Press Release
<< Back |
Align Technology Announces Supplementary Plan
For Its Pakistani Operations
For Its Pakistani Operations
Align Technology Announces Supplementary Plan For Its Pakistani Operations
ALIGN TECHNOLOGY ANNOUNCES SUPPLEMENTARY PLAN FOR ITS PAKISTANI OPERATIONSOperating Efficiencies Allow Company to Trim Staff
Santa Clara, Calif. - November 14, 2001 -- Align Technology, Inc. (Nasdaq: ALGN) the inventor of the Invisalign® System, a proprietary method of straightening teeth without unsightly wires and brackets, announced today in a conference call two initiatives which further support the company's core strategies.
As a precautionary measure to ensure uninterrupted business given the current political climate, the company has initiated the backbone of a supplemental plan for its Pakistani facility in two separate locations. A new operation to perform computer tooth modeling work now done in Pakistan is being developed in Dubai, one of the United Arab Emirates. The new facility is expected to be operational by the end of the quarter. The second site, located in Costa Rica, is expected to be operational during the first quarter of next year.
In addition, Align announced today that largely as a result of continued improvements in its manufacturing efficiencies and its goal to bring manufacturing overcapacity down to the 15 to 25 percent level, the company decreased its workforce by approximately 50 people, or less than five percent of its worldwide employee base. The company believes this action will realign its business model to be consistent with current business conditions. In addition, the reduced overcapacity will contribute to improved margins over time. Align remains confident that it is prepared to accommodate any potential spikes in product demand.
"The actions being announced today reinforce our strategy to narrow the gap between capacity and demand, and enhance our ability to continue to meet the needs of our customers," said Zia Chishti, Chief Executive Officer of Align.
Conference Call Replay
Align Technology hosted a webcast and conference call today to discuss these announcements. An archived webcast replay of the call will be available at the investor relations portion of Align Technology's website at www.invisalign.com. To listen to a taped replay of the call, dial (800) 633-8284 and enter reservation number 19989272. The replay may be accessed from international locations by dialing (858) 812-6440 and using the same reservation number. The taped replay will remain available until 6:30 p.m. EST on November 21, 2001.
About Align Technology, Inc.
Align Technology designs, manufactures and markets the Invisalign System, a proprietary new method for treating malocclusion, or the misalignment of teeth. The Invisalign System corrects malocclusion using a series of clear, nearly invisible, removable appliances that gently move teeth to a desired final position. Because it does not rely on the use of metal or ceramic brackets and wires, the Invisalign System significantly reduces the aesthetic and other limitations associated with braces. Invisalign is appropriate for treating adults and older teens. Align Technology was founded in March 1997 and received FDA clearance to market the Invisalign System in 1998.
This release may contain forward-looking statements based on Align Technology's current expectations. These statements include, but are not limited to, statements regarding the development of operations in Dubai and Costa Rica and expected operational dates, improvements in margins and the ability to accommodate spikes in product demand. These forward-looking statements involve risks and uncertainties. A number of important factors could cause actual results to differ materially from those in the forward-looking statements. These factors include Align Technology's ability to achieve profitability, the ability to control costs and continue to achieve efficiencies, the adoption by orthodontists, dentists, and consumers of the Invisalign System, Align Technology's successful enforcement of its intellectual property and avoidance of infringement on third party patents, Align Technology's ability to establish and maintain reliable, high-volume manufacturing capacity in the U.S. and internationally and Align Technology's ability to manage its significant growth and retain its key personnel. These factors, as well as other factors that could cause actual results to differ materially, are discussed in more detail in Align Technology's Annual Report on Form 10-K, as well as other reports and documents filed from time to time with the Securities and Exchange Commission.
Investor Relations Contacts
Stephen J. Bonelli Align Technology, Inc. (408) 470-1165 sbonelli@aligntech.com
Mary Magnani Thomson Financial Carson (415) 617-2542 mary.magnani@tfn.com
Press Contacts
Rachel Michelson Align Technology, Inc. (408) 470-1470 rmichelson@aligntech.com
Shannon Henderson Fenton Communications (678) 417-1767 shannon@ethospr.com