Working closely with the medical community, Audiotech's clinics provide a variety of hearing healthcare services including hearing assessments and rehabilitation, education, and counseling. Each clinic also sells sophisticated hearing aids to suit all types of hearing loss and life styles. Assessments regarding the level of amplification that would be best suited to the patient are generally completed following a comprehensive hearing evaluation by a qualified clinician. The most effective hearing aid instrument is then selected, prepared, and fitted to the contours of the patient's ear. The patient is then instructed on the use and care of the apparatus. Once fitted, the patient is required to return to the clinic periodically to maintain the instrument and for follow-up care. Every 2-3 years, hearing re-evaluations are recommended to detect further hearing impairment. On average, deterioration of hearing, the introduction of new technology, or simple wear-and-tear, result in the replacement of hearing aids every 4-5 years.

Modern hearing aids are composed of highly complex miniaturized circuitry. Many contain programmable computer chips. Advancements in miniaturization and digitization technology have made hearing aids less conspicuous, thereby attracting appearance conscious individuals to consider wearing them. Siemens Instruments Ltd., Oticon, GN Resound Corporation, and Sonic Innovations are the dominant suppliers of custom hearing aids in North America. The Company's clinics presently sell products manufactured by each of these manufacturers. Hearing aids currently retail for between $750 and $3,900. Approximately 60% of hearing loss sufferers purchase hearing aids for both ears, a trend that is steadily rising. The majority of clinic revenues are derived from audiological assessments and the sale of individually fitted hearing aids.

Each clinic also provides secondary services including hearing aid repair and the sale of replacement batteries and other accessories such as telephone amplifiers. These services help maintain close contact with each patient thereby encouraging repeat business and customer referrals. Approximately 20% of the Company's revenues are derived from the sale of these secondary products and services.