The Female Health Company to Complete Expansion of FC2 Manufacturing Capacity in Malaysia Ahead of Schedule
CHICAGO, Sept. 19, 2012 /PRNewswire/ -- The Female Health Company (NASDAQ-CM: FHCO - News), which manufactures and markets the FC2 Female Condom® (FC2), today reported that the previously announced expansion of FC2 Female Condom® manufacturing capacity at its production facility in Malaysia will be completed well ahead of schedule.
In April, 2012, the Company announced plans to increase its FC2 production capacity by about 20% to an annualized rate of approximately 100 million units. The Company, which had projected the expansion to be complete by December 31, 2012, now reports the new lines will be in production in October, 2012. This capital expenditure was fully funded internally at a cost of approximately $700,000, and the Company remains debt-free.
"The expansion of our Malaysian production capacity has gone so well that the new lines will become operative in October, 2012, well ahead of the projected December schedule," stated Mike Pope, the Company's Vice President in charge of U.K. and Malaysian operations.
O.B. Parrish, Chairman and C.E.O., noted that, "Global demand for female condoms, which has been increasing at a rapid pace, along with anticipated future demand for FC2, triggered the expansion. Our major public sector customers are showing increased focus on FC2's dual protection against both sexually transmitted infections (including HIV/AIDS) and unintended pregnancy," said Parrish. "We are committed to meeting our customers' growing demand for FC2."
About The Female Health Company
The Female Health Company, based in Chicago, Illinois, manufactures and markets the FC2 Female Condom® (FC2), which is available in the U.S. and in about 137 other countries globally. The Company owns certain worldwide rights to the FC2 Female Condom®, including patents that have been issued in the U.S., the European Union, Canada, Australia, South Africa, Japan, The People's Republic of China, Spain, Mexico, Greece, Turkey and the African Regional Intellectual Property Organization (ARIPO), which includes Botswana, The Gambia, Ghana, Kenya, Lesotho, Malawi, Mozambique, Namibia, Sierra Leone, Somalia, Sudan, Swaziland, Uganda, United Republic of Tanzania, Zambia and Zimbabwe. FC2 patent applications are pending in various countries. The FC2 Female Condom® is the only available FDA-approved product controlled by a woman that offers dual protection against sexually transmitted diseases, including HIV/AIDS, and unintended pregnancy. The World Health Organization (WHO) has cleared FC2 for purchase by U.N. agencies.
"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995:
The statements in this release which are not historical fact are "forward‑looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this release include statements regarding the timing of the expansion of the Company's manufacturing capacity and the future outlook for demand for FC2. These statements are based upon the Company's current plans and strategies, and reflect the Company's current assessment of the risks and uncertainties related to its business, and are made as of the date of this release. The Company assumes no obligation to update any forward‑looking statements contained in this release as a result of new information or future events, developments or circumstances. Such forward‑looking statements are inherently subject to known and unknown risks and uncertainties. The Company's actual results and future developments could differ materially from the results or developments expressed in, or implied by, these forward‑looking statements. Factors that may cause actual results to differ materially from those contemplated by such forward‑looking statements include, but are not limited to, the following: product demand and market acceptance; competition in the Company's markets and the risk of new competitors and new competitive product introductions; the Company's reliance on its international partners in the consumer sector and on the level of spending on the female condom by country governments, global donors and other public health organizations in the global public sector; the economic and business environment and the impact of government pressures; risks involved in doing business on an international level, including currency risks, regulatory requirements, political risks, export restrictions and other trade barriers; the Company's production capacity, efficiency and supply constraints; and other risks detailed in the Company's press releases, shareholder communications and Securities and Exchange Commission filings, including the Company's Form 10‑K for the fiscal year ended September 30, 2011. Actual events affecting the Company and the impact of such events on the Company's operations may vary from those currently anticipated.
For more information about the Female Health Company visit the Company's website at http://www.femalehealth.com and http://www.femalecondom.org . If you would like to be added to the Company's e-mail alert list, please send an e-mail to FHCInvestor@femalehealthcompany.com .
SOURCE The Female Health Company