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Avitar Reports Fourth Quarter and Fiscal Year 2007 Financial Results
Date:12/28/2007

actures and markets HYDRASORB(TM) an absorbent topical dressing for moderate to heavy exudating wounds. In the estimated $25 billion in vitro diagnostics market, Avitar is developing diagnostic strategies for disease and clinical testing. Some examples include influenza, diabetes and pregnancy. For more information, see Avitar's website at http://www.avitarinc.com.

Safe Harbor Statement. This release contains forward looking statements that are subject to risks and uncertainties including the development and marketing of new applications and other risks that are detailed from time to time in the Company's filings with the Securities and Exchange Commission. In view of such risks and uncertainties, the Company's actual results could differ materially from those anticipated in such forward looking statements

Company Contact: Jay C. Leatherman, CFO

Avitar, Inc.,

781-821-2440 x139

http://www.avitarinc.com

Avitar, Inc.

Summary of Financial Results

(in thousands, except per share amounts)

Quarter Year

Ended September 30, Ended September 30,

2007 2006 2007 2006

Sales $666 $1,357 $3,106 $4,519

Operating Expenses:

Cost of Sales 466 899 2,269 3,144

Selling, General and

Administrative 732 913 3,260 3,774

Research and

Development 64 145 310 494

Total Operating

Expenses 1,262 1,957 5,839 7,412

Operating Loss (596)
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SOURCE Avitar, Inc.
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