KALAMAZOO, Mich., Jan. 3 /PRNewswire-FirstCall/ -- Stryker Corporation
(NYSE: SYK) announced that on December 30, 2005, it acquired, by merger, all
of the outstanding stock of PlasmaSol Corporation, a private, development
stage company. PlasmaSol has developed a technology which should allow
Stryker to provide sterilization equipment for use in sterilizing certain of
its MedSurg Equipment products. The cost of the transaction totals
approximately $17.5 million, including an up-front cash payment plus the
assumption of certain liabilities.
The transaction will result in an estimated fourth quarter 2005 after-tax
charge of $16 million, or $.04 per diluted share, reflecting the write-off of
in-process research and development costs.
The Company also indicated that it has completed the previously announced
repatriation of $722 million of undistributed foreign earnings under the
provisions of the American Jobs Creation Act of 2004. The Company recorded a
charge of $31.3 million, or $.08 per diluted share, in the third quarter of
2005 to recognize the estimated income tax expense and related liability in
the United States associated with the planned repatriation. After completing
the repatriation, the Company anticipates its actual income tax expense and
related liability will approximate $27.4 million or $.07 per diluted share.
As a result, the previously recorded income tax expense is expected to be
reduced by approximately $3.9 million or $.01 per diluted share in the fourth
quarter of 2005.
Stryker Corporation is one of the world's leading medical device companies
with the most broadly-based range of products in orthopaedics and a
significant presence in other medical specialties. The Company's products
include implants that are used in joint replacement, trauma,
craniomaxillofacial and spine surgeries; orthobiologics; operating room and
interventional pain products; surgical navigation, endoscopic, communications
and imaging systems: as well as patient handling and emergency medical
equipment. Stryker also provides outpatient physical therapy services in the
United States. The Company's website address is http://www.stryker.com .
SOURCE Stryker Corporation
-0- 01/03/2006
/CONTACT: Dean H. Bergy, Vice President and Chief Financial Officer of
Stryker Corporation, +1-269-385-2600/
/Web site: http://www.stryker.com /
(SYK)
CO: Stryker Corporation; PlasmaSol Corporation
ST: Michigan
IN: MTC
SU: TNM
TM
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2367 01/03/2006 08:43 EST http://www.prnewswire.com