Medistem Delays Decision to Suspend Reporting With Securities and Exchange Commission

• Press Release
• Source: Medistem Inc.
• On 2:54 pm EST, Monday December 8, 2008

SAN DIEGO, CA and PHOENIX, AZ--(MARKET WIRE)--Dec 8, 2008 -- Medistem Inc. (OTC BB:MEDS.OB - News) announced today that its previous announcement to cease filing reports with the Securities and Exchange Commission will be delayed.

Related Quotes

Symbol	Price	Change
MEDS.PK	0.19	-0.14

{"s" : "meds.pk","k" : "c10,l10,p20,t10","o" : "","j" : ""}

Due to certain rights held by Medistem's preferred shareholders, the impacts of discontinuing filings could trigger events which would be financially detrimental to the Company. Management is in the process of negotiating a resolution to these rights. However, until such time that the rights held by the preferred shareholders can be waived or renegotiated, Medistem will not file its Form 15 with the Securities and Exchange Commission to cease filing reports. Medistem expects to continue to be traded on the OTCBB exchange until the Form 15 is filed. Management cannot give any assurance that such rights will be successfully waived or renegotiated.

About Medistem Inc.

Medistem Inc. is a biotechnology company founded to develop and commercialize technologies related to adult stem cell extraction, manipulation, and use for treating inflammatory and degenerative diseases. The company's lead product, the endometrial regenerative cell (ERC), is a "universal donor" stem cell derived from the menstrual blood that possesses the ability to differentiate into nine tissue types, produce large quantities of growth factors, and a large proliferative capacity. A peer reviewed publication describing this novel cell type may be found at http://www.translational-medicine.com/content/5/1/57. The company is currently focusing on use of endometrial regenerative cells for treatment of critical limb ischemia, an advanced form of peripheral artery disease.

Cautionary Statement

This press release does not constitute an offer to sell or a solicitation of an offer to buy any of our securities. This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking information.

Factors which may cause actual results to differ from our forward-looking statements are discussed in our Form 10-K for the year ended December 31, 2007 as filed with the Securities and Exchange Commission.

     Contact:
      
     For further information on Medistem Inc., please visit
     http://www.medisteminc.com or contact:
      
     Thomas Ichim, PhD
     CEO
     9255 Towne Center Drive
     Suite 450
     San Diego, CA 92122
     1-877-ERC-STEM