Date:11/4/2010

eves are reasonable, but are subject to a wide range of risks and uncertainties (including but not limited to the risk that the acquisition of Osteotech by Medtronic may not close due either to litigation filed by certain stockholders seeking to enjoin the merger or to a failure by the Company to satisfy certain closing conditions such as obtaining certain regulatory approvals of the propose acquisition and the approval of the transaction by Osteotech’s stockholders) and, therefore, there can be no assurance that actual results may not differ materially from those expressed or implied by such forward-looking statements. Other factors that could cause actual results to differ materially include, but are not limited to, the Company’s ability to develop and introduce new products, differences in anticipated and actual product and service introduction dates, the ultimate success of those products in the marketplace, the continued acceptance and growth of current products and services, the impact of competitive products and services, the availability of sufficient quantities of suitable donated tissue and the success of cost control and margin improvement efforts. For a more detailed discussion of certain of these factors, see the Company’s periodic reports filed with the Securities and Exchange Commission from time to time, including the latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q. All information in this press release is as of November 4, 2010 and the Company does not intend to update this information. OSTEOTECH, INC. and SUBSIDIARIESCONSOLIDATED STATEMENTS OF OPERATIONS(dollars in thousands, except per share data)(unaudited)Three MonthsNine MonthsEnded September 30,Ended September 30,2010

20092010

2009Revenue

$   23,104

$
22,961$
9,628

$
70,363Cost of revenue

11,521

12,50235,000

36,406Gross profit

11,583

10,45934,628

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SOURCE Osteotech, Inc. Copyright©2010 PR Newswire. All rights reserved

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