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Re: mick post# 2041

Friday, 04/03/2020 4:54:15 PM

Friday, April 03, 2020 4:54:15 PM

Post# of 2722
Q&A, #6, OPGN, Q4 2019 OpGen Inc Earnings Call,GAITHERSBURG Apr 2, 2020 (Thomson StreetEvents) -- Edited Transcript of OpGen Inc earnings conference call or presentation Tuesday, March 24, 2020 at 8:30:00pm GMT

https://finance.yahoo.com/news/edited-transcript-opgn-earnings-conference-044658116.html

TEXT version of Transcript
https://finance.yahoo.com/news/edited-transcript-opgn-earnings-conference-044658116.html
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Operator [9]

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And our next question comes from the line of Ben Haynor with Alliance Global Partners.

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Benjamin Charles Haynor, Alliance Global Partners, Research Division - Analyst [10]

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Congrats on reaching a quorum for the vote. Just first off from me, is there any supply chain impact for you guys? And then in the prepared remarks, you mentioned that there's some Unyvero structured programs, if I heard that correctly. What are those? And is there any potential impact to those -- to the supply chain on those?

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Oliver Schacht, Curetis N.V. - MD & Member of Management Board [11]

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Yes, Ben.

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Evan Jones, OpGen, Inc. - Director [12]

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Yes, Ben -- go ahead, Oliver.

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Oliver Schacht, Curetis N.V. - MD & Member of Management Board [13]

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Sure. I mean, I'll let Evan comment on the supply chain. In Europe, what I can say, so far, knock on wood, we on the Curetis side have not been impacted by any immediate supply chain issues. That, of course, can change going forward. But we have supply of instruments. We have supply of any components, plastics as well as reagents, we need to manufacture our cartridges. So, so far, so good.

In terms of the structured programs, what -- you're obviously facing a very interesting conundrum. On the one hand, there is significant inbound interest from hospitals to bringing in additional Unyvero systems for what I outlined earlier, this parallel testing for bacterial pneumonia. On the other hand, there's virtually no way, physically, to send anybody into these hospitals, be it Northern Italy, Austria, the borders are closed across Europe. Even inside Germany, frankly, with a lot of the travel restrictions, it's literally impossible.

So part of the programs we've been working on with our distribution partners, but also with some of our former direct end clients is sort of virtual, video-based -- Skype and WhatsApp-based video tutorials, where we have staff virtually standing by and assisting in the installation training. It's -- and again, it goes to show how easy the Unyvero platform is to use. It doesn't take necessarily somebody on-site as much as you'd like to be there for the first installation and initial training. That's just part of the program.

So we've also offered to our European partner, Menarini, an increase. We have a pool defined across Europe in all the 11 countries that they serve for us. We have a pool of Unyvero instrument systems, which we have agreed to potentially increase in size, make additional units available, very uncomplicated fashion. And again, we've received several additional installation requests in Italy, in Southern Europe, in places like Greece. Again, right now, the key challenges that Menarini being headquartered in Northern Italy is effectively quarantined as a company. Nobody able to go from A to B, so we're trying to figure out smart ways of working through that. But that's some of the -- just the hands-on, real-world challenges that we're facing. But we're going to find smart solutions to those.

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Benjamin Charles Haynor, Alliance Global Partners, Research Division - Analyst [14]

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Okay. That's very helpful. And then also -- go ahead, sorry.

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Evan Jones, OpGen, Inc. - Director [15]

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Sorry. Well, I was just going to say, Oliver mentioned, maybe we'd have some additional comments on the supply chain side of this. We have no immediate impact on the supply chain for our business. But as we look to capitalize on these emerging opportunities in the coronavirus area, you'd be probably aware that even things as simple as getting a nasal swab are very difficult in these times. And when you start to get into more specialty reagents, such as the enzymes required for PCR, we think we're in good shape. But we want to sensitize people that our ability to do open field running with new product is also gated by our ability to produce the products. And there's a run on everything you could imagine by all producers trying to get to market.

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Benjamin Charles Haynor, Alliance Global Partners, Research Division - Analyst [16]

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Okay. That color is very helpful. And then...

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