ClearLight Clearance for Acne Creates New Aesthetic Market Opportunity.

Business Editors & Health/Medical Writers

MISSION VIEJO, Calif.--(BUSINESS WIRE)--Oct. 8, 2002

Recent FDA clearance of the first light-based device for the treatment of acne has opened the door for business development in this area, according to a report published by Medical Insight Inc.

The ClearLight device distributed by Lumenis (Nasdaq:LUME) was approved for acne treatment in late August. Since then, the company has reportedly received orders for more than 100 systems, each priced at $50,000. A company spokesman predicts that this product line may generate $15 million -- $20 million of annual revenues.

"The introduction of ClearLight is a continuation of our commitment to the medical community and market leadership by providing innovative and effective light-based technologies," commented Alon Maor, executive vice president of the Lumenis Aesthetic Business Unit.

Meanwhile, U.S. physicians that have obtained delivery of the first ClearLight units are benefiting financially from their early adopter status. This exclusive private-pay procedure, which can potentially replace systemic pharmaceutical treatment, costs the patient from $75 -- $150 per session, with eight sessions required.

Vic Narurkar, M.D., a well known dermatologist in private group practice at the Bay Area Laser Institute in San Francisco, noted that there is a significant subset of patients with acne "who have failed all therapies. This includes topical, systemic, and even Accutane."

Dr. Narurkar promotes ClearLight as the first novel approach for the treatment of moderate inflammatory acne that does not involve taking oral medications or continuous topical treatments. He charges $100 per session, for a total of eight treatment sessions. Follow-up treatments are also advised.

Incorporating the Lumenis ClearLight system into Narurkar's referral practice has been easy. "We are both a dermatologic and laser center," he said.

Narurkar estimates that about 20% of his patients have acne. "A large subset of our patients have already been to other dermatologists and primary-care physicians, but are not getting better."

"Light-based treatment for acne will likely explode going forward because it is safe and preliminary results indicate effectiveness," said Narurkar, an assistant clinical professor of dermatology at the University of California, Davis. "There are also no adverse effects, regardless of the skin type."

According to clinical study data, improvement in moderate inflammatory acne ranges between 60% and 75% clearance after a series of eight ClearLight treatments. "After treatment, we maintain patients on topical Retin-A, topical benzyl peroxide or topical antibiotics," Narurkar explained.

Narurkar is not surprised by the high level of compliance his patients are realizing with ClearLight. "Many of my patients are adult women with acne," he said. "They are excited that they no longer have to take pills. They also view this light therapy as a nice reprieve during the day to come in and sit under the lamp." Moreover, he pointed out parents often prefer that their teenagers not be subjected to any systemic therapy or Accutane.

Outside of the United States, Lumenis and other companies have been selling lasers and light devices for acne treatment for some time. Lumenis has an estimated installed base of more than 300 ClearLight systems, according to Medical Insight's comprehensive study on the Global Aesthetic Market.

Michael Moretti, aesthetic industry analyst and author of the Global Aesthetic Market, predicted that "numerous light-based devices for acne treatment will be introduced to the world markets over the next few years. As this new procedure is refined and becomes popular with consumers, we expect the installed base to grow to almost 20,000 units with procedure volume of over 12 million annual treatments by 2007."

Aside from Lumenis, companies currently developing light-based devices for acne treatment include: Candela Corp. (Nasdaq:CLZR), Cynosure, ICN (NYSE:ICN), and Radiancy.

The Global Aesthetic Market Study provides the only single source report for worldwide data on the fastest growing segments of the lucrative aesthetic market, including: Botox, dermal fillers, skin rejuvenation technologies, light-based hair removal, anti-aging products, and a number of other popular procedures.

To order the Global Aesthetic Market Study or review the Executive Summary, contact Katie Davis at [e-mail], or call 949/830-5409. For information on other products and services offered by Medical Insight Inc., visit www.MiiNews.com.