Aetrium Reports Second Quarter Results

ST. PAUL, Minn.--(Business Wire)--
Aetrium Incorporated (Nasdaq:ATRM) today announced results for its
second quarter ended June 30, 2008. Revenue for the quarter was
$3,222,000, versus revenue of $5,866,000 in the second quarter of
2007. Net loss for the quarter was $441,000, or $0.04 per share, as
compared to net income of $612,000, or $0.06 per diluted share, in the
second quarter of last year.

"As we anticipated, our customers remained cautious in the second
quarter as a result of the economic downturn in the United States and
uncertainty about worldwide demand for semiconductors in the coming
quarters," Joseph C. Levesque, president and chief executive officer,
commented. "However, we experienced a number of positives in the
quarter. Our bookings exceeded our first quarter bookings, and were
well in excess of second quarter revenue. We further streamlined our
operations for improved future performance. We shipped product to two
new customers in the quarter, and scheduled evaluations for this
quarter at three more new customers, as we begin to gain the benefits
of our accelerated efforts to broaden our customer base."

"Looking forward, although uncertainty about economic conditions
continues within our customer base, we are seeing an increase in order
activity," Levesque added, "and we expect business conditions to
improve materially in the third quarter and as the year progresses."

Certain matters in this news release are forward-looking
statements which are subject to risks and uncertainties that could
cause actual results to differ materially from those projected. Such
risks and uncertainties include, but are not limited to, adverse
domestic or global economic conditions, slowing growth in the demand
for semiconductor devices, the volatility and cyclicality of the
microelectronics industry, changes in the rates of capital
expenditures by semiconductor manufacturers, progress of product
development programs, unanticipated costs associated with the
integration or restructuring of operations, and other risk factors set
forth in the company's SEC filings, including its Form 10-K for the
year ended December 31, 2007.

Aetrium, based in North St. Paul, Minnesota, is a leading supplier
of proprietary technologies and equipment that are used by the
worldwide semiconductor industry to test integrated circuits. The
company's products are used by customers to advance reliability,
improve quality, increase product yield or improve manufacturing
processes. Aetrium's common stock is publicly traded on the Nasdaq
market under the symbol ATRM. More information about Aetrium is
available on the internet at www.Aetrium.com.

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Aetrium Incorporated
Consolidated Statements of Operations
(Unaudited)
(in thousands, except per share data)

Three Months ended Six Months ended
June 30, June 30,
------------------ -----------------
2008 2007 2008 2007
------------------ -----------------

Net sales $ 3,222 $ 5,866 $ 8,857 $10,971
Cost of goods sold 1,762 2,912 4,621 5,327
------------------ -----------------
Gross profit 1,460 2,954 4,236 5,644
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Gross profit percent 45.3% 50.4% 47.8% 51.4%

Operating expenses:
Selling, general and
administrative 1,496 1,523 3,198 2,789
Research and development 748 912 1,524 1,888
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Total operating expenses 2,244 2,435 4,722 4,677
------------------ -----------------

Income (loss) from operations (784) 519 (486) 967
Interest income (expense), net 83 102 203 203
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Income (loss) before income taxes (701) 621 (283) 1,170
Income tax benefit (expense) 260 (9) 105 (14)
------------------ -----------------

Net income (loss) $ (441) $ 612 $ (178) $ 1,156
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Income (loss) per share:
Basic $ (0.04) $ 0.06 $ (0.02) $ 0.11
Diluted $ (0.04) $ 0.06 $ (0.02) $ 0.11

Weighted average common shares
outstanding:
Basic 10,586 10,394 10,570 10,336
Diluted 10,586 10,683 10,570 10,632
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Aetrium Incorporated
Consolidated Balance Sheets
(Unaudited)
(In Thousands)

June 30, December 31,
2008 2007
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Assets:
Current assets:
Cash and cash equivalents $11,983 $12,105
Accounts receivable, net 2,086 3,542
Inventories - operations 8,447 7,590
Inventories - shipped equipment, subject
to revenue deferral 430 105
Deferred income taxes 315 315
Other current assets 279 589
------------ ------------
Total current assets 23,540 24,246

Property and equipment, net 165 185
Deferred income taxes 2,107 2,002
Other assets 303 150

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Total assets $26,115 $26,583
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Liabilities and shareholders' equity:
Current liabilities:
Current portion of long-term debt $ 35 $ 45
Trade accounts payable 1,041 782
Other current liabilities 902 1,603
------------ ------------
Total current liabilities 1,978 2,430

Long-term debt, less current portion - 11

Shareholders' equity 24,137 24,142

------------ ------------
Total liabilities and shareholders'
equity $26,115 $26,583
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Aetrium Incorporated
Doug Hemer, 651-773-4274

Copyright Business Wire 2008