Terry Gregg Dex CEO
A quick update on our insulin pump partnerships with Animas and Insulet. In January of this year, we announced an expansion of our Animas relationship to an exclusive agreement to develop and market integrated insulin pump CGM systems in markets outside the US. In return, Animas will pay us $5 million upon receipt of a CE Mark for the first OUS commercial product that is expected either later this year or early in 2010. And in addition Animas will pay DexCom a royalty of $200 per CGM enabled pump sold in any OUS market. As parts of this agreement, Animas will also serve as a nonexclusive distributor of transmitters and sensors to purchasers of the Animas CGM enabled pumps outside the US. This exclusive arrangement has an initial term of three years.
We continue our development work on the integrated insulin pumps CGM systems with our pump partners. Our continued goal is to complete all development, clinical and regulatory efforts on these joint development projects and be positioned to launch a first product with Animas during 2009 and with Insulet sometime the following year. But as you are well aware, the timing of the regulatory process is uncertain.
There is a little more on page 9 including, "Well, I can't speak for them." Hmmm wonder if Terry got his hand slapped for saying more that the partners wanted in previous calls.
So pump fans this just ads to our what do we do about the pump that is up for a new 4 year hitch in April problem. If we re-up now we will more than likely need to pay a big fat upgrade fee in just a few months. Why sign up for a four year deal when it look like significant improvements are literally in for FDA approval?
Just to be on the up and up, I do have shares of Dexcom in my IRA. Jacques Cousteau and the team from the Calypso have sent divers looking but the portfolio is so far underwater they will need the mini sub any artifacts from it. LOL Maybe they will save the day by coming up with that huge diamond from the last scene of Titanic...