Laserscope Signs Exclusive Agreement With McKessonHBOC Medical Group for National Distribution of Aesthetic Laser Systems

Business Wire, Dec 14, 2000

Business Editors/Health and Medical Writers

SAN JOSE, Calif.--(BW HealthWire)--Dec. 14, 2000

Laserscope (Nasdaq:LSCP) today announced that it has signed a five-year agreement with McKessonHBOC Medical Group for the exclusive distribution rights for Laserscope's core aesthetic laser products in the United States. McKessonHBOC Medical Group is a division of McKessonHBOC. Based in Richmond, VA, the Medical Group is the only nationwide, multi-market medical/surgical supplier and is the leading medical/surgical supplier to physicians, clinics, long-term care and home care. The Medical Group's Primary Care Division supports a sales force of more than 500 representatives throughout the United States.

In commenting on the agreement, Eric Reuter, Laserscope's President and CEO, said "We are proud and pleased to have been chosen by McKessonHBOC Medical Group as their exclusive supplier of aesthetic lasers to the US physician office market. This agreement is a substantial step forward for us in establishing the Laserscope aesthetic laser product line as the standard of care for the treatment of leg veins, vascular lesions, and hair removal on all skin types. We are confident that this agreement will give us direct access to a substantially larger pool of customers, will dramatically improve our distribution in the United States, and will make this technology more accessible for physicians in specialties outside of our traditional focus. Our intent is to utilize our existing direct sales force as product and technical experts to support McKessonHBOC's sales team."

The agreement is effective immediately. The products will be introduced and launched regionally beginning January 2001. A national rollout will begin in the second quarter of 2001.

Additional information about the Medical Group of McKessonHBOC is available on the World Wide Web at www.mckgenmed.com and more information about Laserscope is available on our Web site at www.laserscope.com.

Except for historical information presented, the matters discussed in this announcement may contain forward-looking statements that involve risks and uncertainties. These risks are detailed from time to time in the Company's public disclosure filings with the U.S. Securities and Exchange Commission (SEC). Copies of Laserscope's most recent forms 10K and 10Q are available upon request from its Investor Relations Department.