Varex Announces Renewed Pricing Agreement With Canon Medical Systems

SALT LAKE CITY--(BUSINESS WIRE)--Varex Imaging Corporation (Nasdaq: VREX) today announced it has entered into a renewed three-year pricing agreement with Canon Medical Systems Corporation effective for calendar years 2020 - 2022.


“We are very pleased to continue our multi-decade long relationship with Canon Medical Systems and bring to their next generation imaging systems our portfolio of innovative X-ray based technology, which can accelerate time to market and reduce total cost of ownership,” said Sunny Sanyal, Chief Executive Officer of Varex Imaging Corporation.

Varex will continue to supply its computed tomography (CT) tubes and heat exchangers for integration into Canon Medical Systems’ CT imaging systems for the global market. Potential product sales associated with this renewed agreement are estimated to be approximately $385 million over the term of the agreement. Varex also supplies Canon Medical Systems with digital detectors and high voltage connectors through separate agreements.

About Varex

Varex Imaging Corporation is a leading innovator, designer and manufacturer of X-ray imaging components, which include X-ray tubes, digital detectors and other image processing solutions that are key components of X-ray imaging systems. With a 65+ year history of successful innovation, Varex’s products are used in medical imaging as well as in industrial and security imaging applications. Global OEM manufacturers incorporate the company’s X-ray sources, digital detectors, connecting devices and imaging software in their systems to detect, diagnose and protect. Headquartered in Salt Lake City, Utah, Varex employs approximately 2,000 people located at manufacturing and service center sites in North America, Europe, and Asia. For more information visit vareximaging.com.

Forward-Looking Statements

This news release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Statements concerning industry or market outlook; customer demand; or expected future sales or other financial results or performance; and any statements using the terms “can,” “will,” “could,” “estimate,” “expect,” “intend,” “future,” “believe,” “anticipate,” or similar statements are forward-looking statements that involve risks and uncertainties that could cause the company’s actual results to differ materially from those anticipated. While forward-looking statements are based on assumptions and analyses made by us that we believe to be reasonable under the circumstances, whether actual results and developments will meet our expectations and predictions depend on a number of risks and uncertainties which could cause our actual results, performance, and financial condition to differ materially from our expectations. Such risks and uncertainties include the continued impact of tariffs or a global trade war on the company’s products and customer purchasing patterns; global economic conditions; demand for and delays in delivery of products of the company or its customers; the impact of reduced or limited demand by purchasers of certain X-ray products; the impact of competitive products and pricing; and the other risks listed from time to time in our filings with the U.S. Securities and Exchange Commission, which by this reference are incorporated herein. Any forward-looking statements made by us in this news release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The company assumes no obligation to update or revise the forward-looking statements in this release because of new information, future events, or otherwise.


Contacts

Howard Goldman
Director of Investor & Public Relations
Varex Imaging Corporation
801.978.5274 | howard.goldman@vareximaging.com