Greetings and welcome to the CorMedix Fourth Quarter and Year-end Review Conference Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Randy Milby, CEO of CorMedix. Thank you. Mr. Milby, you may begin.

Good morning and welcome to the CorMedix fourth quarter and full-year 2015 investor conference call. In the room with me, is Jim Altland, our interim CFO; Dr. Tony Pfaffle, our CSO, and Jack Armstrong, our Executive Vice President of Technical Operations, who will be available during the question-and-answer portion of the conference call. First, I want to remind you that this conference call may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties. All statements other than statements of historical facts regarding management’s expectations, beliefs, goals, plans, or the Company’s prospects, future financial position, future revenues and projected costs should be considered forward-looking. Forward-looking statements include statements about our clinical development plans and timing, regulatory actions, and cash needs. Our actual results may differ materially from these projections or estimates due to a variety of important factors, including uncertainties related to the clinical development, regulatory approvals, and commercialization. These risks are described in greater detail in CorMedix’s filings with the SEC, copies of which are available free of charge at the SEC’s Web site at www.sec.gov, or upon request from CorMedix. CorMedix may not actually achieve the goals or plans described in these forward-looking statements, and investors should not place undue reliance on these statements. Please note that CorMedix does not intend to update these forward-looking statements except as required by law. Thank you for joining us. We are encouraged as to the progress we’ve made and hope to continue to make to drive the company forward, both from the standpoint of strategically positioning the Company for long-term success, as well as executing tactically in the near-term. For those of you who maybe new to the CorMedix story, we’re commercial stage company developing a truly novel…

Thank you. We will now be conducting a question-and-answer session. [Operator Instructions] Our first question comes from the line of Ram Selvaraju with H.C. Wainwright. Please proceed with your question.

Hi. Thanks very much for taking my question. Can you hear me?

Yes, we can.

Okay, three very quick things. Firstly, I wanted to see whether you could provide us with some more granularity regarding the cost of manufacturing improvements on the taurolidine side, and whether this is related to taurolidine or Neutrolin, the product itself. Where are the manufacturing savings and improvements and efficiency coming from? What exactly have you done to the process to make it more efficient and cost effective? The second question pertains to the interim analysis specifically. You mentioned in your most recent comments that, this would potentially if the interim analysis were positive, allow you to pursue accelerated approvals specifically for dialysis indication hold [ph]. I just wanted to clarify whether, had in fact the speed such guidance from the FDA or do you anticipate seeking and obtaining such guidance from the FDA, is a wake of a positive interim analysis? And then the third question relates to the developments of [technical difficulty] relations of taurolidine. At this juncture, do you anticipate doing any active work in that area or would you first look to bring in additional funding in order to spur those initiatives? Thank you.

Thanks, Ram. Answering the first question on the COGS …

Okay. It’s Jack Armstrong. Actually it took several levels. It involves the [indiscernible] taurolidine, Heparin, as well as the cost of manufacturing. So it’s a combination thereof. As you know, FDA have used this as a drug, so we are being judicious as we approach implementing these things to make sure we have the highest quality possible to insure that the CMC section works very well the first time through. But it’s a multi-faceted things, it’s all the above.

Your second question on interim analysis, Dr. Pfaffle will take that.

Hi, Ram. Yes, under fast track which we’ve been grated by the agency -- by the FDA, we are eligible for accelerated review, which means that, we are able to request the review after the interim analysis results are reviewed by DSMB. So that is already in place, should we be lucky enough to attain those results.

And then the last question, Ram was on the development alternatives. We are -- we have a couple of things going on there. We are not spending a lot of our money here, but we are working on partnerships with a couple of companies that can do the first couple of phases. And as you know, these are medical devices, so these are 510(k). We also will be initiating discussions for potential partnerships and different applications. Does that answer your three questions, Ram?

Yes, absolutely. Thank you very much.

You are welcome.

Our next question comes from the line of Ed White with FBR & Co. please proceed with your question.

Thanks for taking my question. The first one is just following up on Ram’s question. When looking at the five other indications outside the catheter, is the suture product the lead product there or how should we be thinking about the order of importance of those and the timing of those?

You’re correct. The sutures and that’s why we were able to present the data. The suture product in this case is the lead product as we’ve talked in the past, we’ve done a core extrusion with taurolidine within the suture material, and we’re advancing it to get that provisional patent to PCT patent. The second one would be the nanofibers. Here again it’s using extrusion technology with taurolidine, and incorporating it either as a coating or extruding it within the nanofibers. So both of those are open for partnership discussions, and as I mentioned with Ram, we’re spending a minimum amount of our money in this area, and we’ve submitted FBI grants and some other government -- submitted for other government grants to move these along.

Okay, great. Thank you. And now just looking at the revenues, you had said the majority of the revenues were from Germany and Middle East. Did you get any revenue at all from the Netherlands and also, has Neutrolin received product registration in South Korea and should we expect to see sales in South Korea in 2016?

I can answer the South Korean first. The South Korea follows the US FDA. So on that case they have, as you correctly state, they do have the license for South Korea. But that won't be approved or marketed until after we’ve received US FDA approval. As far as the Netherlands, we don’t have sales. We pretty much deemphasize the Netherlands. We’ve done sampling there, and we’ve deemphasized some of the activity than Germany. The focus right now is on the Middle East. We’re trying to manage our cash flows or focus mainly on the US clinical development.

Okay. Thank you. And then, lastly just on G&A, two questions. One, what was your headcount at the end of the year? And also, the consulting fees of $554,000 in 2015, was primarily due to the executive search fee. Can you just give us an update there on the search and should we see a similar amount being expanded in 2016 for the search as well?

I can address the executive search first, and the process as you know is well under way. We are working with Korn Ferry International, a leading search firm. And as you know it takes time to find the right person. And I have committed to remaining in the job until we do with the full support of our Board of Directors. We have seen some interest in candidates to date, and we are very close to a final decision. It is my opinion this candidate will represent the company very well and it is my opinion that this most likely will be my last quarterly call. As far as the headcount, we have nine people at year end and we use a lot of consultants. So your comment about the consulting fees we’ve used consultants for marketing access and other applications as well as even in the clinical area.

Okay, great. Thanks for taking my questions.

You’re welcome.

[Operator Instructions] Our next question comes from the line of Doug Schwegel, who is a private investor. Please proceed with your question.

Yes. Good morning, Randy. Could you address two questions. One, could you shed a little bit of light with regards to potential market size in the two alternative indications, the principle lead indications with regards to sutures and nanofiber webs?

Absolutely. So, I haven’t provided, as you’ve seen Doug in the PowerPoint that we just recently released. I don’t talk about -- we’ve done, we’ve looked at it globally. So on the sutures the global market in 2015 was $3.5 billion, and in topicals its $900 million -- $700 million -- and this fiscal supplementation around $800 million. So what we’ve done is, we’ve just done a ballpark based upon talking with some experts of what the penetration would be. We’re going to be doing a little more market research in that space. But it’s safe to say that the sales potential was greater than $1 billion in this space if you add all those up.

As a medical device, what's the relative timeframe with initiating any trials and potential FDA approval? Is it shortened relative to what we see with developing it for a drug indication?

Yes. So these are going to 510(k) as we expect them to be at this point. We haven’t had any discussions with the FDA at this point. It could be that it’s possible they view them as the drug combination, but at this time we view them as a 510(k). The 510(k), as you know it takes between 12 months to 18 months. Now that does require some clinical work. So the earlier question about, how much resources we’re putting into this and that’s why we’re partnering and working with other -- couple of other companies that can do at least the Phase I, Phase II work.

And would we -- could we safely expect if there was to be something that was worked out with regards to partnerships that we might see something in this calendar year?

That’s one of my objectives, yes.

Okay. And lastly, could you shed a little bit more color with regards to the proceedings that are going on in Germany and where we’re at with legal proceedings?

So, as you know we have two things going on in Germany, and we hold patent positions on various aspects of Neutrolin, and our underlying technology in U.S, Europe and other territories. As we’ve spoken in the past, we’re confident that we have the freedom to operate and commercial our product in the manner that we are now doing, and we in the midst of bringing a series of legal challenges to our rival in Europe. We expect that there will be a ruling concerning our patent position, and the activities of the unfair competition by mid 2016. Beyond that I can't say much more, but we are determined to press these matters to defend our intellectual property rights and those of our predecessor filing.

Great. Thanks.

You are welcome.

There are no further questions at this time. I would like to turn the floor back over to you Mr. Milby for closing comments.

Well, thank you very much everybody for dialing in. I think you’ll agree that we made tremendous progress in the last quarter and for 2015 and you can expect more of the same in 2016. The team is working diligently to get the patients enrolled and get the sites onboard. As you heard from Jack Armstrong, the initiative to reduce the COGS so that we will be ready for the launch in 2018 is well underway. We’re making solid progress. We’ve got quarter-by-quarter objectives. We’ve got monthly objectives for Tony, for the enrollment of pensions, and you’ll see more positive results in 2016. I appreciate everybody dialing in. And if you have any questions, you can always reach out to me. Thank you very much.

This concludes today's teleconference. You may disconnect your lines at this time and thank you for your participation.