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IRIDEX Reports 2011 Fourth Quarter and Year-End Results

statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Act of 1934, as amended, relating to the Company's growth strategy, MicroPulse laser therapy, revenue growth and the Company's projected fiscal 2012 financial results.  These statements are not guarantees of future performance and actual results may differ materially from those described in these forward-looking statements as a result of a number of factors.  Please see a detailed description of these and other risks contained in our Annual Report on Form 10-K for the fiscal year ended January 1, 2011 and our Quarterly Reports on Form 10-Q for the quarters ended April 2, 2011, July 2, 2011 and October 1, 2011, each of which was filed with the Securities and Exchange Commission. Forward-looking statements contained in this announcement are made as of this date and will not be updated.TABLES FOLLOWIRIDEX CorporationCondensed Consolidated Statements of Operations(In thousands, except per share data)

(unaudited)Three Months EndedTwelve Months EndedDecember 31,January 1, December 31,January 1, 2011201120112011Total revenues

32,308Cost of revenues

4,3424,57316,86916,106Gross profit

4,2784,46416,29016,202Operating expenses:Research and development

1,1668853,9133,753Sales and marketing

2,1472,0947,4587,095General and administrative

1,0669234,2594,163Legal settlement, net of expenses

(1,274)-(1,274)-Total operating expenses

3,1053,90214,35615,011Income from operations

1,1735621,9341,191Other income (expense)Legal settlement

--800800Interest and other income (expense), net

(250)4(296)(30)Total other income (expense)

(250)4504770Income from continuing operations before income taxes

9235662,4381,961Provision for income taxes

122322297308Income from continuing operations

8012442,1411,653Income (lo

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