Capstone Therapeutics third quarter net loss decreases to $2.6 million

Capstone Therapeutics (Nasdaq:CAPS), formerly OrthoLogic Corp., (the "Company"), today announced financial results for the third quarter of 2010.

The Company reported a net loss of $2.6 million, or $0.06 per share, for the third quarter of 2010, compared to a net loss of $3.3 million or $0.08 per share for the third quarter of 2009. The Company incurred a net loss in the nine months ended September 30, 2010 of $8.5 million or $0.21 per share, compared to a net loss of $10.6 million or $0.26 per share in the same period in 2009. The $2.1 million decrease in the net loss for the nine months ended September 30, 2010 compared to the same period in 2009 resulted primarily from the purchase in 2009 of peptide for pre-clinical studies, completion in 2009 of our planned partnering or development collaboration research support activities for Chrysalin, and reduced clinical costs in 2010 compared to 2009 related to our AZX100 Phase 2 clinical trials. Costs for our Phase 2 clinical trials were higher in 2009 primarily because costs for study initiation, surgeries and dosing all occurred in 2009, while 2010 costs consisted of monitoring and data gathering and analysis. These cost decreases were partially offset by reduced interest income, due to the decrease in interest rates earned on investments between the two periods and reduction in the amount available for investment.

The Company ended the third quarter of 2010 with approximately $27 million in cash and investments.