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ThermoGenesis Provides Update on Fiscal 2009 Results
Date:8/6/2009

in severance charges.

In a separate press release today the Company announced that its Res-Q System, a point of care processing device for bone marrow aspirate to concentrate stem cells, was formally launched in July. The Res-Q System processes bone marrow in minutes and delivers a high rate of stem cell recovery.

The Company also announced today, in a separate press release, an expanded collaboration agreement with Celling Technologies ("Celling"), a subsidiary of SpineSmith, LLC, for the marketing and distribution of the MX(TM) MarrowXpress(TM) ("MXP") System and Res-Q. Key elements of this agreement include shared funding for clinical studies to demonstrate the clinical effectiveness of both the MXP and Res-Q Systems with Celling's orthopedic applications, including spinal fusion. Celling will be responsible for coordinating the clinical studies. The Company believes the results of these studies, if successful, will accelerate the market adoption of the Company's bone marrow processing technologies and increase Company sales.

J. Melville Engle, Chief Executive Officer, stated that the Company is committed to quality and expanding its market position as a leading manufacturer in the stem cell industry. "A large portion of the non-recurring charges are related to our AXP quality initiative, which is a major focus for the Company. We have begun to streamline the organization, outsource certain manufacturing activities and implement changes to our structure to ensure we are properly focused on our key customers."

Engle said the following factors are expected to drive growth and contribute to improved financial performance for the Company in fiscal 2010:

  • Solid stem cell collection activity at our largest private cord blood banking customer, Cord Blood Registry ("CBR"). CBR expects these positive trends to continue during 2010.
  • Recent addition of t
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SOURCE ThermoGenesis Corp.
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