Nephros Inc. Provides Information Regarding Auditor's Going Concern Report and Fiscal 2006 Results

NEW YORK, NY -- (MARKET WIRE) -- May 03, 2007 -- Nephros, Inc. (AMEX: NEP) announced today that its consolidated financial statements for the year ended December 31, 2006, which were included in its Annual Report on Form 10-KSB filed with the Securities and Exchange Commission on April 10, 2007, contained a going concern qualification from its independent auditors, Deloitte & Touche LLP. This announcement is being made to comply with AMEX Company Guide Section 610(b) requiring a public announcement of the receipt of an audit report that contains a going concern qualification. Further information regarding the going concern qualification is contained in Nephros' Annual Report on Form 10-KSB for the year ended December 31, 2006, which is available free of charge on the Securities and Exchange Commission's web site at www.sec.gov.

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