< BACK

June 3, 2009

Once again our community has been challenged.

The current and anticipated prolonged shutdown of the NRU reactor Chalk River in Canada is only the most recent in a series of events underlining the fragility of the molybdenum 99 (Mo-99) supply chain that begins with a few aging reactors around the world and ends with patients receiving the potential life-saving benefits of diagnostic testing with Technetium-99m (Tc-99m).

As the industry leader, we are doing everything we can to address the global Mo-99 supply challenge, both immediately and in the longer-term. Our goal is to create a future in which patient testing with Tc-99m is rarely delayed or denied because of Mo-99 supply chain issues, and with that goal in mind we have taken the following actions:

• On May 20, 2009 we announced an agreement with NTP Radioisotopes (Pty) Ltd., a subsidiary of the Nuclear Energy Corporation of South Africa (NECSA), to manufacture and supply us with an ongoing volume of Mo-99.  NTP has, in turn, partnered with Belgian radiochemical producer IRE to co-supply the Lantheus requirement and thereby maximize security of ongoing regular supplies of Mo-99 to Lantheus. IRE and NTP have a long and successful relationship as reliable and consistent suppliers of Mo-99 to key customers.

This agreement underlines our commitment to investing in a supply chain diversification strategy and providing new solutions to address the limited and fragile global Mo-99 supply chain.

• We are actively working with suppliers and partners worldwide to maximize our access to Mo-99 on behalf of our customers and the patients who ultimately benefit from everything we do.  With the Mo-99 we do receive through this time of shortage, we will allocate it so that we can serve as many customers as possible.
  
  
• We are meeting with governmental officials in the U.S. and Canada to increase their awareness of the implications of the current global Mo-99 supply situation and push for innovative solutions in the United States and around the world.

• We are developing collaborative efforts to mitigate the impact of sustained outages with our valued partners in the medical imaging community and with global nuclear production groups including among others, the Association of Imaging Producers and Equipment Suppliers: European Industrial Association for Nuclear Medicine and Molecular Healthcare (AIPES), the Society of Nuclear Medicine (SNM) and the American Society of Nuclear Cardiology (ASNC).

• We are providing transparent and continuous communications to our customers, not only during times of acute shortage but also during periods of relative stability in the market. Our customers know from experience that they can count on us to keep them updated and informed.

• We are continually investing in our manufacturing capabilities and making changes to our production and distribution schedules to meet the needs of our customers. A recent example is the implementation of a Sunday TechneLite® generator run, which we instituted as a direct result of customer input.

As the actions outlined above demonstrate, Lantheus Medical Imaging is fully committed to help stabilize the global Mo-99 supply chain. We recognize that with leadership comes responsibility and we want to assure you that we will continue to work tirelessly to find innovative solutions on behalf of our industry and, more importantly, on behalf of the millions of patients our efforts ultimately benefit.

Sincerely, 

William Dawes
Vice President
Manufacturing and Supply Chain