Sound Health Solutions Inc. (SHSO) News

CARLSBAD, Calif., Nov. 14 /PRNewswire-FirstCall/ -- iVOW, Inc. (Nasdaq: IVOW), a provider of disease management services for the treatment of chronic and morbid obesity, today reported financial results for the third quarter ended September 30, 2005.

For the quarter ended September 30, 2005, the Company reported a net loss of $504,000, or $(0.13) per basic and diluted share, on revenues of $320,000, versus a net loss of $837,000, or $(0.80) per basic and diluted share, on revenues of $375,000, for the corresponding quarter of 2004. The $333,000 lower net loss for the quarter ended September 30, 2005 was the result of cost reduction efforts in product development, sales and marketing and general and administrative costs.

For the nine months ended September 30, 2005, iVOW reported a net loss of $1,947,000, or $(1.27) per share on revenues of $812,000, compared with a net loss of $2,535,000, or $(3.47) per share on revenues of $1,277,000 for the same period of 2004. Included in the reported net loss for the three and nine months ended September 30, 2005 was a gain from discontinued operations of $75,000, or $0.04 per basic and diluted share, and $208,000, or $0.15 per basic and diluted share, respectively, compared to a loss from discontinued operations of $0.00 per basic and diluted share, and $633,000, or $(0.79) per basic and diluted share, respectively, for the same periods in 2004.

Dr. Michael Owens, President and CEO of iVOW, said, 'Our VOW center model continues to trend in a positive direction, as our revenues increased 26% over the previous quarter. This is attributable to increased contributions from our consulting products on top of the management fees from our iVOW Centers.

'Shortly after the quarter, we also took an important step in the evolution of iVOW with the acquisition of Sound Health Solutions. With this acquisition, we have added a highly respected medical treatment model to our bariatric surgical model, and better aligned our company with the emerging treatment approaches for obesity. We now have a more comprehensive service approach that will allow our long-term growth opportunities to be considerably less constrained by the reimbursement environment for bariatric surgery,' said Dr. Owens.

Conference Call and Webcast

iVOW will hold a conference call with simultaneous webcast on Monday, November 14th at 12:00 p.m. Eastern/9:00 a.m. Pacific. The conference call will feature Dr. Michael Owens, President and Chief Executive Officer, and Brad Hanson, Chief Financial Officer, in a discussion of third quarter results and events. Members of the public are invited to listen through the Investor Relations section of the Company's web site, www.iVOW.com. The dial-in number for the conference call is (800) 240-4186.

To be added to iVOW's investor e-mail or fax lists, contact Tony Rossi via e-mail at trossi@financialrelationsboard.com or via phone at 310-854-8317.

iVOW, inc.

Our business is focused exclusively on the disease state management of chronic and morbid obesity. We provide program management, operational consulting and clinical training services to physicians and hospitals involved in the medical and surgical treatment of morbidly obese patients. We also provide specialized vitamins to patients who have undergone obesity surgery. Our corporate website is www.ivow.com; information on our nutritional supplements for post-surgical gastric bypass patients may be found on www.vistavitamins.com. iVOW is the new corporate name of Vista Medical Technologies, Inc. iVOW is traded on the NASDAQ Capital Market under the stock symbol IVOW.

Forward Looking Statements

This news release may contain forward-looking statements concerning the business and products of IVOW, inc. Actual results may differ materially depending on a number of risk factors, including, but not limited to the following: the Company's ability to penetrate the market for obesity surgery management services; the impending decision by Medicare on coverage for bariatric surgery and the Company's ability to successfully integrate the business and operations of Sound Health Solutions, Inc. Other risks inherent in our business are described in the Company's Securities and Exchange Commission filings, including its Quarterly Report on Form 10-QSB for the nine-month period ended September 30, 2005. The Company undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.

    FOR FURTHER INFORMATION

    AT iVOW:                                AT FINANCIAL RELATIONS BOARD:

    Michael H. Owens, MD, MPH, FACPE, CPE   Tony Rossi
    President & CEO                         Media Contact
    mowens@ivow.com                         trossi@financialrelationsboard.com
    (760) 603-9120                          (310) 854-8317



                                  iVOW, Inc.
          Condensed Statements of Operations and Comprehensive Loss
                                 (Unaudited)

                            Three Months Ended         Nine Months Ended
                               September 30,             September 30,
                            2005        2004           2005         2004

    Revenues              $319,575    $374,777      $812,172     $1,277,492

    Costs and expenses:
      Cost of revenues     289,739     217,583       812,768        849,697
      Product development   11,750      96,376       112,153        275,341
      Sales and marketing  179,347     352,165       668,137        772,803
      General and
       administrative      431,747     506,197     1,398,003      1,246,086

    Total costs
     and expenses          912,583   1,172,321     2,991,061      3,143,927

    Loss from operations  (593,008)   (797,544)   (2,178,889)    (1,866,435)

    Other income
     (expense), net         13,559     (39,064)       23,770        (36,292)

    Loss from
     continuing
     operations           (579,449)   (836,608)   (2,155,119)    (1,902,727)

    Gain (loss) from
     discontinued
     operations             75,000          --       207,645       (632,516)

    Net loss              (504,449)   (836,608)   (1,947,474)    (2,535,243)

    Accretion of
     dividends on
     preferred stock       (31,933)    (32,865)      (67,170)      (103,057)
    Reversal of
     dividends
     previously
     accreted              306,512          --       306,512
    Deemed dividend
     on redemption
     of preferred
     stock                      --          --            --       (131,985)

    Net loss
     applicable to
     common
     stockholders        $(229,870)  $(869,473)  $(1,708,132)   $(2,770,285)

    Other comprehensive
     loss:
    Net loss              (504,449)         --    (1,947,474)            --
    Unrealized loss
     on available-
     for-sale
     securities                 --          --      (479,660)            --

    Total
     comprehensive
     loss                $(504,449)         --   $(2,427,134)            --



    Loss per
     share basic
     and diluted:
    Continuing
     operations            $(0.17)     $(0.80)        $(1.42)        $(2.68)
    Discontinued
     operations              0.04          --           0.15          (0.79)
    Net loss per common
     share applicable to
     common stockholders   $(0.13)      $(0.80)       $(1.27)        $(3.47)


    Shares used in
     computing basic
     and diluted loss
     per share           1,839,184   1,090,587     1,350,578        797,305




                    Selected Condensed Balance Sheet Data

                                            September 30,        December 31,
                                                2005                2004
                                             (Audited)

    Cash and cash equivalents                $2,200,273          $1,969,561
    Total current assets                      2,844,213           2,646,106
    Equipment, net                               21,638              31,743
    Total assets                              3,692,851           3,984,509
    Total current liabilities                   741,759             751,013
    Total stockholders' equity               $2,951,092          $3,222,980

SOURCE iVOW, inc.