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PreMD Reports Fiscal 2007 Results
Date:3/28/2008

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PreMD Inc.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(In Canadian dollars)

Years ended December 31

2007 2006 2005

$ $ $

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OPERATING ACTIVITIES

Net loss and comprehensive

loss for the year (6,315,812) (5,948,971) (4,989,705)

Add (deduct) items not

involving cash

Amortization 165,753 319,205 256,260

Stock-based compensation

costs included in

Research and development

expense 193,527 156,920 147,085

General and administration

expense 400,821 383,767 421,812

Loss (gain) on sale of capital

assets 139,669 (1,743) -

Imputed interest on

convertible debentures 1,002,394 819,609 255,529

Mark-to-market adjustment

on derivative 18,000 - -

Interest on convertible

debentures paid in

common shares 543,312 281,462 -

Loss (gain) on foreign exchange (1,288,160) 97,748 (35,734)

Net change in non-cash working

capital balances related to

operations (1,011,237) 1,422,730 (1,061,397)

Increase (decrease) in deferred

revenue 480,060 (2,609,315) (301,885)

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SOURCE PreMD Inc.
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