TORONTO, June 8 /CNW/ - Spectral Diagnostics Inc. (TSX: SDI), and Toray Medical Co.,Ltd. today announced the launch of a combined diagnostic and therapeutic strategic alliance for the management of severe sepsis. Spectral and Toray will begin validating and promoting the application of Spectral's EAA(TM) Endotoxin measurement assay with Toray's Toraymyxin, a medical device approved for the removal of Endotoxin. Toray and Spectral believe that this "theranostic" application of its products is the first of its kind for the treatment of sepsis focused on endotoxin management. "The management of sepsis remains a serious financial and health challenge world wide. Many potential therapeutics have failed to gain approval in part due to the difficulty in properly selecting the correct patients for treatment and the inability to monitor the effectiveness of the therapy. Spectral's sepsis test, the Endotoxin Activity Assay (EAA(TM)), gives results of the levels of blood borne Endotoxin within 20 minutes, and can direct the use of the Toray Endotoxin removal system in these patients, as well as monitor the successful removal of the Endotoxin, ", stated Dr. Paul Walker, President and CEO. "Toray is very pleased to form this alliance with Spectral to introduce the EAA assay in combination with Toraymyxin, and believes that this approach could have significant benefits for the management of sepsis patients" stated Dr. Hisataka Shoji, Managing Director. Spectral is currently commercializing its FDA approved test for risk of developing severe sepsis, which is the only FDA approved method for measuring Endotoxin, a most common mediator of sepsis. Toray's proprietary Toraymyxin Endotoxin removal system is successfully marketed in Japan and Europe, and has approval by Health Canada. Toray Medical Co.,Ltd. is a subsidiary company of Toray, a leading diversified chemicals corporate group that has been technology-focused since its foundation in 1926. The company's operations are underpinned by technological expertise in organic synthetic chemistry, polymer chemistry, and biochemistry. These innovative technologies have yielded "advanced materials" that Toray is now exploiting to provide customers with comprehensive solutions through Fibers and Textiles, Plastics and Chemicals, IT-related Products, Carbon Fiber Composite Materials, Environment and Engineering, Life Science and Other Business divisions. In FY2005, Toray had consolidated sales of 1,427 billion yen (approx $12 billion US), and over 33,000 employees worldwide. For further information, please check www.toray.co.jp. Spectral is a developer of innovative technologies for comprehensive disease management. Spectral provides accurate and timely information to clinicians enabling the early initiation of appropriate and targeted therapy. Current products include Spectral's rapid West Nile Virus (WNV) assay and its FDA approved rapid diagnostic for sepsis (the EAA(TM)) as well as a range of other biological reagents. Spectral's common shares are listed on The Toronto Stock Exchange under the symbol SDI. Information in this news release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws. Implicit in this information, particularly in respect of the future outlook of Spectral and anticipated events or results, are assumptions based on beliefs of Spectral's senior management as well as information currently available to it. While these assumptions were considered reasonable by Spectral at the time of preparation, they may prove to be incorrect. Readers are cautioned that actual results are subject to a number of risks and uncertainties, including the availability of funds and resources to pursue R&D projects, the successful and timely completion of clinical studies, the ability of Spectral to take advantage of business opportunities in the biomedical industry, the granting of necessary approvals by regulatory authorities as well as general economic, market and business conditions, and could differ materially from what is currently expected. %SEDAR: 00002006E