B Braun’s distribution territory will be world-wide, excluding the US, Canada, Mexico, Japan, the Middle East, Australia, New Zealand, Greece, South Africa and China. The definitive agreement is expected to be in place by June 1, 2009.
I-Flow and B Braun have agreed that the initial term of the distribution agreement will be until December 31, 2013, unless earlier terminated pursuant to normal and customary provisions in the distribution agreement. B Braun will not distribute competing products during the term.
B Braun will have the opportunity to accept the assignment of one or more of the company’s existing distribution arrangements in the territory covered by the distribution agreement, and the company will retain the right to continue to supply products in the territory pursuant to existing distribution arrangements that are not so assigned.
Donald Earhart, president and CEO of I-Flow, said: “I-Flow believes that this key partnership with B Braun will significantly increase the company’s international presence and revenue base. We look forward to working with B Braun in creating a mutually rewarding long-term relationship focused on the growth of ON-Q in the world’s markets.”