Healthcare Industry News:  Ablatherm 

Devices Oncology

 News Release - July 16, 2007

EDAP Revises Termination Agreement With HealthTronics

LYON, France, July 16 (HSMN NewsFeed) -- EDAP TMS S.A. (Nasdaq: EDAP ), the global leader in High Intensity Focused Ultrasound (HIFU) treatment of prostate cancer, reports today an update to its Termination Agreement with HealthTronics, Inc.

On July 9, 2007, EDAP TMS S.A. entered into a letter agreement with HealthTronics, Inc., pursuant to which the parties amended their Termination Agreement dated as of April 3, 2007.

The letter agreement eliminated HealthTronics's obligation to pay EDAP any additional amounts in excess of $600,000. In the prior agreement, HealthTronics agreed to pay EDAP certain additional amounts in excess of $600,000 based on a formula related to the price at which HealthTronics resells the registered 200,000 EDAP shares. On July 3, 2007, EDAP withdrew its original Registration Statement dated as of May 3, 2007 which reflected the prior terms of the Termination Agreement. The company will file a new Registration Statement on July 16, 2007 reflecting the new terms of the agreement.

Under the new Termination Agreement, Healthtronics still agreed to pay EDAP TMS S.A a total of $600,000 within 60 days of effectiveness.

About EDAP TMS S.A.

EDAP TMS S.A. develops and markets Ablatherm, the most advanced and clinically proven choice for High Intensity Focused Ultrasound (HIFU) treatment of localized prostate cancer. HIFU treatment is shown to be a minimally invasive and effective treatment option with a low occurrence of side effects. Ablatherm-HIFU is generally recommended for patients with localized prostate cancer (stages T1-T2) who are not candidates for surgery or who prefer an alternative option, or for patients who failed radiotherapy treatment. The company is also developing this technology for the potential treatment of certain other types of tumors. EDAP TMS S.A. also produces and commercializes medical equipment for treatment of urinary tract stones using Extra-corporeal Shockwave Lithotripsy (ESWL).

For more information on the Company, contact Magnolia Investor Relations at (972) 801-4900, the Corporate Investor Relations Dept at +33 (0)4 78 26 40 46 or see the Company's Web sites at http://www.edap-tms.com and http://www.hifu-planet.com.

In addition to historical information, this press release contains forward-looking statements that involve risks and uncertainties. These include statements regarding the Company's growth and expansion plans. Such statements are based on management's current expectations and are subject to a number of uncertainties and risks that could cause actual results to differ materially from those described in these forward-looking statements. Factors that may cause such a difference include, but are not limited to, those described in the Company's filings with the Securities and Exchange Commission. Ablatherm-HIFU treatment is in clinical trials but not yet FDA approved or marketed in the United States.


Source: EDAP TMS

Issuer of this News Release is solely responsible for its content.
Please address inquiries directly to the issuing company.



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