Portfolio Expands
Business Wire (Tue, Jul 21)


Revolutions Medical Strengthens Patent Claims
Business Wire (Mon, Jul 13)


Revolutions Medical Corporation Receives Up to 10 Million Dollars in Financing
Business Wire (Wed, Jun 24)


REVOLUTIONS MEDICAL CORP Files SEC form 10-Q, Quarterly Report
EDGAR Online (Thu, May 14)

 


Management

Rondald Wheet - CEO, Chairman of the Board
Mr. Wheet has over fifteen (15) years experience in the investment banking industry and while working for several NASD registered broker dealers has raised in excess of $100 million for small cap companies. He held five licenses with the NASD; series 4, 7, 24, 63, and 65. He operated in a management and principal capacity for 10 years during that time and was a compliance officer for 2 years. He worked for investment firms such as Cohig & Associates, Scott and Stringfellow, Fortress Financial, and RichMark Capital. He was in charge of opening up three different brokerage offices from the beginning, including finding ideal office space, hiring personnel, becoming NASD compliant and turning them into successful branch offices. He started his own consulting business in 2002, Mansfield Garrett, Inc., and worked with many start up and micro cap companies; giving advice on capital raising, strategic partnerships, stock awareness, hiring top management and going to the public market. He served on the Board of Directors for Clear Image, Inc. since 2004. Ron is past President of the Metropolitan Exchange Club of Charleston, SC. He received a Bachelor of Science degree from the University of Towson in both Finance and International Business in 1987.

Thomas O’Brien - President
Mr. O’Brien has more than twenty (20) years of general management experience in the medical device industry. He has special expertise in domestic and international sales, marketing and distribution of high technology medical systems and services. He has held executive positions with medical industry leaders such as Pfizer, Toshiba, and Johnson and Johnson owned Technicare Corporation. In 1995 he joined Spectrum Technology, a cosmetic laser company, as Vice President of Sales and Marketing. Spectrum was acquired by Palomar Corporation in 1996, and Mr. O’Brien went on to become Executive President for all of the Palomar companies. In 1996/1997 he became the President and CEO of Cosmetic Technology International, a cosmetic laser center business operating worldwide. He has most recently been the President and CEO of BioTrack, Inc. which has developed a device for the localization of breast cancer. He has also been CEO of Medical Online, Inc., an online internet medical consulting company. He has received a B.S. in foreign languages from the University of Maryland, served in the U.S. Air Force Security Service and also at the National Security Agency as a Chinese linguist.


Contact

Company Contact:

Revolutions Medical Corporation
Rondald Wheet

(843) 971-4848
R_Wheet@bellsouth.net
www.revolutionsmedical.com

Investor Relations:

Cirrus Financial Communications, LLC
Justin Davis

(720) 489-4913
Justin.Davis@CirrusFC.com
www.cirrusfc.com


FORWARD LOOKING STATEMENTS

This report includes forward-looking statements that reflect Revolutions Medical Corp. current expectations about its future results, performance, prospects and opportunities. Revolutions Medical Corp. has tried to identify these forward-looking statements by using words and phrases such as "may," "will," "expects," "anticipates," "believes," "intends," "estimates," "plan," "should," "typical," "preliminary," "we are confident" or similar expressions. These forward-looking statements are based on information currently available and are subject to a number of risks, uncertainties and other factors that could cause Revolutions Medical Corp.'s actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. These risks, uncertainties and other factors include, without limitation, the Company's growth expectations and ongoing funding requirements, and specifically, the Company's growth prospects with scalable customers, and those outlined above. Other risks include the Company's limited operating history, the Company's history of operating losses, consumers' acceptance, the Company's use of licensed technologies, risk of increased competition, the potential need for additional financing, the terms and conditions of any financing that is consummated, the limited trading market for the Company's securities, the possible volatility of the Company's stock price, the concentration of ownership, and the potential fluctuation in the Company's operating results.


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AllPennyStocks.com feature stock reports are intended to be stock ideas, NOT recommendations. Please do your own research before investing. It is crucial that you at least look at current SEC filings and read the latest press releases. Information contained in this report was extracted from current documents filed with the SEC, the company web site and other publicly available sources deemed reliable. For more information see our disclaimer section, a link of which can be found on our web site. This document contains forward-looking statements, particularly as related to the business plans of the Company, within the meaning of Section 27A of the Securities Act of 1933 and Sections 21E of the Securities Exchange Act of 1934, and are subject to the safe harbor created by these sections. Actual results may differ materially from the Company's expectations and estimates. This is an advertisement for Revolutions Medical Corp. The purpose of this advertisement, like any advertising, is to provide coverage and awareness for the company. The information provided in this advertisement is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution or use would be contrary to law or regulation or which would subject us to any registration requirement within such jurisdiction or country.

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