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CryoLife's Fully Diluted Earnings Per Share Increased 71 Percent to $0.12 in Third quarter of 2008 from $0.07 in Third quarter of 2007
Date:10/30/2008

onal materials to support the Company's expanding tissue service and product offerings, and revenue growth. Additionally, there were increases in stock compensation expense over the same periods in the prior year.

Research and development expenses were $1.2 million and $1.1 million in the third quarters of 2008 and 2007, respectively. Research and development expenses were $3.9 million and $3.1 million in the first nine months of 2008 and 2007, respectively. Research and development spending in 2008 primarily focused on the Company's SynerGraft(R) tissues and products, protein hydrogel technologies, and research on cold storage and preservation of internal organs.

As of September 30, 2008, the Company had $20.5 million in cash, cash equivalents, and marketable securities, of which $1.6 million was received from the U.S. Department of Defense as advance funding for the development of BioFoam(R) protein hydrogel technology and $5.0 million was designated as long-term restricted money market funds due to a financial covenant requirement under the Company's credit agreement.

"In late 2007, we developed our 2008 business plans with a great deal of care and consideration. CryoLife's year-to-date results show that we have been able to execute those plans," stated Steven G. Anderson, president and chief executive officer.

2008 Financial Guidance

The Company's GAAP revenues are composed of product and tissue processing revenues plus other revenues. The Company expects product and tissue processing revenues for the full year of 2008 to be between $105.0 to $107.0 million. Product and tissue processing revenues could be affected by several factors, including but not limited to, the general economic environment, and its effect on demand for the Company's tissues and products, and changes in foreign currency exchange rates and their effects on revenues generated in international markets. This guidance assumes foreign currency exchange rates sta
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SOURCE CryoLife, Inc.
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