Alphatec Holdings, Inc., the parent company of Alphatec Spine, Inc., a leading medical technology company that designs, develops, manufactures and markets products for the surgical treatment of spine disorders, with a focus on treating conditions affecting the aging spine, announced today the launch of ProFUSE demineralized bone scaffold, expanding the Company's orthobiologics product line.

The ProFUSE demineralized bone scaffold is a porous, malleable allograft that can be used with Alphatec Spine's Novel(r) Spacers and AlphaGRAFT(tm) structural allografts. The ProFUSE product provides a natural scaffold derived entirely of bone that can be placed into a void within a spacer or on top of a spacer. The sponge-like qualities of the ProFUSE scaffold allows a surgeon to compress the ProFUSE and place it into a small space. Following placement, the ProFUSE scaffold will expand to foster maximum contact between the spacer and the endplate of the vertebral body and is designed to promote fusion. The ProFUSE product comes pre-packaged in Alphatec Spine's new and proprietary vacuum infusion packaging system (VIP).

In addition, Alphatec Spine expects to launch AlphaGRAFT structural allograft spacers packaged in the VIP to the market in early 2009. “Our ProFUSE demineralized bone scaffold and VIP packaging, directly supports our strategy of expanding our product portfolio with innovative orthobiologics solutions. This launch compliments Alphatec Spine's product offering and affords a significant opportunity to participate in the $1.7 billion U.S. orthobiologics market,'' said Dirk Kuyper, President and Chief Executive Officer of Alphatec Spine.

The U.S. orthopedic biomaterials market is estimated to be $1.7 billion in 2008 growing to $2.1 billion by 2011.