Aerocrine provides update on its patent infringement suit against Medisoft

Aerocrine provides update on its patent infringement suit against
Medisoft

SOLNA, Sweden - 7 July 2011 - Aerocrine AB today announced a negative
decision by the Munich Court regarding the validity of one German
Aerocrine patent.  This decision does not influence Medisoft's
obligation to respect the existing three courts decisions in Germany.

In September of 2009, the District Court of Düsseldorf announced its
decisions that the Medisoft device Hyp'Air FeNO infringes the German
counterparts of Aerocrine's patents EP 0 606 351 B1, EP 1 439 781 B1 and
EP 0 724 723 B1. These European patents also cover Belgium, Switzerland,
Spain, France, United Kingdom, Ireland, Italy, Netherlands and Sweden.
The judgments were subsequently appealed by Medisoft and Medisoft also
filed invalidity proceedings against the three Aerocrine patents in
Germany.

In January 2011, the Court of Appeal in Dusseldorf confirmed the
decisions by the District Court in 2009 that the Medisoft device
infringes Aerocrine's patents EP 0 606 351 B1 and EP 1 439 781 B1. The
Court of Appeal will also revisit Medisoft's appeal of the infringement
of Aerocrine's EP 0 724 723 B1 patent following the positive decision
described below by the Federal Patent Court, as well as decide on
Medisoft's infringement of the amended claim in the same patent.

In February 2011, the validity of the German part of Aerocrine's EP 0
724 723 B1 patent was examined at a hearing at the Federal Patent Court
in Munich. The patent was upheld following a change of the infringed
patent claim. An additional patent claim in the EP 0 724 723 B1 patent,
that was removed from the original District Court procedure in 2009
pending a decision regarding the patentability of this claim, was upheld
by the Federal Patent Court with a similar change of this claim.

Yesterday, the Munich Court provided its decision that the German
counterpart of Aerocrine patent EP 0 606 351 B1 is not patentable in
Germany. This decision was not based on any new information, but
represents an opposing view by the Court regarding the patent claims
compared to the European Patent Office that granted the patent in 1999
and also upheld the patent following opposition in 2002. The EP 0 606
351 B1 patent is Aerocrine's earliest patent and expires in 2012.
Aerocrine has the right to appeal the decision.

For more information, contact:

Paul de Potocki, CEO, telephone: +46 8 629 07 80