Hamilton Thorne announces financial results for third-quarter 2009

Hamilton Thorne Ltd. (TSX-V: HTL), formerly Calotto Capital Inc., a leading provider of advanced laser systems and instruments for the stem cell research and fertility clinic markets, today reported operational and financial results for the third quarter ended September 30, 2009.

Q3 2009 Highlights - Revenue was $1.46 million compared with $1.43 million in Q3 2008 - Gross profit margin was 66.3 percent compared with 66.1 percent in Q3 2008 - Net loss reduced to $148,000 compared to $283,000 in Q3 2008 - Launched Staccato, an advanced laser system for the automated processing of stem cell colonies to enhance purity and scale-up - Two new peer-reviewed scientific articles published in Nature by customers that reference Hamilton Thorne instruments as part of the research methods - New customers include Weill Cornell Medical Center and an additional lab within theUniversity of California

"With our recent public listing complete, we have embarked on this next stage of our corporate strategy with a focus on sales and marketing of our existing Zilos-tk(R) and XYClone(R) products and generating traction for our recently launched Staccato laser instrument," said Meg Spencer, Chief Executive Officer of Hamilton Thorne Ltd. "While we anticipate our results will continue to reflect the quarter to quarter variability of the business at this stage, we are confident in our long-term prospects as a pre-eminent supplier of the instruments and tools necessary for the exciting field of stem cell research. Staccato is a great example our innovative product offering that targets this growing market. It enhances the scale-up of pure stem cell colonies by providing researchers with an instrument that facilitates the process of separating undesirable stem cells from a colony in scale-up. Our direct sales team is now introducing the benefits of Staccato, including the reduction in procedure time and the elimination of contamination and damage to cells, to key opinion leaders in the stem cell research community."

Financial Results

As the financial results relate to a period preceding the completion of Hamilton Thorne's Qualifying Transaction, these results represent the performance of Hamilton Thorne, Inc. on a standalone basis, and should be read in conjunction with Calotto's financial statements for the three-month period ended July 31, 2009 and its Filing Statement relating to the Qualifying Transaction.

All amounts are in US dollars, unless specified otherwise, and results expressed in accordance with U.S. Generally Accepted Accounting Principles (U.S. GAAP).

For the three-month period ended September 30, 2009, the Company recorded revenue of $1,463,000, compared with $1,426,000 for the same period last year. For the nine-month period ended September 30, 2009, revenue was $3,598,000 compared to $4,102,000 for the corresponding period last year.

For the three-month period ended September 30, 2009, total operating expenditures were $1,043,000, compared with $1,150,000 for the same period last year. For the nine-month period ended September 30, 2009, total operating expenditures were $3,092,000 compared with $3,390,000 for the corresponding period in 2008.

Research and development (R&D) expenses for the three-month period ended September 30, 2009 were $193,000, compared with $205,000 for the same period last year. R&D expenses for the nine-month period in 2009 were $590,000, compared with $613,000 for the corresponding period in 2008. Sales and marketing expenses for the three-month period ended September 30, 2009 were $524,000, compared with $580,000 for the same period last year. Sales and marketing expenses for the nine-month period ended September 30, 2009 were $1,434,000, compared with $1,693,000 for the corresponding period in 2008. General and administrative expenses for the three-month period ended September 30, 2009 were $326,000, compared with $365,000 for the same period last year. General and administrative expenses for the nine-month period ended September 30, 2009 were $1,067,000, compared with $1,085,000 for the corresponding period last year.

Net loss for the three-month period ended September 30, 2009, totalled $148,000, compared with $283,000 for the corresponding period in 2008. For the nine-month period ended September 30, 2009, net loss was $983,000, compared with $1,001,000 for the corresponding period last year.

As at September 30, 2009, the Company's cash and cash equivalents amounted to $46,000.

Subsequent to the end of the quarter, the Company completed a qualifying transaction on October 28, 2009 and concurrently with the merger, completed financings relating to a Private Placement and debt conversion, in the gross amount of CDN$2,200,000. Upon the Exchange's issuance of its Final Exchange Bulletin approving the qualifying transaction, the Company ceased to be a Capital Pool Company, and its trading symbol on the TSX-Venture is now "HTL".