My phone call with Andrew Whelan (12/09/2009)

Just thought I will put this out here if it helps anyone. BIEL is going through a rough patch for no reason. Lot of us (including me) are losing a lot of money as of now. We all invested in the company because we truly and honestly believe in the company and its products. I am publishing this for only those who care. Bashers and doubters can go to hell. I am not a paid PR person, so I couldn’t care less about what you have to say. I took the initiative to call Andrew when I was in doubt and I am just sharing this with you all. Also, I added 166k more shares at .05.

I sent Andrew an email first with some questions in it which I had collected from lot of us on Yahoo boards and chatroll. He replied to my email with a canned reply first, but when I asked him again to reply to my questions, he sent me his phone# and asked me to call him. I kept trying to call him for 15 minutes but the phone was engaged. Finally, I got through but the receptionist picked it up and told me the Mr. Whelan was on another call and it maybe a while before he is free. I left my cell# with the receptionist (not expecting her to deliver my message at all). But I was pleasantly surprised when Mr. Whelan called me himself on my cellphone.  I had a long conversation with him but I am just putting here questions that I specifically had him answer for all of us :

• Do we still have to wait into next year, or is reclassification of PEMF expected in December?

A: I have worked with this company for 10 years now. We had tried to re-classify PEFM technology under class-2, two years back, but FDA just turned a blind eye to our application and never even acknowledged it. This time we have lot of positive response from FDA and they are working with us and asking for documentation and supporting evidence as they review our application. This is very positive news and we are working very hard to make sure that FDA gets everything they ask for. As far as the dates are concerned, it won’t be fair for me or anyone else to announce a date. We all know how these govt agencies work. FDA takes 1 week to type up a letter. And at this time of the year, people may be going on vacation. December is always a slow month.

We already have class-3 approval for our products from FDA.  Here is the debate about moving it to class-2. For class-2 these are the two important questions that are asked :

• 1. Can the patient diagnose himself or does a Doctor need to diagnose the disease for him?

No one needs a doctor to tell them that they have back pain or muscle pain. You can pretty much figure it out yourself where you have the pain. This is not lung cancer or something like that where you need to go to a doctor so that he can run a battery of tests to give you the verdict.

• 2. Can the patient consume a medicine on his own or does he need medical supervision to control the amount ingested into the body?

Actipatch and Allay are not going to be ingested into your bloodstream. These are simple devices with an on/off switch. When you don’t need the therapy turn it off.

As you can see the arguments are very simple and the answers more than obvious.

• Analyst Carrie Snyder predicted 0,30 to 0,50 by end of the year. Right now things seem to be a disaster. Would you care to comment?

A: Carrie Snyder’s valuation still holds absolutely correct. This stock is easily valued at .50c on FDA approval.

• SmallCap Network is constantly damaging your stock by giving very negative technical comments about it,and everytime they do it, the stock drops violently.To add to this TheStreet.com is further fueling the fire by release negative articles every now and then. Are you planning to do anything about this?
  

A: Frankly speaking, I have no control and don’t even care about what X person on an XYZ.com thinks about BIEL. They have their right to an opinion and I cannot control that. All I can control is that I will take this company where I want it to be. I am going to take care of our shareholders and we are working hard to do everything to get re-classification and to get international sales going in a big way.

• How quickly are you going to resolve the Scottrade and Ameritrade issues? This is really hurting all of us by creating an imbalance between buyers and sellers?

A: Unfortunately, we have no control over Scottrade and Ameritrade. They are complaining about a delay from DTCC (Distribution and clearing house) for our shares and that is why they have put restrictions on several other penny stocks too to protect their own interests. Being a pinksheet stock comes with all these problems. All that we have control over is that we are making lot of efforts to move to another exchange. The soon to be announced audit results will be a part of this equation to help us move to another stock exchange. This will help remove the pinksheet lable of our company and will automatically fix all the problems with these brokers.

• The sudden drop in stock price definitely begs some explanation. Please comment.

A: I have been with this company for a long time. My focus in life is clear. I want to take this company somewhere and that will happen with FDA OTC clearances and when revenue starts pouring in after the DRTV ad campaign goes live. A few cents drop in the PPS doesn’t bother me at all. This is not a daytraders stock. This is a stock which you buy and hold. The pain market is a billion dollar market. Once our products start selling in all the countries, revenues will hit the roof. And in the first quarter next year, when we will have sales/revenue numbers to report, things will speak for themselves.

• There is lot of talk that a Reverse Split is impending. Please comment. Also, the company has diluted the shares to the max. When is this going to stop?

A: Most pinksheet and pennystocks go through reverse split. This becomes essential at some point. But I can assure you that there is no talks of Reverse Split right now. We will get the company in a good shape with real revenue/sales numbers before there is even a talk about reverse split.  As far as dilution is concerned. Yes, we have tapped into the stocks whenever we need funding. But there is a reason why we are going big time into sales promotion now. Sales means revenues. And that means no need for further dilution.

• If the company doesn’t get the re-classification, can it still go ahead and do the infomercials ?

A: If you notice we are starting the DRTV campaign in lot of countries. (He mentioned several countries. I don’t remember all. Germany, Turkey, Canada, South America were amongst them). We don’t have to wait on FDA for all these countries. We can sell our product without any problems. The most exciting thing that shareholders should look for is the DRTV ad campaigns. Once these start airing (starting Dec 10 I think – Jan 16th in all these countries), revenues will start pouring in.

• When is the Audit going to be completed? Is OTC BB on the cards?

A: The audit is almost complete. I will get the Audit results out in 1 or 2 weeks at the max. There was no problem with the Audit. It was very smooth. The audit was done 2006, 2007, 2008. These results should put us in good shape and help create transparency for shareholders.

• There are people claiming to have Insider info about the company. These people claim to know things about the company and PRs about to be released before the news even comes out. This is very scary for the rest of us honest shareholders. How is insider info leaking out ?

A: This is the first time anyone has brought this to my attention. We don’t reveal any strategies, decisions to any one. Because this is illegal. Obviously, I don’t want SEC knocking on my door. Please call me directly whenever you spot an incident of someone claiming to have insider info.  Also, I heard some people claiming that the company is being bought out. These are very irresponsible statements. I will never put any information like that out there, unless I have a written and signed contract in front of me.

• Does Joe not work for the company anymore? His absence has become noticeably conspicuous now. Lot of people think that he has done more damage to the company than good, since he is busy promoting his other stocks all over the BIEL board.

A: Yes, Joe still works for the company. He is not an employee and is a contractor hired for PR purposes. His job is to get information out to the shareholders. And he does a great job with it.

(This is my own answer to this question. Frankly speaking, you will not find EVEN A SINGLE POST by Joe ever cross-promoting any other stock on the yahoo boards. I have gone through all his posts and I think this question was completely unfounded and unfair on Joe)

My Quick call with Joe Noel (12/3/2009)

After an uncomfortably long two week silence with no updates from BIEL or Joe Noel, I thought I will try to reach out to him. This is the first time I ever called him; I called him during business hours and wasn’t surprised that it went to his voicemail (as my personal phone does too). His VM said to either email him or text him. I had emailed him earlier but hadn’t got any replies, so decided to text him.

He replied back around 5 PM CST and asked me to call him. I called him. It wasn’t a long conversation. Joe was courteous and to the point. Didn’t beat around the bush at all. I asked him only few questions and I don’t remember the exact details but here is what I remember (I am not quoting either my words or his answers since there is no way I can remember exact words exchanged in the conversation.

Q: What is happening with BIEL. There are no updates to shareholders, feels like a dead zone these days.
A: We are going through a lull period. As you know BIEL is a small company and we are trying really really hard to meet all the paperwork requirements as requested by the FDA during our recent meeting.
Q: By the way why were there no updates to shareholders about the two recent FDA meetings?
A: There was only one FDA meeting and it was very short and quick. All they did was give us guidance on any additional paperwork they required for the re-classification.

Q: There are FDA dates floating around in websites like Biomedreports.com, Favstocks.com etc for BIEL FDA Approval. Is there any truth to these dates?
A: You must know that FDA doesnt really give an exact date. It is good that they are working with us and guiding us so that we can achieve what we are trying to do. The most important thing for BIEL is re-classification from class-III to class-II. We don’t want our product to be prescribed by doctors to their patients. We want OTC clearance, so that we can place it on the store shelves (Walmart, Walgreens etc). FDA is scrutinizing our application very carefully, since this is a big deal. That is why they want all paperwork exactly like they want it.

Q: If we can’t put a date on FDA, what is on the horizon in terms of good news for shareholders ?
A: We are working on international sales aggressively. Germany has given us great feedback. There is a meeting soon (I think he said next week) with a Japanese distributor also. As far as good news is concerned, the actual start of DRTV campaign is the next good thing we should expect to hear (approx around 10th December)

Q: When is the Audit going to be completed ?
A: The Audit had a delayed start. It started near Oct End. And it takes approx. 2 months. It is still ongoing as of now. I have a meeting with Andrew in New York (I think he said next week), to discuss this.

So, this is the gist of what I talked to him. I have put all his answers in my words. Definitely not quoting him. But he did tell me “feel free to put all of this on your blog”.

Overall, I feel good after talking to him. It is great that the company has refused to be held hostage to FDA APPROVAL, and has gone ahead with their marketing plans across the world. After all, US is only a part of the equation. They have such good response from countries all over the world. So, they did what they should have done. Go ahead and start marketing in other countries. Fda will come when Fda will come. And then they will just start marketing here as well.

Several people have mentioned on the yahoo boards that with some companies FDA approval led to a decline in the stock PPS, because FDA approval doesn’t mean anything if you don’t have the muscle or means to market your product in the end.

BULLISH Technical Breakout alert : BIEL

http://www.straightstocks.com/stock-watch/bullish-technical-breakout-alerts-nasdaqncoc-otcbiel-pk/

First off..I love the Bull picture. Read the article above. It has lot of good info. Here is the best part that I liked :

The dermal patch delivery system creates a multitude of new product opportunities for chronic and acute inflammatory conditions. The market potential is estimated at $10 billion or 400 million incidents worldwide. The distinctive value proposition of ActiPatch is the delivery of drug-free therapy that reduces pain and inflammation and accelerates healing by 30% to 50% when compared with the present standard methods of patient care. The current major applications are:

• Medical Surgeries
• Chronic Wounds
• Oral Surgeries
• Sprains and Strains
• Lower Back Pain
• Chronic Repetitive Stress Injuries, Heel Pain, Carpal Tunnel, Bursitis, etc.

Below is a list of the Company’s accomplishments to date.

• United States Food and Drug Administration market clearance
• Canadian market approval for relief of pain in muscosketal complaints in both medical and over-the-counter markets
• CE Mark (European Common Market) Certification for the medical and retail over-the-counter markets
• ISO Certification
• Chosen as “One of 9 Medical Breakthroughs That May Change Your Life” by MedicalHeadway.com
• 15+ domestic independent sales agents
• 20+ International distributors with additional agreements in place or awaiting regulatory approvals
• A medical research agreement with the David Genecov, MD, Dallas Medical Center, a leading medical researcher to supervise and write manuscripts for four studies, plantar fascitis (heel pain), ankle sprains, breast augmentations, and cesarean sections.
• Canadian retail product line launched in June of 2008, actively interviewing distribution partners throughout the rest of the world.
• A solid intellectual property portfolio covering both the product design and the pulse signature.
• A 3-year pipeline of new products for treatment of sports injuries, bone fractures, chronic injuries, chronic wounds, skin conditions, arthritis and post-operative care.
• Product now available online to the consumer market via multiple websites in several countries.
• Projected annual sales in 2008 of over $2,000,000.

Biomedreports article on BIEL (very positive)

Any serious BIEL investor should take some time and read this entire article by Biomedreports.

http://biomedreports.com/articles/most-popular/17424-banking-on-biels-upcoming-study-results-against-tylenol.html

Few Excerpts from the article :

“We found newspaper articles dating back over twenty years in which scientists urged stronger warning labels on every bottle of acetaminophen, based on evidence that countless Americans unwittingly took toxic doses that harmed their livers“

“That push and the results of a soon to be released study by Bioelectronics Corp. (OTC:BIEL) set the table for an intriguing penny play in the coming days. The company made this year’s 10 Stock BioMed Momentum Index, with investors riding the wave of excitement about the technology and pending FDA decisions, but the upcoming news flash will likely make shares of the micro-cap company run up once again. “

“Company officials won’t yet officially disclose what the study results will reveal, but there are strong hints in what was released as part of the pilot section of the study last month. That Institutional Review Board (IRB) supervised study is directed at comparing the effects of the company’s ActiPatch® Therapy to acetaminophen in the form of Extra Strength Tylenol® for the treatment of delayed onset muscle soreness (DOMS). “

 

NYC Cocktail Party by Joe Noel and Simon : UPDATE

Contributor : pbar673874

I did go to the event tonight in NYC, and it honestly wasn’t that special. Below are the highlights of what I heard:

• Joe said that the dilution was necessary in order for them to pay off the “toxic debt,” but they now have enough cash he thinks. They are currently completing the audit, and once this is done we should get a good idea of the cash position. He doesn’t think further dilution is necessary at this point.

• The commericals have been completed, and Joe says they are pretty good. Once they find out about the FDA approval, the commericals will be aired ASAP.

• For sales, Joe thinks that the best thing for them at this point is to do infomercial sales. Besides that, they think it’s going to do well in the stores. The international sales have also been good.

• The million dollar question is approval, and they still don’t know when it is going to arrive. The one thing he did say is that actipatch should be approved before allay. They don’t see any problems or risks of approval w/ the allay approval, but the FDA is asking more questions due to the application location. Joe doesn’t agree w/ this since it is approved for the eye. Even tho the approval can come at ANY moment, they are guessing it will be a couple more weeks.

• Joe says that he can sell his shares at any moment, but he still has them and more $$ invested in the company. He said that he has been w/ them from the start and has helped fund them when they ran out of cash. Joe definitely gets a bad rap, but he truly does seem to believe in biel and the future success of the company.

• Biel wants to get off the pink sheets, and they are hoping to get this done over the next few weeks. One of the ways that Joe said this could be done is by finding a dead company on the BB that is still there and spin off w/ them. I have seen this before with IVOB.OB. They are a fertility company that was formely a salsa company. There was another way that I can’t think of at the moment. Biel wants to be viewed as a legit company, and this is why they are having the audit happen so they can quiet the bashers. This audit will shut everyone up and prove they are a legit company.

• Even tho I don’t believe him, Simon thinks that biel is going to eventually get bought out for $1 even with the o/s being 1.5billion. I think this is rather agressive and unrealistic.

• Both Joe and Simon are annoyed about the bleeding of the stock, but they said there was been a ton of shorting whihc was scrwed biel over. Overall they say were going to be fine.

Overall it really wasn’t a big showing, but it was rather nice to finally meet Joe. For all the crap he takes on the MB’s, he does seem like a really nice guy. I did enjoy making fun of him about how ever since PR he puts out turns the stock from green to red. The one thing he did tell me that is if people do have questions, just call him or andrew. Sorry if this is not what you were expecting, but there were other people jumping in while we were talking, so not everything was answered fully.

This is just what I remeber do please don’t go buying/selling based on this summary. Just so it’s all out on the table, i’m long 260K shares.

————————————————————————

Contributor: videoai/Jo

Hi this is Jo from NYC.
I met Joe Noel, Simon & other investors. I was only one didn’t wear black suit with tie ^ ^.There was no official announcement at the meeting. 20-30 suits & me were standing in a hall, drinking while chatting about BIEL. And I had a chance to talk to Joe for an hour.

Asked some questions to JOE and SIMON.

1. Why did Google show (NDA) after name of Bioelectronics Corp last 2 weeks? What does 3M company to do with BIEL?
Joe - ‘No idea. Maybe New Drug Applications.’ (seems he doesn’t want to tell me anything.)

2. After clearing FDA, when Allay patch will be available in USA?
Joe - ‘Allay patches are already shipped in here. Just waiting for the time comes.’

3. In September Biel submitted 510K. What was the ‘Multiple applications of Actipatch ‘ about?
Joe - ‘It was 5 body parts of Muscular pain patch applications in one.’
Means, one ActiPatch 510K clearance will allow to sell 5 products in USA.

4. What is story with Audit?
Joe – ‘Simply BIEL wants to move bigger market; OTCBB. In 2 weeks the result of Audit will come out in public.’

5. After Audit do you need SEC first to move to OTCBB? Usually does it take two months for SEC, right?
Joe - ‘Not necessary need to file SEC to jump to OTCBB. There is other way as well.’ (not clear what he said after this. Seems like after the Audit result, BIEL will rush to move up. ^ ^)

6. Since ActiPatch was received FDA Clearance before, this FDA application result might come out earlier than usual? Some people in Yahoo BM said so.
Joe - That’s not right. Have to wait same as other applications; FDA 510K CLASS III! (He mentioned only class III, not Class II at all.)

7. When does Tylenol Study out?
Joe - ‘result out, announce soon’.

8. Depends on study result, there is any possibility Tylenol company (J&J?) might sue BIEL?
Joe - We have a study result. They can not sue us.

Question to Simon —
*What to to with Goldman Sachs with BIEL?
Simon – ‘They are one of majority share holder of BIEL.’

This is what I can say about the BEER meeting – I drank beers only ^ ^. I didn’t find Sully or other families names over there. Everyone wore black suit and had no name tag on it.

I felt, BIEL is a time to move up!

JO

SeekingAlpha article on BIEL

Mike Rabe’s original article link : http://seekingalpha.com/article/170458-3-holiday-stocking-stuffers-for-big-gains-in-2010

Makes inexpensive, disposable drug-free anti-inflammatory devices. For penny players, Bioelectronics provides one of the best risk/ reward ratios out there. BIEL is an extreme trade (it currently trades for around 7 cents per share).

Bioelectronics is currently an FDA play. Bioelectronics CEO, Andrew Whelan, had told me in an email this week that the Company is expecting to hear back from the FDA any day now on its application for 510(k) clearance to market its Allay Menstrual Pain Relief Patch product and OTC clearance for its ActiPatch Therapy products.

Bioelectronics is also expected to announce in November statistically significant study results that compared the effects of its ActiPatch® Therapy product to acetaminophen in the form of Extra Strength Tylenol® for the treatment of delayed onset muscle soreness (DOMS).

With three of its five FDA filings completed, Bioelectronics is now focusing on revenue generation. Bioelectronics has made no secret in the fact that it hopes to be acquired by a large industry player down the road.

These three stocks present an outstanding chance to not only beat the Street in 2010, but to beat it soundly. But like all holiday shopping deals, these discount sale prices will not last much longer.

Awesome article on Adam Feuerstein (ADAM WHO ???)

http://biomedreports.com/articles/most-popular/11704-opinion-qadam-whoq.html

Few excerpts :

“What’s with the engrossing level two interest in the trading action, anyway? Perhaps that’s one reason, among others, that investigative bodies like FINRA have taken an interest in his penmanship?”

“I’ll never forget sitting behind Mr. Feuerstein at the recent Rodman & Renshaw conference and watching him and a sidekick intensely monitoring Level 2 trading on a laptop before attacking one of the presenters behind the podium during the time allotted for investors (not media members with their own agenda) to ask questions.”

“Adam still has no clue what the science behind BioElectronics is about or why companies like Kimberly Clark have taken an interest in what he describes as “magnets embedded in a bandage to reduce pain and swelling.”

“Disclosure: LONG on just about everything Adam suddenly bashes”

Reuters upgrades BIEL to OUTPERFORM (Pdf link)

In my opinion this is huge news. An analyst at Reuters covering BIEL means we are getting the exposure that we need.

Certainly lends lot of credibility to the company and its products.

http://www.sharefile.org/showfile-2034/file.pdf

BIEL Overview (but in great detail)

Contributor: bms3232 (via 2cow.net)

BioElectronics Corporation develops and markets drug-free anti-inflammatory patches. The company’s products include ActiPatch Therapy, a dermal drug-free, painless, and pulsed energy patch with an embedded battery operated microchip that delivers pulsed electromagnetic frequency therapies to accelerate healing of soft tissue injuries. Its technology provides pulsed electromagnetic energy therapy that is used to reduce swelling, relieve pain, and enhance the healing of post-surgical incisions, chronic wounds, and orthopedic conditions. The company markets its products in the United States, Canada, and Europe. BioElectronics Corporation sells its products to wholesale distributors, as well as directly to hospitals and clinics. Recent Highlights

• BioElectronics has retained industry leader, Schulberg MediaWorks as its marketing partner. Work on the DRTV spots has already begun with initial airing expected within 60 days. Initially, the Canadian and selected other English speaking markets will be targeted, but the U.S. market will also be heavily targeted once FDA clearance is received.

• Indendent analyst Carrie Snyder, places a target price on BIEL shares of between $0.30 and $0.50, should expected FDA clearances be granted.

• Clinical Results — David G. Genecov, M.D. FACS FAAP, provided preliminary data on a heel and foot pain study showing strong efficacy and 100% safety using the ActiPatch device. The study also showed study participants were able to significantly reduce their use of acetaminophen, the active ingredient in Tylenol, and non-steroidal anti-inflammatory drugs (NSAIDs). Considering the recent FDA panel recommendation relating to acetaminophen usage, these results are highly significant.

• Clinical Studies and FDA Filings — Clinical studies in the areas of breast augmentation, Cesarean section, Uveitis, and several areas of surgical recovery are quickly coming to a close with data expected over the coming months. With the data provided by the Genecov study, the management team plans to accelerate its FDA 510(k) pre-marketing clearance filing for general musculoskeletal complaints designed to lead to over-the-counter approval. In addition, the Company will soon submit an additional application of 510(k) pre-marketing clearance for general surgical recovery.

• International Distribution Expansion — International distribution relationships continue to advance at a rapid rate. The Company announced it will soon be entering the German and Spanish markets, which will augment other international markets, particularly the Italian, Korean and Canadian markets, which are already showing revenue acceleration. Several Asian distribution partnership agreements are currently being negotiated.

• Financials — Management indicated that the financial position of the Company has improved dramatically over the past few months. Further payments have been made on convertible debentures with balances dropping from more than $910,000 one year ago to less than $50,000 today. Elimination of all convertible debenture balances is likely over the coming weeks. BioElectronics is maintaining very strong gross margins and tight expense controls, resulting in the Company operating at near breakeven levels. The working capital position at the Company has also significantly improved. The recent U.S. Government Export-Import Bank guarantee is expected to further improve the working capital position.

• Company Priorities — The priorities for BioElectronics remain the completion of clinical trials, FDA submissions, expansion of international distribution, and the further development of our patented, drug-free brands: Allay, ActiPatch and RecoveryRx.

• BioElectronics Receives Groundbreaking Patent – PEMF technology has been proven safe and effective in hundreds of peer-reviewed scientific studies. Up until now, however, PEMF devices have been very expensive large devices and usually based in clinical settings such as clinics or hospitals. Through the use of advanced micro-circuitry the engineers at BioElectronics have shrunk this technology into a wafer-thin device that can be worn directly on the skin to relieve pain, swelling and speed healing.

Why this is a hot stock

-Biel is waiting on FDA approval for its Allay Patch anticipated 2nd half of August while planning on filing 2 more FDA 510k submissions. Per last conference call on July 28th, 2009 , 2 institutional investors have invested in Biel which is very rare and a real honor for companies traded on the Pink Sheets.

- Wednesday September 30, 2009 BioElectronics Corp. announced the availability of a new product targeted at the $10 billion dollar veterinary care market, the HealFast Therapy PetPatch(TM).

- Monday October 19, 2009 BioElectronics Corp. announced the initial results from the pilot section of its ongoing acetaminophen comparison study. The study, which is expected to be complete during early November, compares the effects of ActiPatch? Therapy to acetaminophen in the form of Extra Strength Tylenol? for the treatment of delayed onset muscle soreness (DOMS).

Delays could be a HUGE blessing (think IRS)

Contributed by : briguytc2005

Hey,

I read this on another board, and wanted to sum it up and give my opinion about it…

For those of you/us who are truly long on this; these delays could end up being very beneficial.

Although the PPS keeps dropping, if you are truly long you can add to your position, average down, or just hold. (Its not a loss until you sell it) The other portion of the delay that can be beneficial is TAXES! Many on this board have been here since 1-2 cent range and even less… However, if those were going to sell today (although a nice profit is at hand) taxes could be onwards of 40% of your gains!

The sentiment across the board is that this is a great product and it will be approved. If this is the case, every day is one step closer to approval and one day closer to not paying short-term capital gains. If you’re truly a long, PPS on approval shouldn’t even matter… its all about the revenue produced from the sales of this product! YES, approval is a nice flip if you land the buying and selling right, but holding a company that has approval usually pays out much more in the long run.

Sorry this is a bit long winded, but be optimistic!

Hope everyone is doing well, and good luck!