MLTO Medirect Latino Inc (CE)

MEDirect Latino Inc. (OTC:MLTO) - http://www.medirectlatino.org - today announced the Company has expanded its reimbursement services to include beneficiaries of several leading HMO and PPO health plans. These agreements provide Hispanic branded diabetic diagnostic testing supplies and services to Medicare eligible beneficiaries of these plans. The expansion of distribution services for customers insured by HMO and PPO insurers opens new revenue channels for MEDirect Latino and allows for continued growth and expanded services under the Medicare Prescription Drug, Improvement, and Modernization Act of 2003 (MMA). MEDirect Latino projects increased gross revenues in this fiscal year ending June 30, 2006, of $975,000, through this expansion of reimbursement services to Health Maintenance Organizations (HMO) and Preferred Provider Organizations (PPO) networks. The Company currently has 47 reimbursement agreements in place with leading managed care networks such as Humana, Keystone Health, Pennsylvania, Horizon, New Jersey, Neighborhood Healthcare, Miami, Triple S, Puerto Rico, Health First and United Healthcare, New York. The Company estimates these agreements will increase its client base by 7% during the remainder of this fiscal year, with such penetration increasing to 14.8% customers in its fiscal year ending June 30, 2006. Ongoing, MEDirect Latino will continue to aggressively pursue reimbursement agreements with leading managed care providers throughout the United States. "The expansion of services to managed care networks further enhances the mission of the Company in fulfilling the critical link between the Hispanic Medicare eligible beneficiaries and their healthcare needs," stated MEDirect Latino Inc., President, Ms. Debra L. Towsley. "By expanding our reimbursement model to managed care beneficiaries, MEDirect has immediately grown our potential customer base and added additional revenue streams. This is vital for our customers and important to our shareholders." Commenting further, Ms. Towsley stated, "The Company is committed to the development of non-traditional revenue streams, which are outside of the typical DME (Durable Medical Equipment) business model. We will continue to add complimentary products and services which support our rapid growth having shown recent results that include a 422% increase in gross revenues over our previous quarter." The management of the Company discussed recent financial results, its national launch and other key operating issues on Wednesday, August 10, 2005, during a recent conference call. -0- *T Interested parties may hear a replay of the conference call by telephone. Call 1-800-977-8002 in the United States or Canada or; Call 1-404-920-6650 in the Atlanta Area or Internationally Pin Code: Press the star key then 078975 *T Additional Company information may be obtained by reviewing a detailed analytical profile generated by small cap analyst, Mr. Gerald Kieft, President of Wall Street Resources, Inc. The 27-page report includes detailed information on the Company's business model, products, industry, valuation, management, and risks. The free report is available at: http://www.wallstreetresources.net/pdf/fc/MLTO.pdf About MEDirect Latino: MEDirect Latino (OTC:MLTO) - http://www.medirectlatino.org - is a rapidly growing, uniquely positioned provider of direct-to-consumer Medicare reimbursed medical products focused exclusively on chronic diseases afflicting the Hispanic community in the United States and Puerto Rico. MEDirect is the only company positioned to serve the U.S. Hispanic healthcare market as a direct-to-consumer Medicare provider on an authentically national level. The Company's current focus is the distribution of products for the treatment of Type II diabetes specifically because of its disproportionate impact and increasing diagnosis rate within the US Hispanic population, noting an incidence of 120% higher than among non-Hispanic whites. Type II diabetes was also targeted because of its unique status within the Medicare reimbursement regime and because of its high degree of correlation to other chronic conditions such as high blood pressure and heart disease. These other conditions represent considerable future market potential that will allow MEDirect to efficiently scale its model by leveraging its existing client base and infrastructure. The current Hispanic market for MEDirect's products is conservatively estimated at approximately $650MM in the continental United States. The size of the opportunity is understated by such figures as an estimated 925,000 of the over 3.1 million Hispanics in the United States over 65 eligible to receive Medicare benefits are currently collecting these benefits with an estimate that over 1.4 million of those Medicare-eligible Hispanics have diabetes (implying a potential continental U.S. market for MEDirect products of approximately $1 billion). Forward-Looking Statements: Statements about the Company's future expectations, including future revenues and earnings, and all other statements in this press release other than historical facts are "forward-looking statements" within the meaning of section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as the term is defined in the Private Litigation Reform Act of 1995. The Company's actual results could differ materially from expected results. The Company undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances. Should events occur which materially affect any comments made within this press release, the Company will appropriately inform the public.