Revised Presentation in the Consolidated Statements

The Company both rents and sells medical equipment. It has come to management’s attention that based on promulgation through recent comments from the Staff of the Securities and Exchange Commission greater clarity and consistent classification should be provided in an entity’s financial statements around such assets on the balance sheet and in the statement of cash flows. Specifically, the Staff believes that a company should clearly disclose (i) assets on the balance sheet; and (ii) cash flows when presenting cash flows in relation to, and in consideration of, its predominant source of revenues.

Management believes that the predominant source of revenues and cash flows from this medical equipment is from rentals and most equipment purchased is likely to be rented prior to being sold.

While management has concluded that the effect of correcting previous errors in its financial statements is not material, the Company reclassified certain amounts in its Condensed Consolidated Statement of Cash Flows for the three months ended March 31, 2012 to allow for appropriate comparisons between periods presented.

The effect of these reclassifications to the Condensed Consolidated Cash Flow Statement was to reduce Net cash provided by operating activities and reduce Net cash used in investing activities by $0.1 million for the three months ended March 31, 2012.

The corrections and reclassifications described above did not affect the Company’s consolidated statements of operations or total cash flows for the three months ended March 31, 2012.