TomoTherapy Incorporated announced that it has reduced its workforce by approximately 12% through a combination of layoffs and the elimination of open positions.

As a result of this action, the Company estimates that it will generate annual savings of approximately $5.4 million beginning in 2009. During the fourth quarter of 2008, the Company will incur a one-time charge of approximately $1.8 million related to severance costs.

"This action, while difficult, was a necessary response to the slowing growth TomoTherapy is experiencing as a result of the challenging economic conditions," said Fred Robertson, TomoTherapy's CEO.

As of September 30, 2008, TomoTherapy had 721 employees.

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.

Source: TomoTherapy Incorporated

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