Readjustment of revenue and earnings forecast for 2004

Kleinostheim, November 9, 2004 – curasan AG (WKN 549 453) today announced its preliminary results for the first nine months ended September 30, 2004. As regards year-on-year comparisons, it should be noted that the Pharmaceuticals business unit (Anti-Infectives and AIEP products) was sold by the company in October 2003 and that curasan is currently focusing on the area of Regenerative Medicine. In the first nine months of 2004, revenues generated by continuing operations increased by 34%, up from EUR 4.3 million to EUR 5.8 million. In the same period a year ago, total revenue, including that generated within the Pharmaceuticals unit now no longer operated by the company, had amounted to EUR 12.8 million. The loss before interest and taxes for the remaining business unit was reduced from EUR 3.5 million to EUR 2.3 million. As a result of corporate streamlining, the total headcount stood at 74 at the end of the quarter, compared with 95.

The company recorded a year-on-year revenue increase of 51% in the third quarter of the 2004 financial year. However, third-quarter performance fell short of the targets originally set by curasan. The Biomaterials business unit, in particular, performed at a level that was well below the specified target. The company has yet to offset the shortfall in revenues attributable to a change in its distribution structure in the US . Based on current sales figures and the backlog of orders as at October 2004, the Management Board is of the opinion that the company's target of EUR 10 million in revenues and minus EUR 0.5 million in earnings will not be met, or exceeded, until 2005.

The company's forecast for the full 2004 financial year has been adjusted to approx. EUR 8 million in terms of revenues generated and a net loss of EUR 2 million.

The full quarterly report can be accessed on November 11, 2004, at www.curasan.de, Investor Relations section.