Del Global Technologies Announces Supply Agreements with Novation; Del Medical Imaging Inks Deals with Major National Group Purchasing Organization.VALHALLA, N.Y. -- Del Global Technologies Corp. (DGTC) ("Del Global" or "the Company") today announced that its subsidiary Del Medical Imaging Corporation ("Del Medical"), a leading manufacturer of general purpose radiographic radiographic (rā´dēōgraf´ik), adj relating to the process of radiography, the finished product, or its use. imaging systems, has signed two agreements with Novation The substitution of a new contract for an old one. The new agreement extinguishes the rights and obligations that were in effect under the old agreement. A novation ordinarily arises when a new individual assumes an obligation to pay that was incurred by the original party , the supply company of VHA VHA Veterans Health Administration VHA Variable Housing Allowance VHA Villages Homeowners Association VHA Voluntary Hospitals Association VHA Virtual Home Agent VHA Very High Altitude VHA Vapor Hazard Area VHA Vermont Holstein-Friesian Association Inc. and the University HealthSystem Consortium (UHC UHC UnitedHealthcare UHC United Health Care UHC University Hospitals of Cleveland UHC United Hitech Corporation UHC Udvar-Hazy Center (National Air and Space Museum) UHC University Health/System Consortium UHC Unburned Hydrocarbons ). Del Medical has been awarded a dual-source agreement for general radiology (non-acute care) equipment and a multi-source agreement for digital radiography digital radiography Imaging A format for producing x-rays in which film used to produce conventional x-ray images is replaced with more sensitive sensitive electronics; DXRs produce images with1⁄2 systems and accessories. Through these three-year agreements, VHA and UHC member facilities will be able to access discounted pricing on Del Medical radiographic and digital radiography systems for all of their hospital, outpatient clinic, and medical center sites. Based in Irving, Texas Irving (pronounced 'er-ving') is a city located in the U.S. state of Texas within Dallas County. According to the 2000 U.S. Census, the city population was 191,615; the 2006 estimate was 201,927 according to the North Central Texas Council of Governments, and 196,084 according to , Novation was established in January 1998 through a combination of the supply programs of VHA and UHC, two national health care alliances. Novation serves the purchasing needs of more than 2,500 members and affiliates of VHA and UHC. These organizations used Novation contracts to purchase more than $23 billion in supplies in 2004. Novation awarded the contracts through its public competitive bid process, with input from member surveys, and member-based Novation Diagnostic Imaging, Capital and Facilities, and Anesthesia Councils, and the Novation Diagnostic Imaging Capital Equipment Task Force. "We are very excited about this relationship with Novation, as well as the opportunity to offer what we believe is the gold standard in general radiographic and digital radiography equipment to VHA and UHC members nationwide," said Scott Loehrke, Vice President, Sales and Marketing at Del Medical. "We believe the opportunity for Novation customers to purchase product from our extensive line will be mutually beneficial Adj. 1. mutually beneficial - mutually dependent interdependent, mutualist dependent - relying on or requiring a person or thing for support, supply, or what is needed; "dependent children"; "dependent on moisture" ." Walter F. Schneider, President and Chief Executive Officer of Del Global, commented, "Del Medical's business continues to grow as hospitals look for more cost-effective alternatives for their general radiographic needs. DEL Medical's product lines are known for their reliability and high quality diagnostic imaging capabilities. The addition of a market leading technology in the Epex DR product line completes Del Medical's offerings into the radiographic marketplace." All of Del Medical's hospital configured radiographic systems are fully upgradeable to provide digital imaging capabilities. The Company sells its products worldwide through independent distributors. ABOUT DEL GLOBAL TECHNOLOGIES Del Global Technologies Corp. is primarily engaged in the design, manufacture and marketing of cost-effective medical imaging and diagnostic systems consisting of stationary and portable x-ray systems, radiographic/fluoroscopic systems, dental imaging systems and proprietary high-voltage power conversion subsystems for medical and other critical industrial applications. Through its RFI (Radio Frequency Interference) High-frequency electromagnetic waves that emanate from electronic devices such as chips. RFI - Radio Frequency Interference subsidiary, Del Global manufactures electronic filters, high voltage The term high voltage characterizes electrical circuits, in which the voltage used is the cause of particular safety concerns and insulation requirements. High voltage is used in electrical power distribution, in cathode ray tubes, to generate X-rays and particle beams, to capacitors, pulse modulators, transformers and reactors, and a variety of other products designed for industrial, medical, military and other commercial applications. Statements about future results made in this release may constitute forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. These statements are based on current expectations and the current economic environment. Del Global cautions that these statements are not guarantees of future performance. These statements involve a number of risks and uncertainties that are difficult to predict, including, but not limited to: the ability of Del Global to implement its business plan; the ability of Del Medical to deliver on all orders related to its supply agreement with Novation; retention of management; changing industry and competitive conditions; obtaining anticipated operating efficiencies; securing necessary capital facilities; favorable determinations in various legal matters; market and operating risks Operating risk The inherent or fundamental risk of a firm, without regard to financial risk. The risk that is created by operating leverage. Also called business risk. from foreign currency exchange exposures; and favorable general economic conditions. Actual results could differ materially from those expressed or implied in the forward-looking statements. Important assumptions and other important factors that could cause actual results to differ materially from those in the forward-looking statements are specified in the Company's filings with the Securities and Exchange Commission. |
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