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   &lt;!-- Begin Block Tagged Note 9 - us-gaap:CommitmentsAndContingenciesDisclosureTextBlock--&gt;
   &lt;div style="font-family: 'Times New Roman',Times,serif"&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 12pt"&gt;&lt;b&gt;Note 9 &amp;#8212; Contingencies&lt;/b&gt;
   &lt;/div&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&lt;b&gt;&lt;i&gt;Contingent Consideration&lt;/i&gt;&lt;/b&gt;
   &lt;/div&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;In connection with the acquisition of Prodesse, the Company was originally obligated to make
   certain contingent payments to Prodesse securityholders of up to $25.0&amp;#160;million based on multiple
   performance measures, including commercial and regulatory milestones. As a result of the failure to
   achieve a specified milestone, the maximum amount of contingent consideration the Company may be
   required to pay for its acquisition of Prodesse has been reduced to $15.0&amp;#160;million.
   &lt;/div&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;The Company initially recorded $18.0&amp;#160;million as of the date of acquisition as the fair value
   of this potential contingent consideration liability. In July&amp;#160;2010 the Company received FDA
   clearance of its ProFAST&amp;#043; assay, thereby satisfying one of the acquisition-related milestones and
   triggering a $10.0&amp;#160;million payment to former Prodesse securityholders. The fair value of the
   remaining contingent consideration is $0 at March&amp;#160;31, 2011 because the Company does not currently
   expect to make any further milestone payments related to its acquisition of Prodesse. Future
   milestone payments, if any, will occur by the second quarter of 2012.
   &lt;/div&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 12pt"&gt;&lt;b&gt;&lt;i&gt;Litigation&lt;/i&gt;&lt;/b&gt;
   &lt;/div&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;The Company is a party to the following litigation and may also be involved in other
   litigation arising in the ordinary course of business from time to time. The Company intends to
   vigorously defend its interests in these matters. The Company expects that the resolution of these
   matters will not have a material adverse effect on its business, financial condition or results of
   operations. However, due to the uncertainties inherent in litigation, no assurance can be given as
   to the outcome of these proceedings.
   &lt;/div&gt;
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   &lt;div align="left" style="font-size: 10pt; margin-top: 12pt; margin-left: 2%"&gt;&lt;i&gt;Becton, Dickinson and Company&lt;/i&gt;
   &lt;/div&gt;
   &lt;div align="left" style="font-size: 10pt; margin-top: 6pt"&gt;&amp;#160;&amp;#160;&amp;#160;&amp;#160;&amp;#160;In October&amp;#160;2009, the Company filed a patent infringement action against Becton, Dickinson and
   Company (&amp;#8220;BD&amp;#8221;) in the U.S. District Court for the Southern District of California. The complaint
   alleges that BD&amp;#8217;s Viper&lt;font style="font-variant: small-caps"&gt;&lt;sup style="font-size: 85%; vertical-align: text-top"&gt;tm&lt;/sup&gt;&lt;/font&gt; XTR&lt;font style="font-variant: small-caps"&gt;&lt;sup style="font-size: 85%; vertical-align: text-top"&gt;tm&lt;/sup&gt;&lt;/font&gt; testing system infringes
   five of the Company&amp;#8217;s U.S. patents covering automated processes for preparing, amplifying and
   detecting nucleic acid targets. The complaint also alleges that BD&amp;#8217;s ProbeTec&lt;font style="font-variant: small-caps"&gt;&lt;sup style="font-size: 85%; vertical-align: text-top"&gt;tm&lt;/sup&gt;&lt;/font&gt;
   Female Endocervical and Male Urethral Specimen Collection Kits for Amplified Chlamydia
   trachomatis/Neisseria gonorrhoeae (CT/GC) DNA assays used with the Viper XTR testing system
   infringe two of the Company&amp;#8217;s U.S. patents covering penetrable caps for specimen collection tubes.
   The complaint seeks monetary damages and injunctive relief. In March&amp;#160;2010, the Company filed a
   second complaint for patent infringement against BD in the U.S. District Court for the Southern
   District of California alleging that BD&amp;#8217;s BD MAX System&lt;font style="font-variant: small-caps"&gt;&lt;sup style="font-size: 85%; vertical-align: text-top"&gt;tm&lt;/sup&gt;&lt;/font&gt; (formerly known as
   the HandyLab Jaguar system) infringes four of its U.S. patents covering automated processes for
   preparing, amplifying and detecting nucleic acid targets. The second complaint also seeks monetary
   damages and injunctive relief. In June&amp;#160;2010, these two actions were consolidated into a single
   legal proceeding. There can be no assurances as to the final outcome of this litigation.
   &lt;/div&gt;
   &lt;/div&gt;
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