ATS Liquidating Trust Announces 2006 Cash Distribution

San Diego, Calif., June 14, 2006 – The ATS Liquidating Trust (ATISZ.PK – please read the disclaimer in the last paragraph of this release regarding trading under this symbol) today announced a cash distribution of 2.8 cents ($.028) per share will be made on June 21, 2006 to Trust beneficiaries. 

Under the provision of the Chapter 11 Liquidation Plan of Reorganization as approved by the Court, the Trust is not required to make a current distribution to former Advanced Tissue Sciences, Inc. (“ATS”) shareholders who have not provided the Trust with a current address.  Beneficiaries who owned ATS stock in their own name and who do not receive a distribution should contact the Trustee by mail, fax or e-mail with their current address.  Beneficiaries who own their stock through a broker should contact their broker.

Beneficiaries who held ATS stock in their own name should expect to receive their distribution by Jun 30, 2006.
 
Brokerage firms will receive lump-sum checks covering all former shares held by their clients.  Beneficiaries whose shares are held in a brokerage account will receive any distribution from their broker and they should contact their broker to be sure any distributions are forward to them or credited to their accounts.  Subsequent distributions will depend on the timing and receipt of royalties and any other cash that becomes available to the Trust.  The Trustee cannot predict when further distributions will occur, however subsequent distributions are expected to be made at least annually until there is a final liquidating distribution.

As a result of the Chapter 11 Liquidation Plan of Reorganization which was confirmed by the Bankruptcy Court by a final order dated March 21, 2003 and which became effective on March 31, 2003, the stock of ATS was cancelled and its former stockholders now hold non-trading interests in the ATS Liquidating Trust. According to the terms of the Plan, the Interests in the ATS Liquidating Trust are not to trade and the Liquidating Trustee will only recognize as beneficiaries of the Trust those equity holders of record as of the effective date of the Plan. Any trading that may be occurring after the effective date of the Plan under the symbol “atisz.pk” or otherwise is unauthorized by the Plan and will not be recognized by the Trustee. As a result of the terms of the Plan and the order of the Bankruptcy Court confirming the Plan, the Securities and Exchange Act of 1934 as amended and the rules promulgated there under no longer apply to the Company since it has no issued stock, no shareholders, and is no longer in business. However, to the extent applicable, forward looking statements in this release regarding future distributions are made by the Trust under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
###