by Joan Trombetti, Writer

AngioDynamics--a leading provider of innovative medical devices used by interventional radiologists, nephrologists and surgeons for the minimally invasive treatment of cancer and peripheral vascular disease--has entered into asset purchase agreements with Diomed Holdings, Inc., Diomed, Inc. and Diomed Limited for the acquisition of certain assets of Diomed's business in the United States and United Kingdom.

The agreement with Diomed Holdings, Inc. and Diomed, Inc. is subject to an auction process administered by a bankruptcy court, as a result of Diomed's Chapter 11 bankruptcy proceedings and other customary closing conditions.

AngioDynamics has agreed to pay $8 million in cash for the assets of Diomed's U.S. business engaged in the sale of systems for the endovenous laser treatment of varicose veins. In addition, AngioDynamics has agreed to pay $3 million in cash for the assets of Diomed's U.K. business based in Cambridge, England. Diomed's U.K. operations manufacture and distribute systems used in the endovenous laser treatment of varicose veins and was placed under the control of a U.K. Insolvency Administrator on March 14, 2008. Note that the offer to purchase Diomed's U.S. assets is conditioned upon AngioDynamics' purchase of Diomed's U.K. assets. The offer to purchase Diomed's U.K. assets is conditioned upon the entry of an order in the U.S. bankruptcy court authorizing the purchase of the U.S. assets.

Under the Agreement with Diomed Holdings and Diomed Inc., AngioDynamics may provide up to $1.3 million in debtor-in-possession financing that will be secured by a perfected first priority lien on all of Diomed's assets in the United States and will be repayable together with interest on the earlier of the closing of the contemplated asset purchase, the closing of an alternative transaction, or May 30, 2008.

In the 12-month period ending September 30, 2007, Diomed had worldwide sales of $25.4 million. Diomed has advised AngioDynamics that, other than the fact of its March 14, 2007 bankruptcy filings, it has been operating in the ordinary course of business as a debtor-in-possession while it has pursued the sale of its business.

Eamonn Hobbs, President and CEO of AngioDynamics said that if the company is successful with their offers, it will strengthen the company's presence in the growing market to treat varicose veins as well as expand the sales organization in both the United States and overseas. He said that the plan is to incorporate the Diomed sales team in both the United States and in Europe into the AngioDynamics organization and to offer employment to many of the other Diomed employees.

About AngioDynamics
AngioDynamics, Inc. is a leading provider of innovative medical devices used by interventional radiologists, surgeons, and other physicians for the minimally invasive treatment of cancer and peripheral vascular disease. The Company's diverse product line includes market-leading radiofrequency ablation systems, vascular access products, angiographic products and accessories, dialysis products, angioplasty products, drainage products, thrombolytic products, embolization products and venous products.