“2010 has developed into a challenging year for us, with the weak domestic economy and strong U.S. dollar impacting our results more than we had anticipated,” said Mark Sieczkarek, president and chief executive officer of Conceptus. “To proactively address competitive trialing, we have been re-educating physicians on the superior clinical results of the Essure procedure, which has temporarily lessened our focus on physician metrics. Even with these factors, we are projecting overall net sales growth of 9% to 10% for the year, which includes international unit volume growth of 30%.”

“We remain optimistic about our long-term growth prospects. Permanent birth control is a multi-billion dollar market with more than one million procedures performed annually in the U.S. alone. The Essure procedure is faster, safer, less expensive and more effective than competing procedures,” said Sieczkarek. “Our team is dedicated to establishing the Essure procedure as the industry’s standard of care.”

Conference Call on August 5, 2010

The Company will release second quarter 2010 financial results on August 5, 2010 after the close of market. Management will host an investment community conference call beginning at 4:30 p.m. Eastern time to discuss results and answer questions. Conference call dial-in information is as follows:
  • U.S. callers: (888) 803-8296
  • International callers: (706) 634-1250

Individuals interested in listening to the live conference call via the Internet may do so by logging on to the Company's website, www.conceptus.com.

A telephone replay will be available from 6:30 p.m. Eastern time August 5, 2010 through 11:59 p.m. Eastern time on August 9, 2010. Replay dial-in information is as follows:
  • U.S. callers: (800) 642-1687 (domestic)
  • International callers: (706) 645-9291 (international)
  • Conference ID number (U.S. and international): 87124264
  • The replay will also be available at www.conceptus.com

Use of Non-GAAP Financial Measures

The Company has supplemented its GAAP guidance with a non-GAAP measure of net income (loss) that excludes stock-based compensation expense, non-cash interest expense, amortization of intangible assets and amortization of debt issuance costs. Management believes that this non-GAAP financial measure provides useful supplemental information to management and investors regarding the performance of the Company’s business operations, facilitates a better comparison of results for current periods with the Company’s previous operating results, and assists management in analyzing future trends, making strategic and business decisions and establishing internal budgets and forecasts. A reconciliation of the expected non-GAAP net income (loss) to expected GAAP net income (loss), the most directly comparable GAAP measure, is provided in the attached schedules.