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Thoratec Reports Second Quarter Revenue Increase of 17 Percent
Date:8/3/2011

ng expenses.  Second, share-based compensation is part of an employee's compensation package and as such may be useful for investors to consider.  Third, the components of costs that we exclude in our non-GAAP financial measures calculations may differ from components that our peer companies exclude when they report their results from operations.

Non-GAAP financial measures should not be considered as a substitute for measures of financial performance in accordance with GAAP. However, these measures may provide additional insight into Thoratec's financial results. Investors and potential investors are strongly encouraged to review the reconciliation of non-GAAP financial measures contained within this press release with their most directly comparable GAAP financial results and not to rely on any single financial measure to evaluate our business.

The reconciliations of the forward looking non-GAAP financial measures to the most directly comparable GAAP financial measures in the tables below include all information reasonably available to Thoratec at the date of this press release.  These tables include adjustments that we can reasonably predict.  Events that could cause the reconciliation to change include acquisitions and divestitures of business, goodwill and other asset impairments and sales of marketable equity securities.

The following table includes the GAAP income statement for continuing operations for the three and six month periods ending 2011 and 2010:THORATEC CORPORATIONCondensed Consolidated Statements of Continuing Operations(Unaudited)(in thousands, except for per share data) Three Months Ended Six Months Ended July 2, 2011July 3, 2010July 2, 2011July 3, 2010Product sales$
,221$
95,098$
210,751$
94,370Cost of product sales32,41030,57962,14562,150Gross profit78,81164,519148,606132,220Operating expenses:Selling, general and administrative26,55921,06551,21342,906Research and development15,79911,81231,
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