CryoLife Files for Preliminary Injunction Against Medafor

CryoLife Believes Attempt to Terminate Distribution Agreement Is Improper

ATLANTA, GA…(March 30, 2010)…CryoLife, Inc. (NYSE: CRY), an implantable biological medical device and cardiovascular tissue processing company, announced today that it filed an emergency motion for a preliminary injunction against Medafor, Inc. in the United States District Court for the Northern District of Georgia, Atlanta division. CryoLife contends that Medafor is improperly attempting to terminate the exclusive distribution agreement ("EDA”) between the parties, and CryoLife has requested that the Court enjoin Medafor from proceeding with the termination.

CryoLife believes that Medafor’s attempt to terminate the EDA is wrongful for several reasons. Primarily, Medafor ignored the fact that the parties contracted away any right to apply the adequate assurances statute that Medafor is now invoking to attempt to terminate the EDA. Even if the statute applied, CryoLife believes Medafor failed to meet the statutory prerequisites for termination, for numerous reasons, including those described below.

Specifically, the statute is only available to a party with a reasonable basis for insecurity regarding the other party’s future performance, and CryoLife’s adherence to the contract has never been in legitimate doubt. The statute requires that any assurances demanded by a party with an insecurity be reasonable. CryoLife believes that Medafor’s requested assurances were not reasonable and in fact were designed to be overreaching and abusive. Perhaps most importantly, the statute demands that the party invoking it do so in absolute good faith, and CryoLife believes Medafor’s invocation of the statute was made in bad faith, as a pretextual scheme to get out of a contract that Medafor found itself unable and unwilling to honor.

The statute is also not available to a party who itself is in breach of its obligations. CryoLife is aware of numerous breaches by Medafor of the EDA, including: promoting and marketing product on its website for use in CryoLife’s exclusive Field in violation of the EDA; failing to prevent its Brazilian distributor from marketing and promoting the product on its website; failing to respond to notice letters of prohibited conduct in 17 instances, along with failing to respond to many of the allegations contained in the complaint filed against it by CryoLife; failing to respond to CryoLife’s notice letters regarding Medafor’s breaches of conduct in Spain; and refusing to protect the intellectual property rights of Medafor’s MPH technology in accordance with the terms of the EDA.

Steven G. Anderson, CryoLife’s chairman, president and chief executive officer, commented, “CryoLife has assiduously followed the terms of the EDA and has repeatedly communicated to Medafor its intention to continue to honor the terms of the EDA. We believe that Medafor’s request for assurances was not made in good faith and that it was simply a pretext to terminate a contract that they cannot consistently comply with, as evidenced by their repeated breaches. Unfortunately, in attempting to repudiate the EDA, we believe Medafor has put itself and its shareholders at great risk. Should this gambit fail, Medafor has exposed itself to significant damages in addition to the damages arising under the complaint previously filed by CryoLife and the substantial litigation costs this process will accrue.”

In the event an injunction is not granted, however, CryoLife will pursue its rights with respect to the EDA vigorously, including claims, for among other things, breach of contract, fraud and negligent misrepresentation and violation of the Georgia RICO provisions, and CryoLife will consider all avenues open to it to protect its interests and those of its shareholders and recover appropriate compensation from Medafor for its reckless actions.

CryoLife believes that it currently has enough inventory, with or without the fulfillment of the March 16, 2010 purchase order that was disputed by Medafor, to meet its business needs through the end of May 2010. CryoLife is optimistic that the court will rule on its motion for preliminary injunction prior to that time.

Shareholders may continue to visit www.cryolife.com/medaforoffer for additional information about CryoLife and its relationship with Medafor. Additional detail regarding the litigation between CryoLife and Medafor is also available in CryoLife’s filings with the Securities and Exchange Commission.

About CryoLife, Inc.

Founded in 1984, CryoLife, Inc. is a leader in the processing and distribution of implantable living human tissues for use in cardiac and vascular surgeries throughout the U.S. and Canada. The Company's CryoValve^® SG pulmonary heart valve, processed using CryoLife's proprietary SynerGraft^® technology, has FDA 510(k) clearance for the replacement of diseased, damaged, malformed, or malfunctioning native or prosthetic pulmonary valves. The Company’s CryoPatch^® SG pulmonary cardiac patch has FDA 510(k) clearance for the repair or reconstruction of the right ventricular outflow tract (RVOT), which is a surgery commonly performed in children with congenital heart defects, such as Tetralogy of Fallot, Truncus Arteriosus, and Pulmonary Atresia. CryoPatch SG is distributed in three anatomic configurations: pulmonary hemi-artery, pulmonary trunk, and pulmonary branch. The Company's BioGlue^® Surgical Adhesive is FDA approved as an adjunct to sutures and staples for use in adult patients in open surgical repair of large vessels. BioGlue is also CE marked in the European Community and approved in Canada and Australia for use in soft tissue repair. The Company's BioFoam™ Surgical Matrix is CE marked in the European Community for use as an adjunct in the sealing of abdominal parenchymal tissues (liver and spleen) when cessation of bleeding by ligature or other conventional methods is ineffective or impractical. BIOGLUE Aesthetic^® Medical Adhesive is CE marked in the European Community for periosteal fixation following endoscopic browplasty (brow lift) in reconstructive plastic surgery and is distributed by a third party for this indication. CryoLife distributes HemoStase^®, a hemostatic agent, in much of the U.S. for use in cardiac and vascular surgery and in many international markets for cardiac, vascular, and general surgery, subject to certain exclusions.

Crabs and eyeballs not usually a good mix

Australian scientists have developed a new type of surgical glue, made from crab shells, that could replace stitches now used in eye surgery.
The liquid, which is painted onto a wound or incision and then heat sealed with an infrared laser, cuts the risk of infection and scarring that can cause vision loss.
Co-inventor of "SurgiLux", Associate Professor John Foster who leads the University of NSW's Biopolymer Research Group, said it could also be used safely in brain and nerve surgery.
"Some glue technologies rely upon ultra-violet for wound bonding but aren't really suitable because UV-rays damage living cells," Dr Foster said in a statement.
"The beauty of SurgiLux is that an infrared laser doesn't cause tissue damage ... better still, it has inherent anti-microbial properties, which discourage post-operative infections."
The green-coloured polymer is made from crab-shell extract and it is biodegradable.
A commercial backer for the product is now being sought, to fund further clinical trials ahead of a possible launch on the global tissue sealants market.
This market was estimated at more than $500 million in 2008, with an eight per cent annual growth rate.
NewSouth Innovations (NSi), the university's commercialisation body, controls the rights to the invention.
"NSi and the inventors of SurgiLux are seeking partners to clinically and commercially develop this proprietary technology," said NSi Business Development Manager Dr Alfredo Martinez-Coll.
"The nature of the investment would be through collaborative research and or a licence deal.

Maryland and Arkansas Teams Win ORNL Global Venture Challenge

OAK RIDGE, Tenn., March 26, 2010 — OAK RIDGE, Tenn., March 26, 2010 -- Graduate students from the University of Arkansas and the University of Maryland received first place at the 2010 Global Venture Challenge that was hosted at Oak Ridge National Laboratory March 24-26. The challenge is a competition that brings together students developing new technology in the two tracks of energy and security and venture investors with expertise in the marketplace.

Douglas Hutchings, Stephen Ritterbush and Seth Shumate, a doctoral student in microelectronics and photonics, from the University of Arkansas won first place in the energy division for their energy company Silicon Solar Solutions.

"Our method replaces the expensive top layer of solar cells with a thinner, large- grain polysilicon at lower temperatures, which reduces cost and is appealing to manufacturers," said Ritterbush, an M.B.A. student.

Matthew Dowling, Peter Thomas and Oluwatosin Ogunsola of the University of Maryland won first place in the security division for their company Remedium Technologies, Inc,, which produces a sprayable hemostat. Dowling and Thomas, doctoral students in bioengineering, said that, unlike hemostats that treat superficial wounds, their Kytoclot technology is a portable, pressurized foam that provides needed compression and protection to wounds within the body cavity. Traditionally, intracavitary wounds have almost always required surgery to prevent hemorrhage-related deaths.

"Currently there is no market for a product like this. The Department of Defense, the military, would be our first potential customer because they have a great need for this sort of product, which can sustain a lot of different temperatures and quickly stops bleeding," Dowling said.

Twenty-two teams of graduate students from five countries traveled to Oak Ridge to present new technology products that satisfy current market demands. In its fourth year, Global Venture Challenge has grown significantly in the last year.

"We have really expanded our reach globally with applications from 44 teams in eight countries, and that's a record," said Tom Rogers, director of the Industrial and Economic Development Partnerships Directorate, said. "Many of the judges have said that the technology this year is far superior to prior years. Every year it gets bigger and better."

More than 50 judges, including judges from 15 venture capital firms, selected winners based on the quality of the technology and the product's projected strength in the marketplace.

Rogers said several teams from past years are now in business and several of the teams that presented this year are already on their way. Dowling said Remedium Technologies, Inc. has already garnered capital from start-up investors, and Silicon Solar Solutions is in the process of speaking with manufacturers.

During the three-day competition, students toured ORNL facilities, met with Lab Director Thom Mason and attended a Venture showcase highlighting cutting-edge technology being developed at ORNL.

The two first-place teams were awarded $25,000 each. First runner-up teams EconoSun of Purdue University and Delta R Detection of the University of Florida received $10,000 each. Second runner-up teams GLADteam of the University of Alberta, Carnegie Mellon University, Maastricht University and Indentizyme Defense Tech of the University of North Carolina, Chapel Hill received $5,000, and six honorable-mention teams received $1,000 each.

Prize money and travel stipends were funded by sponsors, including the Department of Energy's Industrial Technology Program, the Department of Homeland Security's Community & Regional Resilience Institute, Oak Ridge Associated Universities, Battelle Ventures, The National Institute for Hometown Security, the National Venture Capital Association, the East Tennessee Economic Council and Meritus Ventures. ORNL is managed by UT-Battelle for the Department of Energy's Office of Science.

Cryolife withdraw Medafor offer

ATLANTA, GA…(March 24, 2010)…CryoLife, Inc. (NYSE: CRY), an implantable biological medical device and cardiovascular tissue processing company, announced today that it has withdrawn its $2.00 per share proposal to acquire Medafor, Inc. CryoLife previously notified the Medafor board of its intention to withdraw its offer in five business days. Based on the limited information that Medafor has made available to its shareholders, CryoLife continues to believe that the Medafor board’s stated strategic rationale for entering into the Magle transaction does not justify the significant dilution suffered by Medafor shareholders. “It is clear by the recent actions of Medafor’s board and management team that they are committed to entrenchment, even if it means further dilution and the destruction of shareholder value,” said Steven G. Anderson, CryoLife’s chairman, president and chief executive officer. “We continue to believe that Medafor is mismanaged and in poor financial condition. As Medafor’s largest shareholder, we are deeply concerned by Medafor’s recent statement that it currently holds only $1,000,000 in cash. We believe that Medafor’s limited capital is wholly insufficient to sustain the company’s growth and defend its intellectual property. Although we are withdrawing our offer, we intend to pursue all actions necessary to preserve the value of our investment.” “We encourage existing Medafor shareholders to continue to reach out to Medafor’s board and management team and voice their concerns. Based on our recent conversations with fellow Medafor shareholders, we believe many shareholders share our frustrations with Medafor’s actions and have deep concerns about the future of the company under its existing leadership,” concluded Anderson.

Medafor shareholders may continue to visit www.cryolife.com/medaforoffer for additional information about CryoLife and its thoughts on the appropriateness and effectiveness of Medafor’s management’s actions and the company’s performance and outlook.

Haemacure sale of assets to Angiotech clears another hurdle

March 22 (Reuters) - Haemacure Corp (HAEFQ.PK) said it received permission from the Superior Court of the Province of Quebec to sell its assets to Angiotech Pharmaceuticals Inc (ANP.TO), a secured creditor of Haemacure.
The Canada-based biotherapeutic company said the United States Bankruptcy Court had previously authorized the sale to Angiotech of the assets of Haemacure's U.S. subsidiary.
Haemacure also said it obtained a second extension, until April 19, within which to make a proposal to its creditors.
The extension will also allow Haemacure and Angiotech to complete the documentation required for the closing of the asset-sale transactions in Canada and the United States. The closings are expected to be held prior to the new expiry date of April 19.

Medafor CEO responds to latest Cryolife salvo

MINNEAPOLIS - (Business Wire) Medafor Inc. (“the Company”) sent a letter to its shareholders detailing recent corporate accomplishments, including highlights from the Company’s unaudited financial results for 2009, and recent significant developments at the Company.

The complete text of that letter follows:

March 22, 2010

Dear Medafor Shareholders,

I am writing to update you on our financial highlights for 2009, as well as to provide you with some information about recent developments at our Company.

2009 Financial Highlights

I am pleased to report that Medafor has once again experienced a very strong year. Our performance was highlighted by continued revenue growth, a significant increase in operating profitability and steady positive cash generation. Perhaps most important is our demonstrated success in increasing MPH market penetration worldwide. As a result, we have entered 2010 with an improved financial base and a strong operational foundation.

Each shareholder will be receiving the audited numbers and detailed commentary following the completion of our annual audit. The audit has just commenced and we expect it to be finalized in late April or early May. In the interim, here are some highlights based upon our preliminary unaudited financial results for 2009:

• Strong Revenue Growth

In 2009, Medafor experienced an approximately 40% growth in revenue as compared to 2008. Unaudited revenues of $13.8 million for 2009 exceeded the business plan of $12.5 million by approximately 10%.

In the U.S., our fast growing general surgery distributor network achieved a revenue growth rate for 2009 that was well in excess of 120% for the year, and we are seeing impressive new daily growth in the use of our products in Urology and OB-GYN surgical applications. Further, our well established distributors in Japan and China achieved substantial revenue growth in 2009 of approximately 90% as compared to 2008, reflecting what appears to be enormous ongoing demand for our product in China, as well as the initial entry into Japan following successful receipt of regulatory clearance by the Japanese authorities.

The only decline in our overall net revenues came from those markets that are serviced by CryoLife. Revenues in those markets declined by approximately 40% as compared to the same sectors for 2008, after taking into account the transition of our then existing International network to CryoLife under the terms of the Exclusive Distribution Agreement (“EDA”), effective January 1, 2009.

• Operating Performance

Since receiving FDA approval in 2006, we have been focused on achieving positive operating cash flow from the sale of the MPH product as rapidly as possible. I am pleased to report that, consistent with that objective, Medafor’s cash based operating profit increased to approximately $2.4 million in 2009, representing a roughly 350% increase as compared to the comparative figure reported in 2008. Unfortunately, these operating profits were reduced by the very significant legal expenses we incurred in defending ourselves against the lawsuit initiated by CryoLife, which totaled over $1.2 million in total legal and associated fees for 2009. As a result, our basic operating income, though still strong due to steady margins and disciplined SG&A management, was reduced by about 50% to $1.2 million to reflect these litigation expenses. Therefore, net growth of operating profit was just over 120% in 2009.

• Improved Cash Position

From a balance sheet and liquidity point of view, we generated positive cash flow. Our cash position was further increased by a positive inflow arising from the debenture extension. Medafor therefore ended the year with approximately $1 million in cash on hand, and about $1 million in additional cash availability under an unutilized line of credit. Absent the legal fees caused by the CryoLife litigation, Medafor would have had $2 million in cash on hand.

Long Term Agreement with Magle Life Sciences

We are extremely pleased with our results for the year, and are even more excited for the future prospects that this positive momentum will bring to our Company. Now that our MPH product is generating strong operating cash flow, we are better equipped to turn our focus on expanding the range and scope of possible new surgical and medical applications.

With this in mind, we are delighted to share with you a very significant and exciting development regarding an expanded relationship with our long-term technology and supply partner, Magle Life Sciences of Sweden. As you may have read on our website and in the press release we issued on March 12^th, we recently signed a long term agreement with Magle, under which we have secured full control of the vital technology and manufacturing process needed to make the key powder component in our patented MPH surgical product.

In the past, ownership of the manufacturing process and technology resided overseas and was not within Medafor’s control. This agreement is a watershed event for our company and its future, and one which we believe will enable us to create greater value for Medafor shareholders in hemostasis and other initiatives long after the Hemarrest owned patent expires. By deepening our partnership with Magle, a company with a recognized strength in starch technology and research, we will be able to develop and enhance new applications of the MPH product, and strengthen our valuation prospects for a potential IPO or acquisition, if deemed appropriate.

Under this agreement, Magle will continue to exclusively supply Medafor with our DSM-A product for hemostasis on a long-term basis under favorable terms from both a pricing and minimum commitment point of view. This guarantees Medafor a quality long-term supply from a trustworthy and reliable partner. Medafor now also has the ability to create a second source of supply (with Magle’s active assistance).

For nearly a decade, our partnership with Magle has been built on a foundation of trust and mutual respect. We believe that Magle’s starch technology expertise, combined with Medafor's proven success penetrating the market for intra-operative surgical hemostasis products, is the ideal partnership arrangement as we continue executing our global growth strategy. The new agreement is particularly important because the prior agreement was expiring at the end of 2010. We began negotiating the contract renewal in 2009 and are very pleased that we were able to complete the negotiations expeditiously, while at the same time addressing the goals and objectives of both Medafor and Magle.

As consideration for acquiring this technology, we issued 1.8 million shares of Medafor stock to Magle, making Magle a significant shareholder in our company (approximately 7%) and further aligning their interests with those of our other Medafor shareholders. Based on reasonable expected revenue growth rates, the effective cost of the technology amortized over the next 10-15 years, will have a roughly 1% effect on net margins going forward. The cash savings we will generate from lowered mandatory minimum purchase commitments will offset the outlay for this technology, but much more importantly, as a single product/single technology company, we have finally secured perpetual control over our powder supply line and technology, which was previously threatened by the uncertainty surrounding CryoLife's actions.

Repudiation by CryoLife of the Exclusive Distribution Agreement

First, I would like to thank the many shareholders who have reached out to express their vocal support with regard to our Board’s recent actions taken in response to the unsolicited takeover attempt of our Company by CryoLife. We appreciate your continued confidence in Medafor, our strategic direction, and the promising future we see for our Company.

Now allow me to take a moment to bring you up to date on the status of our relationship with CryoLife and the EDA. On March 18^th, 2010, we informed CryoLife that it has repudiated our exclusive distribution agreement by failing to respond to our reasonable request for adequate assurance that it would properly adhere to the terms of our agreement. Under state law, CryoLife’s repudiation effectively permits Medafor to treat that contract as terminated and cease all performance under the EDA, effective immediately. Our March 18^th letter informed them that we intend to do so.

CryoLife has breached the terms of our agreement in China, Europe, Brazil and repeatedly in the U.S., and has continued to insist that it is somehow entitled to distribute HemoStase in China and Japan, despite the clear terms to the contrary set forth in the EDA. As a result of that action, we became highly concerned about whether CryoLife had any intention of honoring our agreement going forward, and we insisted it provide us assurance, as required by state law. CryoLife ignored this request, thus repudiating the contract.

Given their continuing actions and breaches of the EDA, we no longer believe that CryoLife can be viewed as a trustworthy partner, and worse, their actions confuse our customers which we believe is negatively impacting our future growth, thus impeding the overall objective of driving value for our shareholders. Thus, our Board unanimously determined that it is in the best interests of our shareholders to treat the EDA as though it has been terminated going forward.

As we have said in our previous communications, we will not engage in a public back-and-forth debate with CryoLife. However, we do recognize that you may have questions about the current situation and the allegations and personal attacks that CryoLife has been making. Therefore, we will continue to provide updates as warranted via the ongoing Questions and Answers section, which has been posted on our website and, if necessary, will be sent out in further mailings.

We have urged our shareholders, our customers and our employees not to be overly distracted by the noise CryoLife is making – be it via litigation, in letters to Medafor shareholders, or in the press. We view their aggressive campaign as nothing more than a sign of desperation on their part as they appear to be dealing with problems of their own making. As we have previously stated, it is becoming increasingly clear that our Hemostase MPH product is materially important to CryoLife’s business. However, what may be in the best interests of CryoLife and its shareholders, is not necessarily in the best interests of our Company, our future growth and our shareholders.

As always, please feel free to call me with any questions. Thank you for your ongoing support.

Sincerely,

Gary J. Shope

Chief Executive Officer

HyperBranch Medical Technology To Market Surgical Sealants under Adherus Product Name

DURHAM, N.C.--(BUSINESS WIRE)--HyperBranch Medical Technology, Inc. announced today that it will begin to market their surgical sealants under a new product identity – Adherus Surgical Sealants. The Adherus name will soon appear on all Company literature but the total transition in the market place will likely take several months to complete. “The new identity brings continuity to our products and allows the end users - doctors, hospitals and nurses - to refer more effectively to our family of products. This is not an unusual change for companies like HyperBranch as they transition from a development company to an established organization in the market, ” said John Conn, President and CEO. HyperBranch’s Adherus product line is a family of synthetic hydrogels which polymerize in a moist field, set immediately upon application, and bio-degrades as the tissue heals. Adherus Surgical Sealants are CE marked and approved for sale outside the United States for ophthalmic, cranial, spine and hernia applications. The Company has also recently completed enrollment of a US FDA pilot study for its Adherus Dural Sealant in preparation for the expanded pivotal trial of the same product. The Durham, N.C. medical device company has also been developing advanced surgical sealants for cardiovascular, pleural (lung), plastic surgery and other related surgical applications. These products are all at various stages of clinical and pre-clinical development and complement the existing CE Marked products. HyperBranch Medical Technology, a privately-held company based in Durham, N.C., is developing innovative medical devices for the ophthalmology, general, and specialty surgery markets. The company is focused on the development of unique products based on its novel hydrogel technology. For more information visit:www.hyperbranch.com.

Medafor Cryolife Agreement in Jeopardy

ATLANTA, March 19, 2010 /PRNewswire via COMTEX/ -- CryoLife, Inc. (NYSE: CRY), an implantable biological medical device and cardiovascular tissue processing company, today responded to Medafor's allegation that it has repudiated the Exclusive Distribution Agreement ("Agreement") between the two companies.

On March 18, 2010, Medafor informed CryoLife that it is treating the Agreement as terminated. Medafor alleges that it had reasonable grounds, pursuant to Georgia law, to demand that CryoLife provide adequate assurances that it would perform under the Agreement and that CryoLife has repudiated the Agreement by not providing adequate assurances. After completing its preliminary analysis, CryoLife believes that Medafor's position that it may treat the Agreement as terminated is not valid and that Medafor's request that CryoLife give adequate assurance of due performance under the Agreement was not reasonable or made in good faith.

This is Medafor's fourth attempt to terminate the Agreement. CryoLife is currently evaluating all of its options related to this most recent termination attempt by Medafor.

On March 16, 2010, CryoLife placed a purchase order of approximately $500,000 of HemoStase(R) product to be delivered to CryoLife on April 15, 2010. On March 18, 2010 after notifying CryoLife that it was treating the EDA as terminated, Medafor notified CryoLife that it would not fulfill this order because CryoLife submitted the order 30 days prior to shipment, instead of the minimum 35 days set forth in the Agreement and the amount requested was more than CryoLife had forecasted as set forth in the Agreement. Assuming Medafor's effort to deem of the Agreement as being terminated is not successful, CryoLife may simply submit a new purchase order.

If Medafor is ultimately successful in terminating the Agreement or if Medafor fails to ship HemoStase as ordered by CryoLife, CryoLife's previously issued financial guidance for fiscal 2010 may be materially affected.

In 2009, CryoLife filed a lawsuit against Medafor for, among other things, breach of contract, fraud, negligent misrepresentation, and violations of Georgia Racketeer Influenced and Corrupt Organizations Act ("Georgia RICO"), alleging that Medafor has violated the Agreement by, among other things, allowing other companies to distribute HemoStase in territories and medical fields reserved exclusively for CryoLife per the terms of the Agreement. CryoLife's lawsuit alleges that Medafor, contrary to its representations in the Agreement, had numerous distribution agreements regarding HemoStase with other distributors in the U.S. and internationally, allowing them to market and distribute HemoStase in the territory and field given exclusively to CryoLife. Medafor is alleged to have knowingly and purposefully withheld from CryoLife disclosure of all but three of these agreements; to have knowingly and purposefully misrepresented that the three distributors with these agreements would not be allowed to compete with CryoLife after the effective date of the Agreement except in several explicitly identified facilities, and then only for a short period of time; and to have intentionally misrepresented to CryoLife that no such contracts existed with any other distributors, and that no such contracts would exist after CryoLife's exclusive rights commenced. The lawsuit also alleges that Medafor has failed to take reasonable steps to prevent other distributors from distributing HemoStase in CryoLife's exclusive field and territory, and that Medafor breached its contractual obligation to prevent competing products from violating Medafor's intellectual property rights in HemoStase, thereby impairing the value of CryoLife's exclusive distributorship.

As specified in the lawsuit, CryoLife brought these transgressions to Medafor's attention on numerous occasions and attempted to work with Medafor to secure its compliance with the terms of the parties' Agreement, but was unable to get Medafor to follow the terms of the Agreement. CryoLife believes that Medafor's actions have deprived CryoLife of significant sales volume and have impaired and delayed CryoLife's development of relationships with customers in its exclusive territory.

Cryolife close offer while Medafor Management adopt a Nero fiddle strategy

ATLANTA, March 18, 2010 /PRNewswire via COMTEX/ -- CryoLife, Inc. (NYSE: CRY), an implantable biological medical device and cardiovascular tissue processing company, announced today that it has sent the following letter to Medafor's Board of Directors:

March 18, 2010

VIA FEDEX

Michael F. Pasquale, Chairman of the Board

Medafor, Inc.

Dear Michael,

As Medafor's largest shareholder, CryoLife is deeply concerned about the rationale for and transparency surrounding Medafor's recent agreement with Magle Life Sciences announced on March 12, 2010.

As we predicted, you have again diluted existing Medafor shareholders without providing adequate value in return. We are deeply dismayed that you have seemingly given away almost 10 percent of Medafor, in addition to an undisclosed amount of much-needed cash, for the rights to a technology to which we believe you already have exclusive access. Given the absence of any other compelling business rationale, and your failure to provide your shareholders with an explanation of the substance of the transaction, we can only conclude that the sole purpose of the Magle Life Sciences ("Magle") transaction is to further entrench Medafor's management and board and prevent a combination between CryoLife and Medafor. In addition, the issuance of this significant block of stock is contrary to comments that your management and board have made to shareholders regarding Medafor's significant improvement in operating results and cash flow, which you indicated would be sufficient to fund your operations and growth strategy.

CryoLife has attempted in earnest for over the past 16 months to engage Medafor in friendly, good faith negotiations to arrive at a transaction that would enable HemoStase and related products to reach their full potential, and create value for Medafor and CryoLife shareholders. Unfortunately, every attempt we have made to create value for Medafor shareholders has been frustrated by a value-destructive action or response from Medafor's management and board.

As you know, we anticipated that Medafor management would be required to continue to engage in dilutive financings in order to fund its operating plan, and we have expressed our concerns in this regard to you and to our fellow Medafor shareholders. Nonetheless, we did not believe that Medafor's management and board would act in direct conflict with their fiduciary duties and inflict material dilution upon their shareholders, without obtaining any cash investment in return, in what appears to be an obvious effort to deny existing Medafor shareholders the right to choose whether or not to enter into a business combination with CryoLife.

We believe the dilutive share issuance to Magle was undertaken for the sole purpose of diluting CryoLife's holdings and therefore making any subsequent action to acquire Medafor significantly less likely to succeed. Unfortunately, this share issuance is clearly harmful to all Medafor shareholders, and further demonstrates the lengths to which Medafor's management and board will go in order to entrench themselves and preserve their excessive compensation.

Given the impact of the recent additional dilution on the value of your stock, and our concerns that Medafor's management and board will continue to cause intentional additional harm to shareholder value, CryoLife will withdraw its $2.00 per share proposal in 5 business days. During this time period, we will urge Medafor shareholders to contact the Medafor board and impress upon them the need to uphold their fiduciary responsibilities, including providing all Medafor shareholders with sufficient details regarding the Magle transaction so that we can all understand the impact it has on the value of Medafor common stock. We remain willing to enter into discussions with you about a combination; however, after 5:00 p.m., March 24, 2010 our current proposal to acquire Medafor will terminate.

In the event that you fail to provide your shareholders with adequate information regarding the Magle transaction and we withdraw our proposal for the reasons discussed above, we will remain Medafor's largest shareholder, and we intend to pursue all actions necessary to preserve the value of our investment, including the exercise of our right to call a special meeting of shareholders or pursue litigation in defense of our rights.

Sincerely,

Steven G. Anderson

President, CEO and Chairman of the Board

cc: Board of Directors of Medafor

Gary J. Shope

IMPORTANT

This letter is provided for informational purposes only and is not an offer to purchase nor a solicitation of offers to sell shares of Medafor or CryoLife. Subject to future developments, CryoLife may file a registration statement and/or tender offer documents and/or proxy statement with the SEC in connection with the proposed combination. Shareholders should read those filings, and any other filings made by CryoLife with the SEC in connection with the combination, as they will contain important information. Those documents, if and when filed, as well as CryoLife's other public filings with the SEC, may be obtained without charge at the SEC's website athttp://www.sec.gov/ and at CryoLife's website at http://www.cryolife.com/.

ProFibrix Reports Phase II Results of Hemostasis Product FibrocapsTM and Appoints New Chief Medical Officer

LEIDEN, THE NETHERLANDS and SEATTLE, WA, March 11, 2010 - ProFibrix B.V., a leader in the development of innovative products for hemostasis and regenerative medicine, today announced the conclusion of the first Phase II trial testing its unique new hemostat FibrocapsTM. Promising preliminary data from the European multicenter, open-label trial show compelling safety and efficacy (time to hemostasis) profiles for Fibrocaps, and good performance of the delivery device. Robert J. Porte, MD, PhD, principal investigator of the Phase II trial, said: “Fibrocaps is a highly promising new hemostat that has unique characteristics and demonstrates optimal efficacy. We are fully committed to assist ProFibrix with the further development of this product and look forward to bringing this important innovation in hemostasis to the clinic.” ProFibrix recently also appointed Paul A. Frohna, MD, PhD, as Chief Medical Officer. Dr. Frohna has extensive preclinical, clinical and regulatory experience, as well as with designing and running clinical trials in the U.S., Canada and Europe. He has held senior management positions at companies such as Fibrogen Inc., CV Therapeutics, and Genentech. Dr. Frohna's educational background includes an undergraduate pharmacy degree with Honors from the University of Texas at Austin College of Pharmacy, a PhD in Pharmacology from the University of Pennsylvania School of Medicine, and an MD from Georgetown University Medical School. Jan Ohrstrom, COO and President of ProFibrix Inc said: “We are very pleased with the successful conclusion of our Phase II Fibrocaps trial. It provides us with an excellent basis for the large Phase II study that we intend to initiate in the U.S. and the EU early in Q3, 2010, after IND filing. We are also happy to announce the appointment of Paul Frohna as Chief Medical Officer. Paul has a wealth of experience in all areas of clinical research, has intimate knowledge of the hemostasis field, and will be instrumental in running our Phase II and III trials in the U.S. and Europe. He will be based in our Seattle office.

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Tenaxis Medical Says German Court Nullifies CryoLife 'Kowanko' Patent

The shares of CryoLife, Inc. (CRY: News ) plunged 17.45% in the after-hours trading on Thursday, following the statement by privately held Tenaxis Medical, Inc. regarding the German court nullification of CryoLife 'Kowanko' patent.
Tenaxis Medical noted that the German Federal Patent Court in Munich has indicated their intention to nullify the German Kowanko patent assigned to Kennesaw, Georgia-based CryoLife. The patent is the German part of the European Patent 0 650 512 and is key intellectual property relating to the BioGlue Surgical Adhesive which is marketed worldwide by CryoLife, a processor and distributor of implantable living human tissues for use in cardiac and vascular surgeries.
Ronald Dieck, President and Chief Executive Officer of Tenaxis Medical, said, "We have always believed our intellectual property protection to be strong and we elected to initiate a nullity action in Germany to reinforce our position in this field and maximize the value of our own portfolio. In our review it became clear that the German Kowanko patent was not a valid patent. This assessment will be supported by the upcoming written decision of the Federal Patent Court in Munich, which has indicated that they will nullify the patent."
Dieck added that the company is confident that the Court's decision will lead to the stay of the patent infringement action brought by CryoLife against Tenaxis Medical's product ArterX Vascular Sealant before the Duesseldorf District Court in Germany, pending the outcome of any appeal by CryoLife against the decision of the Federal Patent Court.

Cardiva Medical, Inc. Announces Departure of Founder and CEO, Augustine Lien

SUNNYVALE, Calif., March 2 /PRNewswire/ -- Cardiva Medical, Inc. announced today that Founder and CEO Augustine Lien has resigned effective March 5. The company's Board of Directors has appointed Rick Anderson, appointed Chairman of the Board in October 2009, to serve as interim CEO. Mr. Lien will remain a member of the Board of Directors.Mr. Lien founded Cardiva in 2003 and then has led the company for the past 7 years as Chairman and CEO. During that time, Cardiva has launched three highly innovative vascular closure products and grown to over 75 employees. "I owe a sincere thank you to the outstanding employees of Cardiva and to our customers who believe in what we do and embrace our technology," said Lien.Rick Anderson said, "We are appreciative of Augie's leadership and entrepreneurial spirit that has focused on patients and customers. The strength of the company's Catalyst business and our new product development programs are well established, and I am confident the team Augie built will take Cardiva to the next level."Mr. Anderson is Managing Partner at PTV Sciences, a healthcare venture capital and growth equity firm he joined in 2008. Prior to PTV Sciences, Rick was Company Group Chairman, Johnson & Johnson, and Worldwide Franchise Chairman, Cordis Corporation. Mr. Anderson is currently serving as a director on the boards of Cameron Health, InSite Vision (OTC Bulletin Board: INSV), and Tryton Medical, and serves as Chairman of the Board for Cardiva Medical, and IDEV Technologies.

Caddisfly larvae spun into surgical tape

SALT LAKE CITY – Often used as fishermen's bait, sticky caddisfly larvae may soon be used to suture wounds, according to researchers at the University of Utah.
The small, moth-like insect spins silk, much like butterflies and spiders, albeit underwater instead of on dry land. The chemical and structural properties of the larvae make it a probable and valuable adhesive tape during surgery because it could be used to hold together skin from the inside.
"I picture it as sort of a wet Band-Aid, maybe used internally in surgery – like using a piece of tape to close an incision, as opposed to sutures," said Russell Stewart, an associate professor of bioengineering at the U. and principal author of a new study of the properties of the fly's silk. The study will be published this week in Biomacromolecules, a journal of the American Chemical Society. He said gluing things together underwater isn't easy.
"Have you ever tried to put a Band-Aid on in the shower? This insect has been doing this for 150 million to 200 million years," he saidStewart studies natural adhesives at the U., including another he discovered made by sandcastle worms on the shore between high tide and low tide ocean waves. That type of natural "glue" has the potential to help repair small broken bones in humans by holding them together. He learned of the potential of the caddisfly larva from a Smithsonian Institution scientist who showed him several of the tube-shaped larval cases that caddisflies spin underwater. It was then that he put on his boots and waded through the Provo River, looking for larvae.
After growing them in his lab, researchers analyzed the silk fibers, finding that they stitched together glass beads from inside their shelters.
"It's like using Scotch tape on the inside of a box to hold it together," Stewart said. "It's really like a tape more than anything else – a tape that works underwater." Next up, they plan to study how strong the silk, or spun larva, can be and whether it can be reproduced synthetically and then used as a surgical adhesive.
In addition to caddisflies, the sandcastle worms, as well as mussels and sea cucumbers, are among the four categories of living organisms that have the ability to make adhesives under water.
And just as it took researchers a while to figure it out, the system of spinning something sticky enough to hold onto its eggs in the aquatic environment evolved independently for the flies, too, helping the creatures live and thrive, Stewart said.