Endocare and Galil Medical Announce Settlement of Litigation

IRVINE, Calif. and YOKNEAM, Israel, July 7 /PRNewswire-FirstCall/ -- Endocare,
Inc. (Nasdaq: ENDO) and privately-held Galil Medical Ltd., today announced
that they have entered into a settlement agreement stipulating to termination
of the previously announced merger agreement between Endocare and Galil
Medical pursuant to which Endocare would have acquired Galil Medical, and the
settlement of all related litigation in Delaware Chancery Court.

About Endocare
Endocare, Inc.--www.endocare.com-- is an innovative medical device company
focused on the development of 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
proprietary 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).

About Galil Medical
Galil Medical is a global medical device company that develops, manufactures
and markets innovative products utilizing a proprietary cryoablation platform
that incorporates powerful freezing technology and revolutionary 17-gauge
cryoablation needle design. The company has offices in Yokneam, Israel;
Plymouth Meeting, Pennsylvania; and London. Shareholders include Thomas,
McNerney & Partners, The Vertical Group, Investor Growth Capital, Elron
Electronic Industries Ltd. (Nasdaq: ELRN) and RDC Rafael Development
Corporation, Ltd.

Investor Contact:
Matt Clawson
Allen & Caron, Inc.
(949) 474-4300
matt@allencaron.com

Media Contact:
Len Hall
Allen & Caron, Inc.
(949) 474-4300
len@allencaron.com

For Additional Information:
Martin J. Emerson, CEO
Galil Medical Ltd.
484-530-3960

Michael R. Rodriguez, CFO
Endocare, Inc.
(949) 450-5400

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 Martin J. Emerson, CEO of Galil Medical Ltd.,
+1-484-530-3960; or Michael R. Rodriguez, CFO of Endocare, Inc.,
+1-949-450-5400