With the Embryonic Stem Cell Trial Cleared by the FDA
as a Key Indicator, Cord Blood America Announces Expansion Plans for Its Stem Cell Storage Program

Tuesday January 27, 2009, 9:35 am EST

SANTA MONICA, CA--(MARKET WIRE)--Jan 27, 2009 -- Cord Blood America, Inc. (OTC BB:CBAI.OB - News), the umbilical cord blood stem cell preservation company (http://www.cordblood-america.com) focused on bringing the life saving potential of stem cells to families nationwide and internationally, said today that it intends a rapid expansion of its health insurance partnership program to new geographies in 2009. This announcement from Cord Blood America comes on the heels of last week's announcement that the Food and Drug Administration and the U.S. government will allow the world's first test in people of a therapy derived from human embryonic stem cells. For more information, see the social media news room at http://www.intelligendo.com

Founder and CEO Matthew Schissler, in reviewing the domestic stem cell industry, predicts that 2009 will be an excellent, milestone year for stem cell storage companies, including CBAI. "Now is the right time. We have focused our business on three primary locations for several years, developing deep relationships with health insurance providers to become their recommended source for storage of umbilical cord blood stem cells."

Mr. Schissler says Cord Blood America's stem cell storage subsidiary, CorCell, will attempt to enter into contracts with two or three more geographic health insurance providers, which would double the company's current health insurance provider base.

"With a national health insurance plan and stem cell agenda as two of the primary topics from the new administration, we see a marriage of the insurance companies possibly paying for stem cell storage on the horizon, even if it is on a limited basis for high risk families. By developing the insurance sales channel, we feel we are positioning ourselves for long term success in becoming a globally dominant stem cell storage company."

Mr. Schissler went on to say that the growth will have limited cost because all infrastructure needed has been put into place over the course of many years.

CBAI has a history of being able to finance its growth, with the most recent funding of $4 million transacting in July of 2008. "With a very low cash burn, we feel we're well financed for the next few years," Schissler commented. "We'll use this time to get cash flow positive and reduce debt while growing both organically and through accretive acquisitions."

The company also is reporting tremendous success in engaging its clients, prospective clients, shareholders and prospective investors via social media with the help and intuition of NetGenPR (www.netgenpr.com). Cord Blood America is currently on Twitter, Facebook and Intelligendo, and soon to be available on FriendFeed. Cord Blood America's address on Twitter is http://www.twitter.com/cbai. "The conversation has begun. Groups from all over are discussing the impact of stem cells on every day life. We're glad we can lead and moderate this information, while trying to be a stem cell company of the people."

As previously reported, from 2003 to 2007, CBAI focused on growth. In 2008, the Company changed its tactics attempting to de-lever the company while becoming purely a stem cell storage company, and in the process de-emphasizing its non-core family advertising business.