QualityStocks.net News – Cord Blood America, Inc. (CBAI.OB) - 1/25/2008

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Cord Blood America, Inc. (OTCBB: CBAI) is one of our highlighted companies this month. The company engages in the collection, testing, processing, and preservation of umbilical cord blood in the United States. This blood enables families to preserve cord blood at the birth of a child for use in future stem cell therapy, which uses live cells as therapeutic agents to treat disease.

In our client’s news today,

Cord Blood America, Inc. announced that the number of customers who have preserved cord blood at the Company’s modern storage facilities has increased 500%. To bring this huge increase in perspective, Cord Blood America pointed out that it had approximately 3,000 customers on December 31, 2006, but as of December 31, 2007 the Company now has more than 18,000 customers.

Because the cord blood must be stored at optimal conditions, Cord Blood America is able to generate recurring revenue. Each customer pays an average yearly storage fee of about $100. When a parent decides to store their child’s potentially lifesaving blood, an 18-year contract is signed. The Company believes that new sales from marketing to new customers, returning customers, and referrals all had a dramatic impact in enlarging its customer base.

Matthew Schissler, CEO, stated, “The significant increase in customers is largely due to the accretive acquisitions Cord Blood America has made in 2007, including CorCell and CureSource, which increased the number of umbilical cord samples in storage significantly. Organic growth also provided a sizable portion of this increase. Since the number of customers storing blood represents high-margin, recurring revenue, we are particularly pleased by the significant growth.”

He added, “”We continue to focus on generating high-margin revenue, while reducing debt. We believe the acquisitions we made during 2007 and the marketing initiatives we are pursuing in 2008 position the Company for another record year of growth.”

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