CardioNet falls to record low as reimbursement drops

Shares of CardioNet, Conshohocken, fell more than $6, to below $10 for the first time since the Conshohocken wireless heart monitor company went public last year, after it cut sales and profit projections.

CardioNet says it's sticking to its plans for a larger sales force for its wireless heart monitors, even after "lower than anticipated commercial reimbursement rates" reduced its projected profits for this year. Company statement here.

"CardioNet intends to continue its previously announced investments in its sales and marketing organization, product development and clinical research programs. Other areas of spending will be curtailed and restructured." We're trying to figure out what's left to cut, after sales, marketing, product and research. CardioNet won't say.

"The Company just completed training for its expanded sales organization and expects to have over 140 experienced cardiology account executives fully deployed beginning in the third quarter of 2009. CardioNet believes this will be the largest sales organization in the world dedicated to wireless healthcare. The second half of the year will also be marked by the Company's entry into the hospital and cardiac thoracic surgery markets." The previously announced purchase of competitor Biotel is also on track, said ceo Randy Thurman in his statement.

ALSO: Brian Dolan at MobileHealthNews.com puts CardioNet and ceo James Sweeney in perspective here.