Sunrise reinvents itself

Thursday, May 31, 2007

LONGMONT, Colo. - In a major corporate reorganization, Sunrise Medical has sliced itself down the middle, creating two independent organizations, one focusing on mobility and the other on respiratory products, the manufacturer announced May 10.
"This is saying we have faith in the respiratory industry, we have faith in the mobility industry," said Sunrise CEO Mike Hammes. "We want to have a dedicated focus for two separately focused businesses to take full advantage of what we think is a good medium- to longer-term situation.
The new divisions, Sunrise Mobility and DeVilbiss Healthcare, will operate like separate companies. Kees Regeling will serve as president and CEO of DeVilbiss Healthcare. Hammes will serve as CEO of Sunrise Mobility and continue in his role as chairman of the entire company.
With the new structure, Sunrise will be able to bring additional levels of expertise and service to respiratory and mobility providers. That, in turn, will help providers navigate through the reimbursement and regulatory challenges they now face, Hammes said.
Not only does Sunrise have a good line up of current products, but it will be releasing new products in the coming months, including a portable oxygen concentrator and a 5-liter concentrator in a 3-liter box, Hammes said. Additionally, the company plans to take cost out of its manufacturing operations with improved sourcing for materials and products.
"We are not naive about the challenges the industry faces, but we think we are well prepared," Regeling said. "The answers are different for different providers, and by focusing on that, we can help them through that transition."