OLDSMAR, Fla., Dec. 14 /PRNewswire-FirstCall/ -- CRYO-CELL International, Inc. (“CRYO-CELL” or the “Company”), the world’s largest U-Cord(R) stem cell bank, announced today that it expects continued progress and increased shareholder value from strategic initiatives to be implemented during its 2006 fiscal year that began December 1, 2005.
In recent weeks, the Company announced several of these strategic initiatives designed to accelerate unit growth and profitability. Highlights from these announcements include:
On October 17, 2005 CRYO-CELL announced an exclusive Strategic Relationship Agreement with Plureon(R) Corporation, a private biotechnology company, to collect and preserve Plureon’s(R) proprietary placental stem cells (“PSCs”). Researchers have demonstrated that PSCs have the ability to cure diabetes in small animals. CRYO-CELL plans to launch the Plureon(R) service in early 2006, in combination with its industry leading U-Cord(R) service. The industry’s first and only, bundled service will offer families a prospective healthcare management asset that may possibly increase in value as future stem cell therapeutic applications emerge.
On November 28, 2005 CRYO-CELL announced that it was granted ISO 9001:2000 certification from BSI Americas, Inc., a leading quality management systems registrar. ISO (International Organization for Standardization) standards are internationally recognized as an effective framework for a quality management system (QMS). This achievement positions CRYO-CELL as the only current Good Manufacturing Practice/Good Tissue Practice (cGMP/cGTP)-compliant private cord blood bank with both ISO certification and AABB accreditation.
On December 6, 2005 CRYO-CELL announced a strategic U-Cord(R) Service restructuring designed to improve client value, increase the Company’s revenues and expand unit growth. CRYO-CELL is first in the industry to offer the CRYO-CELL Client for Life(TM) Program that enables clients to lock-in today’s U-Cord(R) Service prices for the family’s future newborns and the $10,000 CRYO-CELL Cares(TM) Payment that provides families with a lump-sum payment to assist with personal living expenses in the event that their child’s CRYO-CELL-processed and stored cord blood specimen is utilized for bone marrow transplant. The Company expects that as with previous successfully implemented increases, the recently announced pricing increases, will have a positive impact on CRYO-CELL’s financials in fiscal year 2006.
Mercedes Walton, Chairman and CEO commented, “During fiscal year 2005, we are pleased that CRYO-CELL made enormous progress in strategically positioning the Company for an exciting future. We believe that our recently announced enhanced U-Cord(R) Service provides clients with the highest accredited quality and most innovative and superior-value private cord blood service available in today’s market. The Company believes that it has cultivated a diverse portfolio of strategic initiatives that may individually and/or collectively have a potentially positive impact on shareholder value.”
“The combination of CRYO-CELL’s plans to launch the Plureon(R) U-Cord(R) bundle in early 2006; the continued expansion of the Company’s dedicated sales channel; the potentially positive impact of pending national legislation on private banking; in addition to prospective geographical expansion, further potential product diversification and other strategic possibilities may well serve to positively impact the Company’s positioning for the future.” Ms. Walton continued, “The CRYO-CELL Board of Directors and the entire team of CRYO-CELL associates is eager to build on the Company’s progress in 2005 to achieve new growth and increase shareholder value in the year ahead”.
CRYO-CELL also confirmed that it intends to apply for listing of its shares on the NASDAQ SmallCap Market as soon as its share price meets the applicable requirement. CRYO-CELL currently meets all other financial listing requirements for the NASDAQ SmallCap Market. To fulfill the share price requirement, the company would have to meet the $4.00 bid price requirement at the time of application, throughout the application process, and at the time of listing.
About CRYO-CELL International, Inc.
Based in Oldsmar, Florida, CRYO-CELL is the world’s largest U-Cord(R) stem cell bank, offering premium-quality, superior value cord blood preservation exclusively for the benefit of newborn babies and possibly other members of their family. In October 2005, CRYO-CELL announced an exclusive license with Plureon(R) Corporation to develop the proprietary methodology to collect, process and cryogenically preserve Plureon(R) Stem Cells (PSCs) collected from placental tissue at the time of birth. CRYO-CELL has exclusive U.S. rights to market the novel stem cell Service to expectant parents. With over 100,000 clients worldwide, CRYO-CELL is ISO 9001:2000 certified, AABB accredited and believes the Company is the first private cord blood bank to operate in a newly constructed state-of-the-art current Good Manufacturing Practice and Good Tissue Practice (cGMP/cGTP)-compliant facility, well in advance of newly established Food and Drug Administration (FDA) regulation. Expectant parents or healthcare professionals may call 1-800-STOR-CELL (1-800-786-7235) or visit http://www.CRYO-CELL.com.
Forward-Looking Statement
Statements wherein the terms “believes,” “intends,” “projects” or “expects” as used are intended to reflect “forward-looking statements” of the Company. The information contained herein is subject to various risks, uncertainties and other factors that could cause actual results to differ materially from the results anticipated in such forward-looking statements or paragraphs, many of which are outside the control of the Company. These uncertainties and other factors include any adverse effect or limitations caused by recent increases in government regulation of stem cell storage facilities; any increased competition in our business; any decrease or slowdown in the number of people seeking to store umbilical cord blood stem cells or decrease in the number of people paying annual storage fees; any adverse impacts on our revenue or operating margins due to the costs associated with increased growth in our business, including the possibility of unanticipated costs relating to the operation of our new facility; any technological breakthrough or medical breakthrough that would render the Company’s business of stem cell preservation obsolete; any material failure or malfunction in our storage facilities; any natural disaster such as a tornado, other disaster (fire) or act of terrorism that adversely affects stored specimens; the costs associated with defending or prosecuting litigation matters and any material adverse result from such matters; decreases in asset valuations; any continued negative effect from adverse publicity in the past year regarding the Company’s business operations; any negative consequences resulting from deriving, shipping and storing specimens at a second location; and other risks and uncertainties. The foregoing list is not exhaustive, and the Company disclaims any obligations to subsequently revise any forward- looking statements to reflect events or circumstances after the date of such statements. Readers should carefully review the risk factors described in other documents the Company files from time to time with the Securities and Exchange Commission, including the most recent Annual Report on Form 10-KSB, Quarterly Reports on Form 10-QSB and any Current Reports on Form 8-K filed by the Company.
CRYO-CELL International, Inc.
CONTACT: Investors: Francesca DeMartino, +1-646-536-7024,fdemartino@theruthgroup.com, or Media: Janine McCargo, +1-646-536-7033,jmccargo@theruthgroup.com, both of The Ruth Group, for CRYO-CELLInternational, Inc.
Web site: http://www.cryo-cell.com/