Advanced Tissue Sciences Inc. (NASDAQ:ATISA) has receiveda Phase I Small Business Innovation Research grant from theNational Cancer Institute of the National Institute of Health,the La Jolla, Calif., company said Friday.

The $50,000 grant will finance the development of laboratory-grown liver and bone marrow co-cultures for toxicity testing.

After six months of experimentation, the company can eligibleto apply for Phase II funding from the NIH, which could provideup to $500,000.

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