- Reprocessing of popular vein treatment catheter results in significant cost savings and medical waste reduction for vein practices
- More than 350 clinics have contracted to have their ClosureFAST catheters reprocessed since launch of the service on January 16, 2012
MINNEAPOLIS, Nov. 12, 2012 (GLOBE NEWSWIRE) -- Vascular Solutions, Inc. (Nasdaq:VASC) today announced that more than 10,000 ClosureFAST vein ablation catheters have been reprocessed by its reprocessing partner, Northeast Scientific, Inc. (NES), since Vascular Solutions launched the reprocessing service on January 16, 2012.
"Since we began offering the reprocessing service in collaboration with NES approximately ten months ago, NES has consistently demonstrated the ability to safely and effectively reprocess the ClosureFAST catheter, and customers have been very pleased with the results," said Howard Root, Chief Executive Officer of Vascular Solutions. "Our ClosureFAST reprocessing service has become an attractive option for U.S. vein practices. Vein clinics can elect to have their ClosureFAST catheters reprocessed up to three times each, thus saving significant costs and reducing the amount of medical waste."
To date, more than 350 U.S. vein practices have contracted to have their ClosureFAST catheters reprocessed as part of the service offered exclusively by Vascular Solutions in collaboration with NES. Approximately 65% of the customers for the reprocessing service represent entirely new accounts for Vascular Solutions. Vascular Solutions expects the ClosureFAST reprocessing service to generate approximately $4 million in revenue during 2012.
"Reprocessing has become one of the fastest-growing segments of the medical device industry, and the vast majority of U.S. hospitals are now contracting with third-party reprocessors for a number of single-use medical devices because of the proven results," Mr. Root said. "We are very pleased with the continued success of our reprocessing service for the widely-used ClosureFAST catheter."
The ClosureFAST radiofrequency ablation catheter, which is manufactured and marketed by Covidien, is the most popular product used for performing endovenous therapy for the treatment of varicose veins in the U.S. Vascular Solutions is offering the reprocessing service under contract with NES, an established third-party reprocessor of medical devices. NES received 510(k) clearance from the U.S. Food and Drug Administration on November 30, 2011 for reprocessing the ClosureFAST catheter.
Craig Allmendinger, Chief Executive Officer of NES, commented: "We are proud of the high level of acceptance that ClosureFAST reprocessing has achieved in a short period of time. Having now successfully reprocessed more than 10,000 ClosureFAST catheters, we believe we have met the industry's highest standards for performance. We have the capacity to significantly expand our throughput of reprocessed catheters to meet the growing demand for this service, and we look forward to continuing to serve the needs of the vein clinics."
Vascular Solutions markets and sells the ClosureFAST reprocessing service to hospitals and clinics in the United States through Vascular Solutions' 91-person direct sales force. Subscribers to the service send their used ClosureFAST catheters directly to NES for reprocessing. NES's validated reprocessing system for ClosureFAST involves multiple stages, including decontamination, cleaning, drying, packaging, labeling, sterilization, and biological quarantine testing. As part of the process, each catheter is subjected to function testing and undergoes multiple inspections to ensure that quality standards are met.
About Northeast Scientific
Northeast Scientific, Inc. (NES), a privately-held company headquartered in Waterbury, Connecticut, is registered with the U.S. Food and Drug Administration as a reprocessor of single-use medical devices. Founded in 2005, NES received its first 510(k) clearance in 2007. NES's facility was designed specifically to reprocess single-use devices. The process employs a high capacity reverse osmosis deionized water system for cleaning, and only environmentally safe detergents are used. NES performs all sterilization in-house using 100% ethylene oxide systems that limit waste and ensure sterility. Functional testing of each reprocessed device and heat-seal packaging is carried out in NES's Class 10,000 clean room. For more information about NES, visit the company's website at www.mdreprocess.com.
About Vascular Solutions
Vascular Solutions, Inc. is an innovative medical device company that focuses on developing unique clinical solutions for coronary and peripheral vascular procedures. The company's product line consists of more than 70 products in three categories: catheter products, hemostat products and vein products. Vascular Solutions delivers its products to interventional cardiologists, interventional radiologists, electrophysiologists, and vein specialists through its direct U.S. sales force and international independent distributor network.
The information in this press release contains forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from those anticipated in these forward-looking statements. Important factors that may cause such differences include those discussed in our Annual Report on Form 10-K for the year ended December 31, 2011 and other recent filings with the Securities and Exchange Commission. The risks and uncertainties include, without limitation, risks associated with the need for adoption of our new products, lack of sustained profitability, exposure to intellectual property claims, significant variability in quarterly results, exposure to possible product liability claims, the development of new products by others, doing business in international markets, the availability of third party reimbursement, and actions by the FDA.
ClosureFAST is a registered trademark of Tyco Healthcare Group, L.P., a division of Covidien. Vascular Solutions' reprocessing service for the ClosureFAST catheter is not licensed by or associated with Covidien.
For further information, connect to www.vasc.com.
James Hennen, CFO Phil Nalbone, VP Vascular Solutions, Inc. (763) 656-4300