Patient Safety Technologies, Inc. (Patient Safety) focuses on the development, marketing and sale of products designed to improve patient outcomes and reduce costs in the healthcare industry. The Company conducts its business through its wholly owned subsidiary, SurgiCount Medical, Inc. (SurgiCount). The Company's Safety-Sponge System is designed to eliminate one of the most common errors in surgery, retained surgical sponges, and the human and economic costs associated with this surgical mistake. The Safety-Sponge System consists of a line of identified surgical sponges and towels and a turnkey hardware and software offering integrated to form a accounting and documentation system. The Company sells its Safety-Sponge System to hospitals. Additionally, as of December 31, 2011 the Company had an additional 139 facilities. The Company's end-user hospitals use the Safety-Sponge System across all of their relevant surgical and OB/GYN procedures.