AVI BioPharma and USAMRIID Announce NEUGENE Antisense Drug Demonstrates Efficacy Against Ebola Virus.

PORTLAND, Ore. & FREDERICK, Md. -- AVI BioPharma, Inc. (Nasdaq:AVII), and the U.S. Army Medical Research Institute of Infectious Diseases (USAMRIID) today announced positive results from experiments testing the effect of AVI's NEUGENE(R) antisense drugs against Ebola virus (EBOV) in vivo. The NEUGENE compounds targeted several EBOV genes.

These results, from extensive experiments, are the first associated with AVI's five-year Cooperative Research and Development Agreement (CRADA) with USAMRIID. Initiated in September, the CRADA covers a broad range of potential bioterror agents, including EBOV.

"The success in vivo against a lethal virus with no known treatments suggests that NEUGENE antisense drugs may be a viable component of the country's biodefense strategy," said Patrick L. Iversen, Ph.D., senior vice president of research and development at AVI.

AVI's third-generation antisense agents targeted six of the seven major genes of EBOV. In a three-way collaboration between AVI and laboratories in Germany and USAMRIID, the antisense drugs showed promising results and convinced USAMRIID investigators to expand the research program.

"These results are quite remarkable as few, if any, agents have ever progressed to this level of protection from infection with EBOV," said Sina Bavari, Ph.D., USAMRIID scientist.

AVI's and USAMRIID's collaboration regarding Ebola virus began in February 2004 when a USAMRIID researcher sustained an accidental needle stick while working with EBOV-infected mice. AVI synthesized two antisense compounds and delivered them to USAMRIID in accordance with Food and Drug Administration (FDA) requirements within five days of learning of the accident. Although those drugs were not used for the researcher, who did not become symptomatic in 21 days of isolation, they are among those currently demonstrating success.

AVI's rapid response therapeutics platform addresses the specific needs of antiviral therapeutic development in today's evolving global health landscape. NEUGENE antisense compounds are synthetic polymers that mirror a critical portion of a disease-causing organism's genetic code and bind to specific portions of the target genetic sequence. Like a key in a lock, NEUGENES match up precisely with a specific gene or viral sequence, blocking the function of the target gene or virus.

About Ebola Virus

Ebola hemorrhagic fever (Ebola HF) is a severe, often-fatal disease in humans and nonhuman primates (monkeys, gorillas and chimpanzees) that has appeared sporadically since its initial recognition in 1976. The incubation period for Ebola HF ranges from two to 21 days. The onset of illness is abrupt and is characterized by fever, headache, joint and muscle aches, sore throat, and weakness, followed by diarrhea, vomiting and stomach pain. A rash, red eyes, hiccups, and internal and external bleeding may be seen in some patients. Confirmed cases of Ebola HF have been reported in the Democratic Republic of the Congo, Gabon, Sudan, Ivory Coast (Cote d'Ivoire), Uganda, and the Republic of the Congo.

About AVI BioPharma

AVI BioPharma develops therapeutic products for the treatment of life-threatening diseases using two technology platforms: third-generation NEUGENE antisense drugs and cancer immunotherapy. AVI's lead NEUGENE antisense compound is designed to target cell proliferation disorders, including cardiovascular restenosis, cancer and polycystic kidney disease. In addition to targeting specific genes in the body, AVI's antiviral program uses NEUGENE antisense compounds to target single-stranded RNA viruses, including West Nile virus, SARS coronavirus, hepatitis C virus and dengue virus. AVI's second technology, AVICINE(R), is a therapeutic cancer vaccine with late-stage trials planned for the treatment of pancreatic cancer. More information about AVI is available on the company's web site at http://www.avibio.com.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: The statements that are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties, including, but not limited to, the results of research and development efforts, the results of preclinical and clinical testing, the effect of regulation by the FDA and other agencies, the impact of competitive products, product development, commercialization and technological difficulties, and other risks detailed in the company's Securities and Exchange Commission filings.