The Company complements its reusable products with cost-effective disposable accessory packs and individual single sterile disposable items to provide a comprehensive offering for surgical procedures. In 1998, SRI introduced its new service, Surgical Express, which uses daily delivery and retrieval to provide customers an expanded program of products and services. Surgical Express is an outsourced Surgical Case Cart Management Program, which the Company expects will reduce hospital and surgery center processing costs and their investment in surgical products. The foundations of this service are SRI's reusable surgical products. Revenues reflect increased Surgical Express business and the expansion of its instrument program.
Net income reflects an improved gross margin.
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