October 27, 2008 - Welch Allyn and ZOLL Announce Alliance

Welch Allyn logo

ZOLL Logo for Electronic Signature

 

ZOLL:

Diane Egan, Public Relations



ZOLL Medical Corporation



+1 (978) 421-9637



degan@zoll.com


     
  A. Ernest Whiton  
  Chief Financial Officer  
  +1 (978) 421-9655  



Welch Allyn:

Jamie Arnold, Public Relations



Welch Allyn



+1 (315) 685-4599

 
 

arnoldj@welchallyn.com

 
     

WELCH ALLYN AND ZOLL MEDICAL CORPORATION ANNOUNCE STRATEGIC ALLIANCE

October 27, 2008Skaneateles Falls, NY and Chelmsford, Mass.—Welch Allyn Inc. and ZOLL Medical Corporation (NASDAQGS: ZOLL) announced today a comprehensive strategic alliance regarding research and development, manufacturing, sales, service, and distribution relating to Welch Allyn’s defibrillation and monitoring products.  The two companies have agreed to work together across multiple areas to capitalize on complementary strengths in each company’s operations and products. 

Welch Allyn will continue to focus on sales of the Welch Allyn AED 10™, a simple AED provided to alternate care markets, where the company is the leader in sales of equipment and products for physician office practices.  It is anticipated that ZOLL will become the manufacturer and exclusive supplier of these defibrillator products to Welch Allyn.  Sales and manufacturing of the PIC™ line of manual/conventional Welch Allyn defibrillators and the Welch Allyn AED 20™ will be discontinued in the near future.

Welch Allyn has named ZOLL an exclusive distributor for the Propaq® LT monitor for EMS in North America.  The Propaq LT is a lightweight, highly portable and flexible monitor that displays multiple lead ECG, SPO2, non-invasive blood pressure, and respiration parameters.  This product will be offered in conjunction with the ZOLL AED Pro® that provides both semi-automatic and manual defibrillation capabilities, and incorporates ZOLL's Real CPR Help® and See-Thru CPR® to provide real-time feedback on CPR quality.

Welch Allyn and ZOLL will also be jointly pursuing business opportunities in the military portion of the monitoring and resuscitation markets, where both companies have leading positions with their current products, the Propaq® monitor and the ZOLL M Series® Critical Care Transport defibrillator.  Upon completion of certain milestones, it is anticipated that ZOLL will acquire Welch Allyn’s defibrillation research and development operations in Long Grove, Ill. 

In the future, ZOLL will provide customer support and technical service and supply aftermarket accessories to Welch Allyn defibrillator customers. 

“This partnership combines the strength of Welch Allyn’s leadership in portable monitoring with ZOLL Medical’s technical leadership in resuscitation to better serve EMS, military and air medical customers,” said Julie Shimer, President and CEO of Welch Allyn.  “We have invested substantially in research and new product development in these areas, and our strategic alliance with ZOLL Medical will allow us to more effectively focus these efforts to best meet the needs of these markets while providing our customers with the very best products and service.”

Richard A. Packer, ZOLL Chairman and CEO, added, “While this strategic agreement with Welch Allyn will not have an immediate substantial impact on our business, we are excited about its future potential.  We believe it will provide significant leverage to ZOLL's leadership position in resuscitation and will bring benefits to each company’s current and future customers.  We look forward to talking about the whole arrangement in more detail on our next earnings call in November.” 

It is expected that the elements of the strategic alliance will be implemented over the next several months. Learn more about the alliance between Welch Allyn and ZOLL.

About Welch Allyn

Founded in 1915 and headquartered in Skaneateles Falls, New York (USA), Welch Allyn is a leading global manufacturer of medical diagnostic equipment and a complete range of digital and connected solutions.  With over 2,300 employees working in 17 different countries, Welch Allyn specializes in helping doctors, nurses, and other frontline practitioners across the globe provide the best patient care by developing innovative products, breakthrough technologies, and cutting edge solutions that help them see more patients, detect more conditions, and improve more lives.  More information about Welch Allyn and its complete line of connected products and solutions may be found at www.welchallyn.com.

About ZOLL Medical Corporation

ZOLL Medical Corporation is committed to developing technologies that help advance the practice of resuscitation. With products for pacing, defibrillation, circulation, ventilation, and fluid resuscitation, ZOLL provides a comprehensive set of technologies, including Real CPR Help® and See-Thru CPR®, that help clinicians, EMS professionals, and lay rescuers resuscitate sudden cardiac arrest or trauma victims. ZOLL also designs and markets software that automates the documentation and management of both clinical and non-clinical information.

ZOLL markets and sells its products in more than 140 countries. The Company has direct operations, distributor networks, and business partners throughout the U.S., Canada, Latin America, Europe, the Middle East and Africa, Asia, and Australia. 2008 marks the 25th anniversary of ZOLL’s resuscitation product development. For more information, visit www.zoll.com.

Certain statements contained in this press release, including statements regarding the future business of ZOLL,  and other statements contained herein regarding matters that are not historical facts, are “forward-looking” statements (as defined in the Private Securities Litigation Reform Act of 1995).  Because such statements are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.  Factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, those factors discussed in the section entitled “Risk Factors” in ZOLL’s Quarterly Report on Form 10-Q filed with the SEC on August 8, 2008.  In addition, these risk factors include the successful consummation of the transactions announced above, and the ability of ZOLL and Welch Allyn to successfully manufacture, sell and/or distribute the AED 10 and the Propaq LT.  You should not place undue reliance on the forward-looking statements in this press release, and the Company disavows any obligation to update or supplement those statements in the event of any changes in the facts, circumstances, or expectations that underlie those statements.

©2008 ZOLL Medical Corporation.  269 Mill Road, Chelmsford, MA 01824-4105.  All rights reserved.  ZOLL, AED Pro, Real CPR Help, See-Thru CPR, and M Series are registered trademarks of  ZOLL. AED 10, AED 20 and PIC are trademarks of, and Welch Allyn and Propaq are registered trademarks of, Welch Allyn.