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Angiotech Pharmaceuticals, Inc. announces financial results for the first quarter ended March 31, 2009
Date:4/30/2009

onents manufactured by us and sold to other third party medical device manufacturers who assemble those components into finished medical devices. Sales of our Base Medical Products are supported by a small group of direct sales personnel, as well as a network of independent sales representatives and medical product distributors. Sales of our Base Medical Products tend to exhibit greater volatility or slower relative growth, particularly our sales of components to third party medical device manufacturers, which may be impacted by customer concentration and the business issues that certain of our large customers may face, as well as to a more limited extent by economic and credit market conditions. Sales of our Base Medical Products declined by approximately 12% in the first quarter of 2009 as compared to the first quarter of 2008, and declined by approximately 3% as compared to the fourth quarter of 2008. Excluding the impact of foreign currency changes between the respective periods, revenue would have declined by 7% and 3% as compared to the first quarter of 2008 and the fourth quarter of 2008, respectively.

The decline in our Base Medical Products sales as compared to the first quarter of 2008 is due primarily to lower sales of medical device components to other third party medical device manufacturers, particularly sales of surgical needles to one of our largest customers, and to a more limited extent due to negative currency impact relating to sales of certain of our Base Medical Product lines outside of the United States. Manufacturing of surgical needles, as of November 2008, was fully transferred to our facility in Aguadilla, Puerto Rico from our facility in Syracuse, New York. We believe that the closure of our Syracuse production facility in November and the finalization of our move of surgical needle production to Aguadilla, combined with the difficult economic and credit market environment, may have impacted our level of Base Medical Product sales
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SOURCE Angiotech Pharmaceuticals, Inc.
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