Chairman's Letter

July 23, 2007

 

As those who communicate with me regularly know, Med Gen is a “work in progress”. Something is always going on and progress in the most important areas that concern most Shareholders is always on the priority list. A while back I mentioned that we were particularly interested in increasing our revenue through acquisitions. We are meeting this month with an excellent candidate that could increase revenue and value without adding any significant debt. The affect of such an acquisition would be very positive to both our shares and our public visibility. As a matter of interest, the visibility issue is of paramount importance, being able to attract quality investors.

Our web site will start having a newer “cleaner” look as a result of input from professionals that we have hired to help us maximize this profit center. We have unfortunately lost Joanna Hyde, our Internet marketing guru, to her boyfriend’s relocation back to the UK. Melanie Knopf will replace her as Internet Guru and Manager. You can reach her at www.melanie@medgen.com  We are now hiring to add another person to that department. Internet business will continue to improve as a result of our new TV advertising programs and our affiliate programs.

As a result of the tremendous interest that we have received for the distribution of Snorenz® in the Pacific Rim, more particularly in Manila, Philippines, another study that will update our original study conducted at Atlanta’s Northwest Regional Hospital by Dr. S. Mickelson, FACS, entitled Throat Lubricating Spray (Snorenz®)vs Placebo in the treatment of snoring 2002, is being conducted. The Manila study, entitled Effects Of A Throat Lubricating Spray (Snorenz®)In The Treatment Of Snoring In Adults. The study is being conducted at the Manila Doctors Hospital by Drs. Maria Elaine L. Macabare and Virgillio R. DeGracia. The study dates are from September 2007 to September 2008. A successful outcome will place Snorenz® at the uncontested top of clinically proven snoring relief formulas now dominated with copies of our Snorenz® original formula and others with unproven or uncertifiable claims.  

Our Innersole (Footfridge™) program will start airing in about 2 weeks. We are pushing the W.A.L.L.L logo ( Walk A Little, Live Longer). This will be a National airing of the new commercial….My fingers are crossed on this one. Following this we will re-launch Snorenz® and Painenz® with two new commercials. The effort, in time and money, put into these three products should bring back very positive results. A big win with any of our products would give the company a tremendous amount of visibility. The goal has always been achieving the “big bang” for any of our products as that will be the “big bang” for Med Gen as well. Personally, I feel we are closer than ever…. I am, however, cautious about displaying to much enthusiasm. As those of you who know me well know, I am all about enthusiasm.

Our MGI Financial Services Division continues to grow, increasing our clients everyday by providing advice and know-how learned over years of experience. The exceptional services that we offer are winning new friends daily and exposing our company to a variety of new opportunities.

Lastly, I expect to reach or exceed our projected fiscal year end (September 31,2007) revenue of $1,900,000, and that is the best news of all. Total operating overhead/expenses are approximately $1,750,000.

Yours truly,

Paul B. Kravitz
Chairman/CEO