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Rawnoc

10/18/11 12:50 PM

#1719 RE: vlscout #1718

I think with that relatively massive level of raw materials inventory, they already have some huge orders on the table for the new needle set. I think the new needle set itself will also help sell more Freedom60s as it was originally developed to address the shortcomings of the old needle set.

Remember, one thing consistently reliable and predictable is the recurring revenue stream from the tubing sets in general. Once a patient buys a Freedom60 he tends to use it for life and have to use disposable tubing sets every month. Actual device sales may vary in amounts from sequential quarter to sequential quarter, but the tubing sales which are now the majority of sales continue to go up every single quarter and are highly profitable.