Government Relief, Anticipated Relaxing of Restrictions on Elective Surgeries Leads to Return to Work
BILLERICA, Mass., April 23, 2020 (GLOBE NEWSWIRE) — Conformis, Inc. (NASDAQ:CFMS) announced today that, due in large part to a loan made available to the Company under the Paycheck Protection Program (“PPP Loan”) offered by the U.S. Small Business Administration to qualified small businesses in response to the coronavirus (COVID-19) pandemic and the economic harm done to the Company’s business, the Company has accelerated its plan to return to full-time employment the vast majority of those employees who were furloughed on March 23, 2020. With the exception of a few employees who have separated from the Company in the normal course of business, the Company expects most of the furloughed employees to return to active employment as early as April 27, 2020.
“A month ago, we announced the difficult decision to furlough a significant portion of our direct workforce in response to mandated government shutdowns of elective surgery across the globe and especially in the United States. I am very pleased to report that, because of the federal government’s CARES Act and, specifically, the PPP Loan we received, we are able to return our employees to work,” said Mark Augusti, President and Chief Executive Officer. “In addition, we have started to receive indications that elective surgeries in the United States may return slightly sooner than expected, especially in ambulatory surgical or outpatient centers, as noted by the government’s Phase 1 guidelines for ‘Opening Up America Again.’ We believe that our proprietary approach to total joint replacement is uniquely suited for efficiently handling these outpatient cases. We would note that our approach also provides for a best-in-class approach to limiting infection and reducing the exposure and burden to medical staff.”
Mark Augusti further commented, “The ongoing and future effects of the coronavirus pandemic are unpredictable and continue to evolve, but we believe that the actions we are taking are necessary and appropriate both for our employees and for preparing to serve our customers and patients as America gets back to business.”
About Conformis, Inc.
Conformis is a medical technology company that uses its proprietary iFit Image-to-Implant technology platform to develop, manufacture, and sell joint replacement implants and instruments that are individually sized and shaped, which we refer to as personalized, individualized, or sometimes as customized, to fit each patient’s unique anatomy. Conformis offers a broad line of sterile, personalized knee and hip implants and single-use instruments delivered to hospitals. In clinical studies, the Conformis iTotal CR knee replacement system demonstrated superior clinical outcomes, including better function and greater patient satisfaction, compared to traditional, off-the-shelf implants. Conformis owns or exclusively in-licenses issued patents and pending patent applications that cover personalized implants and patient-specific instrumentation for all major joints.
Cautionary Statement Regarding Forward-Looking Statements
Statements in this press release about our future expectations, plans and prospects, including statements about the anticipated impact of the novel coronavirus pandemic and the actions we are taking and planning in response, the anticipated timing of our product launches, our ability to recall employees, whether or when restrictions on elective surgeries will be relaxed and demand for procedures will increase and our financial position and results, total revenue, product revenue, gross margin, operations and growth, as well as other statements containing the words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” or “would” and similar expressions, constitute forward-looking statements within the meaning of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. We may not actually achieve the forecasts disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements. Actual financial results could differ materially from the projections disclosed in the forward-looking statements we make as a result of a variety of risks and uncertainties, including risks related to the novel coronavirus pandemic and the response to the pandemic; whether our cash resources will be sufficient to fund our continuing operations for the periods anticipated; risks related to our estimates and expectations regarding our revenue, gross margin, expenses, revenue growth and other results of operations, and the other risks and uncertainties described in the “Risk Factors” sections of our public filings with the Securities and Exchange Commission. In addition, the forward-looking statements included in this press release represent our views as of the date hereof. We anticipate that subsequent events and developments may cause our views to change. However, while we may elect to update these forward-looking statements at some point in the future, we specifically disclaim any obligation to do so. These forward-looking statements should not be relied upon as representing our views as of any date subsequent to the date hereof.
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