Technology, page-10

After a mastectomy many women wish for cosmetic reconstruction of the breast. There are currently 2 ways to do this. The first is major plastic surgery taking a flap of tissue including skin from the abdomen attached to its original blood supply and tunneling it up to the breast area.

The second way is to close the remaining skin after mastectomy over the top of a tissue expander. The sole purpose of the tissue expander is to progressively stretch the skin enough to place a symmetrical (with the other side) silicon or saline implant. Traditionally the tissue expander is an injectable saline pouch injected by the surgeon on a regular basis.

In Australia both types of reconstruction are used with approximately equal rates. In US saline pouch is used more than 75%. In US last year there were 250,000 mastectomies performed. Approximately 100,000 had reconstruction. Therefore there is the current market of 100,000 that AXP can impact. Plus - with targeted education there is another market within the 150,000 women who had no reconstruction. In US, money from medical insurance companies is equally divided for the cancer/mastectomy and the reconstruction of the breast. Reconstruction is therefore seen to be the standard of care not cosmetics. Australia is similiar.

AirXpander will compete with the 2nd option. It is just as easy to place. The patient does not need to attend the office regularly for top-ups (so patient and surgeon are happier). Published results show high % success and faster time to obtain the same size and allow silicon implant.

The first results released by the company in Australia today show excellent uptake. It takes a surgeon some time to take the leap of faith and jump into a new technology. Once it is established to be a straight-forward technical procedure and local Plastic surgeons are happy with the results it will quickly get wider adoption and become a major device and possibly the device of choice.

The AirXpander device has no foreseeable role in women with normal breasts who want augmentation. Those women simply have an operation and placement of silicon or saline implant of desired size.

IMO this is a major advance and the company is well placed to reap massive reward.

Tyremen