Aware, Inc. Reports Third Quarter 2009 Financi...(----- Total revenue ...)

Date:11/4/2009

----- Total revenue 6,220 6,390 16,557 18,434 Costs and expenses: Cost of product sales (1) 857 528 2,413 1,976 Cost of contract revenue (1) 717 1,365 2,534 3,512 Research and development (1) 3,175 2,945 9,344 9,984 Selling and marketing (1) 1,251 1,141 3,517 3,297 General and administrative (1) 1,383 1,315 3,812 3,793 ----- ----- ----- ----- Total costs and expenses 7,383 7,294 21,620 22,562 Loss from operations (1,163) (904) (5,063) (4,128) Interest income 31 244 217 942 -- --- --- --- Loss before provision for income taxes (1,132) (660) (4,846) (3,186) Provision for income taxes 1 3 5 16 -- -- -- -- Net loss ($1,133) ($663) ($4,851) ($3,202) ======= ===== ======= ======= Net loss per share - basic ($0.06) ($0.03) ($0.23) ($0.13) Net loss per share - diluted ($0.06) ($0.03) ($0.23) ($0.13) Weighted average shares - basic 19,782 23,510 21,230 23,753 Weighted average shares - diluted 19,782 23,510 21,230 23,753 (1) Effective January 1, 2006 the Company adopted Statement of Financial Accounting Standard No. 123 (Revised), "Share-Based Payment" (FAS 123(R)). The amounts in the tables above include stock-based compensation as follows (in thousands):

                                     Three Months Ended  Nine Months Ended
                                        September 30,     September 30,
                               
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SOURCE  Aware, Inc.
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