26 February 2009:NorDiag had operating revenues of NOK 5.1 million and other revenues/grants of NOK 0.3 million in Q4-2008, compared with NOK 3.3 million and NOK 0.8 million in Q4-2007. The Company more than doubled the operating revenues from the previous quarter. The strong growth in operating revenues current quarter comes as a consequence of successful clinical trials for STI sample preparations. 5 new "Bullet" instruments were sold, and 1 placed in the quarter.

CEO Mårten Wigstøl expects that the strong sales will continue from fourth quarter and going forward.  "Launch of the Company's new desktop instrument "Arrow" in March 09, for which the Company has placed the first instruments at customers'  locations for testing, will further stimulate to volume growth" he says.

Wigstøl also points to the effects of new applications will be  a strong revenue driver going forward. "NorDiag has developed and develops a number of different sample preparation applications to be used on the "Bullet" and "Arrow" instrument platforms. In general - the kits offered by NorDiag are now being used in connection with diagnostics for STI, MRSA and VRE. Furthermore, we expect the kits to be used in connection with diagnostics for tuberculosis, viruses, cancer testing where samples such as blood, sputum, urine and stool are used, - all on the instrument platforms "Bullet" and "Arrow". Development of new applications will be completed during the first half of 2009."

The CEO also emphazises the recent funding and a Board of Directors with an international profile is important bricks to create international growth in 2009. "The rights issue closed in January this year gives the Company approximately NOK 31.6 million in additional funding. Furthermore, the warrants issued can give an additional capital of NOK 38.6 million if fully utilized".

Robert V. Ahlgren was appointed as a new Chairman of the Board, effective from the date that the rights issue was completed.  Mr. Ahlgren has extensive international management experience within the diagnostics industry and has held numerous management positions in companies such as Fisher, Apogent, and Baxter. He is a U.S. citizen. Robert Ahlgren will play an active role together with the president of NorDiag Inc to contribute to the development of the US market.

Other key figures:
o   Total operating expenses in Q4-2008 were NOK 10.7 million compared to NOK 12.1 million in Q4 last year and NOK 13.2 million in previous quarter. For the whole year, total operating expenses were NOK 46.9 million, NOK 10.9 million lower than in 2007. The reduced operating expenses was according to plan, and a consequence of the discontinuation of Genefec Il in Q3-2007. Further cost-cutting measures decided will have an effect in 2009 of up to NOK 7 million.

o   Net cash flow in Q4-2008 was NOK - 9.2 million, giving cash balance at the end of Q4-2008 of NOK 15.6 million. Rights issue in Q1-2009 gave the Company additional funding of NOK 31.6 million.

Outlook
NorDiag expects strong sales to continue in 2009. The combination of strong sales focus, larger geographical footprint and a broader instrument and application portfolio is expected to pay off. The Company also expects that distribution of complementary third party products and cross sales can accelerate the way to break even. As for the integrated testing of CRC in the Cancer area, the search for a commercial partner in Europe will have priority. There will be a strong focus on cost control in the whole Company which is expected to give further cost reductions, although some increase in international sales costs will be unavoidable.

Complete Q4 report and presentation is attached.

Contact: CEO Mårten Wigstøl, Phone: +47 91165775

About NorDiag:
NorDiag is a biotechnology company developing, manufacturing and marketing automated solutions, instruments and tests, for diagnostic of infectious diseases and cancer. The Company`s core competence is isolation of bacterial and human DNA from difficult clinical samples, and the Company has established a solid market share in the Scandinavian market for sexually transmitted infections. The company has similar applications for Tuberculosis and MRSA. An application for respiratory pathogens is under development. NorDiag is also developing a test that shall contribute to early diagnosis of colorectal cancer. NorDiag was founded in 2003 and has its headquarters in Oslo - Norway. The Company has offices and laboratories in Bergen - Norway, Stockholm - Sweden and West Chester (PA) - USA. The group has 39 employees. NorDiag is listed on Oslo Stock Exchange with the ticker NORD. For further information - www.nordiag.com

Read the report and the presentation here

Read the notice in Norwegian here