Germany represents the most significant market opportunity in Europe for the LifeVest based on both size and overall healthcare policy. The reimbursement system in Germany is comprised of a mix of payers and is similar to the system in the United States. The LifeVest is currently fully reimbursed for most patients in Germany.
The LifeVest was first used in Germany as part of the nearly 300 patient multi-center WEARIT/BIROAD trial that proved the efficacy of this therapy for patients at risk of sudden cardiac arrest (SCA). Since that time, the LifeVest has experienced significant growth. The LifeVest currently generates revenue in excess of $2.0 million annually in Germany.
“The United States has experienced rapid growth over the last four years, exceeding a 55 percent compounded annual growth rate,” stated Richard A. Packer, Chairman and Chief Executive Officer of ZOLL. “In fiscal 2009, we generated almost $45 million in LifeVest revenue in the U.S. By the end of the year, we had approximately 2,500 patients wearing the device at a time. Given the similarities between the United States and the German markets, we are confident that the lessons learned in the United States will enable rapid growth of the German LifeVest business.”
Mr. Packer added, “We believe the long-term annual U.S. market for the LifeVest approximates $2 billion. Although currently in its infancy, we see no reason the long-term international opportunity should not be at least as big.”
“As the LifeVest business matures, we will become more aggressive with our international efforts,” Mr. Packer continued. “In addition to our German initiative, the LifeVest is also marketed in Europe via distribution partners located in the United Kingdom, Italy, France, and The Netherlands. Furthermore, we have begun work on the multi-year effort to gain LifeVest approval in Japan.”
ZOLL also operates direct sales operations for conventional defibrillators, AEDs, and mechanical CPR devices in Germany.
About the LifeVest Wearable Defibrillator
The LifeVest is worn by patients at risk for SCA, providing protection during their changing condition and while permanent SCA risk has not been established. The LifeVest allows a patients’ physician time to assess his/her long-term arrhythmic risk and make appropriate plans.
The LifeVest is lightweight and easy to wear, allowing patients to return to their activities of daily living, while having the peace of mind that they are protected from SCA. The LifeVest continuously monitors the patient’s heart and, if a life-threatening heart rhythm is detected, the device delivers a treatment shock to restore normal heart rhythm.
The LifeVest is used for a wide range of patient conditions or situations, including following a heart attack, before or after bypass surgery or stent placement, as well as for those with cardiomyopathy or congestive heart failure that places them at particular risk.
For more information, go to www.zoll.com or call 1-800-543-3267.
About ZOLL Medical Corporation
ZOLL Medical Corporation develops and markets medical devices and software solutions that help advance emergency care and save lives, while increasing clinical and operational efficiencies. With products for defibrillation and monitoring, circulation and CPR feedback, data management, fluid resuscitation, and therapeutic temperature management, ZOLL provides a comprehensive set of technologies which help clinicians, EMS and fire professionals, and lay rescuers treat victims needing resuscitation and critical care.
A NASDAQ Global Select company and a Forbes 100 Most Trustworthy Company for the past three years, ZOLL develops and manufactures its products in the United States, in California, Colorado, Illinois, Massachusetts, Pennsylvania, and Rhode Island. More than 400 direct sales and service representatives, 1,100 business partners, and 200 independent representatives serve our customers in over 140 countries around the globe.
For more information, visit www.zoll.com.
Certain statements contained in this press release, including statements regarding the future business of the Company, and other statements contained herein regarding matters that are not historical facts, are “forward-looking” statements (as defined in the Private Securities Litigation Reform Act of 1995). Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, those factors discussed in the section entitled “Risk Factors” in the Company's Quarterly Report on Form 10-Q filed with the SEC on February 11, 2010. You should not place undue reliance on the forward looking statements in this press release, and the Company disavows any obligation to update or supplement those statements in the event of any changes in the facts, circumstances, or expectations that underlie those statements.
Copyright © 2010 ZOLL Medical Corporation. All rights reserved. 269 Mill Road, Chelmsford, MA 01824-4105. ZOLL and LifeVest are registered trademarks of ZOLL Medical Corporation.
Contact:
INVESTOR: ZOLL Medical Corporation A. Ernest Whiton, +1-978-421-9655 Chief Financial Officer or MEDIA: ZOLL Medical Corporation Diane Egan, +1-978-421-9637 degan@zoll.com
