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Healthcare Industry News:  Synthetic Bone Graft 

Devices

 News Release - November 29, 2006

IsoTis Receives Key US Patent for Accell(R) Technology

IRVINE, California, LAUSANNE, Switzerland, November 29 (HSMN NewsFeed) -- IsoTis S.A. (SWX/Euronext: ISON) (TSX: ISO ), the orthobiologics company, today announced that the U.S. Patent and Trademark Office (U.S. PTO) has awarded US patent no 7,132,110 covering IsoTis' groundbreaking Accell technology.

The AccellŽ natural human BMP (bone morphogenetic protein) technology forms the basis of IsoTis' Accell bone graft substitute product platform, which has fuelled the company's double digit revenue growth for eight consecutive quarters. IsoTis' current flagship products, Accell Plus(TM), Accell Putty(TM) and Accell TBM(TM) were launched between 2002 and 2004 (originally under the brand names Accell Connexus, Accell DBM 100, and Accell Total Bone Matrix). The Accell products now represent two thirds of IsoTis' US sales, and around half of its global sales. IsoTis reported total revenues of $ 30.8 million for the first 9 months of 2006.

Pieter Wolters, President and CEO of IsoTis said, "We are very pleased with this key Accell patent, which asserts our innovation leadership in the rapidly growing orthobiology market. We believe the current Accell products already give IsoTis a competitive advantage in the orthobiology segment of the orthopedic market. We expect our next generation Accell products to contain an even higher concentration of natural human BMPs and to have even better handling characteristics. Once we have secured regulatory clearance for our next generation Accell products, we intend to demonstrate their clinical efficacy in randomized prospective clinical trials that will be initiated in the first half of 2007."

IsoTis has a product portfolio with several innovative and proprietary natural and Synthetic Bone Graft substitutes on the market and others in development, an established North American independent distribution network and an expanding international presence. IsoTis' main commercial operations are based in Irvine, California, and its international sales headquarters are based in Lausanne, Switzerland.

Source: IsoTis OrthoBiologics

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