GREY:TSTIF - Post by User
Comment by
fraser2503on Mar 23, 2016 8:46am
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Post# 24691518
RE:Deferred Revenues (short and long term) ?
RE:Deferred Revenues (short and long term) ?"Notes to the Consolidated Financial Statements Years ended December 31, 2015 and 2014 (In Canadian $)
11. Deferred Revenues On November 25, 2015, the Company entered into an exclusive distribution agreement with Getinge to distribute the STERIZONE® VP4 Sterilizer worldwide in exchange for US$7.5 million. The agreement includes performance requirements for five years as well as a formula for minimum unit shipments. Getinge will also receive ongoing technical support from the Company.
The Company recorded the US$7.5 million received as deferred revenues.
Sales under the agreement are made on a fixed price basis in US dollars to Getinge, who will be the only customer for the STERIZONE® VP4 Sterilizer while the agreement is in force.
Current deferred revenues also include the unamortized portion of prepaid service contracts covering a part of the installed base of STERIZONE® Sterilizers in Canada."