Philips Trilogy EVO portable ventilator (Image courtesy of Philips)

The U.S. Dept. of Health and Human Services (HHS) is reportedly terminating more ventilator contracts as the national stockpile is full.

The Hill reported today that HHS is throwing out some of the contracts that totaled $3 billion as the U.S. government sought to supply as many ventilators as possible during the first surge of the COVID-19 pandemic.

This news follows a recent announcement from Royal Philips (NYSE:PHG) that it would not be supplying the remaining 30,700 ventilators it was slated to manufacture by December to the Strategic National Stockpile, with HHS canceling the contract after the Amsterdam-based company delivered 12,300 total bundled ventilator configurations supplied to the stockpile through August, falling in line with the stipulations of the contract.

HHS has not divulged details on any terms of their cancelations, The Hill reported, but it told the outlet that contracts with Hamilton Medical and Vyaire Medical to produce more than 36,000 ventilators by the end of 2020 were canceled.

Conversely, Ventec Life Systems and General Motors announced yesterday that they completed their government contract to supply 30,000 ventilators through August on time.

“By terminating the remainder of deliveries from these contracts, HHS is balancing federal stockpile requirements with commercial market demand for ventilators,” an HHS spokesperson told The Hill in a statement. “As a result, HHS is saving the U.S. taxpayer millions of dollars by halting delivery of additional ventilators that are no longer required.”