Westaim announces 2009 first quarter results

CALGARY, May 11 /PRNewswire-FirstCall/ - The Westaim Corporation announced
today that for the quarter ended March 31, 2009, it recorded a net loss of
$2.7 million, or 3 cents per share, on revenues of $5.2 million compared to a
net loss of $6.9 million, or 7 cents per share, on revenues of $5.2 million in
the previous year. The loss from continuing operations for the quarter ended
March 31, 2009 was $2.3 million compared to income of $3.2 million for the
same period in 2008.
At March 31, 2009, Westaim had $40.2 million in consolidated cash and cash
equivalents, compared to $46.8 million at December 31, 2008. Westaim's cash
position, excluding cash and cash equivalents held by its 75 per cent owned
subsidiary NUCRYST Pharmaceuticals Corp., was $29.6 million. In addition,
Westaim held ABCP with a book value of $4.0 million.
"Westaim is well positioned with strong cash and asset resources," said
Cameron MacDonald, President & CEO of Westaim. "We will look for opportunities
to make the most of our investment resources and leverage our experience to
increase shareholders' equity."
Tomorrow, May 12, 2009, The Westaim Corporation is holding its Annual Meeting
of Shareholders in Toronto, Canada at 10:00 a.m. EDT. The meeting will be
webcast live and is available through the company website www.westaim.com. An
archive of the webcast will be posted following the meeting.

The Westaim Corporation invests, directly and indirectly, through
acquisitions, joint ventures and other arrangements, with the objective of
providing its shareholders with capital appreciation and real wealth
preservation. Westaim holds a 75 per cent interest in NUCRYST Pharmaceuticals
Corp. (NASDAQ: NCST; TSX: NCS). Westaim's common shares are listed on The
Toronto Stock Exchange under the trading symbol WED.

This news release contains forward-looking statements. These statements are
based on current expectations that are subject to risks and uncertainties, and
Westaim can give no assurance that these expectations are correct. Various
factors could cause actual results to differ materially from those projected
in such statements, including but not limited to statements regarding
Westaim's examination of possible new investment opportunities in an effort to
enhance shareholder value. Westaim disclaims any intention or obligation to
revise forward-looking statements whether as a result of new information,
future developments or otherwise. Accordingly, readers are advised not to
place undue reliance on forward-looking statements, and should not rely on
this information at any date other than the date of this news release. All
forward-looking statements are expressly qualified in their entirety by this
cautionary statement.

THE WESTAIM CORPORATION
Financial Highlights
(unaudited)
(thousands of dollars except per share data)

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Three Months Ended
March 31
Consolidated Statements of Operations 2009 2008
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Revenue $ 5,174 $ 5,209
(Loss) income from continuing operations (2,339) 3,227
Net loss (2,681) (6,857)
Net (loss) income per common share - basic
and diluted
Continuing operations (0.02) 0.03
Net loss (0.03) (0.07)
Weighted average number of common
shares outstanding (thousands) 94,216 94,186

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Three Months Ended
March 31
Segmented Information 2009 2008
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Revenue from continuing operations
Nucryst Pharmaceuticals $ 5,174 $ 5,209
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(Loss) income from continuing operations
Nucryst Pharmaceuticals $ (1,377) $ (2,238)
Other (including corporate costs) (962) 5,465
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(Loss) income from continuing operations $ (2,339) $ 3,227
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March 31, December 31,
Consolidated Balance Sheets 2009 2008
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Cash and cash equivalents $ 40,159 $ 46,768
Current assets 50,254 59,783
Other assets 16,818 17,494
Current liabilities 7,132 9,841
Shareholders' equity 47,830 50,002

SOURCE Westaim Corporation

Cameron MacDonald, President and Chief Executive Officer, The Westaim
Corporation, (416) 203-2022, info@westaim.com