-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, WotPSFRJ3BN9z3jvqWCcgCvqaVbblmY/TevuROMKc4dtXp/o+rFJVN1rUiivtQzn n8OKkQF5/MkH6CNQihFERQ== 0001169232-07-000560.txt : 20070209 0001169232-07-000560.hdr.sgml : 20070209 20070209122511 ACCESSION NUMBER: 0001169232-07-000560 CONFORMED SUBMISSION TYPE: SC 13G/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20070209 DATE AS OF CHANGE: 20070209 GROUP MEMBERS: BARRY KUROKAWA GROUP MEMBERS: DAVID B. MUSKET GROUP MEMBERS: PROMED ASSET MANAGEMENT, L.L.C. GROUP MEMBERS: PROMED OFFSHORE FUND II, LTD. GROUP MEMBERS: PROMED OFFSHORE FUND, LTD. GROUP MEMBERS: PROMED PARTNERS II, L.P. GROUP MEMBERS: PROMED PARTNERS, L.P. FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: PROMED MANAGEMENT INC CENTRAL INDEX KEY: 0001101088 IRS NUMBER: 043306892 STATE OF INCORPORATION: MA FILING VALUES: FORM TYPE: SC 13G/A BUSINESS ADDRESS: STREET 1: C/O MUSKET RESEARCH ASSOCIATES INC STREET 2: 125 CAMBRIDGEPARK DRIVE CITY: CAMBRIDGE STATE: MA ZIP: 02140 FORMER COMPANY: FORMER CONFORMED NAME: PROMED MANAGEMENT L L C DATE OF NAME CHANGE: 19991215 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: DIOMED HOLDINGS INC CENTRAL INDEX KEY: 0001074874 STANDARD INDUSTRIAL CLASSIFICATION: SURGICAL & MEDICAL INSTRUMENTS & APPARATUS [3841] IRS NUMBER: 841480636 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13G/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-78121 FILM NUMBER: 07596537 BUSINESS ADDRESS: STREET 1: 1 DUNDEE PARK CITY: ANDOVER STATE: MA ZIP: 01810 BUSINESS PHONE: 978-475-7771 FORMER COMPANY: FORMER CONFORMED NAME: NATEXCO CORP DATE OF NAME CHANGE: 20001128 SC 13G/A 1 d70707_sc13ga.txt AMENDMENT TO STATEMENT OF BENEFICIAL OWNERSHIP SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 SCHEDULE 13G (Rule 13d-102) INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO RULES 13d-1(b)(c), AND (d) AND AMENDMENTS THERETO FILED PURSUANT TO RULE 13d-2(b) (Amendment No. 1)(1) Diomed Holdings Inc. - -------------------------------------------------------------------------------- (Name of Issuer) Common Stock - -------------------------------------------------------------------------------- (Title of Class of Securities) 25454R207 - -------------------------------------------------------------------------------- (CUSIP Number) 12/31/2006 - -------------------------------------------------------------------------------- (Date of Event Which Requires Filing of this Statement) Check the appropriate box to designate the rule pursuant to which this Schedule is filed: |_| Rule 13d-1(b) |X| Rule 13d-1(c) |_| Rule 13d-1(d) - ---------- (1) The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter the disclosures provided in a prior cover page. The information required in the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes). CUSIP No. 25454R207 13G Page 2 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) ProMed Partners, L.P. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION Delaware - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 226,978 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 226,978 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 226,978 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 1.09% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* PN - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 3 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) ProMed Partners II, L.P. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION Delaware - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 13,236 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 13,236 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 13,236 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 .06% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* PN - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 4 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) ProMed Offshore Fund, Ltd. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION British Virgin Islands - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 69,780 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 69,780 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 69,780 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 .33% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* CO - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 5 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) ProMed Offshore Fund II, Ltd. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION British Virgin Islands - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 1,585,534 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 1,585,534 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,585,534 - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 7.61% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* CO - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 6 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) ProMed Management, Inc. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION Massachusetts - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 1,655,314 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 1,655,314 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,655,314 (Reporting person disclaims beneficial ownership of shares held by ProMed Offshore Fund, Ltd. which represent the interests of the shareholders of ProMed Offshore Fund, Ltd.) - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 7.94% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IA - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 7 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) ProMed Asset Management, L.L.C. - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION Massachusetts - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 240,214 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 240,214 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 240,214 (Reporting person disclaims beneficial ownership of shares held by ProMed Partners, L.P. and ProMed Partners II, L.P. which represent the interests of other partners of these entities.) - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 1.15% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IA - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 8 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) Barry Kurokawa - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION Massachusetts - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 111,166 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY 1,895,528 ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 111,166 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH 1,895,528 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 2,006,694 (Reporting person disclaims beneficial ownership of shares held by ProMed Partners, L.P. and ProMed Partners II, L.P. which represent the interests of other partners of these entities.) - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 9.62% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IA - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 9 of 14 Pages - -------------------------------------------------------------------------------- 1. NAME OF REPORTING PERSONS I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS (ENTITIES ONLY) David B. Musket - -------------------------------------------------------------------------------- 2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) |X| (b) |_| - -------------------------------------------------------------------------------- 3. SEC USE ONLY - -------------------------------------------------------------------------------- 4. CITIZENSHIP OR PLACE OF ORGANIZATION Massachusetts - -------------------------------------------------------------------------------- NUMBER OF 5. SOLE VOTING POWER SHARES 76,042 ----------------------------------------------------------------- BENEFICIALLY 6. SHARED VOTING POWER OWNED BY 1,895,528 ----------------------------------------------------------------- EACH 7. SOLE DISPOSITIVE POWER REPORTING 76,042 ----------------------------------------------------------------- PERSON 8. SHARED DISPOSITIVE POWER WITH 1,895,528 - -------------------------------------------------------------------------------- 9. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,971,570 (Reporting person disclaims beneficial ownership of shares held by ProMed Partners, L.P. and ProMed Partners II, L.P. which represent the interests of other partners of these entities.) - -------------------------------------------------------------------------------- 10. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* |_| - -------------------------------------------------------------------------------- 11. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9 9.45% - -------------------------------------------------------------------------------- 12. TYPE OF REPORTING PERSON* IA - -------------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! CUSIP No. 25454R207 13G Page 10 of 14 Pages Item 1(a). Name of Issuer: Diomed Holdings Inc. - -------------------------------------------------------------------------------- Item 1(b). Address of Issuer's Principal Executive Offices: 1 Dundee Park, Andover, MA 01810 - -------------------------------------------------------------------------------- Item 2(a). Name of Person Filing: ProMed Partners, L.P., ProMed Partners II, L.P., ProMed Offshore Fund, Ltd., ProMed Offshore Fund II, Ltd., ProMed Management, Inc., ProMed Asset Management, L.L.C., Barry Kurokawa and David B. Musket - -------------------------------------------------------------------------------- Item 2(b). Address of Principal Business Office, or if None, Residence: 125 Cambridgepark Drive, Cambridge, MA 02140 - -------------------------------------------------------------------------------- Item 2(c). Citizenship: See pages 2,3,4,5 and 6 - -------------------------------------------------------------------------------- Item 2(d). Title of Class of Securities: Common Stock - -------------------------------------------------------------------------------- Item 2(e). CUSIP Number: 25454R207 - -------------------------------------------------------------------------------- Item 3. If This Statement is Filed Pursuant to Rule 13d-1(b), or 13d-2(b) or (c), Check Whether the Person Filing is a: (a) |_| Broker or dealer registered under Section 15 of the Exchange Act. (b) |_| Bank as defined in Section 3(a)(6) of the Exchange Act. (c) |_| Insurance company as defined in Section 3(a)(19) of the Exchange Act. (d) |_| Investment company registered under Section 8 of the Investment Company Act. (e) |_| An investment adviser in accordance with Rule 13d-1(b)(1)(ii)(E); (f) |_| An employee benefit plan or endowment fund in accordance with Rule 13d-1(b)(1)(ii)(F); (g) |_| A parent holding company or control person in accordance with Rule 13d-1(b)(1)(ii)(G); (h) |_| A savings association as defined in Section 3(b) of the Federal Deposit Insurance Act; (i) |_| A church plan that is excluded from the definition of an investment company under Section 3(c)(14) of the Investment Company Act; (j) |_| Group, in accordance with Rule 13d-1(b)(1)(ii)(J). If this statement is filed pursuant to Rule 13d-1(c), check this box |X| Page 11 of 14 Page Item 4. Ownership. Provide the following information regarding the aggregate number and percentage of the class of securities of the issuer identified in Item 1. (a) Amount beneficially owned: See pages 2,3,4,5 and 6 (b) Percent of class: See pages 2,3,4,5 and 6 (c) Number of shares as to which such person has: (i) Sole power to vote or to direct the vote See pages 2,3,4,5 and 6 (ii) Shared power to vote or to direct the vote See pages 2,3,4,5 and 6 (iii) Sole power to dispose or to direct the disposition of See pages 2,3,4,5 and 6 (iv) Shared power to dispose or to direct the disposition of See pages 2,3,4,5 and 6 - -------------------------------------------------------------------------------- Item 5. Ownership of Five Percent or Less of a Class. Not Applicable - -------------------------------------------------------------------------------- Item 6. Ownership of More Than Five Percent on Behalf of Another Person. Not Applicable - -------------------------------------------------------------------------------- Item 7. Identification and Classification of the Subsidiary Which Acquired the Security Being Reported on by the Parent Holding Company. Not Applicable - -------------------------------------------------------------------------------- Item 8. Identification and Classification of Members of the Group. See "Exhibit A" attached hereto and pages 2, 3, 4, 5 and 6 - -------------------------------------------------------------------------------- Item 9. Notice of Dissolution of Group. Not Applicable - -------------------------------------------------------------------------------- Item 10. Certifications. (a) The following certification shall be included if the statement is filed pursuant to Rule 13d-1(b): "By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were acquired and are held in the ordinary course of business and were not acquired and not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having such purpose or effect." (b) The following certification shall be included if the statement is filed pursuant to Rule 13d-1(c): "By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having such purpose or effect." Page 12 of 14 Pages SIGNATURE After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. 2.9.2007 ---------------------------------------- (Date) /s/ David B. Musket ---------------------------------------- (Signature) David B. Musket, President of Managing Member of the General Partner ---------------------------------------- (Name/Title) Note. Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See Rule 13d-7(b) for other parties for whom copies are to be sent. Attention. Intentional misstatements or omissions of fact constitute federal criminal violations (see 18 U.S.C. 1001). Schedule 13 G Page 13 of 14 CUSIP No. 25454R207 Index to Exhibits Exhibit Page No. - ------- -------- Exhibit A -- Joint Filing Agreement, dated February 9, 2007 11 Schedule 13G Page 14 of 14 Cusip No: 25454R207 EXHIBIT A JOINT FILING AGREEMENT ProMed Partners, L.P., ProMed Partners II, L.P., ProMed Offshore Fund, Ltd., ProMed Offshore Fund II, ProMed Management, Inc., ProMed Asset Management, LLC, Barry Kurokawa and David B. Musket each hereby agrees that the Schedule 13G to which this Exhibit is attached relating to the Shares of Common Stock of Diomed Holdings, Inc. is filed jointly on behalf of each such person. Dated: February 9, 2007 PROMED PARTNERS, L.P. By: ProMed Asset Management, LLC its General Partner By: DBM Corporate Consulting Group, Ltd, a Managing Member By: ________________________________ David B. Musket President PROMED PARTNERS, II, L.P. By: ProMed Asset Management, LLC its General Partner By: DBM Corporate Consulting Group, Ltd. a Managing Member By: ________________________________ David B. Musket President PROMED OFFSHORE FUND, LTD. By: ________________________________ David B. Musket Director PROMED OFFHORE FUND II, LTD. By: ________________________________ David B. Musket Director PROMED MANAGEMENT, INC. By: ________________________________ David B. Musket President PROMED ASSET MANAGEMENT, LLC By: DBM Corporate Consulting Group, Ltd. A Managing Member By: ______________________________ David B. Musket President Barry Kurokawa By: _______________________________ Barry Kurokawa David B. Musket By: _______________________________ David B. Musket ProMed Partners, L.P. is the record owner of 63.3043 shares of the Issuer's Preferred Stock and 88,704 warrants to purchase common stock. ProMed Partners II, L.P. is the record owner of 2.3913 shares of the Issuer's Preferred Stock, and 18,176 warrants to purchase common stock. ProMed Offshore Fund, Ltd. is the record holder of 27,656 shares of the Issuer's Common Stock, 9.2174 shares of the Issuer's Preferred Stock, and 14,117 warrants to purchase common stock. ProMed Offshore Fund II, Ltd. is the record holder of 585,583 shares of the Issuer's Common Stock, 224.5652 shares of the Issuer's Preferred Stock, and 348,414 warrants to purchase common stock. Barry Kurokawa owns 70,000 shares of the Issuer's Common Stock and 60,900 warrants to purchase common stock. David B. Musket owns 12 shares of the Issuer's Preferred Stock and 121,800 warrants to purchase common stock. Subject to the Conversion Restrictions (defined below), as of the date hereof, each share of the Preferred Stock is convertible into 10,000 shares of the Issuer's Common Stock and each warrant is exercisable into 1 share of the Issuer's Common Stock. The conversion of the Issuer's Preferred Stock and the exercise of the warrants are subject to restrictions (the "Ownership Limitations") that prohibit conversion or exercise to the extent that the number of shares of the Issuer's Common Stock beneficially owned by ProMed Partners, L.P., ProMed Partners II, L.P., ProMed Offshore Fund, Ltd., ProMed Offshore Fund II, Ltd. (collectively, "the Funds") and their affiliates and other persons whose beneficial ownership is aggregated with them would exceed 9.99% of the total number of issued and outstanding shares of the Issuer's Common Stock, including for such purpose the shares of Common Stock issuable upon such conversion and/or exercise. Based on 19,448,728 shares of Common Stock of the Issuer outstanding as of November 13, 2006 as indicated in the Issuer's Quarterly Report on Form 10-QSB for the quarterly period ended September 30, 2006, the Reporting Persons have the right to acquire up to an additional 1,399,499 shares of the Issuer's Common Stock through the exercise of the warrants and/or the conversion of Issuer's Preferred Stock. ProMed Management, Inc., as the investment manager of the Funds and Barry Kurokawa and David B. Musket as managing members of ProMed Management, Inc. may be deemed to beneficially own the Securities owned by the Funds in that they may be deemed to have the power to direct the voting or disposition of the Securities. Neither the filing of this Schedule 13G nor any of its contents shall be deemed to constitute an admission that either ProMed Management, Inc., Barry Kurokawa, or David B. Musket is, for any purpose, the beneficial owner of any such Securities to which this Schedule relates, and ProMed Management, Inc., Barry Kurokawa and David B. Musket disclaim beneficial ownership as to the Securities, except to the extent of their respective pecuniary interests therein. Under the definition of "beneficial ownership" in Rule 13d-3 under the Securities Exchange Act of 1934, it is also possible that the individual general partners, directors, executive officers, and members of the foregoing entities might be deemed the "beneficial owners" of some or all of the securities to which this Schedule relates in that they might be deemed to share the power to direct the voting or disposition of such securities. Neither the filing of this Schedule nor any of its contents shall be deemed to constitute an admission that any of such individuals is, for any purpose, the beneficial owner of any of the securities to which this Schedule relates, and such beneficial ownership is expressly disclaimed. -----END PRIVACY-ENHANCED MESSAGE-----