Emphasys Medical, Inc. Announces Completion of

Emphasys Medical, Inc. Announces Completion of Series E Financing

REDWOOD CITY, Calif. , July 27, 2006 -- Emphasys Medical, Inc., a company focused
on improving the lives of patients with emphysema and other severe pulmonary disorders, today
announced the completion of its Series E Preferred Stock financing. Emphasys raised $18.4
million in the round led by Cargill Ventures. Each of the company's existing venture capital
investors participated in the round, as well as a new investor, Trellis Health Ventures.

Emphasys recently completed enrollment in the pivotal trial of the Zephyr® Endobronchial Valve for the treatment of advanced emphysema. The Endobronchial Valves for Emphysema Palliation Trial (VENT) enrolled the final patient in April and expects to complete six-month followup by the end of 2006.

"We are very pleased to add Cargill Ventures and Trellis Health Ventures to the list of high-quality investors that continue to provide enthusiastic support for Emphasys," said John McCutcheon, Emphasys Medical's President and CEO. "This was a very strong financing
for Emphasys -- a clear indication of our leadership position."

Sanjiv Arora, Managing Director, Cargill Ventures, added, "The high clinical need, large market opportunity, and strong management track record are just some of the reasons we found Emphasys attractive. We expect Emphasys will be the first company in the U.S. with a minimally-invasive treatment for emphysema. We are excited about the market opportunity and
the potential to help so many patients."

About Emphasys Medical
Emphasys Medical is focused on improving the lives of patients with emphysema and other
pulmonary diseases through the development of minimally- invasive devices that help patients
breathe easier. Headquartered in Redwood City, California, Emphasys works with leading
pulmonologists and surgeons around the world. The privately-held company has an
experienced management team in place to guide its progress through to commercialization.

Emphasys is the third portfolio company from the medical device company incubator, The
Foundry (www.thefoundry.com). Emphasys has attracted a premier group of private equity
investors, including: ABS Ventures, Advanced Technology Ventures, Cargill Ventures,
Morgenthaler Ventures, Morgan Stanley Venture Partners, OrbiMed Advisors, LLC, Split Rock
Partners, and Trellis Healthcare Ventures

About Cargill Ventures
Cargill Ventures is the venture capital arm of Cargill, Incorporated, a privately-held company
with operations in 63 countries and revenues of over $71 billion.
For more information, please visit http://www.emphasysmedical.com .

Contact Info
Garrett Schwab
Emphasys Medical, Inc.
Phone: 650-364-0400 ext. 126
Fax: 650-364-0403
Email: info@emphasysmedical.com