Good day, ladies and gentlemen, and welcome to the first quarter 2010 Anika Therapeutics investors' conference call. (Operator Instructions) I would now like to turn the call over to Mr. Kevin Quinlan, Chief Financial Officer. Please proceed.

Thank you, (Francine), and good morning, everyone. If you have not received a copy of the Anika news release, which was issued yesterday after the market closed, or would like to be added to our contact list, please contact Sharon Merill Associates at 617-542-5300. The news release is also posted in the Investor Relations section of Anika Therapeutics' website at anikatherapeutics.com. Also, I want to mention that we have slides posted on the Anika website that illustrates some of the financial information we'll be discussing during today's call. These slides could be found on the Investor Relations section of the website, under the Events, Webcasts, and Presentations tab. We invite you to take a moment to open the file and follow the presentation along with us. Please turn to slide two. Before we begin, please remember that the statements made in this call which are not statements of historical fact are forward-looking statements as defined in the Securities Exchange Act of 1934. Words such as will, believe, appear, plan, expect, anticipate, forward, seek, continued target, goals, objectives, on track, intend, pursue, outlook, as well as other expressions which are predictions or indications of future events or trends and which do not constitute historical matters, identify forward-looking statements. These statements are based on the current beliefs and expectations of management, and are subject to significant risks and uncertainties. The company's actual results could differ materially from any anticipated future results, performance, or achievements described in the forward-looking statements as a result of a number of factors, which includes those set forth in last evening's press release and the company's SEC filings. Please move to slide three as I turn the call over to Anika's President and Chief Executive Officer, Dr. Charles Sherwood.

Thank you, Kevin, and good morning everyone, and thanks for joining us today. This was a great start to a year that promises to be full of milestones for Anika. Total revenue increased 35% year-over-year, while total product revenue was up 37%. On an organic basis, that is, excluding FAB, Fidia Advanced Biopolymers, our product revenue increased to 18% from the first quarter last year, extending our record to 11 consecutive quarters of product revenue growth compared to the previous year's same quarter. Net income increased 37%, in line with the revenue increase. I concluded our call last quarter by outlining our key goals for 2010. My comments this morning will focus on the progress we made on those objectives in the first quarter and the advances we expect to report as we move through the rest of the year. We'll start however, with the financial review, so now I'll turn the call back over to you, Kevin.

Thanks, Chuck. Please turn to slide four in the presentation. Total revenue in the first quarter of 2010, including FAB, grew 35% from the first quarter last year to $12.5 million. Consolidated product revenue grew by 37%, and as Chuck said, organic product revenue growth for Anika excluding FAB was 18%. This was driven primarily by the continuing strong performance of our joint health franchise. You can also see on this slide, the additional therapeutic areas where FAB is contributing to revenue, including Advanced Wound Care and Post Surgical Products. Turning to slide five, which looks at Orthopedics/Joint Health products in detail, you'll see that revenue increased 34% to $6.9 million from the first quarter of 2009. Revenue growth was driven by strong domestic performance of ORTHOVISC. Domestic Joint Health sales were up 44%. International sales, including FAB were up 9.6 %. Turning to slide six, you can see the impact of this revenue growth on the other lines in our income statement. Our first quarter consolidated gross margin was 56% compared with 62% in the first quarter last year. The decline this quarter largely reflected the addition of FAB products into the overall mix. On an organic basis, Anika's gross margin was essentially level with first quarter last year. Looking forward, as I mentioned last quarter, the transition of manufacturing operations to our Bedford facility will be taking place on an incremental basis by product line as we move through the year. This means we'll be manufacturing both at our Woburn and Bedford facilities for a significant portion of 2010, accompanied by some inventory build in preparation for the transition. We expect this to result in a slight decline in margins for 2010 compared with 2009. Net income for the first quarter of 2010 was $714,000 compared to $523,000…

Thank you, Kevin. Slide number 10 outlines our five key goals for 2010. And as you can see, three of these goals are focused on our joint health/orthopedic franchise. Joint health is where we see Anika's greatest growth potential, so I'll start there. The first of our goals is to grow sales of ORTHOVISC and MONOVISC in the United States and internationally. And ORTHOVISC continued to perform well in the first quarter of 2010, particularly in the United States, where sales were up 44% from the first quarter last year. International sales of ORTHOVISC were down 30% year-over-year, mainly reflecting order timing with some weakness in Europe due to the challenging economic conditions in that region. It should be noted that last year's first quarter international sales increased 62% over Q1 2008, favorably impacted by order timing. Given the expansion of our EU distribution over the past year, we're optimistic that international ORTHOVISC and MONOVISC sales will pick up in the second half of the year. We continue to work on additional rest-of-world distribution opportunities, which should begin to impact revenue as early as late 2010. This brings us to the second group of goals for 2010, mainly, developing our hybrid direct sales model, receiving FDA marketing approval, and launching MONOVISC in the United States. As I said in discussing MONOVISC on our call last quarter, we took a modular approach with the FDA to allow for the fastest approval process possible. We completed our PMA filing at the end of 2009 when we submitted the clinical study module in late December, and we continue to expect to launch this exciting product in the second half of 2010. We'll be implementing our MONOVISC product launch through our own direct U.S. sales capability as a means of better controlling the commercialization…

(Operator Instructions) We have a question from the line of (Ross Gordon).

Could you please give an update on the status of Hydrelle?

The product is currently being sold both internationally and in the U.S. In the first quarter, as you probably notice, we had a small increase in the revenue for the first quarter versus first quarter of 2009. An important product is the ELEVESS Light product that has been approved in Europe, and that we're looking at in terms of being able to also offer here in the U.S.

And we have no further questions. I'd like to turn the call back over to management.

Okay (Francine), thank you very much. And again, thanks to everyone for joining us on the call today and your support of Anika, and we look forward to updating you on our second quarter conference call.

Ladies and gentlemen, we thank you for your participation in today's conference. This concludes the presentation. You may now disconnect. Have a great day.