Zila Reports Fiscal 2009 3rd QTR Net Revenues of $8.5 Mil (Financial Report‪)‬

Zila, Inc. (Nasdaq:ZILA), Scottsdale, Ariz., has reported financial results for its fiscal 2009 third quarter ended April 30, 2009. "During the third quarter, revenues remained steady, and our cash position increased compared with the previous quarter," said David Bethune, chairman and chief executive officer of Zila. "Moreover, as a result of continued cost cutting throughout the organization, we narrowed our loss from operations to approximately $328,000 from approximately $1.1 million last quarter, excluding a $23.2 million non-cash impairment charge recognized last quarter." The company has stated that in order to continue as an on-going business and avoid bankruptcy, it will require additional funds to restructure or retire its Senior Secured Convertible Notes due in July 2010, and to grow its business. Efforts to seek additional funding have included discussions with several potential financial and strategic investors, as well as with the holders of the Senior Secured Convertible Notes.