At the end of 4Q09, AMMD had $50.5 million in cash versus $49.5 at the end of 3Q09 and $430.5 million in debt (net debt of $380 million) versus $452.0 million at the end of 3Q09.  AMMD generated $26 million in cash from operating activities in 4Q09 and $123 million in FY09.

In 2009, AMMD paid down $131 million in debt, well ahead of management’s initial debt pay down guidance of $85 million.  The company continues to show success leveraging its operating structure to strengthen its balance sheet and cash flow.

Others

In September 2009, AMMD commenced an exchange offer for its outstanding 3.25% Convertible Senior Subordinated Notes due 2036.  Upon the terms and subject to the conditions of the exchange offer, the company is offering to exchange $1,000 principal amount of its new 4.00% Convertible Senior Subordinate Notes due 2041 for each $1,000 principal amount of its 2036 Notes, provided that the maximum aggregate principal amount of the 2036 Notes that the company will exchange is $250 million.  The company will pay an aggregate of approximately $1.9 million in cash, representing accrued and unpaid interest payable with respect to the exchanged 2036 Notes.
 

On January 28, 2010, AMMD and Tissue Genesis, Inc., an emerging leader in advanced tissue engineering and cell therapy solutions, signed an agreement for the research and development of adipose (fat)–derived regenerative cells for use in treating pelvic health disorders.  AMMD will pay $1.1 million over the life of the agreement to obtain rights offered by Tissue Genesis, Inc.

• AMMD faces substantial competition from a number of companies that compete in both the device as well as pharmaceutical industries.

• It faces integration risks attributable to its numerous acquisitions.

• It faces challenges associated with the reimbursement and management of numerous distribution agreements in international markets.