AVANT CEO Calls for Creation of National Biodefense Clearinghouse; Technology Exists to Provide Biotech Defense Products But Industry Needs Coordinated Support.

Business Editors & Health/Medical Writers

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WASHINGTON, D.C.--(BW HealthWire)--Feb. 5, 2002

A coherent national biodefense plan combined with an active government/ biotechnology industry partnership is the best strategy to protect America from some of the most terrifying threats of a new and dangerous era, testified Una S. Ryan, Ph.D. at a special hearing before the Senate Committee on Commerce, Science and Transportation.

Dr. Ryan is President and Chief Executive Officer of AVANT Immunotherapeutics, Inc. (Nasdaq: AVAN), a Needham, Massachusetts biotechnology firm, and a member of the Board of Directors of the Biotechnology Industry Organization (BIO).

"The biotechnology industry's most advanced technology offers the prospect of biodefense vaccines that are far more effective, better tolerated, less expensive, and faster acting than current generations of vaccines," Dr. Ryan said.

For example, the current anthrax vaccine provided to U.S. troops requires multiple injections, which are painful and associated with unwanted side-effects. Once the series of injections is begun, immunity develops gradually over several months. "In contrast, AVANT has developed live, attenuated vaccine technology that is easily and cost-effectively manufactured, well tolerated and offers protection in as little as seven days with a single oral dose. While our initial vaccine fights cholera, the vector technology used to develop this product can be readily tailored to fight a wide range of bioterror agents," she commented.

"We and others of our fellow biotechnology companies with advanced technology stand poised to offer solutions to bioterrorism threats, both known and envisioned," Dr. Ryan said. "The question we now face is how will the Federal Government enable us to contribute?"

To employ these industry resources effectively, Dr. Ryan said a single national biodefense strategy is needed to ensure a rational and coordinated use of resources in support of a unified biodefense plan. Once that single plan is formulated and made available, biotechnology companies can determine how they can best contribute to the national effort. She called for a national biodefense clearinghouse for information that lets companies know exactly which government agencies, offices and labs are responsible for research, development procurement and policy relevant to their specific products.

"The national interest will also best be served if the Federal Government and industry work together to formulate and implement the national program," said Dr. Ryan. She noted concerns that the government take into consideration the harsh economic realities of vaccine development as a particularly expensive and risky venture. "Vaccines traditionally have very limited sales potential, as the best vaccines eliminate their markets by eradicating the disease they target," she said. "Moreover, vaccine developers face enormous liability issues, as vaccines are generally administered to healthy individuals. All these factors must be taken into account by the government as it considers the price and terms of contracts for the purchase of biodefense vaccines."

"Thus," Dr. Ryan concluded, "we strongly recommend that the Federal Government formulate a coordinated, coherent biodefense plan, and that all aspects of that plan and its implementation be readily accessible by industry participants. Both government and industry must open a continuous dialogue about how they can work together to meet the plan's vital goals."

AVANT Immunotherapeutics, Inc. is engaged in the discovery, development and commercialization of products that harness the human immune system to prevent and treat disease. The company is developing a broad portfolio of vaccines against viral and bacterial diseases, including single-dose oral vaccines aimed a protecting travelers from cholera, typhoid fever and other illnesses. AVANT is also developing compounds with the potential to inhibit harmful complement activation that occurs in response to surgery. In addition, the company is conducting clinical studies of a proprietary vaccine candidate for cholesterol management. AVANT further leverages the value of its technology portfolio through corporate partnerships. Current collaborations encompass the development of an oral human rotavirus vaccine, vaccines to combat threats of biological warfare, and vaccines addressed to human food safety and animal health.

Additional information on AVANT Immunotherapeutics, Inc. can be obtained through our site on the World Wide Web: http://www.avantimmune.com.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: This release includes forward-looking statements which reflect AVANT's current views with respect to future events and financial performance. The words "believe," "expect," "anticipate," and similar expressions identify forward-looking statements. Investors should not rely on forward-looking statements because they are subject to a variety of risks, uncertainties, and other factors that could cause actual results to differ materially from those expressed in any such forward-looking statements. These factors include, but are not limited to: (1) the ability to successfully complete development and commercialization of the Peru-15, Ty800 and other vaccines and other products, including the cost, timing, scope and results of pre-clinical and clinical testing; (2) the ability to successfully complete product research and further development, including animal, pre-clinical and clinical studies of the Peru-15, Ty800 and other vaccines and other products and the adaptation of our attenuated vaccine technology to different infectious diseases; (3) the ability of the Company to manage multiple late stage clinical trials for a variety of product candidates; (4) the volume and profitability of product sales of Megan(R)Vac 1 and other future products; (5) changes in existing and potential relationships with corporate collaborators; (6) the cost, delivery and quality of clinical and commercial grade materials supplied by Bio Sidus S.A. and other contract manufacturers; (7) the timing, cost and uncertainty of obtaining regulatory approvals for the Peru-15, Ty800 and other vaccines and for other products; (8) the ability to obtain substantial additional funding; (9) the ability to develop and commercialize products before competitors; (10) the integration of Megan Health's business and programs; (11) the ability to retain certain members of management; and (12) other factors detailed from time to time in filings with the Securities and Exchange Commission.