**Exhibit 99.1****TranS1 Inc. Reports Operating Results for the Fourth Quarter and Full Year 2007**Feb 21, 2008 (PrimeNewswire via COMTEX News Network) — Highlights:Fourth quarter revenues increased 117 Percent to a record $5.0 million compared to the fourthquarter of 2006; 2007 revenues increased 183 Percent to a record $16.5 million from $5.8 million in2006566 TranS1 procedures performed in the quarter; 1,843 procedures performed in 2007Gross margin was 83.3% for the quarter and 81.5% for 2007GAAP loss per share of $0.14 for the quarter and $1.46 for the yearNon-GAAP loss per share of $0.07 for the quarter and $0.30 for the yearWILMINGTON, N.C., Feb. 21, 2008 (PRIME NEWSWIRE) — TranS1 Inc. (Nasdaq:TSON), a medical devicecompany focused on designing, developing and marketing products that implement its proprietaryminimally invasive surgical approach to treat degenerative disc disease affecting the lower lumbarregion of the spine, today announced its financial results for the fourth quarter and year endedDecember 31, 2007.Revenues were $5.0 million in the fourth quarter of 2007, representing a 117% increase overrevenues of $2.3 million in the fourth quarter of 2006. Gross margin was 83.3% in the fourthquarter, an increase from 72.4% in the fourth quarter of 2006. For the year ended December 31,2007, revenues were $16.5 million, an increase of 183% from $5.8 million in the comparable prioryear period. Gross margin for 2007 was 81.5%, compared to 72.8% in 2006.Operating expenses were $7.3 million in the fourth quarter of 2007 compared to $4.3 million in thefourth quarter of 2006. For the year, operating expenses were $23.4 million compared to $14.7million in 2006. The increase in operating expenses is primarily attributable to an increase insales and marketing costs as a result of the continued expansion of the direct sales force andincreased commissions as a result of increased sales. Additionally, general and administrativecosts increased primarily due to the addition of personnel and increased legal and professionalfees.Net loss applicable to common shareholders was $2.2 million and $2.5 million for the quarters endedDecember 31, 2007 and 2006, respectively. GAAP loss per common share was $0.14 in the fourthquarter of 2007 compared to a net loss per share of $1.02 in the fourth quarter of 2006. The netloss for the year ended December 31, 2007 was $8.6 million or $1.46 per common share in 2007compared to a net loss of $9.5 million or $3.91 per common share in 2006.For the quarter ended December 31, 2007, on a non-GAAP basis, adjusting for non-cash stockcompensation expense, the issuance of 6.3 million shares of common stock from the company’s initialpublic offering in October 2007 and the conversion of preferred stock into common stock inconnection with the public offering, net loss was $0.07 per common share based upon 19,801,000weighted average common shares outstanding as compared to a net loss of $0.10 per common sharebased upon 19,553,000 weighted average common shares in the prior year period. For the year endedDecember 31, 2007, on a non-GAAP basis, net loss was $0.30 per common share based upon 19,661,000weighted average common shares outstanding for the year ended December 31, 2007 as compared to anet loss of $0.45 per common share based upon 19,541,000 weighted average common shares in theprior year period.
 

 
Cash, cash-equivalents and short-term investments were $93.9 million as of December 31, 2007. InOctober, TranS1 completed its initial public offering of 6,325,000 shares, inclusive of theunderwriter’s full exercise of its over-allotment option. The shares were sold for $15.00 pershare, resulting in net proceeds to the company of approximately $86.7 million.Richard Randall, President and Chief Executive Officer of TranS1 said, “We are pleased to reportrecord fourth quarter and total year revenues. We believe the “least-invasive” nature of ourprocedure, our clinical effectiveness and compelling safety profile continue to drive adoption ofour technology. Further, our IPO has provided us with the capital resources to continue to grow oursales and marketing team and build upon our success.”Conference CallTranS1 will host a conference call today at 4:30 pm EST to discuss the results. To listen to theconference call on your telephone, please dial 800-437-3848 for domestic callers and 719-785-1768for international callers approximately ten minutes prior to the start time. The call will beconcurrently webcast. To access the live audio broadcast or the subsequent archived recording,visit the TranS1 Web site at www.trans1.com under the investor relations section.Non-GAAP MeasuresManagement uses certain non-GAAP financial measures such as non-GAAP net loss and net loss pershare, which exclude stock based compensation and include the assumed conversion of preferred stockto common stock. This non-GAAP presentation is given in part to enhance the understanding of thecompany’s historical financial performance and comparability between periods. The company believesthat the non-GAAP presentation to exclude stock-based compensation and the assumed conversion ofpreferred stock to common stock is relevant and useful information that will be widely used byinvestors and analysts. Accordingly, the company is disclosing this information to permitadditional analysis of the company’s performance. These non-GAAP measures are not in accordancewith, or an alternative for, GAAP, and may be different from non-GAAP measures used by othercompanies. Investors should consider these non-GAAP measures in addition to, and not as asubstitute for, financial performance measures in accordance with GAAP. A reconciliation of theGAAP financial measures to the comparable non-GAAP financial measure is included below.About TranS1 Inc.TranS1 is a medical device company focused on designing, developing and marketing products thatimplement its proprietary minimally invasive surgical approach to treat degenerative disc diseaseaffecting the lower lumbar region of the spine. TranS1 currently markets two single-level fusionproducts — the AxiaLIF(r) and the AxiaLIF 360(tm) in the U.S. and Europe. In addition, the companycurrently markets a two-level fusion product — the AxiaLIF 2L(tm) in Europe. TranS1 was founded inMay 2000 and is headquartered in Wilmington, North Carolina. For more information, visitwww.trans1.com.Forward-Looking StatementsThis press release includes forward-looking statements, including, without limitation, Mr.Randall’s statement regarding the growth of the sales and marketing team, the accuracy of which isnecessarily subject to risks and uncertainties. These risks and uncertainties include, among otherthings, risks associated with the adoption of a new technology by spine surgeons, productdevelopment efforts, maintenance and prosecution of adequate intellectual property protection andother economic and competitive factors. These forward looking statements are based on the company’sexpectations as of the date of this press release and the company undertakes no obligation toupdate information provided in this press release. For a discussion of risks and uncertaintiesassociated with TranS1’s business, please review
 

 
the company’s filings with the Securities and Exchange Commission, including the RegistrationStatement on Form S-1.TranS1, Inc.