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Cost-Effectiveness Data Presented on TransCyte

    LA JOLLA, Calif., March 25 /PRNewswire/ -- Advanced Tissue Sciences, Inc.
(Nasdaq: ATIS) and its Joint Venture partner, Smith & Nephew plc, today
announced details of a presentation evaluating the cost benefits of
TransCyte(TM) for the treatment of second-degree (partial-thickness) burns at
the American Burn Association (ABA), 31st Annual Meeting in Orlando, Florida.
They also reported on an earlier presentation addressing the
cost-effectiveness of TransCyte made at the John A. Boswick, M.D., Burn &
Wound Care Symposium in Maui, Hawaii, in February.
    A group from the University of California, San Diego (UCSD) presented data
on 38 patients in which TransCyte reduced the length of stay and decreased
hospital costs compared to the current standard of care in the treatment of
second-degree burns.  It was further reported that when the severity of the
burn was taken into account (using the ratio of length of stay versus
percentage of patient's body surface area burned), the TransCyte patients'
length of stay was 53% less than with standard care, a highly significant
improvement.  Assuming the total body surface area burned was eight percent,
for example, the data indicates that the use of TransCyte reduced the average
length of stay by 5.2 days compared to the current standard of care, saving
the hospital $6,650 per patient.
    At the John A. Boswick, M.D., Burn & Wound Care Symposium, a group from
the Regional Burn Center at Vanderbilt University Medical Center, Nashville,
Tennessee, presented data comparing the cost-effectiveness of TransCyte to
their current standard of care in the treatment of second-degree and
indeterminate-depth burns.  The data indicated that for a group of
12 case-matched patients treated at Vanderbilt University Medical Center, the
use of TransCyte reduced the average length of stay by 4.4 days compared to
the current standard of care, saving the hospital $8,334 per patient.
R. Bruce Shack, M.D., Burn Surgeon at Vanderbilt Burn Center, stated, "Our
results showed clear savings from both length of stay and in hospital costs.
The study group concluded that TransCyte offers an attractive and cost-
effective means of treating partial-thickness and indeterminate-depth burn
injuries."
    Alan R. Dimick, M.D., F.A.C.S., Professor of Surgery at the University of
Alabama, Birmingham, a recognized leader in the burn community and a previous
President of the American Burn Association, said, "The entry of new high
technology products for the treatment of acute wounds brings the burn surgeon
exciting new alternatives to patient care.  The importance of demonstrating
cost-effectiveness and ultimately cost savings, along with enhanced efficacy,
provides clinicians additional information useful in evaluating whether to
adopt these products in their everyday practice."
    Jim Dick, President - Smith & Nephew Wound Management, stated, "Smith &
Nephew is committed to delivering innovative products that enhance healing to
the woundcare community.  Data presented at the ABA further supports the
efficacy and cost-effectiveness of TransCyte and we are excited about being
able to offer this beneficial product to clinicians in the U.S. and to expand
its use globally."
    Advanced Tissue Sciences is a tissue engineering company utilizing its
proprietary core technology to develop and manufacture human-based tissue
products for tissue repair and transplantation.  The Company, through its
Dermagraft Joint Venture with Smith & Nephew, currently has two products on
the market, TransCyte, a temporary covering for third-degree (severe
full-thickness) and second-degree (partial-thickness) burns, and
Dermagraft(R), a living dermal replacement for the treatment of diabetic foot
ulcers (currently available in Canada and the United Kingdom).  The Company is
conducting a multi-center trial for Dermagraft for diabetic foot ulcers in the
United States and is pursuing additional indications for Dermagraft, including
venous and pressure ulcers, through the Dermagraft Joint Venture.  The Company
is also developing products for cartilage and cardiovascular applications.
    The discussion contained in this press release relating to research,
development, and commercialization of the Company's products involves certain
risks and uncertainties.  No assurances can be given that the Company will
successfully develop additional products, or that its products will complete
clinical trials, obtain regulatory approvals (or that any such approval will
be obtained on a timely basis), or be able to manufacture or successfully
commercialize these products.  These and other risks are detailed in publicly
available filings with the Securities and Exchange Commission such as the
Company's Annual Report on Form 10-K for the year ended December 31, 1997.
Actual results may differ materially from those currently anticipated as a
result of such risks.


SOURCE Advanced Tissue Sciences, Inc.; Smith & Nephew plc




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    CONTACT:
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    Sciences, Inc., 619-713-7802