Community Tissue Services Expands Tissue Supply Relationship with Osteotech

DAYTON, OH — (May 15, 2007) Community Tissue Services (CTS) announced today that it has expanded its tissue supply relationship with Osteotech, Inc. (NASDAQ: OSTE).  CTS first entered into an agreement with Osteotech in March 2006 under which CTS will supply a specific number of cortical bone tissues to Osteotech each month.  In February 2007, the parties amended the agreement to more than double the number of cortical bone tissues to be supplied by CTS to Osteotech each month.  In May 2007, CTS agreed to supply Osteotech with an annual minimum number of whole donors.  The initial five-year term of the agreement began in March 2006 and will automatically renew for successive two-year terms unless terminated by either party six months prior to renewal.

Community Blood Center/Community Tissue Services, one of the largest tissue banks in the United States, is an accredited member of the American Association of Tissue Banks and is ISO 9001:2000 Registered. Community Tissue Services provides services to donor families, medical communities, recipients and community partners through recovery, processing and distribution of tissue grafts.  CTS strives to be on the forefront of new technology to better serve recipients and medical professionals.  Community Tissue Services is comprised of eight regional offices and three satellite offices.

Judith E. Woll, M.D., Chief Executive Officer of Community Blood Center/ Community Tissue Services, commented “Community Tissue Services is looking forward to this expanded relationship with Osteotech.  Our relationship with Osteotech provides us an opportunity to provide more bone tissue products back to our local donor hospitals.”

Sam Owusu-Akyaw, Osteotech’s President and Chief Executive Officer stated, “We are extremely pleased to expand our partnership with an organization that has such an outstanding reputation as Community Tissue Services.  Osteotech believes that all donated tissue has value because it has the potential to improve a human life.  It is our mission to use technology to enhance the gift of life through the development of therapy-driven products that alleviate pain, restore function and promote biological healing.”

Osteotech, Inc., headquartered in Eatontown, New Jersey, is a global leader in providing OsteoBiologic solutions to surgeons and patients for the repair of the musculoskeletal system through the development of innovative therapy-driven products that alleviate pain, promote biologic healing and restore function. For further information regarding Osteotech or, this press release or the conference call, please go to Osteotech’s website at www.osteotech.com.

Community Tissue Services (CTS), a division of Community Blood Center (CBC) headquartered in Dayton, Ohio, is an independent, not-for-profit organization.  Community Tissue Services serves the public through recovery, processing and distribution of human tissue donations used for transplantation.  Community Tissue Services is composed of eight regional offices and three satellite offices:  Dayton, Ohio (Corporate Office); Fort Worth, Texas; Fresno, California; Indianapolis, Indiana; Memphis, Tennessee; Philadelphia, Pennsylvania; Portland, Oregon; and Toledo, Ohio.  Satellite locations:  Boise, Idaho, Connersville, Indiana, and Medford, Oregon.  Community Tissue Services is ISO 9001-2000 Registered.  For more information about CTS visit www.communitytissue.org or contact Amy Moeder, Public Relations/Marketing Coordinator at (800) 684-7783, ext. 3364.

#    #    #

© Community Tissue Services™