CTI, Siemens restructure their CPS Innovations joint venture

CTI Molecular Imaging Inc. and Siemens Medical Solutions USA Inc. have restructured CPS Innovations, the companies' joint business venture for the manufacture, sales and marketing of positron emission tomography (PET) and PET/CT equipment.

CTI and Siemens say the reorganization, effective May 1, will strengthen the distribution of equipment manufactured by CPS Innovations and enable both CTI and Siemens "to further reinforce their role" in the PET and PET/CT markets.

Under the agreement, the CTI's tomograph sales force in the United States will become a sales agent for Siemens and work under Siemens management. Scanner sales and service activities outside the U.S. -- with the exception of South Korea and Japan where CTI Molecular Imaging has other contractual obligations -- will be performed exclusively by Siemens. Each company will retain its own field service personnel in the U.S.

All PET and PET/CT scanners sold under this new agreement will be marketed under the Siemens ECAT and biograph labels. In addition, Siemens will begin to market other CTI products and services, including FDG and cyclotrons.

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