should start in the current quarter, as of 8-24, per the press release.
The big question is "how much sales will this product line generate?". It would appear that there is some of the new machines available for immediate sale. The line will also be co-promoted by both GE and Volcano...but no details on the revenue and profit sharing details.
This lack of detail makes the chance for a "surprise" (good or bad) quite high for the next quarterly report. Would not bet against GE in one of their power markets though. Will be looking for an entry point in VOLC.
8-24-06 PR Innova IVUS is currently available for sale to GE Healthcare customers and will be co-marketed by the GE and Volcano sales and marketing organizations in the United States, Europe, certain markets in Asia and other world markets. GE will also collaborate with Volcano to provide unparalleled cath lab design, installation and field repair/service of this new system. Current GE cath lab customers can modify existing cath lab rooms with the new integrated IVUS system. Customers will be able to contract with one vendor, GE, for their purchasing, installation and field service needs.
I don't expect a significant contribution to earnings this quarter since marketing and demos have to ramp up and there is typically a 60-90 sales lag. I feel we will start to see more of an impact from this approval starting in Q4 and in full swing in 2007.