Healthcare Industry News: North American Scientific
News Release - October 3, 2007
North American Scientific Wins New Brachytherapy ContractCore Oncology Selects North American Scientific's Prospera(R) Palladium Seeds for Worldwide Distribution
CHATSWORTH, Calif.--(HSMN NewsFeed)--North American Scientific, Inc. (Nasdaq:NASI ) today announced that Core Oncology, Inc. has chosen North American Scientific as its exclusive supplier of Palladium (Pd)-103 brachytherapy seeds for use in the soft-tissue brachytherapy market. Core Oncology develops and manufactures brachytherapy delivery techniques and services, and is the third largest domestic supplier of Pd-103 seeds for low dose prostate brachytherapy treatment. As part of the agreement, North American Scientific will supply its Prospera Pd-103 brachytherapy seeds to Core Oncology for global distribution. The agreement has an initial term of three years.
"We believe that Core Oncology's decision to standardize their supply with Prospera seeds represents a milestone achievement for our company," said John B. Rush, President and Chief Executive Officer of North American Scientific. "Sales stemming from this agreement will generate additional revenue and allow us to increase our production volumes, which should lead to incremental improvement in our gross margin. In addition, we believe this contract will support predictable revenue growth and our march toward profitability. We look forward to working with Core Oncology and supplying their clients with our clinically effective and reliable Prospera brachytherapy seeds."
"We chose North American Scientific because its Prospera seed delivers standardized seed geometries, is in compliance with all industry guidelines and has excellent dose characteristics," said Travis Gay, Chief Executive Officer of Core Oncology. "We also believe that by moving to North American Scientific's products we significantly enhance the quality of our product line, enabling us to serve a larger market. Our goal is to provide industry-leading products and services to our clients, and this new partnership illustrates our commitment to this ideal. North American Scientific has a longstanding clinical history and its seeds are accepted as an industry standard."
About Core Oncology
Founded in 2006, Core Oncology acquired the brachytherapy business owned by Coloplast, formerly Mentor in June, 2007; Core Oncology has established itself as a leader in the North American radiation oncology market. As the first company to offer both Iodine and Palladium brachytherapy sources, Core continues to launch innovative delivery technologies and services. Core's mission is to address customer needs with superior products and services which combine revolutionary delivery techniques with unparalleled customer care.
To learn more about the Core's products and services, please visit www.coreoncology.com.
About North American Scientific
North American Scientific is a leader in radiation therapy in the fight against cancer. Its innovative products provide physicians with tools for the treatment of various types of cancers. They include ProsperaŽ brachytherapy seeds and SurTRAK(TM) needles and strands used primarily in the treatment of prostate cancer. In addition the Company plans to commercialize its ClearPath(TM) multi-channel catheter breast brachytherapy devices in 2007, which are the only devices approved for both high dose and continuous release, or low dose, radiation treatments. The devices are designed to provide flexible, precise dose conformance and an innovative delivery system that is intended to offer the more advanced form of brachytherapy for the treatment of breast cancer. Please visit www.nasmedical.com for more information.
Statements included in this release that are not historical facts may be considered forward-looking statements that are subject to a variety of risks and uncertainties. There are a number of important factors that could cause actual results to differ materially from those expressed in any forward-looking statements made by the Company including, but not limited to, the impact of competitive products and pricing, technological changes, changes in relationships with strategic partners and dependence upon strategic partners for the performance of critical activities under collaborative agreements, the ability of the Company to successfully directly market and sell its products, uncertainties relating to patent protection and regulatory approval, the stable supply of appropriate isotopes, research and development estimates, market opportunities, risks associated with strategic opportunities or acquisitions the Company may pursue and the risk factors included in the Company's filings with the Securities and Exchange Commission. Any forward-looking statements contained in this news release speak only as of the date of this release, and the Company undertakes no obligation to revise or update any forward-looking statements, whether as a result of new information, future results or otherwise.
Source: North American Scientific
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