DJO Global Acquires Exos Corporation

  DJO Global Acquires Exos Corporation

Business Wire

SAN DIEGO -- December 31, 2012

DJO Global, Inc. (“DJO Global” or the “Company”), a global provider of medical
device solutions for musculoskeletal health, vascular health and pain
management, today announced that its indirect subsidiary, DJO, LLC, a
wholly-owned subsidiary of DJO Finance, LLC (“DJOFL”), signed a merger
agreement with Exos Corporation (“Exos”), and consummated the acquisition of
Exos, both effective December 28, 2012.

Exos is a medical device company focused on a revolutionary thermoformable
external musculoskeletal stabilization system. Exos, based in Minnesota, has
issued and pending U.S. patents for the application, materials and
construction of its products and continues to add to its intellectual property
portfolio. Exos offers a thermoformable bracing system, comprised of a
waterproof, removable, adjustable and reformable solution for the treatment of
fractures and other injuries requiring stabilization. This innovative
technology has the opportunity to significantly change clinical practices for
external musculoskeletal support and stabilization. DJO, LLC has been the
exclusive distribution partner for Exos in the United States since October 1,

Because DJO, LLC is already the distribution partner for Exos, the Company
said that the merger will not impact DJOFL’s reported net sales, but is
expected to increase DJOFL’s operating margins and operating income from the
sale of Exos products. The financial terms of the merger have not yet been
disclosed, but the Company indicated that, on a pro forma basis, taking the
acquisition of Exos into consideration, it does not expect any material
changes in DJOFL’s ratios of net first lien debt or net total debt to pro
forma consolidated EBITDA.

“It has been a pleasure working with Exos over the past 15 months,” said Steve
Ingel, president of DJO Global’s Bracing and Supports business unit. “With the
combination of Exos’ unique technology and our distribution network, we have
been able to make significant headway in the marketplace. We welcome the
entire Exos team to our DJO Global family and look forward to working together
with them to launch more products incorporating the Exos technology to more
customers in more geographies around the world.”

“DJO has been an incredible partner for Exos over the past year,” said
Fariborz Boor Boor, Chief Executive Officer of Exos. “DJO has a proud history
of innovation, world class customer service and a terrific corporate culture,
which makes it a perfect fit for our employees and technology. We look forward
to joining the DJO team.”

About DJO Global

DJO Global is a leading global developer, manufacturer and distributor of
high-quality medical devices that provide solutions for musculoskeletal
health, vascular health and pain management. The Company’s products address
the continuum of patient care from injury prevention to rehabilitation after
surgery, injury or from degenerative disease, enabling people to regain or
maintain their natural motion. Its products are used by orthopedic
specialists, spine surgeons, primary care physicians, pain management
specialists, physical therapists, podiatrists, chiropractors, athletic
trainers and other healthcare professionals. In addition, many of the
Company’s medical devices and related accessories are used by athletes and
patients for injury prevention and at-home physical therapy treatment. The
Company’s product lines include rigid and soft orthopedic bracing, hot and
cold therapy, bone growth stimulators, vascular therapy systems and
compression garments, therapeutic shoes and inserts, electrical stimulators
used for pain management and physical therapy products. The Company’s surgical
division offers a comprehensive suite of reconstructive joint products for the
hip, knee and shoulder. DJO Global’s products are marketed under a portfolio
of brands including Aircast®, Chattanooga, CMF™, Compex®, DonJoy®, Empi®,
ProCare®, DJO® Surgical and Dr. Comfort®. For additional information on the
Company, please visit

Safe Harbor Statement

This press release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Such statements relate to, among
other things, the expected financial impact and benefits to the Company from
completing the Exos acquisition. The words “believe,” “will,” “should,”
“expect,” “intend,” “estimate” and “anticipate,” variations of such words and
similar expressions identify forward-looking statements, but their absence
does not mean that a statement is not a forward-looking statement. These
forward-looking statements are based on the Company’s current expectations and
are subject to a number of risks, uncertainties and assumptions, many of which
are beyond the Company’s ability to control or predict. The Companyundertakes
no obligation to update any forward-looking statements, whether as a result of
new information, future events or otherwise. The important factors that could
cause actual results to differ significantly from those expressed or implied
by such forward-looking statements include, but are not limited to the
following: the successful execution of the Company’s business strategies
relative to the Exos business; the successful execution of the Company’s sales
strategies for the Exos products; and the Company’s ability to successfully
develop, license or acquire, and timely introduce and market additional new
products or product enhancements to the Exos product line. These and other
risk factors related to DJO are detailed in the Company’s Annual Report on
Form 10-K for the year ended December 31, 2011, filed with the Securities and
Exchange Commission (“SEC”) on February 21, 2012, and its Quarterly Report on
Form 10-Q for the quarter ended March 31, 2012, filed with the SEC on May 1,
2012. Many of the factors that will determine the outcome of the subject
matter of this press release are beyond the Company’s ability to control or


DJO Investor/Media Contact:
DJO Global, Inc.
Matt Simons
SVP Business Development and Investor Relations
Press spacebar to pause and continue. Press esc to stop.