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Biotech / Medical : GSII - GENERAL SURGICAL INNOVATIONS, INC.

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To: Epics who wrote (145)11/13/1998 11:38:00 AM
From: Lighthouse  Read Replies (1) of 211
 
GSI continues to win in the courtroom which is very good news. GDT continues to contest and appeal, expected reaction. GDT's end game scenario in this contest will be fun to watch.

1) Do you continue to fight GSI in the courtroom and take your chances with sales in the Origin division? Origin is not a big division at GDT and the upper management probably does not spend a lot of time thinking about it. That may change if GDT ever gets its Endovascular Technologies AAA graft to work right.

2)Do you sign a royalty agreement with GSI on sales that use GSI patents? I believe GSI would sign on somewhere from 5 to 20% of sales? Does that sound right Steve Bonelli? In this case you conceed the legal case and hope to continue to win in the marketplace. I would not put it past GDT to try this angle.

3) You buy GSI. GDT has the resources, but I do not know if they have the inclination. {OT - USS was bought by Tyco which has the Kendall Vascular medical division - they like acquisitions right?}

My guess, and it is just as bad as everybodys' is that GDT chooses a mix of #1 and #2. If they truely think they will lose all the court cases (and their track record so far against GSI stinks) they will try the royalty deal.

Just my two uninformed cents
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