Wright Medical Group Announces Resignation of Three Executives; Reports Preliminary EPS of $0.09

Wright Medical Group, Inc.

today announced certain management changes, effective immediately, following the resignations of three executives: Thomas L. McAllister has been appointed interim General Counsel and Secretary, replacing Raymond C. Kolls, Senior Vice President, General Counsel and Secretary; Aurelio Sahagun is serving as Vice President, EMEA Commercial Operations, succeeding Cary P. Hagan, formerly Senior Vice President, EMEA Commercial Operations. Mr. Sahagun's appointment was planned, implemented two weeks ago and was already announced internally; and Max K. Mortensen will serve as Vice President, Quality, Clinical & Regulatory Affairs, replacing Alicia M. Napoli, Vice President, Clinical & Regulatory Affairs. Mr. Kolls, Mr. Hagan and Ms. Napoli resigned without “good reason.” Wright Medical noted that these management changes are not related to the Company's operational performance, financial condition or financial reporting. For the first quarter of 2011, the Company reported net sales of $135.4 million, a 3% increase over net sales of $131.2 million during the first quarter of 2010. The Company's first quarter 2011 EPS was $0.09 per diluted share, compared to a loss of ($0.01) per diluted share in the first quarter of 2010. Wright Medical's diluted earnings per share for the first quarter of 2011, as adjusted, was $0.24, an increase of 14% compared to $0.21 in the first quarter of 2010. The Company is reiterating its previously-communicated 2011 net sales outlook of $517 million to $535 million. The Company is also upwardly revising its 2011 as-adjusted earnings per share outlook* to a target range for the full year 2011 of $0.89 to $0.97 per diluted share, from $0.88 to $0.95 per diluted share, which was previously communicated on February 10, 2011. The Company anticipates full year 2011 as-adjusted earnings per diluted share including stock-based compensation to be in the range of $0.70 to $0.78, which represents annualized growth expectations of 0% to 11%.