Encore Medical Corporation Enters Spinal Fixation Market.AUSTIN, Texas--(BW HealthWire)--Oct. 30, 1998-- Exclusive U.S. Distribution Agreement with SCIENT'X Provides Access to Rapidly Growing Spinal Fixation Marketplace Encore(R) Medical Corporation (NASDAQ-ENMC) subsidiary, Encore Orthopedics, Inc., has entered into a three-year distribution agreement with SCIENT'X of Paris, France, a rapidly growing full line spinal implant company, for exclusive U.S. distribution rights to a complete line of spinal fusion spinal fusion n. A surgical procedure in which vertebrae are joined. Also called spondylosyndesis. Spinal fusion implants. Terms include provisions for multiple three-year renewals of the exclusive agreement. SCIENT'X has been active in the global marketplace since 1992, selling its products in Europe, Japan, South Korea and South America. Since 1995, international sales for SCIENT'X have increased at over 30% per year. Product development has focused on partnering with high profile European orthopedic surgeons and neurosurgeons in the design of the Company's innovative product line. Most notably, SCIENT'X introduced one of the first interbody lumbar fusion cages in the early 90's and, in 1993, introduced the first spinal products employing a semi-rigid fusion concept. "Consummation of this agreement fulfills one of Encore's major strategic objectives by getting Encore into the spinal implants marketplace," said Nick Cindrich, Encore's Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "Our commitment to being present in the forward looking segments of the orthopedic marketplace is, in part, fulfilled by this action." Olivier Carli, President of SCIENT'X stated, "We have been looking for Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. a U.S. based partner that would aggressively market our line of spinal products. Encore Orthopedics meets this objective." Rapid growth and high margins characterize the spinal implant marketplace, with 1996 and 1997 growth rates Growth Rates The compounded annualized rate of growth of a company's revenues, earnings, dividends, or other figures. Notes: Remember, historically high growth rates don't always mean a high rate of growth looking into the future. exceeding 30% per year. The U.S. market is estimated at approximately $400 million for 1997. It is anticipated that growth rates in excess of 20% per year will continue for several years. "Encore will use the SCIENT'X product line to `jump start' its entry into the U.S. market," said Craig Smith, Encore's President. "Continued cooperation with SCIENT'X and Encore's own product development efforts will result in a continuous stream of new spinal products." The spinal implants market presently consists of three major product categories, plate and screw systems, rod, hook and screw systems, and interbody fusion devices (cages). Encore will enter these three market segments using a variety of product offerings. The SCIENT'X Isolock-Isobar(TM) System consists of rods, plates, cortical screws, and pedicle pedicle /ped·i·cle/ (ped´i-k'l) a footlike, stemlike, or narrow basal part or structure. ped·i·cle n. 1. A constricted portion or stalk. 2. screws that can be utilized in both a rigid and semi-rigid fashion, addressing a wide variety of surgical indications. The SCIENT'X PCB PCB: see polychlorinated biphenyl. PCB in full polychlorinated biphenyl Any of a class of highly stable organic compounds prepared by the reaction of chlorine with biphenyl, a two-ring compound. (tm) cervical plate system addresses those indications specific to anterior fusion of the cervical spine cervical spine Clinical anatomy The region of the vertebral column encompassing C1 through C7 . The most rapidly growing market segment, interbody fusion devices, is addressed with the SCIENT'X Isomorphic (mathematics) isomorphic - Two mathematical objects are isomorphic if they have the same structure, i.e. if there is an isomorphism between them. For every component of one there is a corresponding component of the other. (tm) Lumbar Cage System. Encore anticipates that FDA FDA abbr. Food and Drug Administration FDA, n.pr See Food and Drug Administration. FDA, n.pr the abbreviation for the Food and Drug Administration. clearance will first be received for the Isolock-Isobar rigid fixation systems in early 1999. Other clearances will follow. Encore Medical Corporation (www.encoremed.com) designs, manufactures, markets and sells orthopedic total joint, trauma, and now spinal implants around the world. Over the past five years, sales have increased at a compounded annual sales growth rate of over 56 percent. Except for the historical information contained herein, the matters discussed are forward-looking statements made pursuant to the safe harbor provisions 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 involve risks and uncertainties, such as quarterly fluctuations in operating results, the timely availability of new products, the impacts of competitive products and pricing, and other risks and uncertainties set forth in the Company's filings with the Securities and Exchange Commission. These risks and uncertainties could cause actual results to differ materially from any forward-looking statements made herein. This release is available on the KCSA KCSA Krannert Center Student Association KCSA Kentucky Crushed Stone Association (Frankfort, KY) KCSA Kyiv City State Administration KCSA Kalamazoo Christian School Association KCSA Kentucky-Canadian Studies Association Worldwide Website at www.kcsa.com. |
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