RE:RE:RE:QuestionsFrank, the licensing agreement includes minimum royalties and other triggers to assure minimum performance metrics are met, so I expect continual annual compound growth in sales, but could only guess what the minimum percentages might be.
1.) Covalon has a supply AND distribution agreement with Molnlycke, Brian had indicated that the gross margins for IV Clear and SurgiClear would be about the same as when they were distributing through their own network of smaller distributors.
2.) "Cheaper alternative" is a very abstract concept with all the financial disincentives against hospitals with high infection rates in the affordable care act. Based on what I see in online catalog listings, the list prices of the Mepitel Film AM looks fairly competitive with silver only antimicrobial dressings; but there's a lot more for hospitals to consider......an ounce of prevention may be worth more than a pound of cure now:
"In the first year of the penalties for hospital-acquired conditions, Medicare will look at three measures. One is the frequency of bloodstream infections among patients who had catheters inserted into a vein to deliver antibiotics, nutrients, chemotherapy or other treatments. The second measure is the rate of infections from catheters inserted into the bladder to drain urine. Finally, Medicare will examine a variety of avoidable health problems some patients experience in hospitals, including bedsores, hip fractures, blood clots and accidental lung punctures."
Hospitals to Pay Big Fines for Infections, Avoidabel Injuries