www.mrn manager.com www.connectyx.com

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• www.mrn manager.com - www.connectyx.com

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Healthcare and Technology Top Performers
Recession Proof

• Over the coming decade, with the aging of the
  population and changes in medical technology and
  utilization as the main contributing factors,
  national health expenditures are expected to
  double, growing an average rate of 7.2 percent
  per year.
• As a result, the health share of Gross Domestic
  Product (GDP), is expected to climb to 20 percent
  by 2015.
• Health care spending in the United States is
  projected to grow 7.3 percent in 2006 surpassing
  2-trillion, according to a report released by
  the Centers for Medicare and Medicaid Services
  (CMS). The report was prepared by the CMS Office
  of the Actuary and published on-line by the
  journal Health Affairs.

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Healthcare Market Overview

• Key Industry Metrics Paper Document
  Explosion
• 2.7 trillion estimated healthcare spending in
  2006
• Employers and consumers 55
• Government (Taxpayers) 45
• 15-17 of GDP annually
• 25 of the US Population will be 65 years or
  older by 2025
• Exploding claims and EOB processing demand
• More than 6 billion healthcare claims per year
• Average payment transaction costs
• Paper EOB - 16.25
• EDI Electronic Claims - 8.00

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Market Overview

• There are approximately
• 15,000 Active HME providers
• 800,000 Physicians
• 120,000 Home Health Agencies and Hospitals
• Approximately 75 of these groups will need a
  form of MRN Its Tools

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Denial Management Tops Priority List In
Healthcare

• Denial management is uppermost in everybodys
  mind, says Kim Newland, director of patient
  financial services for Lexington Clinic,
  Lexington, Ky., a multi-specialty clinic with 21
  branches in Kentucky
• Hospitals across the country lose multiple
  millions of dollars every year due to
  mismanagement of the billing process.
• One study by Americas Health Insurance Plans
  found that 14 percent of claims submitted to
  payers are denied and one out of every seven
  claims had to be resubmitted, appealed, or
  written off by providers.
• With profit margins squeezed so tightly in the
  healthcare industry, its hard not to think that
  any loss of revenue would not affect the bottom
  line, adds Dave Cavell, business office director
  of Chelsea Community Hospital, Chelsea, Mich.,
  which has 124 licensed beds and specializes in
  pain management.

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Financial Institutions are AcquiringRevenue
Cycle Companies

• September 13, 2006 - Bank of America buys
  HealthLogic Health Imaging
• Bank of America has acquired HealthLogic
  Systems, a health-IT vendor based out of
  Norcross, Ga., that focuses on services for
  revenue cycle management at hospitals and other
  medical facilities. Additional details of the
  deal have not as yet been disclosed.
  Additionally, HealthLogic Systems develops new
  technologies that help healthcare providers go
  paperless and move towards automated,
  HIPAA-compliant processing. There has been a
  recent push by financial institutions to invest
  or partner with health-IT companies, such as PNC
  Financial Services Group based out of Pittsburgh
  earlier this year buying Healthcare
  Administration Technologies, and large banks such
  as Wachovia starting to offer healthcare payment
  processing and other related services.
• NEW YORK, January 18, 2007 JPMorgan Chase
  Co. (NYSE JPM), Acquired Fisacure
• JPMorgan a full-service provider of cash
  management, trade finance, and treasury
  solutions, today announced it has acquired all of
  the assets of FisaCure, Inc., the leading
  provider of electronic remittance services for
  Healthcare Insurance Portability and
  Accountability Act of 1996 (HIPAA) compliant
  transaction sets. The acquired FisaCure
  technology will become part of the Healthcare
  Solutions business of JPMorgan Chase's Treasury
  Services unit.
• FisaCure's data-driven applications help
  healthcare providers eliminate manual processing
  through a proprietary technology that captures
  and maps data from paper and electronic sources.
  The acquisition will further provide JPMorgan
  Chase's healthcare industry clients with services
  that meet the sector's need for increased
  efficiency through automation and imaging. With
  the acquisition of FisaCure's applications,
  JPMorgan Chase's solutions will also facilitate
  the seamless management of payables and
  receivables for insurers, physicians, hospitals
  and other healthcare providers.

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The Situation

• Accelerating the claim to cash process remains at
  the top of the Healthcare industrys agenda
• Reduce Days Sales Outstanding (DSO)
• Simplify the re-bill process
• Make Staff more efficient
• Reduce exceptions handling time and cost
• Improve customer responsiveness
• Squeeze losses out of the system
• Manage Documents
• MRN MANAGER PROVIDES ALL OF THESE SERVICES

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MRN Manager - Delivers

• is a Software Suite and
  Internet Portal that delivers 100 Denial -
  Revenue Cycle Management.
• The results are accelerated cash collections and
  reduced labor cost for the health care
  organization.

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Connectyx Products

• MRN Manager Claims Denial System
• MRNTools Web Based Reporting Center
• docSTAR Web Based Document Management
• EOBStream Scans Paper Remitances into ERN Files
• MRN Consulting and Billing Services
• Accounts Recievable Funding

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MRN Sample Reports
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Customer Testimonials

• Keith Trowbridge, Former President of Liberty
  Medical Supply MRN Manager offers HME companies
  the ability to better understand why claims are
  being denied, thereby allowing both short- and
  long-term corrective actions to be taken, he
  said. By doing so, DSO drop and cash receipts
  are accelerated. Its a terrific and much-needed
  management utility for monitoring Medicare
  remittance.
• Michael Lustgarden, MD Stuart, Florida
• MRN Manager is just what I needed to track my
  coding trends, the visual reports are easy to
  read and get right to the point. It is a
  fantastic utility that has become an invaluable
  management tool for my practice that has saved me
  untoward amounts of time and money.

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Current and Future Markets

• MRN is currently being sold in the Home Medical
  Equipment Market HME.
• MRN Manager is licensed to Healthcare
  Distribution Centers as a value added service to
  enhance their existing product/service matrix.
• MRN has signed reseller agreements - alliances
  with existing medical software companies.
• MRN is has recently started selling to Physicians
  Billing Service Agencies.
• MRN is expanding into Hospital, and other
  provider - institution healthcare markets.

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MRN Growth Drivers

• Drivers of growth include
• Healthcare organizations need to collect their
  money quicker in order to maintain a better
  balance sheet, cash utilization and profitability
• Run an efficient business using good business
  practices.
• Reduces financial leverage requirements.
• Market is largely recession resistant

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CTC SUMMARY

• MRN results in Increased Cash and reduced DSO.
• MRN reduces financial leverage requirements and
  helps businesses run efficiently using good
  business practices.