IntriCon to Supply Hearing Aids to hi HealthInnovations
November 2011
IntriCon Corporation (NASDAQ: IIN), a designer, developer, manufacturer
and distributor of miniature and micro-miniature body-worn devices, today
announced it has entered into a manufacturing agreement to become hi
HealthInnovations' supplier of hearing aids.
hi HealthInnovations, a UnitedHealth Group [NYSE: UNH] business, today
launched a suite of high-tech, lower-cost hearing devices for the 36 million
Americans with hearing loss. An estimated 75 percent of people who can
benefit from hearing devices do not use them, largely due to the high cost.
hi HealthInnovations will offer consumers technically advanced hearing
aids, including those based on IntriCon's new APT(tm) Open in-the-canal
(ITC) hearing aid platform.
"We're thrilled to be chosen to work with hi HealthInnovations to deliver
high-quality hearing aids at affordable prices to an expanded population,"
said Mark S. Gorder, president and chief executive officer of IntriCon.
"Research has shown that there are considerable negative social,
psychological, cognitive and health effects associated with untreated
hearing loss. What's troubling is that many people are reluctant to seek
help due to the considerable costs of hearing aids.
"IntriCon has a proven track record of cost-effectively developing
hearing aids that bring proprietary enhancements to the marketplace. We're
excited to join forces with hi HealthInnovations and help this underserved
segment of the population."
Said Lisa Tseng, MD, CEO of hi HealthInnovations, "We evaluated several
potential partners and selected IntriCon because of the innovations they've
brought to hearing aids over the years, their history of success as an OEM
partner with other large companies and their ability to scale manufacturing
effectively."
Gorder indicated that the company has devoted considerable time and
resources over the last two quarters securing the agreement and preparing
for the program's launch. This has had an adverse impact on financial
performance in 2011. IntriCon expects to realize meaningful revenue from
this program beginning in the 2012 first quarter.
"hi HealthInnovations's confidence in our capabilities and technology
validate the strategic decisions we've made over the past five years," said
Gorder. "We knew that a new distribution model in hearing health was needed
and that it would require an OEM partner with the ability to
cost-effectively manufacture high-quality, technically advanced products. hi
HealthInnovations had the foresight and vision to make this happen, and
we're excited to be supporting them."
About IntriCon Corporation
Headquartered in Arden Hills, Minn., IntriCon Corporation designs,
develops, manufactures and distributes miniature and micro-miniature
body-worn devices. The company is focused on three key markets: medical,
hearing health, and professional audio communications. IntriCon has
facilities in the United States, Asia and Europe. The company's common stock
trades under the symbol "IIN" on the NASDAQ Global Market. For more
information about IntriCon, visit www.intricon.com.
Forward-Looking Statements
Statements made in this release and in IntriCon's other public filings
and releases that are not historical facts or that include forward-looking
terminology are "forward-looking statements" within the meaning of the
Securities Exchange Act of 1934, as amended. These forward-looking
statements may be affected by known and unknown risks, uncertainties and
other factors that are beyond IntriCon's control, and may cause IntriCon's
actual results, performance or achievements to differ materially from the
results, performance and achievements expressed or implied in the
forward-looking statements. These risks, uncertainties and are detailed from
time to time in the company's filings with the Securities and Exchange
Commission, including the Annual Report on Form 10-K for the year ended
December 31, 2010. The company disclaims any intent or obligation to
publicly update or revise any forward-looking statements, regardless of
whether new information becomes available, future developments occur or
otherwise.
Source: IntriCon