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Kensey Nash Reports Third Quarter Record Revenue and Sales
Date:4/29/2008

hown significant growth over the entire first nine months of the 2008 fiscal year versus the prior year period. This growth is reflective of the expansion and diversification in our customer base, new product launches and the successful integration of the MacroPore Biosurgery asset acquisition. There were $1.7 million of new product sales resulting from this acquisition, in addition to substantial increases in sales and royalties from our partner, Orthovita. We are continuing to develop new relationships and new products for existing customers, as reflected in both our sports medicine and spine market product sales. We are very pleased with our continued growth in this segment of our business," commented Joe Kaufmann, President and CEO.

"As we anticipated, sales of vascular closure products to St. Jude Medical have decreased over the prior nine month period. Our recent quarter did improve and we expect that our fourth quarter will be in line with our third quarter. Overall, we believe the vascular closure market will have modest growth over the next few quarters in this maturing market," he continued.

Endovascular Update. "Growth in our endovascular products for the nine months ended March 31st 2008 was 54% year over year. This growth is evident in all three of our endovascular product lines, the ThromCat(TM) Thrombectomy and the QuickCat(TM) Aspiration Catheter products and our newest product, the Safe-Cross(R) device for the treatment of chronic total occlusions. Our international sales growth has been very strong and our U.S. growth has been respectable at 27% growth in our third quarter, year over year, despite the impact of a smaller than anticipated sales force. Second generation products for both the Safe-Cross(R) and the ThromCat(TM) devices are in development and we expect that both of these products will be in the markets in the second half of fiscal 2009," Mr. Kaufmann continued.

"As we previously announced, we are currently exploring
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