Recent email from director

My name is Peter Lewis and I am one of the newly appointed directors at Capitol Health. Like you, the share price movements has been a significant concern to the management and Board of the company and we remained focussed on the business delivery within the confines of the health system. As detailed at the AGM of the company and available as a presentation on the ASX website, the current referral patterns have been disrupted and seem to be reacting to the government activities around the review of health system including the MBS review.


The actual share price movements seem to be reflective of the expectation that the government review will continually impact on the revenue line for the group. Our job at the company is to continue to provide best quality patient care at the lowest possible cost and this work remains on track.


One significant component of that approach has been the recently announced initiative of the introduction of machine learning into our operating environment hopefully next year through the investment in Enlitic Inc. and these details are also provided on the website.


We do not have any further information for market release at this time but you can be assured that we will release any material information as soon as the circumstances warrant a disclosure by the company.


To answer your specific questions:


1.We do not believe we overpaid for any assets but there is no doubt that with the government acting to suppress demand in the health system, this is impacting the earnings of the group.

2.The company has adequate liquidity capacity both through cash and undrawn facilities to fund both the Enlitic investment and normal operating requirements.

3.The purchase of additional equipment and practises are assessed on an individual business case basis rather than available cash. Our focus in the investment decision is on the return expected from an asset.

4.Future share price is very much a function of share market activities and we cannot predict outcome in this area.

5.The appointment of additional directors is in accordance with ASX corporate governance requirements.

6.The introduction of Enlitic technology is seen as part of the offering and not a substitute for other components of patient care – it is an aid in providing best care first time.


Thank you for your continuing support.


Regards …..





Peter Lewis