spin 060112 presentation

7/31/2019 SPIN 060112 Presentation

1/18

-1-

Speakers today in order of appearance will be:

John Bergeron, CFO

Dr. Eric Groteke, CTO, SVP Sales and Marketing


2/18


3/18

-3-

We handle post-accident later-stageliability cases only

1 2 3 4 5 6 7 8 9 10 11 12 13-18

1 2 3 4 5 6 7 8-13

Attorney Retained

PT With Chiro Etc.

MRI & Init. Diagnosis

Meets Spine Surgeon

Diag. NB Injection

SPIN Funds

Report To Attorney

Perk Disk Decomp

SPIN Waits ForSettlement

SPIN Start to Payment

Procedure Is Billed CPT $5,500 Per Injection

Procedure Is Billed CPT $25,500 Per Injection

Patient

Months


4/18

-4-

SPIN: A BIGWIN-WINFORALLDoctors: Broaden patient base, perform SPIN and potentially non-SPIN procedures

Get immediate payment vs. 3-15 month wait for traditional insurer Eliminate uncertainty as to payment amount Enabled to optimize diagnosis and treatment

Patients: Get appropriate, necessary and reasonable treatment without delays

Minimize pain while optimizing outcomes Streamline case settlement by getting correct diagnosis and treatment

AttorneysPlaintiff and Defense Side: Get expert and cost-effective medical spend Get impartial, rigorous evidence where injury has occurred Expedite case settlement, respecting the time is money rule

Optimize fairness of claimant compensation Minimize improper awards, discourage the badactors

Investors:Participate in under-perceived profitable growth story, flourishing despite economy


5/18

-5-

While we bill the treatment at full pricing based on National Standards using CPT codes andcould collect the total amount in the case of a large settlement, we plan on a 50% discount of

net received to gross billings. Example on a $10,000 procedure:

Our typical collection time is ~270 days, with a wide range per case

Our average collection rate is ~50%+ of billed charges

SPIN has had minimal uncollectibles; to date only 4 cases, $22K out of pocket absorbed,


6/18

-6-

STRONG

FINANCIAL PERFORMANCERECORD

CASE MANAGEMENT BILLINGAND COLLECTION PATIENT SUPPORT DIAGNOSTIC TESTING HOSPITAL SUPPORT


7/18


8/18-8-

The Snowball Effect:

Burgeoning Volumes of Cases Collected

6

$32

169

$864

315

$1910

0

100

200

300

400

YE 2009 YE 2010 YE 2011

Cases Settled/Collected $

(000 omitted on $ values)

At close of Q112, settled volumes increased 635K to $2545K and 108 to 423 in casecount, reflecting in one quarter 34 % of full year 2011s activity.

The Florida centers are just beginning to reachcollection point in the cycle on many cases.


9/18-9-

Top and Bottom Line Growing Robustly


10/18-10-

2012 Outlook

Affirming 8-10 centers in operation in as many cities, by yearend

Affirming entry into new states

Affirming center average ~$200,000K monthly grossrevenues to SPIN Suspending 2012 EPS guidance until impacts of our

breakthrough new evidence tech are assessed, and pendingfinancing discussions are completed

Affirming that every $1M raised would be significantlyaccretive (assuming debt-focused deal along lines of termsheets in development)


11/18-11-

INVESTMENT CONSIDERATIONS

Proven Concept, Simple Roll-Out StoryMid-2009 flagship center was successful, and being rapidly and smoothly replicated

Game-changing IP-video evidence system should strongly expand existing practice and extend SPINinto related new business areas

Uniquely Qualified Management

CEO/Co-Founder: Dr. William Donovan a prominent board-certified orthopedic surgeon with prior trackrecord in early stage public companies

SVP Sale & Marketing/CTO: Dr. Eric Groteke successfully brought SPIN model to FL and co-developed a breakthrough evidence system

Rare Combination of Sustainable High Growth and High Profit

Deep-seated structural impetus for SPIN services

Virtually recession-proof business

Minimal amount of SG&A needed = scalable business model

Investor-Oriented

Significant insider buying, e.g. CEOs Feb 2012 conversion of $1M debt to stock at $1.83 per share

Engaged outside IR firm

Upgrading listing platform a current objective


12/18-12-

Video Technology Overview

Automated Video System

Quad Video SystemVideo Halo Unit (patent pending)Forensic RecordingSecure Video


13/18-13-

Quad Video System


14/18-14-

Functions/Advantages

Procedure Cams--the most advanced in world

Hence evidential clarity andtransparency maximized

Forensics--widely favored by government

entities

Case Support--crucial in litigation


15/18

-15-

This Video Has

Been Tampered

With

Tamper Proof!

Admissibleand

compellingin court


16/18

-16-

*Note: Settlements are based on outside variables that DIS cannot control .

We commit to documenting and managing cases to the best of our ability.

Big Value-Added

All parties get clear video of operatingnotes, often not otherwise accessiblefor claim review

Settlement value and speed optimized to

reach the fair resolution

More cases settle without going to court

Enhances SPINs existing business andopens up new related opportunities


17/18

-17-

PRIMARY INVESTOR CONTACT

Grannus Financial Advisors, Inc.(212) 681-4108

Yvonne Zappulla

[email protected]


18/18

-18-

Thank You

Dont hesitate to call or drop us an email with any questions you may stillhave.

If you are in Houston, give us a call and come by for a visit. We are

~ hour from either airport

Our address is: 5225 Katy Fwy # 600Houston, TX 77007-2211

http://www.spinepaininc.com

spin 060112 presentation

Documents