CytoSorbents Corporation (CTSO)

[dah174174]

RESPONSE FROM DR. CHAN - FROM THE MESSAGE BOARD

Dear XXXXX,
Thank you for your email. These are all good questions, but I think this email that I sent to another shareholder will give you responses to most of the concerns you raise.
Best,
Phillip
“We do not get questions from the analysts ahead of time. For this live Q&A, it is completely unscripted. Some of the management team will write down some of their thoughts ahead of time, but most of us do not.
A couple of things that I would point out. The earnings calls come at fixed times during the year. They do not necessarily coincide with our operational progress. For this call, as you could hear, we were not in a position to report on a number of topics. This may have come across as being evasive. But as I mentioned to another investor, despite many things being out of our direct control (e.g. FDA, partners, etc), be assured we are working diligently to drive successes at our various initiatives.
Also, some of the questions from analysts were looking to get more color on various aspects of our business. There are typically good reasons why we historically have not broken out that level of detail, and they have nothing to do with ignorance. Some of it relates to our competition. We have learned a lot in our commercialization efforts. We have no interest in teaching our competitors in a public forum how to be fast-followers in our footsteps. Some of it relates to the fact that we don’t want to provide this level of detail publicly. I would think that this is our prerogative. Some of it relates to the fact that it is too early to be providing fine detail on various things like our revenue mix. At this stage, each quarter is different, with the exception that our product revenues are predominantly re-orders, as I have stated. For those who have sat down with this management team for hours on end, including all of the analysts on the call, I am confident that the vast majority would characterize our team as extremely strong, with an excellent understanding and grasp of our business. You can see this in the ratings and various price targets. Do we still need to fill in holes of our business such as clinical data and reimbursement across all of our countries where we distribute CytoSorb? Of course we do. This is why we are not yet a billion dollar market cap company. But we are not standing around with our hands in the air wondering what to do. We are absolutely committing time, money and resources to fill those gaps.
You have been a shareholder for a long time and have witnessed the evolution of this company. I firmly believe that the reason that we are where we are today, is that this management team has been a strong steward of the business, and have made good decisions that have benefitted the company and our shareholders. These decisions range from our commercialization strategy, financing strategy, use of non-dilutive sources of funding, diligent control of expenses, smart decisions about strategic partners and expansion, eliminating barriers to institutional ownership, product development, and many other things. Yes, it has taken a long time, but we are in a vastly different position than when you made your first investment.

As we stated in our call, we do believe that things are coming to a head. That all of the things that we have been working on are potentially converging. Perhaps 2016 will be the year that we breakout. All we know is that we continue to work hard to move this company forward to help save lives around the world and to build value for shareholders.
I hope this is helpful. Thank you again for your continued support.
Best,
Phillip
________________________________

Phillip P. Chan, MD, PhD
Chief Executive Officer

CytoSorbents Corporation
7 Deer Park Drive, Suite K
Monmouth Junction, NJ 08852
[e-mail]
O [phone] ext *823
F [phone] Less