Applied Imaging sued by ChromaVision.

Applied Imaging Corporation (Santa Clara, CA), the leading provider of cellular imaging systems for the clinical laboratory, received notice of a lawsuit alleging patent infringement filed against the company by ChromaVision Medical Systems, Inc. The company is in the process of evaluating the specific claims made by ChromaVision and plans to mount a vigorous defense of its products and its own intellectual property.

Commenting on the suit, Carl Hull, Applied Imaging's Chief Executive Officer said, "We find it interesting that ChromaVision has chosen to file and publicly announce a lawsuit against the company on patents that were issued two to three years ago with no prior discussion with us of any issues or concerns that they might have. We will respond directly and vigorously to the allegations contained in this surprise attack in a court of law."

"We have been in the business of providing advanced image analysis solutions to thousands of clinical users worldwide for the better part of two decades. Our record of innovation in this field is clear, and we feel comfortable that our understanding of that technology and the extensive prior art that exists in the field will serve us well in mounting a successful defense of the company's position in this matter. In any case, the United States sales of our Ariol SL-50, the only Applied Imaging product mentioned in this complaint, represented approximately 5% of the company's revenue in the first nine months of 2003," concluded Hull.

Applied Imaging is the leading supplier of automated imaging systems utilized in genetics and pathology laboratories throughout the world for the analysis of chromosomes in cancer and prenatal disorders. The company markets a range of imaging systems for fluorescence and brightfield microscopy applications, including the company's Ariol, MDS, SPOT, CytoVision, PowerGene and QUIPS product lines. Applied Imaging has installed in excess of 3,000 systems in over 1,000 laboratories in more than 60 countries.

Applied Imaging Corporation

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