Highlights from NASI conference call 1/30/98
Company believes they are now qualified for NASDAQ listing, expect to be listed in February, after which they expect more interest from Wall Street analysts. They would also expect more media coverage of
brachytherapy for prostate cancer in February, because it no longer considered an experimental procedure, but a recognized alternative to traditional surgery,with a better side effect profile, as published in 5 to 7 year studies. They believe that they do not need the publicity at present because there is excess demand, but it is good to get the word out to the public so they know, they do have a choice.
Iodine seeds began shipping in early January, and are very happy with the quality- "no complaints". They are "pretty confident" they can achieve there goal of shipping an average on 10,000 seeds per week in calender 1998. Are shipping about 3000 now, will be 10,000 by mid year and "obviously above that in the latter part of the year to achieve the average goal".
Ramp up is very methodical to accomodate the logistics of building an inventory to have seeds available when customers need them.
Will "definately need more space for manufacturing in calendar 1998".
Are talking to several "potential partners" with regards to radiation therapy used with conventional angioplasty as a means for reducing restinosis,(reclosure of the arteries post angioplasty). They want to be considered a provider of radiation sources, as no companies involved with stents restenosis prevention have internal capacity to make radioactive sources. "We should have a clear path to being a good
supplier to one or more of these partners".
After Iodine seed ramp-up, may be interested in "joining forces" with other companies that make isotopes, in sales and/or manufacturing.
Mentor distribution agreement on seeds is a three year, exclusive international agreement. Revenues are split 50/50, for seeds priced over $30 and under $30 NASI is guaranteed $15 per seed. Very large orders may be negotiated. Agreement has certain performance based distribution requirements for Mentor.
Each procedure uses 80 to 100 seeds. There were 19,000 procedures last year, and is expected to double this year. |
