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Biotech / Medical : Tutogen Medical, Inc. (OTCBB: TTGN) -- Ignore unavailable to you. Want to Upgrade?

To: leigh aulper who wrote (42)	2/7/2001 2:06:37 PM
From: leigh aulper	Respond to of 56

Tutogen Reports Increased Earnings and the Launch of Tutoplast Bioimplants by Sulzer Spine-Tech CLIFTON, N.J.--(BUSINESS WIRE)--Feb. 7, 2001--Tutogen Medical Inc. (AMEX: TTG - news), today announced that net earnings for the first quarter of fiscal 2001 increased to $1, 093,000, or $0.08 per share, up from $524,000, or $0.05 per share, reported for the first quarter of the prior year. Total revenue for the quarter is being reported at $3,147,000 as compared to the first quarter of last year, which totaled $4,407,000. The Company received distribution fees totaling $1,000,000 during the first quarter of 2001. In accordance with Generally Accepted Accounting Principles $927,000 of the distribution fees have been deferred and will be amortized over the life of the agreement. Revenues decreased by 29% to $3,147,000 from $4,407,000 for the first quarter of fiscal 2001 due to the change in accounting method and a temporary reduction in demand from Mentor Corporation resulting from higher than expected inventories during a reorganization of their sales programs. The effect of the diminished demand was partially offset by the rollout of the Company's Tutoplast® bone implants for spinal application by Sulzer Spine-Tech, which contributed nearly $500,000. Net earnings for the first quarter of fiscal 2001 were positively impacted by the one-time recognition of $2,850,000 of net operating carryforward losses from International operations based upon future taxable income projections. In the past, the Company included in current revenues, the total amount of non-refundable distribution fees. In accordance with SEC Staff Accounting Bulletin No. 101 - Revenue Recognition in Financial Statements-- the Company will recognize distribution fees as revenue over the life of the agreements. As a result of this change in accounting method, there is a one-time charge to net earnings of $1,724,000 for the cumulative effect of this change or the adoption of this new standard as it relates to prior contracts. Manfred Krueger, President, remarked, ``The launch of the first Tutogen bioimplants by Sulzer Spine-Tech signals the implementation of our marketing strategy. As we enter additional markets we will reduce our exposure to irregular order flow, and draw closer to our goal of becoming a world-class medical device company.'' Tutogen Medical, Inc. utilizes its patented Tutoplast® process of tissue preservation and viral inactivation, to manufacture bioimplants for neurosurgical, orthopedic, reconstructive and general surgical indications. The Company's Tutoplast® products are sold and distributed worldwide by the Mentor Corporation (NMS: MNTR), Sulzer Medica (NYSE: SM - news), IOP, Inc. and through subsidiaries in the U.S. and Germany.