ORQUEST INTRODUCES INNOVATIVE ORTHOBIOLOGICS PRODUCT.

Orquest has introduced a new innovative product that integrates growth differentiation factor-5 (GDF-5), a novel member of the BMP family, and Healos(TM), Orquest's proprietary mineralized collagen material.

In a rabbit spinal fusion model, the product demonstrated bone formation and fusion rates comparable to current bone grafting techniques. Orquest is developing the product as a replacement for autograft in spinal fusion and other bone grafting procedures and has completed extensive preclinical studies, including the demonstration of efficacy in primates.

"The results from our spinal fusion studies are exciting," commented Dr. Robert C. Spiro, director of Bone and Cartilage Research. "We believe the combined product has the potential to provide orthopedic physicians with a particularly robust and effective alternative to autograft." The Healos/GDF-5 product will be provided to physicians in a fully integrated, off-the-shelf form. Orquest scientists have engineered this product to be a predictable, cost-effective material for use in most bone grafting applications.

"The delivery of a bone growth factor to a site of bone repair is critical for achieving a successful clinical outcome," added Dr. James Poser, vice president of research and development. "The biological and structural properties of Healos are ideal for use with GDF-5 for promoting new bone growth."

Over 500,000 spinal fusion operations are performed each year worldwide to relieve severe back pain and other spinal disorders. The market for spinal fusion treatments is expected to grow 15-20 percent annually over the next several years. The combination product joins Healos and Ossigel(TM) in Orquest's growing line of integrated products for bone regeneration. Appropriate clinical and commercialization partners are now being sought for the combination product.

Orquest is a leading edge medical company defining new standards of care in orthopedics through biological solutions. As a pioneer in orthobiologics, a field that combines tissue biology, material sciences and protein chemistry, Orquest has demonstrated an unparalleled expertise in developing integrated products for the regeneration of bone. Orquest is advancing a diversified portfolio of products with application in several areas of clinical need including spine disorders, bone fractures, and cartilage damage. The company has focused its initial product development efforts on the two fastest growing segments in orthopedics: spine and trauma.

For more information, call 650/237-4843.