AVANT Immunotherapeutics Awarded SBIR Grant to Develop Anthrax Vaccine.

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AVANT Immunotherapeutics, Inc. (NASDAQ: AVAN) announced today it has been awarded a Phase I Small Business Innovation Research (SBIR) grant to support the development of the company's single oral-dose bacterial vectors to immunize people against anthrax. Vaccine delivery using live, attenuated bacteria is particularly well suited for situations where ease of administration and rapid onset of immunity are required, such as for protection against biological warfare agents. The National Institute of Allergy and Infectious Disease (NIAID) of the National Institutes of Health (NIH) awarded this Live Attenuated Vaccines Against Anthrax grant, which provides approximately $125,000 in funding to AVANT over a twelve-month period.

"The goal of this program is to develop AVANT's portfolio of live vaccines as vectors, or 'buses,' to deliver foreign antigens, or 'soldiers,' that could provide protective immunity against microbes used as bioweapons," said Una S. Ryan, Ph.D., President and Chief Executive Officer of AVANT Immunotherapeutics, Inc. "Scientists at AVANT are already developing vectoring systems based on our orally administered bacterial vaccine candidates against cholera (Vibrio cholerae, Peru-15) and typhoid fever (Salmonella typhi, Ty800). Peru-15 and Ty800 were created using genetic techniques to delete genes known to be essential to the virulence of the parent microorganism. As a result of these alterations, the vaccines are well tolerated in humans and can rapidly elicit strong immune responses.

"We are very gratified to receive this new grant, which we see as an important first step in exploring new applications of our vector systems to potential health arenas like biowarfare and bioterrorism," continued Dr. Ryan. "Current vaccines against bacterial bioweapons, like anthrax (Bacillus anthracis) and plague (Yersinia pestis) require either a protracted dosing regimen or provide only limited protection. The development of a new generation of vaccines to provide rapid, effective protection against these threats has become a national priority for NIAID and the NIH, and their support of this program shows the potential of AVANT's vaccine and vector technologies."

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 at protecting travelers from cholera, typhoid fever and other illnesses. 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 Peru-15, Ty800 and of other products; (2) the cost, timing, scope and results of ongoing safety and efficacy trials of Peru-15, Ty800 and other preclinical and clinical testing; (3) the ability to successfully complete product research and further development, including animal, pre-clinical and clinical studies of Peru-15, Ty800 and other products; (4) the ability of the Company to manage multiple late stage clinical trials for a variety of product candidates; (5) the volume and profitability of product sales of Megan(R)Vac 1 and other future products; (6) changes in existing and potential relationships with corporate collaborators; (7) the cost, delivery and quality of clinical and commercial grade materials supplied by contract manufacturers (8) the timing, cost and uncertainty of obtaining regulatory approvals to use Peru-15 and Ty800, among other purposes, to protect travelers from diarrhea causing diseases and for other products; (9) the ability to obtain substantial additional funding; (10) the ability to develop and commercialize products before competitors; (11) the integration of Megan Health's business and programs; (12) the ability to retain certain members of management; and (13) other factors detailed from time to time in filings with the Securities and Exchange Commission.