RANCHO CORDOVA, Calif., Aug. 22 /PRNewswire-FirstCall/ -- ThermoGenesis Corp. (Nasdaq: KOOL - News) noted that GE Healthcare (GEHC) and Cord Blood Registry (CBR), the world’s largest family cord blood bank, today announced a multi-year contract to supply CBR with ThermoGenesis’ AutoXpress(TM) cord blood processing system and disposables. In conjunction with this agreement, the Company signed a Product Development and Supply Assurance Agreement with CBR which assures the supply of AutoXpress products for a 15-year period. This agreement also initiates the development of an advanced cord blood stem cell container, which will also be exclusively distributed through GEHC. The AutoXpress System automates the isolation and capture of stem cells from umbilical cord blood in a functionally closed system.
ThermoGenesis anticipates that in the first year of these agreements, the sales to CBR will generate in excess of $4 million in disposable revenue for the Company, subject to developing CBR demand and quality requirements. Subject to other performance conditions, the Company’s long term supply assurance contract over the life of our patents calls for anticipated baseline minimum disposable revenue to the Company in excess of $50 million.
“CBR is committed to providing our clients with the highest quality processing and storage of their child’s new born stem cells, and we are continuously investigating new technologies to improve the effectiveness with which these precious stem cells are harvested from the collected umbilical cord blood,” said Tom Moore, CBR’s Chief Executive Officer. “After rigorous testing at our facility, we have determined that ThermoGenesis’ automated AutoXpress System when combined with our proprietary collection technology, consistently recovers a median of 99% of the stem cell-rich mononuclear cell (MNC) population from units of collected cord blood. This is a remarkable accomplishment and a significant improvement over the 75 ~ 90% recoveries practiced by many public and family cord blood banks and reported in peer-review journal reports.”
“The agreement between GEHC and CBR and our long term supply commitment to CBR is an important milestone for the company. In June 2006 the New York Blood Center’s National Cord Blood Program, the pioneering and largest public cord blood bank, became the first to adopt the AutoXpress System. Now, both the largest private and public cord blood banks in the world have committed to using ThermoGenesis’ AutoXpress System to automate processing of cord blood stem cells,” ThermoGenesis’ CEO, Philip Coelho said. “There are more than 70 public and 100 private cord blood banks worldwide. We anticipate other cord blood banks may follow these two industry leaders, making our products the industry standard and accelerating ThermoGenesis’ transition from a technology platform developer to a market-driven commercial business.”
Cord blood stem cells have already been used more than 10,000 times to treat such life threatening diseases as leukemia, lymphoma and more than 60 genetic disorders. Further, recent peer-reviewed scientific articles indicate stem cells residing in cord blood can also differentiate into other tissues of the body including the brain, bone, cartilage, and muscle, indicating potential broader application of cord blood stem cells in future clinical use.
About Cord Blood Registry
Cord Blood Registry is a registered trademark of CBR Systems, Inc., the leader in newborn stem cell processing and cryopreservation for familial use in transplantation and regenerative medicine. The stem cells preserved by CBR are collected immediately after the birth of a newborn and are then available to be used in treatments for the newborn, siblings, and any compatible genetic family member. Once transplanted, the cells have the potential to repair damaged or diseased tissues with little risk of rejection and increased long-term survival. The company’s research and development is focused on advancing the collection, processing, and storage methods to optimize quality and cell yield. Additionally, CBR facilitates collection of donated research samples, available for the nearly 200 research programs worldwide that are focused on stem cell expansion and cell-based therapies. For more information, visit http://www.cordblood.com , or call 888-CORD BLOOD.
Media Relations Contact: Stephen Grant, Cord Blood Registry, 650-635-4235, sgrant@cordblood.com, web site: http://www.cordblood.com/
About ThermoGenesis Corp.
ThermoGenesis Corp. (www.thermogenesis.com) is a leader in developing and manufacturing automated blood processing systems and disposable products that enable the manufacture, preservation and delivery of cell and tissue therapy products. These products include:
-- The BioArchive® System, an automated cryogenic device, is used by cord blood stem cell banks in more than 25 countries for cryopreserving and archiving cord blood stem cell units for transplant. GE Healthcare is the non-exclusive global distribution partner for the BioArchive System. -- The AutoXpress System (AXP(TM)), is a newly-developed semi-automated device and companion sterile closed blood processing disposable, to harvest stem cells from cord blood. GE Healthcare is the exclusive global distribution partner for the AXP AutoXpress System. -- The CryoSeal® FS System, an automated device and companion sterile blood processing disposable, is used to prepare fibrin sealants from plasma in about an hour. Enrollment in a 150-patient U.S. pivotal clinical trial has been completed and a PMA is being reviewed by the FDA. The CryoSeal FS System has received the CE-Mark. From a marketing perspective, the CE Mark is the European equivalent to an FDA approval, in that it allows sales of the product throughout the European community. -- The Thrombin Processing Device(TM) (TPD(TM)) is a sterile blood processing disposable that prepares activated thrombin from a small aliquot of plasma in less than 30 minutes. The CE-Marked TPD is currently being marketed in Europe by Biomet, Inc., subsidiary Biomet Biologics, Medtronic, Inc. and independent distributors.
This press release, including statements regarding financial information for future periods, contain forward-looking statements, and such statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties that could cause actual outcomes to differ materially from those contemplated by the forward-looking statements. Several factors, including timing of FDA approvals, changes in customer forecasts, our failure to meet customers’ purchase order and quality requirements, supply shortages, production delays, changes in the markets for customers’ products, introduction timing and acceptance of our new products scheduled for fiscal year 2006, and introduction of competitive products and other factors beyond our control, could result in a materially different revenue outcome and/or in our failure to achieve the revenue levels we expect for fiscal 2006. A more complete description of these and other risks that could cause actual events to differ from the outcomes predicted by our forward looking statements is set forth under the caption “Risk Factors” in our annual report on Form 10-K and other reports we file with the Securities and Exchange Commission from time to time, and you should consider each of those factors when evaluating the forward looking statements.
ThermoGenesis Corp. Web site: http://www.ThermoGenesis.com Contact: Fern Lazar of Lazar Partners 212-867-1762
Source: ThermoGenesis Corp.
