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ISTO Technologies Granted Key Patent for Cartilage Cell Expansion by The United States Patent Office

Oct 1, 2007

St. Louis, October 1st , 2007— ISTO Technologies, Inc., a privately held orthobiologics company, today announced that the United States Patent Office granted a key patent protecting the Company’s core technology for cell-based cartilage repair: ” Method for Chondrocyte Expansion with Phenotype Retention.”

Currently, ISTO is developing products for cartilage regeneration and repair in knee joints and spinal discs using its cartilage cell expansion technology. Cartilage cells (chondrocytes) normally lose their native phenotype after serial expansion in vitro, and can no longer produce functional cartilage tissue. To circumvent this problem, ISTO’s scientific team has developed a process for growing chondrocytes without the loss of phenotype, thereby providing a commercially viable number of cartilage cells for clinical applications.

“This is a significant patent for the Company. Our cell expansion technology serves as a platform for developing products for wide ranging medical needs,” said Mitchell Seyedin, Ph.D., President & Chief Executive Officer, ISTO Technologies, Inc.

Cartilage regeneration is often called the “holy grail” of the orthopaedic industry because of its potential to restore function to damaged joints which otherwise have limited healing potential. Cartilage serves as a “shock absorber” protecting all joints including spinal discs from the wear and tear experienced during motion. Degeneration of cartilage in joints and spinal discs often leads to irreversible damage, causing pain and disability. Two of the most common causes of disability in adults, osteoarthritis and degenerative discs, are joint diseases affecting cartilage of the joints and spinal discs, respectively.

About ISTO Technologies
ISTO Technologies, Inc. is an orthobiologics company focusing on the development of differentiated products for sports medicine, spinal therapy and trauma. ISTO’s products are intended for the repair and regeneration of damaged or injured cartilage and bone. For additional information, visit ISTO Technologies’ website atwww.istobiologics.com, or contact the company by phone at (314) 995-6049.

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