Date: Mar 20, 2009 Source: Bloomberg (
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WELLINGTON, Fla., March 20 /PRNewswire-FirstCall/ -- The Quantum Group, Inc.
(NYSE Amex: QGP) (www.QuantumMD.com)hasreported that Quantum received notice
on March 17, 2009 from the NYSE Amex (formerly American Stock Exchange (the
"Exchange")) notifying the Company that it is not in compliance with Section
1003(a)(iv) of the Company Guide. Specifically, the Exchange staff noted that
the Company sustained losses which are so substantial in relation to its
overall operations or its existing financial sources that it appears
questionable, in the opinion of the Exchange, as to whether the Company will
be able to continue operations and/or meet its obligations as they mature.
Noel J. Guillama, Quantum President & CEO, commented on these developments,
"Quantum completed a public offering in the middle of an economic crisis on
December 13, 2007, and since that time economic conditions have continued to
deteriorate. Many companies have contracted, or literally gone out of business
since that time. Quantum has continued to perform as we reported year over
year revenue growth of 288% (Fiscal Year 2007 to Fiscal Year 2008), filed for
18 provisional patents, and recently deployed what we believe to be the most
comprehensive, patient-centric health information platform in the country -
PWeR(TM) (Personal Wellness electronic Record). We have not stopped looking
for additional capital resources, and have been engaged in active discussions
with current stakeholders to assist the Company in providing our plan to the
NYSE Amex. The focus of our plan will be three-fold: Successfully regain
compliance as an NYSE Amex listed company for the benefit of our stakeholders,
continue our efforts to enhance shareholder value by sustaining our
triple-digit growth rate, and continue our active participation in the
transformation of the healthcare industry. I remain optimistic by our
prospects and am confident that our team, including management, employees and
stakeholders, will double our efforts in the coming days to meet the
challenges."
The Company intends to submit a plan by April 16, 2009 outlining its
compliance strategy with the continued listing deficiency by September 17,
2009. If the Company's plan to regain compliance is accepted by the Exchange,
the Company may be able to continue its listing during this period, during
which time it will be subject to periodic review to determine progress
consistent with the plan. If the Company does not submit a plan or if the plan
is not accepted by the Exchange, the Company will be subject to delisting
procedures as set forth in the Exchange Company Guide. Under Company Guide
rules, the Company has the right to appeal the determination by the Exchange
staff to initiate delisting proceedings and to seek a hearing before an
Exchange Panel. The time and place of such a hearing will be determined by the
Panel. If the Panel does not grant the relief sought by the Company, its
securities could be delisted from the Exchange. There is no assurance that the
Exchange staff will accept the Company's plan of compliance or that, even if
such plan is accepted, the Company will be able to implement the plan within
the prescribed timeframe.
Effective within five days of the receipt of the above-referenced deficiency,
the Company's stock trading symbol will be ".BC" indicator denoting the
Company's current noncompliance. The indicator will remain in place until the
Company regains compliance with all applicable continued listing requirements.
Further, Quantum reported as per AMEX Company Guide Section 610(b), that its
financial statements for the fiscal year ended October 31, 2008 included in
the Company's Annual Report on Form 10-K, contained a going concern
qualification from its independent accounting firm, Dazskal Bolton LLP.
Additional information regarding the going concern qualification can be found
in the Company's 10-K filed with the Securities and Exchange Commission on
February 13, 2009.
About The Quantum Group, Inc.
The Quantum Group is an innovation-driven Healthcare Services Organization
(HSO) that provides business process solutions, service chain management,
strategic consulting and leading edge technology to the healthcare industry.
We have developed PWeR(TM), a cutting-edge, patent-pending healthcare
technology platform that we believe to be in line with President Obama's
agenda for healthcare reform. The Stimulus Package provides $19 billion for
the implementation of healthcare information technology to infuse
efficiencies, reduce costs and improve the quality of patient care. PWeR can
integrate all of the functions a physician/provider, hospital, clinic and
related professionals utilize in one patient-centric, web-based platform and
falls well within the economic incentives offered by the new law. We believe
we are positioned to be a catalyst for change as we take aim at the $700
billion inefficiency gap in the United States healthcare industry.
Certain statements contained in this news release, which are not based on
historical facts, are forward-looking statements as the term is defined in the
Private Securities Litigation Reform Act of 1995, and are subject to
substantial uncertainties and risks in part detailed in the respective
company's Securities and Exchange Commission 10-KSB, 10-QSB, S-8, SB-2, S-1
and 8-K filings (and amendments thereto) that may cause actual results to
materially differ from projections. Forward-looking statements can be
identified by the use of words such as "expects," "plans," "will," "may,"
"anticipates," "believes," "should," "intends," "estimates" "could" and other
words of similar meaning. These statements are subject to risks and
uncertainties that cannot be predicted or quantified and, consequently, actual
results may differ materially from those expressed or implied by these
forward-looking statements. Such risk factors include, without limitation, the
ability of the Company to properly execute its business model, to raise
substantial and immediate additional capital to implement its business model,
to continue revenue growth trend in fiscal year 2009, to control patient
medical cost relative to income received, to attract and retain executive,
management and operational personnel, to continue growing its patient base, to
negotiate favorable current debt and future capital raises, to negotiate
favorable agreements with a diversified provider base and to continue to
supply the services needed by its HMO clients as well as physician clients. We
have further risk in the deployment of our technology platform, the
utilization by our clients, technical and software setbacks, cost of
development, as well as the capital to deploy it. We are subject further to
interruptions of service. Company does not undertake any obligation to
publicly update any forward-looking statements. As a result, investors should
not place undue reliance on these forward-looking statements.
