Cardima Provides Announcement Regarding Auditor's Opinion.

FREMONT, Calif. -- Cardima(R), Inc. (Nasdaq SC: CRDM), today announced that BDO Seidman LLP, the Company's independent auditor, included an explanatory paragraph in its Annual Report on Form 10-K, for the year ended December 31, 2004, stating concern on the Company's ability to continue as a going concern. A similar explanatory paragraph has been included in Annual Report filings in each of the past three years by the Company's independent auditor. This announcement is made in compliance with Nasdaq Rule 4350 (b), which requires separate disclosure of receipt of an audit opinion that contains a going concern qualification, and does not reflect any change or amendment to the financial statements issued on March 31, 2005.

The Company has suffered recurring losses from operations and has a net capital deficiency that raises substantial doubt about its ability to continue as a going concern. At March 31, 2005, the Company had approximately $1.7 million in cash and cash equivalents. Based on its 2005 operating plan, the Company believes that its cash balances as of March 31, 2005 will only provide sufficient capital to fund operations for a very limited period of time and will not be sufficient to fund operations into the third quarter of 2005. The Company is exploring potential funding opportunities including the sale of equity securities or entering into a strategic transaction relating to its Surgical Ablation System.

About Cardima

Cardima, Inc. has developed the REVELATION(R) Tx, REVELATION T-Flex and REVELATION Helix linear ablation microcatheters, the NAVIPORT deflectable guiding catheters, and the INTELLITEMP energy management system for the minimally invasive treatment of atrial fibrillation (AF). The REVELATION Helix was developed for the treatment of AF originating in the pulmonary veins of the heart. The REVELATION Tx, REVELATION T-Flex and REVELATION Helix systems and the INTELLITEMP have received CE Mark approval in Europe. The Company has also developed a Surgical Ablation System, which is intended for cardiac surgeons' use in ablating cardiac tissue during heart surgery using radio frequency (RF) energy. In February 2003, the Company announced that it had received FDA 510(k) clearance to market the Surgical Ablation System in the U.S. for use in ablating cardiac tissue.

Except for the historical information contained herein, the matters discussed in this press release, including the Company's beliefs and estimates about the sufficiency of its cash resources to fund continued operations, the prospects for entering into a strategic transaction for its Surgical Ablation System or otherwise raising necessary funding, its pre-market approval application, or PMA, for the REVELATION(R) Tx and the performance and utility of its products, are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those expressed in or implied by such forward-looking statements. Potential risks and uncertainties include the risk that the Company will not be able to raise additional capital in the immediate term as needed to continue operations; the risk that the Company's common stock will be delisted from Nasdaq in the near future; the risk that the Company will be unable to obtain U.S. FDA approval for the Company's PMA for the REVELATION(R) Tx linear ablation microcatheter system, including uncertainties associated with its ability to revise the study design and collect data acceptable to the FDA; the risk that the approval process for the REVELATION Tx or any other product, including additional clinical trials, will require substantial unanticipated expenses and management attention; the limited number of cases employing the Company's products and the limited amount follow-up information involving these cases; uncertainties associated with the Company's ability to secure distribution partners; the possibility of business disruption or unanticipated expenses due to the Company's staffing reduction and financing efforts; and uncertainties associated with its ability to conduct successful clinical trials, obtain and maintain regulatory approvals, gain acceptance for the Company's products from the marketplace or successfully manufacture, market, sell and distribute its products. Additional risks are set forth in the Company's Annual Report on Form 10-K for the year ended December 31, 2004. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events or changes in the Company's plans or expectations.