Paradigm Medical Industries, Inc.
Ticker: PMED 1772 West 2300 South
Exchange: NASDAQ-Small Cap Market Salt Lake City, Utah 84119
Industry: Manufacturing (801) 977-8970

Type of Shares:Common Shares Filing Date:3/19/96
U.S. Shares:1,000,000 Offer Date:7/10/96
Non-U.S. Shares:0 Filing Range:$6.25 - $7.00
Primary Shares:1,000,000 Offer Price:$6.25
Secondary Shares:0 Gross Spread:$0.63
Offering Amount: $6,625,000 Selling:$0.32
Expenses:$475,000 Reallowance:$0.10
Shares Out After:3,131,598

ManagerTierPhone
Kenneth Jerome & CompanyLead Manager (800) 922-0807

Auditor: Coopers & Lybrand
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
9/30/95 3/31/96 3/31/95 3/31/96
Revenue:$0.51$0.09$0.36Assets:$1.05
Net Income:-$0.88-$0.68-$0.19Liabilities:$1.00
EPS:-$0.38-$0.29-$0.08Equity:$0.05

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is engaged in the development and sale of ophthalmic surgical systems designed for minimal invasive cataract treatment. The company's first commercial product, the Precisionist, is a ultrasonic device used for the treatment of cataractous lenses in the eye through a procedure called phacoemulsification. This system utilizes a proprietary "smart pump" software algorithm to control aspiration used to remove the emulsified cataract in a manner that senses vacuum build-up in the eye and adjusts the aspiration flow to eliminate excess pressure in the eye. Further, the system is designed to be effective, lower in price than competing systems, and less expensive to operate on a per surgery basis because of its economic use of reusable component parts. Although the company plans to continue marketing and selling its Precisionist system, the company has developed a laser cataract surgery system which it believes is superior to current ultrasound technology and can become the preferred system for cataract treatment in the future.

Use of Proceeds
Proceeds from the offering will be used for Photon LaserPhaco manufacturing costs, sales and marketing, research and development, acquisition of capital equipment, repayment of debt, repayment of bridge notes, payment on rescission offer, and working capital.

Last updated: 11/27/96

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