Endocare Receives NASDAQ Deficiency Letter Regarding Stockholders' Equity

IRVINE, Calif., May 27 /PRNewswire-FirstCall/ -- Endocare, Inc. (Nasdaq:
ENDO), an innovative medical device company focused on the development of
minimally invasive technologies for tissue and tumor ablation, today announced
that on May 20, 2009 the Company received a letter from The NASDAQ Stock
Market notifying the Company that, based on its Form 10-Q for the period ended
March 31, 2009, NASDAQ has determined that the Company's stockholders' equity
does not comply with the minimum $2.5 million stockholders' equity requirement
for continued listing on The NASDAQ Capital Market as required by NASDAQ
Marketplace Rule 5550(b)(1).

As provided in the NASDAQ Marketplace Rules, the Company has the opportunity
to submit to NASDAQ a specific plan and timeline to achieve and sustain
compliance. The Company intends to submit to the NASDAQ staff in a timely
manner a plan to continue listing on The NASDAQ Capital Market. Under NASDAQ
Marketplace Rules, the Company must submit its plan by June 4, 2009, and, if
it is accepted, the Company will then be given up to 105 calendar days from
the date of the May 20 letter to regain compliance.

About Endocare
Endocare, Inc. -- www.endocare.com -- is an innovative medical device company
providing minimally invasive technologies for tissue and tumor ablation.
Endocare has initially concentrated on developing technologies for the
treatment of prostate cancer and believes that its technologies have broad
applications across a number of markets, including the ablation of tumors in
the kidney, lung and liver and palliative intervention (treatment of pain
associated with metastases).

Statements in this press release that are not historical facts are
forward-looking statements, including those relating to Endocare's plans for
regaining compliance with the NASDAQ rules, that involve risks and
uncertainties. Among the important factors that could cause actual results to
differ materially from those in the forward-looking statements include, but
are not limited to, those discussed in "Risk Factors" in Endocare's
Registration Statement on Form S-4 relating to the merger, Forms 10-K, Forms
10-Q and other filings with the Securities and Exchange Commission. Such risk
factors include, but are not limited to, the following items: uncertainty
relating to HealthTronics' proposal to acquire Endocare and the effects of
such proposal; failure to receive stockholder approval of the Galil merger or
concurrent financing; the timing and receipt of regulatory approvals; the
possibility that the anticipated benefits from the Galil merger cannot be
fully realized, if at all, or may take longer to realize than expected; the
possibility that costs or difficulties related to the integration of Galil's
operations into Endocare will be greater than expected; the ability of the
combined company to retain and hire key personnel; Endocare has a limited
operating history with significant losses and losses may continue in the
future; Endocare may require additional financing to sustain its operations
and without it Endocare may not be able to continue operations; Endocare's
ability to extend the maturity on its line of credit; Endocare's business may
be materially and adversely impacted by the loss of Endocare's largest
customer, which is an affiliate of HealthTronics, or the reduction, delay or
cancellation of orders from this customer or if this customer delays payment
or fails to make payment; Endocare may be required to make state and local tax
payments that exceed Endocare's settlement estimates; uncertainty regarding
the ability to convince health care professionals and third party payers of
the medical and economic benefits of Endocare's products; uncertainty relating
to third party reimbursement; the risk that intense competition and rapid
technological and industry change may make it more difficult for Endocare to
achieve significant market penetration; and uncertainty regarding the ability
to secure and protect intellectual property rights relating to Endocare's
technology. The actual results that Endocare achieves may differ materially
from any forward-looking statements due to such risks and uncertainties. There
can be no assurance that the proposed merger and financing will in fact be
consummated, or that Endocare's board of directors will determine that
HealthTronics' proposal constitutes a "Superior Proposal" under its merger
agreement with Galil or, if it makes such a determination, that a transaction
with HealthTronics will be consummated. Except as otherwise required by law,
the Company undertakes no obligation to revise, or update publicly, any
forward-looking statements for any reason.

Investor Contact: Media Contact: For Additional Information:
Matt Clawson Len Hall Michael R. Rodriguez, CFO
Allen & Caron, Inc. Allen & Caron, Inc. Endocare, Inc.
(949) 474-4300 (949) 474-4300 (949) 450-5400
matt@allencaron.com len@allencaron.com www.endocare.com
www.allencaron.com www.allencaron.com

SOURCE Endocare, Inc.

Investors, Matt Clawson, matt@allencaron.com, or Media, Len Hall,
len@allencaron.com, both of Allen & Caron, Inc, +1-949-474-4300, for Endocare,
Inc.; or Michael R. Rodriguez, CFO of Endocare, Inc., +1-949-450-5400