GN Otometrics Announces New Distribution Strategy

Industry Leader Rethinks Approach to Market, Raises Bar on Customer Care.

Schaumburg, IL, August 2012 - GN Otometrics, the world leader in hearing and balance diagnostic systems, announced today that it is implementing a new distribution strategy designed to deliver a better customer experience. Going forward, Otometrics will now distribute its products through Audiology Systems Inc. and Otometrics partner distributors. Audiology Systems is a newly established distribution network while Otometrics partner distributors are existing independent distributors already working with Otometrics.

The new distribution strategy was developed in response to industry consolidation and is designed to elevate the level of customer care within the industry. In implementing this distribution strategy, Otometrics has discontinued relationships with distributors that were acquired by William Demant- controlled entities. Audiology Systems is a national partnership of, and owned by, industry professionals, audiologists and local audiology and vestibular instrument experts. Otometrics, one of multiple shareholders, holds a minority stake in the company and has named Audiology Systems the exclusive distributor for its MADSEN, AURICAL and ICS product lines, covering more than half of the U.S effective August 2012. Audiology Systems is implementing a new business model dedicated to improving the customer experience by focusing on three core principles: professionalism, consultation and accessibility.

Otometrics partner distributors are select, independent, family-owned businesses, with which the company had existing distribution relationships. Otometrics has established closer partnerships with these distributors and will take a more active role in supporting them, maximizing their local knowledge and enabling them to take advantage of the company's global strength in terms of support, education and marketing.

"We are very excited to offer hearing and vestibular professionals a real alternative to the old-fashioned 'one-stop shop,'" said Uffe Bjerg, vice president, GN Otometrics North America. "Our goal with this innovative approach to distribution is clear e want to improve our customers' overall experience. This innovative distribution strategy is the first step toward achieving that goal."

About GN Otometrics North America

Copenhagen-based GN Otometrics is the world's leading manufacturer of hearing and balance instruments and software. The company has solutions ranging from infant-screening applications and audiologic diagnostics, to balance testing and hearing-instrument fitting. For more information about Otometrics, visit www.otometrics.com or the Otometrics web channel on AudiologyOnline.