HHS announces new ventilator contracts, orders total over 130,000 ventilators

April 15, 2020

The Department of Health and Human Services has announced five new contracts for ventilator production rated under the Defense Production Act (DPA), to General Electric, Hill-Rom, Medtronic, ResMed and Vyaire, as well as two other contracts for ventilator production to Hamilton and Zoll.

In total, combined with contracts with General Motors and Philips rated under the DPA, HHS has finalized contracts to supply 6,190 ventilators for the Strategic National Stockpile by May 8 and 29,510 by June 1. The seven new ventilator contracts announced by HHS this month will provide a total of 137,431 ventilators by the end of 2020.

The rating of the five contracts under the DPA follows President Trump's direction to HHS Secretary Alex Azar on April 2 to invoke the Act with regard to General Electric, Hill-Rom, ResMed, Medtronic, and Vyaire.

The seven ventilator production contracts include:

·        General Electric's contract, at a price of $64.1 million, is for 2,410 ventilators produced by June 29, with 112 by May 4 and 736 by June 1.

·         Hamilton's contract, at a price of $552 million, is for 14,115 ventilators produced by July 3, with 850 by May 8 and 4,404 by May 22.

·         Hill-Rom's contract, at a price of $20.1 million, is for 3,400 ventilators produced by July 13, with 400 by June 1.

·         Medtronic's contract, at a price of $9.1 million, is for 1,056 ventilators to be produced by June 22, with 200 by May 4 and 678 by June 1.

·         ResMed's contract, at a price of $31.98 million, is for 2,550 ventilators produced by July 13, with 400 by May 4 and 1,150 by June 1. 

·         Vyaire's contract, at a price of $407.9 million, is for 22,000 ventilators produced by June 29, with 1,200 ventilators by May 4 and 9,100 by June 1. 

·         Zoll's contract, at a price of $350.1 million, is for 18,900 ventilators produced by July 3, with 1,010 by May 4 and 4,410 by June 1. 

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