UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of Earliest Event Reported): | August 10, 2011 |
Biolase Technology, Inc.
__________________________________________
(Exact name of registrant as specified in its charter)
Delaware | 000-19627 | 87-0442441 |
_____________________ (State or other jurisdiction |
_____________ (Commission |
______________ (I.R.S. Employer |
of incorporation) | File Number) | Identification No.) |
4 Cromwell, Irvine, California | 92618 | |
_________________________________ (Address of principal executive offices) |
___________ (Zip Code) |
Registrants telephone number, including area code: | 949-361-1200 |
Not Applicable
______________________________________________
Former name or former address, if changed since last report
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition.
On August 10, 2011, Biolase Technology, Inc. (the "Company") issued a press release announcing its financial results for the second quarter ended June 30, 2011. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.
Item 8.01 Other Events.
On August 10, 2011, the Company issued a press release announcing approval by its Board of Directors of the repurchase of up to 2,000,000 shares of the Company’s outstanding common stock. In addition, the Company issued a press release announcing the fulfillment of a prepaid purchase order under a distribution agreement with Henry Schein, Inc. Copies of the press releases are filed as Exhibits 99.2 and 99.3, respectively, to this Current Report on Form 8-K and are incorporated by reference herein.
Item 9.01 Financial Statements and Exhibits.
d) Exhibits.
99.1 Press Release of Biolase Technology, Inc., dated August 10, 2011.
99.2 Press Release of Biolase Technology, Inc., dated August 10, 2011.
99.3 Press Release of Biolase Technology, Inc., dated August 10, 2011.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Biolase Technology, Inc. | ||||
August 10, 2011 | By: |
/s/ Federico Pignatelli
|
||
|
||||
Name: Federico Pignatelli | ||||
Title: Chairman and Chief Executive Officer |
Exhibit Index
Exhibit No. | Description | |
|
|
|
99.1
|
Press Release of Biolase Technology, Inc., dated August 10, 2011. | |
99.2
|
Press Release of Biolase Technology, Inc., dated August 10, 2011. | |
99.3
|
Press Release of Biolase Technology, Inc., dated August 10, 2011. |
NEWS RELEASE for August 10, 2011
BIOLASE REPORTS SECOND QUARTER, SIX-MONTH RESULTS
| $12.1 Million in Q2 Revenue, up 105 Percent Year over Year |
| Q2 GAAP Loss of $753,000, or $0.03 Loss per Share |
| Q2 Non-GAAP Profit of $6,000, or $0.00 per Share, Third Consecutive Quarter of Non-GAAP Profit, First Time Since the Second Quarter of 2004 |
| Revenue Guidance of $14.0 Million $15.0 Million for Q3, up from $6.2 Million, Year over Year |
IRVINE, CA (August 10, 2011) BIOLASE Technology, Inc. (NASDAQ:BLTI), the Worlds leading dental laser manufacturer and distributor, today reported unaudited operating results for its second quarter and six months ended June 30, 2011.
Net revenue for this years second quarter was $12.1 million, up 105 percent from $5.9 million in the same quarter for 2010 and up 14 percent sequentially from $10.6 million in the first quarter of 2011. These increases were driven by BIOLASEs return to a direct sales and multi-distributor business model which was implemented during the fourth quarter of 2010. Net revenue for the first six months of 2011 was $22.6 million, up 120 percent from $10.3 million in the prior year period. Approximately 63 percent of BIOLASEs revenues for the second quarter and 53 percent of revenues for the six months ended June 30, 2011, were from the sale of its all-tissue Waterlase systems, the majority of which have been the newly introduced, revolutionary Waterlase iPlus. Sales of BIOLASEs diode laser systems made up approximately 14 percent and 24 percent of total revenues during the second quarter and six months ended June 30, 2011, respectively. Excluding royalties of $390,000 and $1.1 million in the second quarter of 2011 and 2010, respectively, net revenue increased $6.9 million, or 146 percent, period over period.
As announced in July, approximately $2 million of orders received in the second quarter were unable to be shipped by June 30, 2011, primarily due to the timing of a significant change order placed by Henry Schein, Inc. (NASDAQ:HSIC) and the resulting delays of critical components. During the early part of the third quarter, BIOLASE completely fulfilled the final portion of its two irrevocable purchase orders from Schein which originally totaled $9 million.
The percentage of net revenue in this years second quarter from the U.S. and international markets totaled approximately 71 percent and 29 percent, respectively, as compared to approximately 60 percent and 40 percent of net revenue in the prior year comparable period. In April 2011, BIOLASE announced that it had also regained full rights to sell and/or distribute its products in all international markets which were previously exclusive markets of Schein. As a result, BIOLASE is now selling through multiple distributors, with the ability to sell direct, in those markets on a go-forward basis. As the Company has spent the first two quarters of the year reorganizing its international sales model, BIOLASE has experienced a reduction in its international sales as a percentage of total sales. International sales are expected to substantially increase as a percentage of total sales on a go-forward basis.
Federico Pignatelli, Chairman and CEO, said, The rate of revenue growth and operational progress at the Company continued to accelerate in the second quarter and our momentum going into the second half of the year is strong. Sales activities across our laser product platforms remained very active especially in the case of the Waterlase iPlus, which we believe will become the most successful all-tissue dental laser in history. In addition, we are now taking orders and will soon be shipping the first units from our new BIOLASE DaVinci Imaging product line. We believe that the launch of imaging will not only benefit revenues, but will create additional synergy and higher utilization of our sales force investment for years to come. Our launch into the dental digital imaging capital equipment market allows us to leverage our valuable brand and existing install base and offer a perfect complement to our laser devices which is the next logical step in offering dentists our Total Technology Solution.
Recent Highlights
A series of recent actions, developments and key accomplishments include the following:
| The receipt of first orders for the Companys new state-of-the-art BIOLASE DaVinci Imaging dental imaging devices for delivery in the third quarter. These products cover a wide range of applications and range in price from $3,000 to $125,000. |
| The hiring of Richard Whipp as Director of Operations. Whipps experience with lean manufacturing and supply chain management has made an immediate positive impact on the Companys supply chain and production flow. |
| The opening of Asian headquarters in Shanghai, China, and a direct sales and service office in Mumbai, India. |
| The receipt of approximately $9.024 million from institutional investors in a private placement during June 2011 through the sale of 1,625,947 shares of common stock and an aggregate number of warrants to purchase up to 812,974 shares of common stock. |
| The increase of BIOLASEs Net Equity from a stockholders deficit of approximately $3.5 million at September 30, 2010, to positive stockholders net equity of $14.9 million at June 30, 2011, an increase of $18.4 million in the past nine months. |
| The award of three new patents that significantly strengthened the intellectual property surrounding the Companys core laser technology and extended it well into 2026 while augmenting protection for many newer features and alternatives such as more laser wavelengths. |
| The award of two new patents directly related to treating presbyopia, a condition suffered by 2.5 billion people worldwide, giving BIOLASE one of the widest ranges of applications and coverage in the field. BIOLASE remains focused on obtaining by 2013 the grant of an Investigational Device Exemption using this technology. |
| The receipt of MDB Capital Groups (MDBs) ASTRUM Award for the Companys innovation and development of numerous disruptive technologies. BIOLASE was selected from MDBs 2011 group of Best and Brightest small-cap companies, a group that is advancing some of todays most innovative and market-leading intellectual property. |
| The declaration of a 1 percent stock dividend payable on June 30, 2011 to stockholders of record on June 10, 2011. |
| The inclusion of BIOLASE in the Russell 2000(R) and Russell Global Indexes when Russell Investments reconstituted its comprehensive set of U.S. and global equity indexes on June 24, 2011. |
| Dismissal of all of the claims made by Philips Electronics (NYSE:PHG) and Discus Dental LLC against the Company, whereby they claimed that the BIOLASEs iLase personal laser infringed Discus design patent, as well as trade dress rights Discus claimed in its own dental lasers. Such claims were dismissed in their entirety with prejudice with the court on July 12, 2011. |
Gross profit as a percentage of net revenue for this years second quarter and first six months was 46.5 percent and 46.2 percent, respectively, compared to 32.8 percent and 21.4 percent for the prior year comparable periods. Gross profit increased as a percent of net revenue from 45.8 percent in the first quarter of 2011 to 46.5 percent in this years second quarter despite additional production costs and expedite fees. The year-over-year increases were primarily due to higher sales volumes as a result of expanding the Companys product offering, better utilization of fixed costs, and reduced expenses, offset by the decline in Procter & Gamble royalty revenue.
Operating expenses in the 2011 second quarter and first six months were $6.3 million and $11.6 million, respectively, compared to $6.1 million and $11.6 million in the year-earlier periods.
The net loss for the second quarter of 2011 totaled $753,000, or a loss of $0.03 per share, compared to a net loss of $4.2 million, or a loss of $0.17 per share, in the second quarter of 2010. After removing interest expense of $6,000, non-cash depreciation and amortization expenses of $183,000, and non-cash stock-based compensation expense of $570,000, this years second quarter resulted in an adjusted non-GAAP net income of $6,000, or $0.00 per share, for the second quarter of 2011 compared with a non-GAAP net loss of $3.7 million, or a loss of $0.15 per share, for the second quarter of 2010. This is the first time since the second quarter of 2004 that BIOLASE has generated three consecutive quarters of non-GAAP net income.
The net loss for the first six months of 2011 was $1.5 million, or a loss of $0.06 per share, compared to a net loss of $9.5 million, or a loss of $0.38 per share, for the year-earlier period. Non-GAAP net income was $98,000, or $0.00 per share, for this years first six months compared with a non-GAAP net loss of $8.5 million, or a loss of $0.34 per share, for the same period in 2010.
As of June 30, 2011, cash and cash equivalents totaled $10.1 million and shareholders equity was $14.9 million.
Conference Call
As previously announced, the Company will host a conference call today at 11:00 a.m. Eastern Time
to discuss its operating results for the second quarter and six months ended June 30, 2011, and to
answer questions. The dial-in number for the call is toll-free 1-877-941-2069 or
toll/international 1-480-629-9665. The live webcast and archived replay of the call can be
accessed in the Investors section of the BIOLASE website at www.biolase.com.
About BIOLASE Technology, Inc.
BIOLASE Technology, Inc., the Worlds leading Dental Laser Company, is a medical technology company
that develops, manufactures and markets dental lasers and also distributes and markets dental
imaging equipment, products that are focused on technologies that advance the practice of dentistry
and medicine. The Companys laser products incorporate patented and patent pending technologies
designed to provide clinically superior performance with less pain and faster recovery times. Its
imaging products provide cutting-edge technology at competitive prices to deliver the best results
for dentists and patients. BIOLASEs principal products are dental laser systems that perform a
broad range of dental procedures, including cosmetic and complex surgical applications, and a full
line of dental imaging equipment. Other products under development address ophthalmology and other
medical and consumer markets.
For updates and information on laser and Waterlase dentistry, find BIOLASE at http://www.biolase.com, Twitter at http://twitter.com/GoWaterlase, and YouTube at http://www.youtube.com/user/Rossca08.
This press release may contain forward-looking statements within the meaning of safe harbor provided by the Securities Reform Act of 1995 that are based on the current expectations and estimates by our management. These forward-looking statements can be identified through the use of words such as anticipates, expects, intends, plans, believes, seeks, estimates, may, will, and variations of these words or similar expressions. Forward-looking statements are based on managements current, preliminary expectations and are subject to risks, uncertainties and other factors which may cause the Companys actual results to differ materially from the statements contained herein, and are described in the Companys reports it files with the Securities and Exchange Commission, including its annual and quarterly reports. No undue reliance should be placed on forward-looking statements. Such information is subject to change, and we undertake no obligation to update such statements.
For further information, please contact: Jill Bertotti, of Allen & Caron, +1-949-474-4300.
- TABLES FOLLOW -
BIOLASE TECHNOLOGY, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
(in thousands, except per share data)
Three Months Ended | Six Months Ended | |||||||||||||||
June 30, | June 30, | |||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||
Products and services revenue |
$ | 11,689 | $ | 4,744 | $ | 22,235 | $ | 9,083 | ||||||||
License fees and royalty revenue |
390 | 1,148 | 405 | 1,204 | ||||||||||||
Net revenue |
12,079 | 5,892 | 22,640 | 10,287 | ||||||||||||
Cost of revenue |
6,466 | 3,961 | 12,188 | 8,086 | ||||||||||||
Gross profit |
5,613 | 1,931 | 10,452 | 2,201 | ||||||||||||
Operating expenses: |
||||||||||||||||
Sales and marketing |
3,010 | 3,082 | 5,463 | 5,715 | ||||||||||||
General and administrative |
2,227 | 1,976 | 3,926 | 3,701 | ||||||||||||
Engineering and development. |
1,093 | 995 | 2,186 | 2,215 | ||||||||||||
Total operating expenses |
6,330 | 6,053 | 11,575 | 11,631 | ||||||||||||
Loss from operations |
(717 | ) | (4,122 | ) | (1,123 | ) | (9,430 | ) | ||||||||
(Loss) gain on foreign currency
transactions |
(16 | ) | 26 | (54 | ) | 43 | ||||||||||
Interest income |
| | | 1 | ||||||||||||
Interest expense |
(6 | ) | (55 | ) | (304 | ) | (59 | ) | ||||||||
Non-operating loss, net |
(22 | ) | (29 | ) | (358 | ) | (15 | ) | ||||||||
Loss before income tax provision |
(739 | ) | (4,151 | ) | (1,481 | ) | (9,445 | ) | ||||||||
Income tax provision |
14 | 13 | 22 | 24 | ||||||||||||
Net Loss |
$ | (753 | ) | $ | (4,164 | ) | $ | (1,503 | ) | $ | (9,469 | ) | ||||
Net loss per share: |
||||||||||||||||
Basic |
$ | (0.03 | ) | $ | (0.17 | ) | $ | (0.06 | ) | $ | (0.38 | ) | ||||
Diluted |
$ | (0.03 | ) | $ | (0.17 | ) | $ | (0.06 | ) | $ | (0.38 | ) | ||||
Shares used in the calculation
of net loss per share: |
||||||||||||||||
Basic |
28,097 | 24,955 | 27,340 | 24,946 | ||||||||||||
Diluted |
28,097 | 24,955 | 27,340 | 24,946 | ||||||||||||
MORE-MORE-MORE
BIOLASE TECHNOLOGY, INC.
CONSOLIDATED BALANCE SHEETS (Unaudited)
(in thousands, except per share data)
June 30, 2011 | December 31, 2010 | |||||||
ASSETS |
||||||||
Current assets: |
||||||||
Cash and cash equivalents |
$ | 10,134 | $ | 1,694 | ||||
Accounts receivable, less allowance of $268 and $311 in 2011 and 2010, |
||||||||
respectively |
6,398 | 3,331 | ||||||
Inventory, net |
8,029 | 6,987 | ||||||
Prepaid expenses and other current assets |
771 | 1,355 | ||||||
Total current assets |
25,332 | 13,367 | ||||||
Property, plant and equipment, net |
1,184 | 1,331 | ||||||
Intangible assets, net |
277 | 342 | ||||||
Goodwill |
2,926 | 2,926 | ||||||
Deferred tax asset |
13 | 11 | ||||||
Other assets |
185 | 170 | ||||||
Total assets |
$ | 29,917 | $ | 18,147 | ||||
LIABILITIES AND STOCKHOLDERS EQUITY (DEFICIT) |
||||||||
Current liabilities: |
||||||||
Term loan payable, current portion |
$ | | $ | 2,622 | ||||
Accounts payable |
5,035 | 4,029 | ||||||
Accrued liabilities |
5,437 | 5,482 | ||||||
Customer deposits |
918 | 5,877 | ||||||
Deferred revenue, current portion |
2,185 | 1,650 | ||||||
Total current liabilities |
13,575 | 19,660 | ||||||
Deferred tax liabilities |
580 | 544 | ||||||
Warranty accrual, long-term |
431 | 424 | ||||||
Deferred revenue, long-term |
41 | 433 | ||||||
Other liabilities, long-term |
379 | 133 | ||||||
Total liabilities |
15,006 | 21,194 | ||||||
Stockholders equity (deficit): |
||||||||
Preferred stock, par value $0.001, 1,000 shares authorized, no shares
issued and outstanding |
| | ||||||
Common stock, par value $0.001, 50,000 shares authorized; 31,809 and
27,120 shares issued and 29,845 and 25,156 shares outstanding in 2011 |
||||||||
and 2010, respectively |
32 | 27 | ||||||
Additional paid-in capital |
137,670 | 118,375 | ||||||
Accumulated other comprehensive loss |
(163 | ) | (324 | ) | ||||
Accumulated deficit |
(106,229 | ) | (104,726 | ) | ||||
31,310 | 13,352 | |||||||
Treasury stock (cost of 1,964 shares repurchased) |
(16,399 | ) | (16,399 | ) | ||||
Total stockholders equity (deficit) |
14,911 | (3,047 | ) | |||||
Total liabilities and stockholders equity (deficit) |
$ | 29,917 | $ | 18,147 | ||||
MORE-MORE-MORE
Non-GAAP Financial Measures |
The non-GAAP financial measures contained herein are a supplement to the corresponding financial measures prepared in accordance with generally accepted accounting principles (GAAP). The non-GAAP financial measures presented exclude the items summarized in the below table. Management believes that adjustments for these items assist investors in making comparisons of period-to-period operating results and that these items are not indicative of the Companys on-going core operating performance.
Management uses non-GAAP net income (loss) and non-GAAP net income (loss) per diluted share in its evaluation of the Companys core after-tax results of operations and trends between fiscal periods and believes that these measures are important components of its internal performance measurement process. Management believes that providing these non-GAAP financial measures allows investors to view the Companys financial results in the way that management views the financial results.
The non-GAAP financial measures presented herein have certain limitations in that they do not reflect all of the costs associated with the operations of the Companys business as determined in accordance with GAAP. Therefore, investors should consider non-GAAP financial measures in addition to, and not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP. The non-GAAP financial measures presented by the Company may be different from the non-GAAP financial measures used by other companies.
BIOLASE TECHNOLOGY, INC.
Reconciliation of GAAP Financial Results to Non-GAAP Financial Measures
(Unaudited)
(in thousands, except per share data)
Three months ended | Six months ended | |||||||||||||||||||||||
June 30, | June 30, | |||||||||||||||||||||||
2011 | 2010 | 2011 | 2010 | |||||||||||||||||||||
GAAP net loss |
$ | (753 | ) | $ | (4,164 | ) | $ | (1,503 | ) | $ | (9,469 | ) | ||||||||||||
Adjustments: |
||||||||||||||||||||||||
Interest expense |
6 | 55 | 304 | 59 | ||||||||||||||||||||
Depreciation and amortization expense |
183 | 272 | 411 | 571 | ||||||||||||||||||||
Stock based and equity instrument
compensation expense |
570 | 180 | 886 | 386 | ||||||||||||||||||||
Non-GAAP net income (loss) |
$ | 6 | $ | (3,657 | ) | $ | 98 | $ | (8,453 | ) | ||||||||||||||
GAAP net loss per share: |
||||||||||||||||||||||||
Basic and Diluted |
$ | (0.03 | ) | $ | (0.17 | ) | $ | (0.06 | ) | $ | (0.38 | ) | ||||||||||||
Adjustments: |
||||||||||||||||||||||||
Interest expense |
0.00 | 0.00 | 0.01 | 0.00 | ||||||||||||||||||||
Depreciation and amortization expense |
0.01 | 0.01 | 0.02 | 0.02 | ||||||||||||||||||||
Stock based and equity instrument
compensation expense |
0.02 | 0.01 | 0.03 | 0.02 | ||||||||||||||||||||
Non-GAAP net income (loss) per share: |
||||||||||||||||||||||||
Basic and Diluted |
$ | 0.00 | $ | (0.15 | ) | $ | 0.00 | $ | (0.34 | ) | ||||||||||||||
# # # #
NEWS RELEASE for August 10, 2011
BIOLASE ANNOUNCES STOCK REPURCHASE PROGRAM
IRVINE, CA (August 10, 2011) BIOLASE Technology, Inc. (NASDAQ:BLTI), the Worlds leading dental laser manufacturer and distributor, today announced that its Board of Directors has approved a stock repurchase program of up to 2,000,000 shares of the Companys outstanding common stock.
The stock repurchase program will be effective commencing on the business day following the filing of the Companys quarterly report on Form 10-Q for the quarter ended June 30, 2011 with the Securities and Exchange Commission and will expire on the same day 24 months thereafter. Purchases may be made from time to time through a variety of methods, including open market purchases, privately negotiated transactions, and block transactions. The Company has no obligation to repurchase shares under the stock repurchase program, and the timing, actual number, and value of the shares that are repurchased will be at the discretion of the Companys management and will depend upon a number of considerations, including the trading price of the Companys common stock, general market conditions, applicable legal requirements, and other factors. The Company expects to fund the stock repurchase program with existing cash and cash equivalents on hand. Any shares repurchased will be retired and shall resume the status of authorized and unissued shares.
Federico Pignatelli, Chairman and CEO, said, The management and the Board of Directors believe that the use of BIOLASEs capital has to be based on flexibility and opportunity. I see great value in repurchasing shares when irrational valuations occur.
About BIOLASE Technology, Inc.
BIOLASE Technology, Inc., the Worlds leading Dental Laser company, is a medical technology company
that develops, manufactures and markets dental lasers and also distributes and markets dental
imaging equipment, products that are focused on technologies that advance the practice of dentistry
and medicine. The Companys laser products incorporate patented and patent pending technologies
designed to provide clinically superior performance with less pain and faster recovery times. Its
imaging products provide cutting-edge technology at competitive prices to deliver the best results
for dentists and patients. BIOLASEs principal products are dental laser systems that perform a
broad range of dental procedures, including cosmetic and complex surgical applications, and a full
line of dental imaging equipment. Other products under development address ophthalmology and other
medical and consumer markets.
For updates and information on laser and Waterlase dentistry, find BIOLASE at http://www.biolase.com, Twitter at http://twitter.com/GoWaterlase, and YouTube at http://www.youtube.com/user/Rossca08.
Certain statements in this release concerning the Biolase Technology, Inc. and its prospects and future growth are forward-looking and involved a number of uncertainties and risks. Factors that could cause actual events or results to differ materially from those suggested by these forward-looking statements include, but are not limited to, the performance of the global economy and the growth in dental laser sales, dental imaging equipments and other products that we manufacture and/or distribute that are focused on technologies that advance the practice of dentistry and medicine; market acceptance of the Companys products and services; customer and industry analyst perception of the company and its technology vision and future prospects; the success of certain business combinations engaged in by the Company or by competitors; political unrest or acts of war; possible disruptive effects of organizational or personnel changes; and other factors described in Biolase Technology, Inc.s periodic reports filed with the U.S. Securities and Exchange Commission, including its annual report on Form 10-K for the year ended December 31, 2010 and its quarterly report on Form 10-Q for the three and six-month periods ended June 30, 2011. Such information is subject to change, and we undertake no obligation to update such statements.
For further information, please contact: Jill Bertotti, of Allen & Caron, +1-949-474-4300.
# # # #
NEWS RELEASE for August 10, 2011
BIOLASE FULFILLS ALL PREPAID PURCHASE ORDERS
UNDER HENRY SCHEIN AGREEMENT
Product Delivery Obligations Met Prior to August 25th Due Date
IRVINE, CA (August 10, 2011) BIOLASE Technology, Inc. (NASDAQ:BLTI), the Worlds leading dental laser manufacturer and distributor, today announced that it has fulfilled the second of two prepaid purchase orders totaling approximately $9 million under the Distribution and Supply Agreement entered into with Henry Schein (NASDAQ:HSIC) on September 23, 2010.
The final products required to complete the second purchase order, totaling approximately $3 million, have been shipped during the current quarter, prior to the agreements August 25, 2011 due date. The first purchase order, totaling approximately $6 million, was completed during the fourth quarter of 2010 and the first quarter of 2011.
Chairman and CEO Federico Pignatelli said, I am very pleased that BIOLASE has now entirely fulfilled its purchase order obligations to Schein and eliminated this liability from its financial statements. We are thrilled as we continue to move forward into a new era utilizing a direct sales force and a wide range of independent distribution selling channels throughout the world.
BIOLASE has renegotiated certain rights previously granted to Schein and regained full rights to sell and/or distribute the Companys products in North America and in all international markets which were formerly exclusive markets of Schein. BIOLASE now sells direct and through multiple distributors, including Schein, in North America and internationally.
About BIOLASE Technology, Inc.
BIOLASE Technology, Inc., the Worlds leading Dental Laser company, is a medical technology company
that develops, manufactures and markets dental lasers and also distributes and markets dental
imaging equipment, products that are focused on technologies that advance the practice of dentistry
and medicine. The Companys laser products incorporate patented and patent pending technologies
designed to provide clinically superior performance with less pain and faster recovery times. Its
imaging products provide cutting-edge technology at competitive prices to deliver the best results
for dentists and patients. BIOLASEs principal products are dental laser systems that perform a
broad range of dental procedures, including cosmetic and complex surgical applications, and a full
line of dental imaging equipment. Other products under development address ophthalmology and other
medical and consumer markets.
For updates and information on laser and Waterlase dentistry, find BIOLASE at http://www.biolase.com, Twitter at http://twitter.com/GoWaterlase, and YouTube at http://www.youtube.com/user/Rossca08.
This press release may contain forward-looking statements within the meaning of safe harbor provided by the Securities Reform Act of 1995 that are based on the current expectations and estimates by our management. These forward-looking statements can be identified through the use of words such as anticipates, expects, intends, plans, believes, seeks, estimates, may, will, and variations of these words or similar expressions. Forward-looking statements are based on managements current, preliminary expectations and are subject to risks, uncertainties and other factors which may cause the Companys actual results to differ materially from the statements contained herein, and are described in the Companys reports it files with the Securities and Exchange Commission, including its annual and quarterly reports. No undue reliance should be placed on forward-looking statements. Such information is subject to change, and we undertake no obligation to update such statements.
For further information, please contact: Jill Bertotti, of Allen & Caron, +1-949-474-4300.
# # # #
`;CCHK=*^I/^"]O_)\.B?]D(\!?^I-X]KY&_X)
MB0S3?M[?LQ^3$TOD_$6*>7:,[(8M'U5I)&]%08+'L.:Z^%XQG]'"A&IK!^&.
M8I\SZ+),7;7I:RMT6B1Q<92E3^EMB94KJ2\8LFM97?O9_E_-IW=VWW;;9RO_
M``4*'_&