1. The Medical Device Industry in Southern New England’s I-91 Corridor Potential for growth September, 2004 and the role of BEACON Joseph D. Bronzino, Ph. D., PE, President of BEACON

2. The Biomedical Engineering Alliance & Consortium The Biomedical Engineering Alliance & Consortium is a non-profit organization consisting of academic and medical institutions as well as corporations dedicated to the development of new medical technologies, new companies and new jobs. The goal of BEACON is to foster collaborative research, promote industrial partnering, and facilitate the development of new medical device companies. To accomplish this goal, BEACON has formed a preferential access network, which provides its members access to the expertise and resources within the network. In November 2003, Northeast Utilities – a member of BEACON – commissioned us to assess the medical device industry in Southern New England’s I-91 Corridor.

3. WHAT IS A MEDICAL DEVICE? According to the FDA, it is: Surgical instruments Catheters Coronary stents Pacemakers X-ray machines CT Scanners MRI Anything used for therapeutic and/or diagnostic purposes in humans or animals, which is NOT a drug (that is not dependent upon being metabolized for the achievement of any of its primary intended purposes). Artificial hips/knees Prosthetic limbs Artificial organs Neural stimulators Medical lasers Biosensors Biomaterials Examples:

4. Southern New England’s I-91 Corridor

5. Medical Device Industry In Southern New England’s I-91 Corridor This report, which is available in detail at: http://www.hartfordspringfield.com/pdf/BEACON_Report_FINAL.pdf provides an assessment of the broad medical device industry in the Interstate-91 Corridor region of Connecticut and Massachusetts placed in context with the medical device and technology industry of New England, the greater Northeast and the nation as a whole.

6. The Medical Device Industry In the United States The stringent FDA-approval process is internationally recognized as the “gold standard” of product quality and effectiveness. The U.S. is the global leader in Medical Devices & Technology

7. Medical Device Manufacturers In Southern New England’s I-91 Corridor

8. Southern New England’s I-91 Corridor Precision-Skilled Manufacturers

9. New Haven, Hartford & Springfield in the heart of the Northeast Research Corridor “The combined total economy of the region places it ninth in the U.S., just ahead of Dallas, Detroit and Minneapolis-St. Paul.” Southern New England’s I-91 Corridor is “home to one of the largest concentrations of universities, colleges and students in the United States”

10. The Medical Device Industry in Southern New England’s I-91 Corridor ranks among the Top 50 areas in the nation relative to industry concentration and among the Top 20 in total industry employment; crosses two states, Massachusetts and Connecticut, which rank first and second in proportion of FDA-registered manufacturing firms; is home to a substantial support system – health care institutions, precision machining capabilities, industry support groups – upon which medical device firms rely; offers potential new markets in the medical device industry for area machining and tooling firms, historically engaged in contract aerospace manufacturing; and has a lower cost of living than other metros with which it competes, including the Boston and California bastions.

11. Medical Device Industry Forecast Calls for Strong & Sustained Growth $43 - $88 billion industry Outperforms S&P 500 9% average annual growth “recession-proof” “double-digit growth for years to come” $6 billion added to U.S. trade accounts annually Relative Stock Market Performance Over Previous Decade

12. Medical Device Industry’s Most Active Sectors Heart disease-treatment devices Orthopedic implants Minimally-invasive surgical devices Neurology (neurostimulation devices).

13. Medical Device Industry’s Up-and-Coming Technologies to Watch this Year Drug-eluting stents Implantable defibrillators Neurostimulation devices Nanoscale biosensors Cardiac rhythm management devices Home & self-care technologies Tissue-engineered components Less-invasive hip replacements.

14. Biomedical Engineering the future of medical devices Advanced biomaterials Ultra-high resolution imaging systems Drug-device hybrids Biosensors Nanodevices Virtual reality Biorobotics Brain-machine interfaces Computerization of medicine.

15. The Broad Medical Device Industry Medical Device Testing Electronic Components Metal Components Biomedical Engineering Plastics Components Research PackagingPost-processing

16. 1.Continually develop a “preferential access network” that gives our members access to the expertise and resources within the BEACON community. 2.Enhance the technology transfer process between academic institutions and industry. 3.Promote collaborative research and partnerships among our academic, medical and industrial partners in the field of biomedical engineering. 4.Facilitate the development of new medical device companies by assisting academics and clinicians in developing their business plans and obtaining funds. 5.Provide educational opportunities (courses, seminars, curriculum, programs, etc.) that improve understanding and foster the acquisition of specific knowledge and expertise in the field of biomedical engineering. 6.Build bridges to other centers and organizations interested in biomedical research and development. 7.Develop BEACON hubs in other regions to enhance the overall leverage capabilities of our organization. BEACON endeavors to:

17. 1. BEACON Symposium and Tech Fair: Bionanotechnology: The World of the Small in Medicine, scheduled for October 28, 2004 2. LANDING IN THE FUTURE CONVENTION at Andrian’s Landing on October 12-13, 2005. This is a major trade show being planned for the new convention center in Hartford. Upcoming BEACON events: