Novation and TomoTherapy Announce Radiation Therapy Equipment Supply Agreement : Leading Health Care Contracting Services Company Selects Hi·Art® System to Enhance Cancer Treatment Options

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TomoTherapy Incorporated (NASDAQ: TOMO), maker of the Hi·Art® treatment system for advanced radiation therapy, announced today that it has signed a supply agreement with Novation, the health care contracting services company of VHA Inc., the University HealthSystem Consortium and Provista, LLC.

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By adding the TomoTherapy® Hi·Art treatment system to our comprehensive radiation oncology portfolio, members will be able to purchase, under contract, the next generation of cancer treatment products.

"As the health care industry's leading contracting company, we want to ensure that members can receive preferred pricing on the latest innovations in medical technology," said Jenifer Axline, director of innovative technology at Novation. "By adding the TomoTherapy® Hi·Art treatment system to our comprehensive radiation oncology portfolio, members will be able to purchase, under contract, the next generation of cancer treatment products."

The TomoTherapy Hi·Art treatment system is the only radiation therapy solution to use a CT-style ring gantry design, CT-based image guidance and two distinct delivery modes that share an efficient, consistent treatment planning and delivery process. TomoHelicalSM mode enables delivery from all angles around the patient in multiple, 360-degree rotations. The new TomoDirectSM mode allows clinicians to choose up to 12 discrete angles for treatment delivery. The choice of which modality to use for a given case depends on the nature of the tumor volume and surrounding organs at risk.

According to Fred Robertson, CEO of TomoTherapy, the agreement with Novation brings TomoTherapy's revolutionary technology to previously-untapped markets.

"Novation is a well-respected group purchasing organization, and we are confident that our agreement with them will open doors to a wide range of new institutions," said Robertson. "We look forward to working with Novation to demonstrate for VHA, UHC and Provista members how the Hi·Art system gives them flexibility to treat the widest range of cancer cases—from the most routine to the most complex—in a straight-forward, high-quality fashion."

VHA is a nationwide network of more than 1,400 not-for-profit community hospitals.

Alternatively, UHC is an alliance of leading academic health centers.

Provista, comprised of 13,000 health care and education customers, is a group purchasing and business solutions organization jointly owned by VHA and UHC and formed to serve organizations that are not members of either alliance.

About Novation

Founded in 1998, Irving, Texas-based, Novation is the leading health care contracting services company, delivering unmatched savings and value to nearly 2,500 members of VHA Inc. and the University HealthSystem Consortium (UHC), two national health care alliances and nearly 13,000 members of Provista, LLC. Through its competitive contracting process, Novation develops and manages contracts with more than 500 suppliers. Novation offers the most extensive range of advanced contracting services, including: contract development, contract and supplier management, custom contracting, enhanced savings programs, online contract management and analytical tools, order management and online supplier connectivity. VHA, UHC and Provista members used Novation contracts to purchase more than $33.1 billion in 2007.

About TomoTherapy Incorporated

TomoTherapy Incorporated has developed, markets and sells the TomoTherapy® Hi·Art® treatment system, an advanced radiation therapy system for the treatment of a wide variety of cancers. The Hi·Art treatment system combines integrated CT imaging with conformal radiation therapy to deliver sophisticated radiation treatments with speed and precision while reducing radiation exposure to surrounding healthy tissue. The company's stock is traded on the NASDAQ Global Select Market under the symbol TOMO. To learn more about TomoTherapy, please visit TomoTherapy.com.

©2008 TomoTherapy Incorporated. All rights reserved. TomoTherapy, the TomoTherapy logo and Hi·Art are among trademarks, service marks or registered trademarks of TomoTherapy Incorporated.

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