LAKE FOREST, Calif.--(BUSINESS WIRE)--I-Flow Corporation (NASDAQ:IFLO - News) announced today that the Company has entered into a binding letter of intent for an exclusive international distribution agreement with B. Braun Melsungen AG covering I-Flow’s ON-Q PainBuster® Post-Operative Pain Relief System and ON-Q C-bloc® Continuous Nerve Block System (the latter will be private labeled as Easypump® C-bloc RA for B. Braun). B. Braun’s distribution territory will be world-wide, excluding the U.S., Canada, Mexico, Japan, the Middle East, Australia, New Zealand, Greece, South Africa and China. The definitive agreement is expected to be in place by June 1, 2009.
“I-Flow believes that this key partnership with B. Braun will significantly increase the Company’s international presence and revenue base,” said Donald M. Earhart, Chairman, President and CEO of I-Flow. “We look forward to working with B. Braun in creating a mutually rewarding long-term relationship focused on the growth of ON-Q in the world’s markets.”
I-Flow and B. Braun have agreed that the initial term of the distribution agreement will be until December 31, 2013, unless earlier terminated pursuant to normal and customary provisions in the distribution agreement. B. Braun will not distribute competing products during the term.
B. Braun will have the opportunity to accept the assignment of one or more of the Company’s existing distribution arrangements in the territory covered by the distribution agreement, and the Company will retain the right to continue to supply products in the territory pursuant to existing distribution arrangements (and any renewals or extensions thereof) that are not so assigned.
About B. Braun
B. Braun supplies the global healthcare market with products for anesthesia, intensive medicine, cardiology, extra corporeal blood treatment and surgery, as well as services for hospitals, general practitioners and the homecare sector.
About ON-Q
The ON-Q PainBuster Post-Operative Pain Relief System provides continuous infusion of a local anesthetic directly into the patient’s surgical site for effective, non-narcotic post-operative pain relief for up to five days, getting patients on their feet faster. It reduces patients’ need for narcotics and decreases the potential for breakthrough pain. It is also simple, yet elegant, and requires little to no management or intervention by the patient or caregiver. The device is completely portable and can be carried in a pouch or attached to a patient’s clothing. To learn more about the benefits of ON-Q visit www.AskYourSurgeon.com.
About I-Flow
I-Flow Corporation is improving surgical outcomes by designing, developing and marketing technically advanced, low-cost drug delivery systems and innovative surgical products for post-surgical pain relief and surgical site care. For more information on I-Flow Corporation visit www.IFLO.com.
“Safe Harbor” Statement
Statements by the Company in this press release and in other reports and statements released by the Company are and will be forward-looking in nature and express the Company’s current opinions about trends and factors that may impact future operating results. Statements that use words such as “may,” “will,” “should,” “believes,” “predicts,” “estimates,” “projects,” “anticipates,” or “expects” or use similar expressions are intended to identify forward-looking statements. Forward-looking statements are subject to material risks, assumptions and uncertainties, which could cause actual results to differ materially from those currently expected, and readers are cautioned not to place undue reliance on these forward-looking statements. Except as required by law, the Company undertakes no obligation to publish revised forward-looking statements to reflect the occurrence of unanticipated or subsequent events. Readers are also urged to carefully review and consider the various disclosures made by the Company in this press release that seek to advise interested parties of the risks and other factors that affect the Company’s business. Interested parties should also review the Company’s reports on Forms 10-K, 10-Q and 8-K and other reports that are periodically filed with the Securities and Exchange Commission. The risks affecting the Company’s business include, among others: physician acceptance of infusion-based therapeutic regimens; implementation of the Company’s direct sales strategy; successful integration of the Company’s recent acquisition of AcryMed Incorporated and further development and commercialization of AcryMed’s technologies; potential inadequacy of insurance to cover existing and future product liability claims; dependence on the Company’s suppliers and distributors; the Company’s continuing compliance with applicable laws and regulations, such as the Medicare Supplier Standards and Food, Drug and Cosmetic Act, and Medicare’s and the FDA’s concurrence with management’s subjective judgment on compliance issues, including those related to the recent FDA warning letter; the reimbursement system currently in place and future changes to that system; product availability, acceptance and safety; competition in the industry; technological changes; intellectual property challenges and claims; economic and political conditions in foreign countries; currency exchange rates; inadequacy of booked reserves or future impairment expenses; and reliance on the success of the home health care industry. All forward-looking statements, whether made in this press release or elsewhere, should be considered in context with the various disclosures made by the Company about its business.
Contact:
Investor Contact: Neil Berkman Associates 310-826-5051 info@BerkmanAssociates.com or Company Contact: James R. Talevich, CFO 949-206-2700 www.IFLO.com
