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Advanced Tissue Sciences Announces FDA Approval for Dermagraft in the Treatment of Diabetic Foot Ulcers.



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LA JOLLA, Calif.--(BW HealthWire)--Oct. 1, 2001

Advanced Tissue Sciences, Inc. (NASDAQ NASDAQ
 in full National Association of Securities Dealers Automated Quotations

U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on
: ATIS ATIS - A Tools Integration Standard ) and Smith & Nephew plc (NYSE NYSE

See: New York Stock Exchange
: SNN SNN Samenwerkingsverband Noord-Nederland
SNN Sanane Inc.
SNN Schoolnet News Network (Canada)
SNN Shannon, Ireland - Shannon (Airport Code)
SNN Special Needs Network
SNN Sarimanok News Network
) today announced receipt of a letter from the U.S. Food and Drug Administration (FDA FDA
abbr.
Food and Drug Administration


FDA,
n.pr See Food and Drug Administration.

FDA,
n.pr the abbreviation for the Food and Drug Administration.
) stating that the agency has approved the Premarket Approval premarket approval Medical devices A scientific and regulatory review by the FDA to ensure the safety and effectiveness of a Class III device, before its approval for marketing. See Advisory panel, Medical device.  Application (PMA PMA (papillary-marginal-attached),
n a system of epidemiologic scoring of periodontal disease devised by Schour and Massler in which the symbols denote the areas involved in gingival inflammation.

PMA Progressive muscular atrophy
) for Dermagraft(R) in the treatment of chronic foot ulcers in patients with diabetes.

With this decision, Advanced Tissue Sciences is the first company to have gained FDA approval for a tissue-engineered, living dermal dermal /der·mal/ (der´mal) pertaining to the dermis or to the skin.

der·mal or der·mic
adj.
Of or relating to the skin or dermis.
 substitute that is human-based, mass produced and cryopreserved. Its six-month shelf life allows important safety tests, including USP USP - unique sales point  Sterility (14 day) and others, to be performed before any product is released, unlike competing tissue-engineered products that are not cryopreserved.

"As you can imagine, we are very pleased to receive notification of the approval of our PMA application," said Dr. Gail K. Naughton, president of Advanced Tissue Sciences. "While getting to this point has taken longer than we expected, we believe doctors and patients will realize that our human-based product offers significant advantages over other treatments for hard-to-heal diabetic foot diabetic foot A foot with a constellation of pathologic changes affecting the lower extremity in diabetics, often leading to amputation and/or death due to complications; the common initial lesion leading to amputation is a nonhealing skin ulcer, induced by  ulcers. Together with our partner Smith & Nephew, we are beginning our launch activities in the United States, which include the process of seeking reimbursement coding."

Chris O'Donnell, chief executive of Smith & Nephew, said, "This is an excellent product and will, we believe, become a significant therapy to help many diabetic patients with hard-to-heal foot ulcers. Smith & Nephew is already the world's leading wound management company, and Dermagraft will join an established portfolio of major products that promote better and more efficient wound healing."

Arthur J. Benvenuto, chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board.  of Advanced Tissue Sciences, said, "Dermagraft and our first product, TransCyte(R) for the treatment of serious burns, were developed to address unmet clinical needs and human suffering. Both products represent significant advances in wound care. In addition, since Dermagraft, like TransCyte, is cryopreserved, Smith & Nephew's established distribution network can provide optimal flexibility in the scheduling and treatment of patients in need of this important product."

This approval will result in a $5 million milestone payment to the company from Smith & Nephew. Diabetic foot ulcer patients can learn more about whom to contact to determine if Dermagraft is suitable for them by calling Smith & Nephew's Wound Management Division at 1-800-876-1261.

Background Information

Dermagraft(R) is a cryopreserved human fibroblast-derived dermal substitute. It is composed of human fibroblasts Fibroblasts
A type of cell found in connective tissue; produces collagen.

Mentioned in: Skin Grafting
, human extracellular matrix and a bioabsorbable scaffold. During the manufacturing process, the human fibroblasts are seeded onto a bioabsorbable polyglactin mesh scaffold. The fibroblasts proliferate to fill the interstices of this scaffold and secrete human dermal collagen, matrix proteins, growth factors and cytokines Cytokines
Chemicals made by the cells that act on other cells to stimulate or inhibit their function. Cytokines that stimulate growth are called "growth factors.
, to create a three-dimensional human dermal substitute containing metabolically active, living cells. Dermagraft does not contain macrophages Macrophages
White blood cells whose job is to destroy invading microorganisms. Listeria monocytogenes avoids being killed and can multiply within the macrophage.
, lymphocytes, blood vessels or hair follicles Hair follicles
Tiny organs in the skin, each one of which grows a single hair.

Mentioned in: Alopecia
.

The human fibroblast fibroblast /fi·bro·blast/ (fi´bro-blast)
1. an immature fiber-producing cell of connective tissue capable of differentiating into chondroblast, collagenoblast, or osteoblast.

2.
 cells are from a qualified cell bank, which has been extensively tested for animal viruses, retroviruses, cell morphology, karyology, isoenzymes and tumorigenicity.

Advanced Tissue Sciences is a tissue engineering company utilizing its proprietary core technology to develop and manufacture human-based tissue products for tissue repair and transplantation. It is the only company to have gained FDA approval for a tissue-engineered, living dermal substitute that is human-based, mass produced and cryopreserved.

The company has two joint ventures with Smith & Nephew. The first covers the application of Advanced Tissue Sciences' tissue engineering technology for skin wounds. This includes Dermagraft, which has been approved in the United States and other countries for the treatment of diabetic foot ulcers and has been approved in Canada for all chronic wounds. The joint venture also includes TransCyte for the temporary covering of second-and third-degree burns, and future developments for venous ulcers, pressure ulcers, burns and other non-aesthetic wound care treatments. The second joint venture is developing tissue-engineered orthopedic cartilage, initially focusing on the repair of cartilage in knee joints.

The company also has a strategic alliance with Inamed Corporation for the development and marketing of several of Advanced Tissue Sciences' human-based, tissue-engineered products, such as collagen for aesthetic and certain reconstructive applications. In addition, the company is developing products such as NouriCel(TM) for skincare and cosmetic markets and other products for cardiovascular applications. For more information on Advanced Tissue Sciences, visit our web site at www.advancedtissue.com.

Smith & Nephew is a global medical device company employing about 7,000 people with operations in 34 countries and established sales in 90 countries. The company markets technically innovative products principally in the areas of orthopedics, endoscopy endoscopy

Examination of the body's interior through an instrument inserted into a natural opening or an incision, usually as an outpatient procedure. Endoscopes include the upper gastrointestinal endoscope (for the esophagus, stomach, and duodenum), the colonoscope (for the
 and wound management to deliver cost-effective solutions, significant physician advantages and real patient benefits. Smith & Nephew is in the leading company in the global wound management market.

The discussions contained in this press release that are not strictly historical may be "forward-looking" statements which involve risks and uncertainties. No assurances can be given that the Company can manufacture commercial quantities of Dermagraft at a reasonable cost, launch its products within indicated timeframes, successfully commercialize or significantly penetrate the market or that it will obtain adequate reimbursement for its products. These and other risks are detailed in publicly available filings with the Securities & Exchange Commission including but without limitation to Advanced Tissue Sciences' Quarterly Report on Form 10-Q for the quarter ended June 30, 2001. The Company undertakes no obligation to release publicly the results of any revision to these forward-looking statements to reflect events or circumstances arising after the date hereof.

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Publication:Business Wire
Geographic Code:4EUUK
Date:Oct 1, 2001
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