Unit sales for the first quarter totaled 0.8 million versus 1.7 million units sold during the same period a year ago. However, units shipped plus orders in-house totaled 3.4 million for the first quarter versus 2.1 million first quarter 1998, an increase of 62 percent. Orders in-house totaled 2.6 million versus 0.4 million for the prior year period. Net sales for the current quarter do not include any new country launches, resulting in the decrease in net sales. There were no adjustments to reserves for the current year's first quarter.
Individual countries are responsible for virtually all marketing and shipping costs.
Therefore, the Company's expenses are not expected to increase materially as unit volume increases. Actual events affecting the Company and the impact of such events on the Company's operations may vary from those currently anticipated. The Female Health Company, based in Chicago, owns certain worldwide rights to The Female Condom including patents which have been issued in the United States, United Kingdom, Japan, France, Italy, Germany, Spain, The People's Republic of China, Canada, New Zealand, South Korea and Australia. Actual events affecting the Company and the impact of such events on the Company's operations may vary from those currently anticipated. The move to the Bulletin Board follows delisting of the company's shares from the American Stock Exchange effective February 5, 1999.