2009-02-23 Ortivus Year-end report Jan - Dec 2008

STRONG POSITION ON A WEAK MARKET
• Net turnover for the quarter amounted to MSEK 23.6 (27.4) and for the year to MSEK 83.1 (101.9).
• Operating loss for the quarter excluding one-off write-down and restructuring costs amounted to MSEK -12.9 (-8.2) and including the one-off items to MSEK -24.6 (-26.9).
Operating loss for the year excluding one-off write-down and restructuring costs was MSEK -31.3 (-25.6), and, adjusted for exchange rate effects in North America, MSEK -26.6 (-28.4).
Operating loss including the one-off items amounted to MSEK -41.9 (-50.7).
• Cash flow during the quarter was MSEK -3.2 (-5.8) and the equity ratio for the year was 59% (64%).
• Loss per share for the quarter was SEK -1.11 (-1.74) and for the year to SEK -2.11 (-2.90).
• The first order for MobiMed on commercial terms in Germany was received during the fourth quarter and continued strong growth was shown in the North American operation.

SIGNIFICANT EVENTS AFTER THE END OF THE REPORTING PERIOD
• Renegotiation and extension of the company’s previously raised syndicate loans have taken place.

MD’s REPORT
Continued strong sales growth in USA despite austere economy

Considerable measures have been introduced to turn around Ortivus' negative profit growth.

Business has been affected by slower decision-making processes in the austere economic situation, but we have found continued great interest in Ortivus' solutions. We are seeing continued strivings to ensure safer and more effective care of heart attack patients in particular during the acute stage. In general, we are noting increased interest from many countries in improving the nursing outcome, patient safety and cost effectiveness, which are facilitated by Ortivus' products and solutions.

The underlying North American operation generates continued positive profit and cash flow, despite the austere economy. We are pleased to report that net turnover in USA has increased by just over 7% compared to last year.

One step in the work of turning around the financial development of Ortivus was the introduction of a programme to reduce costs during the fourth quarter.
A strategy focusing on Ortivus’ areas of strength was started in 2008, with the sale of the German company Medos, which provides solutions for radiology information systems. An initiative to develop and introduce new business models has started. The first step is to introduce software assurance, where the customer enters into a contract for continuous updates of the software. Reactions from the market have been positive.

The internal efficiency work is continuing, now with intensive focus on completing a number of business deals on a couple of priority markets.

We are seeing continued great interest on the Nordic market, and in particular the Swedish market, to increase efficiency and improve healthcare through ensuring Prehospital eHealth. This entails, among other things, high quality care already during ambulance transport. This assumes immediate and continuous contact between ambulances and clinical experts, which Ortivus' solutions facilitate. This provides a basis for decisions to transport patients to the relevant care or therapy location. It also leads to better care outcomes,
safer care for the patient and in total also to lower care costs.

The striving of healthcare towards increased regionalization and centralization of specialist competence is increasingly demanding that patients get access to specialist competence already during transport.

Two thirds of Swedish ambulances are today equipped with Ortivus’ solution MobiMed. CoroNet, with its unique telemetry solution for heart patients, is represented at the majority of leading university hospitals in Sweden.

We are seeing increased activities in many countries to introduce national IT solutions to support healthcare, among them the UK and Sweden. Coordinated records handling is another area where Ortivus is far ahead in development and is well positioned with its products. During the period, a Letter of Intent has been entered into with Excense, a software handling company, which supports Ortivus' solution for records handling and decision support for heart patients in accordance with the national guidelines.

As previously communicated, on the British IT market, the considerable national initiative for coordinated IT handling within healthcare has been delayed. Ortivus is continuing its marketing efforts and our activities in the UK have increased. On the German market, Ortivus has received its first commercial MobiMed order, which is an important break into a large market. The North American operation generates continued positive profit and cash flow, despite the austere economy. During the year, we have completed a large development project, outside the company’s core area, which has led to considerable write-down. We have completed an MD change, and now have an internally recruited MD with many years of experience of Emergency Medical Services and our customers. We are now focusing on further developing our services within this area.

In these unsettled times, it is a strength to have such a stable circle of owners, which has also be confirmed by the renegotiated syndicate loan.

We are seeing continued strong interest in Ortivus’ offering, but procurement processes are lengthy. Despite the demanding market situation, I look on the future with confidence. Ortivus has a well-positioned and unique offering to customers throughout the world, with great growth potential, and now our aim is to achieve a positive cash flow during the fourth quarter of 2009.

Jan B Andersson
MD

23 February 2009