X0306 4 2013-03-14 0 0000944765 MERGE HEALTHCARE INC MRGE 0001565594 MERRICK VENTURE MANAGEMENT HOLDINGS, LLC 350 NORTH ORLEANS STREET, 10TH FLOOR CHICAGO IL 60654 1 0 1 0 0001557978 Merrick Venture Management, LLC 350 NORTH ORLEANS STREET 10TH FLOOR CHICAGO IL 60654 0 0 1 0 0001163431 FERRO MICHAEL W JR 350 NORTH ORLEANS STREET, 10TH FLOOR CHICAGO IL 60654 1 0 1 0 Common Stock 2013-03-18 4 D 0 1716609 2.7899 D 22105857 D Common Stock 2013-03-18 4 D 0 189566 2.7899 D 0 D Common Stock 2013-03-18 4 D 0 0 0 D 27631298 I See footnote Put option (right to sell) 2.7899 2013-03-14 4 P 0 1 0 A 2013-03-14 2013-03-29 Common stock 1906175 1 D Put option (right to sell) 2.7899 2013-03-18 4 C 0 1 0 D 2013-03-14 2013-03-29 Common stock 1906175 0 D Merrick Venture Management Holdings, LLC ("Holdings") disposed of the common stock disclosed herein in connection with the exercise of the derivative securities owned by its affiliate, Merrick Venture Management, LLC ("MVM") and disclosed on Table II of this Form 4, in settlement of a debt of MVM as described in footnote 5 below. MVM disposed of the common stock disclosed herein in connection with the exercise of the derivative securities owned by it and disclosed on Table II of this Form 4. As described in footnote 4 below, Mr. Ferro may be deemed to have beneficially owned the securities disposed of by Holdings and MVM in the transaction described above. Mr. Ferro may be deemed to beneficially own the securities disposed of by Holdings and MVM disclosed in this Form 4. Mr. Ferro is the Managing Member of Holdings, and he and trusts for the benefit of his family members own all of the equity interests in Holdings. As a result of the foregoing, Mr. Ferro indirectly controlled the securities disclosed herein that were owned by Holdings. Mr. Ferro disclaims beneficial ownership of these securities except to the extent of his pecuniary interest therein. In addition, Mr. Ferro is the Chief Executive Officer and Managing Member of MVM, and he and trusts for the benefit of his family members own all of the equity interests in MVM. As a result of the foregoing, Mr. Ferro indirectly controls the securities disclosed herein that were owned by MVM. Mr. Ferro disclaims beneficial ownership of the securities owned by MVM and disclosed herein except to the extent of his pecuniary interest therein. Includes 4,925,441 shares of Merge common stock owned by Merrick Ventures, LLC. Mr. Ferro disclaims beneficial ownership of these shares except to the extent of his pecuniary interest therein. Includes 600,000 options to purchase Merge common stock currently exercisable or exercisable within sixty (60) days of the date hereof. MVM obtained the right to deliver shares of common stock in settlement of the outstanding balance of a promissory note entered into by MVM in exchange for securities of a private company and the delivery of shares of common stock in settlement thereof. Directly owned by MVM and indirectly owned by Mr. Ferro. For an explanation of Mr. Ferro's indirect ownership of the derivative securities described herein, see footnote 4 above. /s/ Michael W. Ferro, Jr. for MERRICK VENTURE MANAGEMENT HOLDINGS, LLC 2013-03-18 /s/ Michael W. Ferro, Jr. for MERRICK VENTURE MANAGEMENT, LLC 2013-03-18 /s/ Michael W. Ferro, Jr. 2013-03-18