VA MERIT: A Comparative Efficacy Study: Treatment of Non-Healing Diabetic

Inclusion Criteria:

(Answering NO will exclude patient):

• An Institutional Review Board (IRB) Informed Consent Form signed and dated prior toany study-related activities.

• The area of the study ulcer after debridement is between 1 cm2 and 25 cm2 at Visit 3/Week 0.

• Subjects between 18 and 85 years of age.

• Subject's highest Ankle-Brachial Pressure Index (ABPI) / Ankle-Arm Index (AAI) isgreater than or equal to 0.80 and lower than 1.4 (the highest ABPI/AAI value fromthree measurements within last 6 months shall apply).or a toe-arm index is equal to orhigher than 0.6.

• The patient has one or more diabetic ulcers on the target foot with only one ulcerselected as the study (target) ulcer. The target ulcer must be at least 4 cm from anon-target ulcer and in the Investigator's opinion, be unlikely to coalesce withanother ulcer within 12 weeks of randomization.

• Subject's study ulcer is full thickness and does not extend to bone, muscle, ortendon.

• Subject's study ulcer has been present at least 4 weeks prior to the initial screening (Visit 1) or 6 weeks at randomization (Visit 3).

• Subject has been diagnosed with Type 1 or Type 2 diabetes and HbA1c is less than 10%.

• Study ulcer has no clinical feature of infection (2 signs of inflammation and elevatedbacterial load of the wound).

• For female subjects of childbearing age potential, the subject has a negativepregnancy test and is not lactating for the duration of the study.

• Subject understands the requirements of this study and is willing to comply with allthe study requirements.

Exclusion Criteria:

(Answering YES will exclude patient):

• The subject is diagnosed with cancer and is undergoing treatment withimmunosuppressive or chemotherapeutic agents, radiotherapy or systemic corticosteroidsless than 30 days before enrollment.

• The subject is diagnosed with HIV/AIDS.

• The subject is diagnosed with any bleeding disorders.

• The subject is diagnosed with any connective tissue diseases.

• For female subjects, the subject is pregnant or lactating.

• The subject has a history of illicit drug use within one year of enrollment.

• In the past year, the subject experiences episodes of drinking more than 5 alcoholicbeverages in less than two hours and/or drinking alcohol has become a problem ininterpersonal relationships, work, driving and/or their behavior in general.

• The subject has any active infected wounds or osteomyelitis (confirmed by bone biopsy,MRI or bone scan).

• Doppler exam within the last 365 days demonstrating reflux greater than 0.5 seconds.

• The subject is diagnosed with active Charcot as described by Saunder's classificationsystem.

• The subject manifests signs of poor nutritional status and/or albumin level < 2.9.

• The subject has been exposed to Dermagraft and/or Oasis in the last 60 days.

• The study ulcer size is less than 0.5 cm2 or greater than 25 cm2.

• The subject has any porcine allergy or cow product allergy.

• The subject's recent (last 30 days) chemistry tests serum creatinine is 2 times abovethe upper limit of normal and/or LFT's 3 times above the upper limit of normal.

• Between Visit 1/Week -2 and Visit 3/Week 0 (randomization) the study ulcer hasdecreased in size by more than 40%, or increased in size by more than 50%.