Ann: ResApp receives FDA 510(k) clearance for SleepCheckRx, page-119

The nominal charge $7.99 will be a past very soon, same as Resapp DX, sleepcheckRX will require doctor code to use for its real value. There will be some work to transform the APP from an Analytic tool to Prescription only software. I remember TK said the charge will be $50-$100 per test. Due to the delay on FDA approval and travel ban, the sleep town campaign rolled out and was unfortunately immersed with dozens of other apps. But we are the only one close to overnight lab test Polysomnography, its time to wake up the market for money talk.

With more than 5% of Australian have sleep apnea, every year Medicare spent over $300m on the home sleep tests reimbursement @$293.90 each, cost patient $400 per test, less accurate but still cost effective compared with overnight lab test. Sleepcheck RX provides a similar solution, and is even cheaper than the patience out of pocket money. This will benefit Medicare, clinic, patients and physicians for saving time and cost, and shorten the time of diagnostics. Once officially rolled out, under current level of Pfizer T/O exposure, it will interest health department, many sleep clinics, insurance companies, Resmed, and the like. To estimate reservedly from AU at home sleep test market $50-100m per year, the first roll-out year income will reach 1m.

The US and global market is billion dollars level, requiring more sales and marketing resources. RAP's current telehealth partners, NHS pilot study, our EU and US team members, the US trial hospitals, organisations previously involved with ResappDX, ResappCC and Covid Screen trial, will be able to help liaising with potential partners. We have seen DX Android CE TGA come along right after the iphone approval, followed by partnership agreement with telehealth company. The same process will repeat at an accelerated speed, with a full hearted BOD. After Android FDA clearance, total annual oversea income should at least double the AU one. So the significance of this ANN is: sleepcheckRX should not be valued less than 50m MC herself, Pfizer must be scratching head right now, wondering what value IE will put on the paper.

BL once suggested Sleepcheck should be a separate company herself, I think it's time to think about it, when RAP has grown to have enough resource to run Sleepcheck, DX and Covid Screen tool separately(enough revenue to support), RAP can welcome any friendly T/O bid without being spooked for months. We are not a buy one get two for free company.