75 Montebello Road
Suffern, NY 10901
Martin Kelly, President/CEO
Michael Garvin, Vice President
Samuel Gilner, VP Finance
Product Line or Service The Companys flagship product is
the retractable STAT-TRAK Safety Syringe which incorporates patented retraction
technology which enables a health care professional to retract the needle permanently into
the barrel with little change in operating technique. This renders the syringe unusable,
allowing the device to be discarded safely and conveniently. The Company also has another
safety medical device, STAT-DENTAL, a retractable dental syringe.
Technology/Proprietary Rights The Companys
STAT-TRAK Safety Syringe and STAT-DENTAL Syringe is proprietary technology
that is protected under four (4) patents in the United States as well as ten (10) patents
internationally. At present, there are nineteen (19) patent applications pending in
Market Opportunities The hypodermic syringe market is in a
state of transition. Although the market continues to grow, the industry focus is directed
toward manufacturers which provide safety syringes. A wait and see attitude will soon
change to a buy posture. Healthcare providers are being pressured to begin using safety
syringes by concerned workers, government agencies and insurers.
Unit sales in the United States alone for all syringe types are projected to reach over
5.6 billion units in 1996. The global market has been estimated at twice the U.S. market,
bringing the projected number of syringes produced in 1996 to 11.2 billion. These
estimates were based on a November, 1995 research report ("Theta Report")
published by the Theta Corporation, a Connecticut-based market research firm. According to
the report, the transition from standard syringes to safety syringes (those which
incorporate features designed to cover the needle of the syringe to prevent against
accidental needlestick injuries) is being driven by the Occupational Safety and Health
Marketing/Sales and Distribution The Company has conducted a
thorough review and test of its competitors "safety" syringes. Based on
this review and a comprehensive market study, the Company intends to market its
STAT-TRAK (1cc, 3cc, 5cc and 10cc sizes) as the only "truly effective"
safety syringe available for the U.S. market. The Company believes that sleeve syringes,
which comprise approximately ninety percent (90%) of the safety syringe market and which
are currently marketed by Becton Dickinson and Sherwood Medical, are awkward to use,
provide inadequate protection, provide a false sense of security and are susceptible to
reuse by intravenous drug users.
The Theta Corporation Report confirms that the healthcare community is anxiously
awaiting an effective safety syringe and a significant demand exists for the
"right" product. The Company believes that STAT-TRAK syringe provides all
of the desired safety features.
Furthermore, according to the Theta Report, the sale of safety syringes will eclipse
the sale of non-safety syringes by the end of this century. The upsurge in the market will
be attributable in part to OSHA, the Center for Disease Control (CDC) and the demand by
healthcare workers for increased availability of safety needle devices, and in part by the
need of healthcare institutions to meet the requirements of insurers.
The Company is currently researching various distribution methods for its products.
Initial limited production capability will be a major factor in the decision making
process relative to distribution channels and methods. However, preliminary discussions
referenced above, with distributors and buying groups, have revealed no reservation or
reluctance by these parties to purchase the STAT-TRAK syringe, even in limited
Competition The medical products device market, in particular
the hypodermic syringe products market, is highly competitive. The leading manufacturers
of hypodermic syringes are Becton Dickinson, Sherwood Medical Products Co., a subsidiary
of American Home Products Corp., and Terumo Medical Corp. Safety syringes are manufactured
by Becton Dickinson and Sherwood Medical.
Manufacturing The Company intends to manufacture and produce
the STAT-TRAK 1cc, 3cc, 5cc and 10cc Safety Syringe using an existing third party
manufacturing facility. The Company intends to achieve such manufacturing and production
capabilities under a formal manufacturing and production contract. To date, the Company
has carried out limited evaluation of such facilities.
Financial At this time, it is difficult to accurately forecast
revenue and profits because joint venture agreements have not been finalized. However,
based on current negotiations with a number of potential strategic partners and the
potential for product orders from certain overseas countries, management believes that its
two safety syringe products can produce substantial revenues for the Company in the