Health Robotics, a leading supplier of life-critical intra-venous medication robots, announced that it has issued notice to McKesson for termination for cause of their exclusive CytoCare distribution and services contract in North America.
Health Robotics will also terminate supplies for i.v.STATION and i.v.SOFT for cause of their non-exclusive distribution agreement.
According to the initial IV Automation agreement signed between the two companies in August 2009, McKesson holds less than 10 % of all Health Robotics' contracts in the USA and Canada. The company expects not to experience a major impact following its termination with McKesson.
Moreover, Health Robotics estimates that the termination will not affect i.v.STATION and i.v.SOFT customers as the installations were implemented and contracted by partners other than Health Robotics.
Due to the early termination, non-McKesson CytoCare customers based in North America will receive support from other channel partners of Health Robotics. Health Robotics is hoping to come to a consensus with McKesson to ensure continued support to its customers.