Medigus Announces American Medical Association (AMA) Publication of Category I CPT Code for Esophagogastric Fundoplasty Trans-Orifice Procedures

OMER, Israel, March 11, 2015 -- Medigus Ltd. (TASE: MDGS), a medical device company developing minimally invasive endosurgical tools and a leader in direct visualization technology, announced today that the American Medical Association (AMA) has created a new Category 1 Current Procedural Terminology (CPT®) code for Esophagogastric Fundoplasty Trans-Orifice Approach procedures which Medigus anticipates would be the code used for its MUSE™ platform.

The AMA published its decision on Monday March 9, 2015 following the submission of an application jointly sponsored by four key specialty medical societies: American Gastroenterological Association (AGA), American College of Gastroenterology (ACG), American Society for Gastrointestinal Endoscopy (ASGE) and the Society of American Gastrointestinal and Endoscopic Surgeons (SAGES).

The code, 432XX1, will enable physicians to specifically communicate information to payers about the procedure which is used to treat the underlying anatomical cause of chronic Gastroesophageal Reflux Disease (GERD).

"This Category 1 CPT code represents an important step in establishing coverage for this kind of procedure. We are pleased with the AMA's recommendation and would like to thank the AGA, ACG, ASGE and SAGES for their leadership, which indicates the medical community's recognition of the need for alternative and minimally invasive procedures for chronic GERD patients," said Chris Rowland, CEO of Medigus. "The Category I code should enhance access to these procedures which were created to help enhance both patient care and outcomes."

CPT codes are descriptive terms physicians use for reporting all medical, surgical, and diagnostic services and procedures; Category I codes are most frequently used by healthcare providers when reporting a significant portion of their services. In order to be granted a Category I code, an application must go through a rigorous sequential review and approval process by key members of the medical community who evaluate the procedure's value to physicians and patients. Following this approval, the recommendation will next be reviewed by the Relative Value Committee (RUC) in April, which will further assess the value for physician payment levels under Medicare. Approvals are scheduled to be finalized in November, and the new code is expected to take effect on January 1, 2016.

For additional information, please refer to the Summary of Panel Actions available on the AMA website.