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ALR Technologies Letter to Shareholders

RICHMOND, VA -- (Marketwire) -- 02/04/13 -- ALR Technologies (OTCBB: ALRT), a medical device company providing remote monitoring and care facilitation for patients with chronic diseases, today delivered the following letter to its shareholders.

February 4, 2013

Dear Shareholders:

I wanted to take a moment to update you on the recent progress of ALR Technologies and to lay out our strategy for the commercialization of our services and our technology.

After we received FDA clearance, we achieved HIPAA compliance for our Health-e-Connect system in the fall of 2012. With these key milestones and a successful clinical trial under our belt, we began to implement our commercialization strategy.

That strategy is built upon three emerging trends in the healthcare marketplace:

1. Diabetes prevalence is exploding in the United States and worldwide. Technologies and services that can assist patients, providers, caregivers and healthcare payers in grappling with diabetes care will be in high demand.

2. The patient load of primary care physicians in the United States will increase dramatically and these physicians will require support from new technologies as well as assistance from care managers, family members and others in order to provide quality care. On January 29th, a U.S. Senate subcommittee held a hearing on what the Chairman described as a "major crisis" in primary healthcare as 30 million new patients will have access to care under the Affordable Care Act. A new primary care model will emerge which will take advantage of new technologies. The Annals of Family Medicine recently carried an article on this new trend in primary care medicine: (

3. Healthcare payers in the United States and worldwide are actively seeking technologies and services to improve quality and lower the costs of managing chronic diseases. In the highly competitive U.S. market, major healthcare plans have shown particularly strong interest in remote monitoring platforms that can accomplish these quality and cost goals.

Therefore, our commercialization strategy is designed to capitalize on these important market trends and to provide a technology and service that will improve the quality of care and lower the costs of care for diabetes patients. We believe that, given the trends described above, our product will be in high demand in the coming years.

Our primary, and most important, goal is to begin securing revenue-generating customers in the commercial marketplace. We have done three things to push us toward this goal. First, we added several members to our sales and marketing team, as well as highly experienced professionals who understand the care needs of diabetes patients to focus on our key customer segments, such as health plans. Second, we have developed pricing models for the various customer segments, including risk sharing pricing arrangements for health plans that minimize the up front financial risk for the customer, yet rewards ALRT for delivering improved quality and lower costs. Finally, we have ramped up our sales efforts and we have been aggressively meeting with key customer targets on a regular basis.

Finally, I want to thank the shareholders who have expressed confidence in the future success of ALRT. I want to remind all investors that we are not selling a "widget" or an "app"; we are selling a comprehensive remote monitoring and care facilitation system that will be used by patients with a very serious condition. Therefore, our technology will only be purchased after careful consideration of the quality of the technology and the services we provide. In short, our customers will make their decisions neither lightly nor quickly. At ALRT, we continue to believe that if we pay great attention to quality, in both our product and our staff, our product will be widely adopted and we will achieve considerable success in the marketplace.

Yours truly,

Sidney S Chan
Chairman & Chief Executive Officer

About ALR Technologies Inc.
ALR Technologies is a medical device company providing remote monitoring and care facilitation for patients with chronic diseases. ALRT has developed the FDA-cleared and HIPAA compliant Health-e-Connect System that collects data from blood glucose meters and uploads to a secure website. Trained Facilitators use the System to effect efficiency of care among patients, clinicians and caregivers to improve outcomes and assist health plans to optimize their HEDIS goals. Currently, the Company is focused on diabetes and will expand its services to cover other chronic diseases anchored on verifiable data.

This release contains certain "forward-looking statements" relating to ALR Technologies' business, and these statements reflect the current views of ALR Technologies with respect to future events and are subject to certain risks, uncertainties and assumptions. When used, the words "estimate", "expect", "anticipate", "believe" and similar expressions are intended to identify such forward-looking statements. There are many factors that could cause the actual results, performance or achievements of ALR Technologies and its products to be materially different from any future results, performances or achievements that may be expressed or implied by such forward-looking statements. Further management discussions of risks and uncertainties can be found in the company's quarterly filings with the Securities Exchange

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