On Monday, Hologic Inc (NASDAQ:HOLX) reported its second quarter earnings and discussed the following topics in its earnings conference call. Here’s what executives shared.
HPV Product Line
William Quirk – Piper Jaffray & Company: First off, I guess question would you what you – I guess could you elaborate perhaps a little bit on HPV given obviously both companies have a test here and then also just kind of what happens to some of the (non-team A) products like the LIFECODES business and Prodesse?
Robert A. Cascella – President and CEO: Sure, with respect to the HPV product line as we indicated in one of our slides, Bill, we really are looking at this as a bifurcation strategy where we’ll approach the higher end high volume segment of the market with the Gen-Probe assays and automation and really use Cervista in the low to mid tier where we have had great traction and great success. In addition to that, we believe that the OUS market, those that are decentralized is a great market opportunity for Cervista and as those markets consolidated, we see the transition to APTIMA is being appropriate as well. So, it is really a combination strategy that allows us to use both assay in a most effect way.
William Quirk – Piper Jaffray & Company: On the second part of the question.
Robert A. Cascella – President and CEO: On the second part of the question, repeat please.
William Quirk – Piper Jaffray & Company: What do you do with some of the non-PMA businesses, Rob, like the LIFECODES, HLA business and PRODESSE?
Robert A. Cascella – President and CEO: We are going to continue to maintain those, it’s early on in transaction, but we think that there is strong opportunities in those markets, and with those technologies and we view that although outside of our core focus on women’s health we would like to exercise those to their fullest.
Bill Bonello – RBC Capital Markets: Just a question, I guess to both Rob and Carl about the way you see the HPV market playing out and if that influence this deal at all. Initially we have been thinking that HPV would be a decision completely left to the labs and then it seems like maybe the big labs are thinking it is going to be a little bit more of a physician preference call. I’m just curious if you guys are thinking that and if that impacts the value of why you did the deal at all?
Carl W. Hull – Chairman and CEO, Gen-Probe: This is Carl. I think it’s a great question and obviously we have told a lot about that. To me it’s the best of both worlds right. You don’t have to take a physician on which part of the thesis is correct. Is the lab driving or is the physician driving, we have a unique opportunity now in this combination to cover both ends of the spectrum and we will do so in ways that meet the needs of both of those important segments of customers. Rob, I don’t know if you care to add anything to that?
Robert A. Cascella – President and CEO: I think that’s very accurate and we are very optimistic that we can drive compliance as well as utilization with our physician sales team and really leverage the already wonderful presence that Gen-Probe has at the lab front.