ICU Medical, Inc. (ICUI) extended two primary distribution
agreements with Hospira Inc. (HSP) through the end of 2018.
ICU Medical manufactures custom infusion sets for Hospira, which
the two medical-products companies jointly promote under the brand
SetSource, under one of the agreements.
Hospira purchases ICU Medical's core Clave products -- which
prevent accidental pricks from intravenous needles -- and oncology
products under the other agreement. Hospira maintains rights to
distribute ICU Medical products globally that previously had been
extended to 2014.
Financial terms of the pacts weren't disclosed.
ICU Medical in October reported that third-quarter earnings rose
3.2% on a lower tax provision though its sales growth slowed and
its operating expenses rose 15%.
Hospira, which spun off from Abbott Laboratories (ABT) in 2004,
in October reported that it swung to third-quarter loss and raised
cost estimates associated with fixing a drug manufacturing plant
after a production slowdown there weighed down earnings.
ICU Medical shares were up 38 cents at $45.33 in recent trading.
Hospira was up 3.2% at $30.22.
-By Tess Stynes, Dow Jones Newswires; 212-416-2481;
Tess.Stynes@dowjones.com