Chronimed Files Action Against Bayer Corporation
“Ever since our July, 1998 launch of the DiaScreen® test strip, Bayer has asserted our chemistry infringes their patents,” said Maury Taylor, Chronimed's Chairman and CEO. “Our research personnel and outside advisors have carefully and thoroughly verified the strength and proprietary value of our technology. We've made every attempt over the past seven months to demonstrate to Bayer the uniqueness of our product. Despite these efforts, Bayer has sought a withdrawal of our product from the market. We feel we could not permit Bayer to continue to challenge our right to compete in the diagnostics marketplace.” Bayer presently controls 50% of the $225 million annual, worldwide urine diagnostic market.
Taylor continued, “This action demonstrates the confidence Chronimed has in its new diagnostics product. Bayer's actions suggest it sees the DiaScreen ® test strip as a challenge to its dominance of this market. We chose to take this important step to be able to continue to serve our customers, patients, and shareholders.”
Chronimed is an integrated healthcare company also specializing in pharmacy services and disease management for people with chronic health conditions. In addition to the development, manufacture, and marketing of diagnostics products, the Company distributes pharmaceuticals and provides specialized patient management services nationwide for people with long-term chronic conditions such as HIV/AIDS, diabetes, organ transplants, and diseases treated with injectable medications. Chronimed works directly with patients, providers, and payors to improve clinical and cost-of-care outcomes. Chronimed's web site address is www.chronimed.com.
As a cautionary note to investors, certain matters discussed in this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; the Company's ability to execute its service and product sales plans; changes in the status of managed care contracts; and the risks described from time to time in the Company's SEC reports.
March 13, 2000
Contacts:
Paul S. Dunn
Investor Relations
or
Maurice R. Taylor, II
Chairman and CEO
Chronimed Inc.
(612) 979-3600