Tenon Medical, Inc. announced the termination of its national distribution agreement with distribution partner, SpineSource, for the Company's Catamaran™ SI Joint Fusion System. The termination of the exclusive partnership comes following the Company's April Initial Public Offering ("IPO") and supports acceleration of its commercial scale and investment to achieve its revenue growth targets. Due to the evolving nature of the business model, both parties have decided to terminate the current legacy distribution agreement in an effort to move forward in a mutually beneficial manner, as of October 6, 2022.

Effective immediately, Tenon has assumed control of all commercial distribution activities. With the full support of SpineSource, Tenon has begun developing its own commercial infrastructure and sales management team that will partner with current independent spine distributors procured by SpineSource to represent the Company's Catamaran SI Joint Fusion System. SpineSource will continue to provide logistical services, sales expertise, and support to Tenon over the next six months to help facilitate a seamless transition.