Health Engineering Group

4Healing Relevant Background/Status

Relevant Background ? The founders of 4HEALING founded 1-800-DOCTORS in 1982 which provided consumers the only source of in-depth relevant information on mainstream physicians. Trained counselors, or ?concierges? helped patients access optimal practitioners by matching technical need with technical expertise, treatment style, and other criteria. Moreover, the Company collected feedback from every patient and every practitioner resulting in a dynamic real-time database. Significantly, the Company?s proprietary processes succeeded in getting physician compliance with data input and feedback. Other companies (i.e. Healtheon, Dr.Koop, etc.) failed to get sufficient physician acceptance of their technology. The Company became the largest physician information service in the nation processing 1.2 million patient requests annually, and was sold to a consortium led by Morgan Stanley. The company was divided and sold in parts in 1997.

Current Status ? 4HEALING has assembled the largest and best network of physicians and CAM providers in the Denver-Boulder area (500+ practitioners) including virtually all of the leadership in the major modalities. 4HEALING is fully operational. Initial sales are coming from self-insured companies and individuals. Outcomes feedback has demonstrated substantial cost savings and significantly better outcomes for members. The wholesale channel is in place. Virtually all the national benefits management firms (Mercer, Gallagher, Watson Wyatt, Aon, Mellon, etc.) have agreed to represent 4HEALING to their clients. $1.9 million has been invested to date by founders and angels.