Haemonetics Expands Its Blood Management Leadership With Acquisition Of Haemoscope Business Unit

BRAINTREE, Mass. and NILES, Ill., Oct. 30 /PRNewswire-FirstCall/ -- Haemonetics Corporation, a global blood management solutions company, and Haemoscope Corporation, a privately held blood diagnostic company, announced today a definitive agreement whereby Haemonetics will acquire Haemoscope's TEG(R) Thrombelastograph(R) Hemostasis Analyzer business for $44 million cash. The acquisition is expected to close within the next several weeks.

Haemonetics helps hospitals and blood banks improve patient outcomes and lower costs by optimizing the management and use of scarce blood resources. Haemonetics' broad product offering includes blood collection and separation technologies, surgical blood salvage systems, software and consulting services that improve hospital-wide blood management practices.

Haemoscope Corporation is a provider of whole blood hemostasis monitoring systems. The TEG system can predict a patient's risk of bleeding and thrombotic complications and enable personalized therapy. With this knowledge, surgeons can plan a patient's treatment to support the best possible clinical outcome. Improved clinical outcomes can lead to lower hospital costs through reduced transfusion and related adverse effects and through shorter ICU and hospital stays.

The TEG product line, which includes equipment, software and consumables, has been marketed successfully for over seven years. More than 1900 units have been placed worldwide. The TEG system is a proven technology backed by scores of scientific papers and reported data. Haemoscope has shown that by using the TEG system, on average, hospitals can reduce their need for blood transfusions by 20% or more annually.

Brad Nutter, Haemonetics' President and CEO, said, "This is a strategic acquisition that strengthens our vision of being a global leader in blood management solutions for our customers. Haemoscope expands Haemonetics' product portfolio by providing clinicians with a diagnostic tool to optimize blood management practice. The acquisition fits well with our recent Infonale acquisition, enabling Haemonetics to deliver a more complete blood management solution to the hospital market."

Chris Lindop, Haemonetics' CFO noted, "Not only is Haemoscope a great strategic fit, but it meets our strict financial criteria for acquisitions. Haemoscope is a $16 million business with revenues growing more than 15% annually and gross margin and operating margin accretive to our existing business. The acquisition will be neutral to earnings per share in FY08 and accretive in FY09."

Eli Cohen, Haemoscope's Chairman and CEO, said, "Haemonetics provides Haemoscope with a global platform to expand this much needed TEG technology into the hospital environment. Haemonetics' broad presence in the hospital market will facilitate expanded hemostasis monitoring to benefit patients and decrease the potential for adverse effects of blood transfusions. We're extremely pleased to find such a great strategic partner for growing this business."

Haemoscope, based in Niles, Illinois, employs more than 45 people. Its operations will remain in Illinois following the acquisition. Haemoscope is committed to providing better patient care by designing, manufacturing, distributing, and supporting the best tools possible to measure all phases of hemostasis.

Haemonetics and Haemoscope have posted frequently asked questions on Haemonetics' website at http://www.haemonetics.com/site/content/km/factSheet.asp.

Haemonetics is a global healthcare company dedicated to providing innovative blood management solutions for our customers. Together, our devices and consumables, IT products, and consulting services deliver a suite of business solutions to help our customers improve clinical outcomes and reduce the cost of healthcare for blood collectors, hospitals, and patients around the world. Our technologies address important medical markets: blood and plasma component collection, the surgical suite, and hospital transfusion services. To learn more about Haemonetics, visit our web site at http://www.haemonetics.com/.

This release contains forward looking statements that involve risks and uncertainties, including technological advances in the medical field and standards for transfusion medicine and our ability to successfully implement products that incorporate such advances and standards, product demand, market acceptance, regulatory uncertainties, the effect of economic and political conditions, the impact of competitive products and pricing, blood product reimbursement policies and practices, foreign currency exchange rates, changes in customers' ordering patterns, the effect of industry consolidation as seen in the plasma market, the effect of communicable diseases and the effect of uncertainties in markets outside the U.S. (including Europe and Asia) in which we operate and other risks detailed in the Company's filings with the Securities and Exchange Commission. The foregoing list should not be construed as exhaustive. The forward-looking statements are based on estimates and assumptions made by management of the Company and are believed to be reasonable, though are inherently uncertain and difficult to predict. Actual results and experience could differ materially from the forward-looking statements.

Contact: Julie Fallon Tel. (781) 356-9517 Alternate Tel. (617) 320-2401 fallon@haemonetics.com