Dr. Essam Hamza reports

ROCKET DOCTOR SIGNS AGREEMENT WITH CALIFORNIA MANAGED CARE PLAN

Further to Treatment.com AI Inc.'s announcement that it has entered into a definitive share purchase agreement dated Feb. 12, 2025, to acquire Rocket Doctor Inc., the details of which are in Treatment.com's press release dated Feb. 12, 2025, Rocket Doctor has partnered with a California managed care plan serving approximately 450,000 Medicaid members, to provide tele-urgent care, specialty services and primary care.

Through this collaboration, Rocket Doctor's innovative virtual care platform will support the plan's extensive provider network of 14,000 clinicians and multiple hospitals, ensuring that patients can access high-quality medical care from the comfort of their homes.

Under this fee-for-service agreement, Rocket Doctor's physicians are now becoming fully credentialled, allowing them to accept patients from the plan and bill directly for reimbursement at negotiated rates. Services have already launched, with the first patients starting to receive care. As the partnership matures, and assuming only 10-per-cent utilization per year, Rocket Doctor expects upward of 45,000 visits per year, generating approximately $1.2-million (U.S.) per year of added annual recurring revenue (ARR). The associated estimated total billable value of services is $4.41-million (U.S.) (based on $98 (U.S.) per visit). The anticipated gross margin in Year 1 is $18 (U.S.) per visit. The term of the agreement is on a recurring 12-month basis commencing Jan. 1, 2025, with a 120-day mutual termination clause.

"This partnership represents a significant step forward in our mission to break down barriers to health care access for patients at greatest need across California," said Dr. Bill Cherniak, chief executive officer and founder of Rocket Doctor. "By bringing high-quality care to Medicaid beneficiaries through managed care plan partnerships in California, we're ensuring that patients can connect with physicians when and where they need them most, embedded deeply within the framework of the health care system."

The plan sees the collaboration as a critical expansion of care options for its members.

Rocket Doctor's virtual care model reduces unnecessary emergency department (ED) visits, reduces wait times and ensures timely specialist referrals. With services now live, eligible plan members can schedule virtual visits with board-certified physicians across a range of medical specialties.

Dr. Essam Hamza, chief executive officer of Treatment.com AI, added: "We would like to congratulate Bill and his team for all the hard work they have put into getting this significant deal across the finish line. I know that this was years in the making and it's great to see that they can now start recognizing the revenue from this expansion into California. We will be watching closely as they continue to deliver on further expansion plans within the state as well as other states and provinces."

Rocket Doctor is a technology-driven digital health platform and marketplace that is breaking down obstacles limiting access to high-quality, comprehensive and cost-effective health care. Its proprietary software equips doctors with plug-and-play tools to run successful independent practices in virtual and hybridized in-person/virtual models of care, enabling them to provide tailored care to patients in remote communities, particularly those in rural and northern communities across Canada and on Medicaid in the United States.

About Treatment.com AI Inc.

Treatment.com AI is a company utilizing AI (artificial intelligence) and best clinical practices to positively improve the health care sector and impact current inefficiencies and challenges. With the input of hundreds of health care professionals globally, Treatment.com AI has built a comprehensive, personalized health care AI engine -- the Global Library of Medicine (GLM). With more than 10,000 expert medical reviews, the GLM delivers tested clinical information and support to all health care professionals as well as providing recommended tests (physical and lab), imaging and billing codes. The GLM helps health care professionals (doctors, nurses or pharmacists) reduce their administrative burden; creates more time for needed face-to-face patient appointments; and enables greater consistency in quality of patient support. Treatment.com AI's GLM platform, through supporting health care professionals, allows for the inclusion of disenfranchised communities.

About Rocket Doctor Inc.

Rocket Doctor is a technology-driven digital health platform and marketplace that is breaking down obstacles that limit access to quality, comprehensive and cost-effective health care. Rocket Doctor's proprietary software equips doctors with the tools to run successful practices in virtual and hybridized in-person/virtual models of care, enabling them to provide tailored care to patients in remote communities, particularly those in rural and northern communities across Canada and on Medicaid in the United States. Leveraging large language models, artificial intelligence/machine learning and wireless medical devices, Rocket Doctor is bridging the health care divide, connecting patients to equitable and accessible virtual health care services regardless of age, location or financial status. This includes patients with potentially stigmatizing conditions such as substance use, mental health and otherwise.

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