ST. PAUL, Minn., Feb. 28 /PRNewswire-FirstCall/ -- At the Synovis Life
Technologies, Inc. (Nasdaq: SYNO) annual shareholders' meeting today,
President and Chief Executive Officer Karen Gilles Larson commented on
coverage developments in gastric bypass surgery, a primary market for the
company's Peri-Strips(R) (PSD and PSD-Veritas(R)) products. These buttresses
are used to reinforce surgical staple lines and reduce the risk of leaks of
air, blood or bodily fluids that can cause surgical complications.
Larson noted that last week the Centers for Medicare & Medicaid Services
(CMS) announced a decision to provide reimbursement for three forms of gastric
bypass surgery to treat obesity in Medicare beneficiaries of any age, if they
are treated at centers certified by the American Society of Bariatric Surgery
or the American College of Surgeons.
"This is good news because private insurers generally follow CMS' lead,
and they will have less basis for denying the safety or benefits of these
procedures when performed at certified institutions by qualified surgeons,"
said Larson. "Qualified surgeons, practicing in regions where private
insurance coverage of roux-en-y surgery has been poor, expect to see their
procedure numbers increase when, as they anticipate, private payors who do not
currently cover or who restrict coverage of gastric bypass feel the pressure
of the CMS decision. These surgeons include those who use Peri-Strips.
Synovis, therefore, expects to see an increase in business, if private payor
coverage improves." Synovis has more than 10 years experience with
Peri-Strips, and the data show that it can reduce complication rates.
Treating obesity has the potential to save Medicare money by improving
patients' health and reversing obesity-related conditions, such as diabetes
and cardiovascular disease. Larson added that the company plans to introduce a
circular Peri-Strips buttress, designed specifically for the circular staplers
used in bariatric surgery, during the second and third fiscal quarters.
Currently, the company is conducting a clinical evaluation of a larger
circular buttress for use in colorectal surgery, a new application and
potentially large market opportunity. The study's objective is to determine if
the buttress offers significant benefits in these complicated surgeries.
Synovis also announced the results of business transacted at today's
annual meeting. Based on votes cast in person and represented by proxy,
shareholders voted to set the number of the board of directors at six, elected
the six nominated directors to the board and approved the company's 2006 stock
incentive plan.
About Synovis Life Technologies
Synovis Life Technologies, Inc., based in St. Paul, Minn., is a
diversified medical device company engaged in developing, manufacturing and
bringing to market medical devices for the surgical and interventional
treatment of disease. For additional information on Synovis Life Technologies
and its businesses, visit the company's Web site at
http://www.synovislife.com .
Forward-looking statements contained in this press release are made
pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. The statements can be identified by words such as
"should", "could", "may", "will", "expect", "believe", "anticipate",
"estimate", "continue", or other similar expressions. Certain important
factors that could cause results to differ materially from those anticipated
by the forward-looking statements made herein include the timing of product
introductions, outcomes of clinical trials and regulatory submissions, the
number of certain surgical procedures performed, the level of orders from
contract manufacturing customers, and the effectiveness of the company's plan
to transition to a direct sales force, as well as the other factors found in
the company's Annual Report on Form 10-K for the year ended October 31, 2005.
SOURCE Synovis Life Technologies, Inc.
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Related links:
http://www.synovislife.com
CONTACT:
Nancy A. Johnson, +1-612-455-1745, or Marian
Briggs, +1-612-455-1742, both of Padilla Speer Beardsley Inc., or
Brett Reynolds, CFO of Synovis Life Technologies, Inc.,
+1-651-796-7300
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