Nephros Inc.

Nephros Inc. reported earnings results for the fourth quarter and year ended December 31, 2007. For the quarter, the company reported product revenues of $441,000, attributable to sales of its OLpur(TM) MD190 and MD220 products in Europe, compared with $153,000 in the corresponding period of 2006, an increase of 188%. Net loss was $21,693,000 or $0.85 per basic and diluted common share for the fourth quarter of 2007 versus a net loss of $2,255,000 or $0.18 per basic and diluted common share in the fourth quarter of 2006. The Company's net loss was increased in the current quarter primarily due to the conversion of the Company's notes into the Company's common stock on November 14, 2007.