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Patient Safety Technologies Reports Fourth Quarter and Year End 2008 Results

"The company made substantial progress in 2008 by launching commercialization of the Safety-Sponge System from product refinements to building its sales and clinical support organizations. We see substantial opportunities for continued market penetration and are working closely with our distribution partners to educate and convert customer prospects," said Mr. Bruce.

About Patient Safety Technologies, Inc. and SurgiCount Medical, Inc.

Patient Safety Technologies, Inc., through its subsidiary SurgiCount Medical, Inc., develops and markets the SurgiCount Safety-Sponge System. The Safety Sponge system is designed to reduce the number of retained sponges and towels unintentionally left in patients during surgical procedures, one of the most common avoidable errors in surgery. The System is a patented turn-key line of modified surgical sponges, SurgiCounter(TM) scanners, and software file and database elements integrated to form a comprehensive counting and documentation system. For more information, contact SurgiCount at (951) 587-6201, or visit

    (in thousands, except per share date)

                     Three Months Ended December 31, Year Ending December 31,
                          2008    2007 (Restated)    2008    2007 (Restated)

    Revenues                $843          $255       $2,780        $1,089
    Cost of revenue          460           203        1,802           716
    Gross profit             383            52          978           373

    Operating expenses:
      Research and
       development           103            42          271           133
      Sales and
       marketing             720           720        2,516         1,811
      General and
SOURCE Patient Safety Technologies, Inc.
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