DeRoyal's Ortholign Design Acknowledged; DeRoyal and Orthomerica Patent Dispute Resolved, Lawsuit Dismissed.

KNOXVILLE, Tenn. -- DeRoyal, of Powell, TN, and Orthomerica Products, Inc., headquartered in Newport Beach, California, have announced the July 31 dismissal of their patent infringement lawsuit pending in the U.S. District Court for the Northern District of Georgia in Atlanta, Georgia.

DeRoyal has formally retracted its previous assertions that Orthomerica had copied the DeRoyal Ortholign(TM) medical orthosis and acknowledges that Orthomerica had exercised good faith in independently designing its California Soft Spinal System Orthosis.

Orthomerica acknowledges the work of DeRoyal in commercially developing the Ortholign product and the existence of DeRoyal's portfolio of patents.

DeRoyal has offered, and Orthomerica has accepted, a patent license from DeRoyal with a corresponding dismissal of the lawsuit.

DeRoyal is the leading supplier of orthopedic softgoods to hospitals in the U.S., including an extensive line of collars, a comprehensive group of latex-safe compression products, motorized and temperature-regulated cold therapy products as well as its LMB brand products for the OT/PT market.

Orthomerica is a developer, manufacturer and marketer of prefabricated, semi-custom and custom orthoses.

DeRoyal is a global supplier of medical products and services with four divisional business units, Acute Care, Patient Care, Wound Care, and OEM (original equipment manufacturer), employing over 2200 people worldwide. Headquartered in Powell, Tennessee, DeRoyal has 25 manufacturing facilities and offices in six U.S. states (California, Florida, Georgia, South Carolina, Tennessee, and Virginia) and in six other countries (Estonia, Canada, Costa Rica, The Dominican Republic, Guatemala, and Ireland). Among its more than 25,000 products are suction canisters, unitized delivery systems, custom procedural trays, surgical accessories, surgical safety and critical care products, anesthesia and temperature monitoring supplies, birthing and neonatal care items, angiography and endoscopy products, rehabilitation and therapy products, sports medicine supports, orthopedic bracing and supports, wound care dressings as well as fiberglass and plaster casting. For additional DeRoyal product information, please call 1-800-DeRoyal (337-6925) or visit the DeRoyal website at: www.deroyal.com.