Accuray Awarded $1 Million Grant by U.S. Government

Grant to fund Linear Accelerator Development for the Department of Homeland Security

News provided by

Oct 05, 2010, 08:30 ET

SUNNYVALE, Calif., Oct. 5 /PRNewswire/ -- Accuray Incorporated (Nasdaq: ARAY), a global leader in the field of radiosurgery, announced today that the company was awarded a $1 million Small Business Innovation Research (SBIR) grant by the U.S. Government to be used toward further development of a high-energy X-ray source for Homeland Security applications.

The grant will fund the development of a next generation, compact X-ray source with unprecedented capabilities bundled with a high-energy linear accelerator. Phase one of the project, which was also funded by an earlier SBIR grant, was completed in June 2010 and included the analysis and design of the major subsystems for the prototype. Phase two will consist of the development of the prototype that is intended to be used as a critical part of cargo scanning systems by the Department of Homeland Security.

"We are proud to be recognized by the U.S. Government for our commitment to innovation. While we focus on further advancing our core product offering, the CyberKnife Robotic Radiosurgery System, we're pleased to be able to conduct innovative research and development stimulated by the government in anticipation of their future technology needs," said Chris A. Raanes, senior vice president and chief operating officer for Accuray. "As a leader in advanced linear accelerator technology, it's great to see how our proven technology, used to treat cancer, can also be applicable and equally as effective for other important applications."

Accuray's technology is ideal for mobile applications because of its lightweight and compact design, which sets the company's technology apart from others. The project, which will begin this month, is expected to be completed within the next two years.

About the CyberKnife® Robotic Radiosurgery System

The CyberKnife Robotic Radiosurgery System is the world's only robotic radiosurgery system designed to treat tumors anywhere in the body non-invasively. Using continual image guidance technology and computer controlled robotic mobility, the CyberKnife System automatically tracks, detects and corrects for tumor and patient movement in real-time throughout the treatment. This enables the CyberKnife System to deliver high-dose radiation with pinpoint precision, which minimizes damage to surrounding healthy tissue and eliminates the need for invasive head or body stabilization frames.

About Accuray

Accuray Incorporated (Nasdaq: ARAY), based in Sunnyvale, Calif., is a global leader in the field of radiosurgery dedicated to providing an improved quality of life and a non-surgical treatment option for those diagnosed with cancer. Accuray develops and markets the CyberKnife Robotic Radiosurgery System, which extends the benefits of radiosurgery to include extracranial tumors, including those in the spine, lung, prostate, liver and pancreas. To date, the CyberKnife System has been used to deliver more than 95,000 treatments worldwide and more than 206 systems have been installed in leading hospitals in the Americas, Europe and Asia. For more information, please visit www.accuray.com.

Safe Harbor Statement

The foregoing may contain certain forward-looking statements that involve risks and uncertainties, including uncertainties associated with the medical device industry. Except for the historical information contained herein, the matters set forth in this press release, including statements relating to qualitative management experience and market acceptance are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements speak only as of the date the statements are made and are based on information available at the time those statements are made and/or management's good faith belief as of that time with respect to future events. You should not put undue reliance on any forward-looking statements. Important factors that could cause actual performance and results to differ materially from the forward-looking statements we make include: market acceptance of products; competing products, the combination of our products with complementary technology; and other risks detailed from time to time under the heading "Risk Factors" in our report on Form 10-K for the 2010 fiscal year which has been filed with the Securities and Exchange Commission. The Company's actual results of operations may differ significantly from those contemplated by such forward-looking statements as a result of these and other factors. We assume no obligation to update forward-looking statements to reflect actual performance or results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable securities laws.

Available Topic Expert(s): For information on the listed expert(s), click appropriate link.

Euan S. Thomson, Ph.D.

https://profnet.prnewswire.com/Subscriber/ExpertProfile.aspx?ei=81869

SOURCE Accuray Incorporated