Angiotech Receives Milestone Payment For Paclitaxel-Coated Coronary Stent Program: Significant Benchmark Reached in Product Development.

Business Editors

VANCOUVER, British Columbia--(BUSINESS WIRE)--Jan. 6, 2000

Angiotech Pharmaceuticals, Inc. (TSE:ANP) today announced receipt of a CAD$1.8 million milestone payment from Cook Incorporated, an international medical device manufacturer. This milestone payment was triggered by Cook's filing of regulatory documents to initiate clinical studies of a paclitaxel-coated coronary stent for treating restenosis associated with stent implantation. It is the first in a series of potential payments to Angiotech required under a July 1997 co-exclusive worldwide licensing agreement with Cook and Boston Scientific Corporation (NYSE:BSX).

"This milestone payment underscores the significant progress our partners have achieved in the development of paclitaxel-coated stents, and highlights what we believe will continue to be a long and productive relationship," said William L. Hunter, MD, MSc, Angiotech's Chairman and CEO. "We are encouraged by the progress made and expect additional milestones to be achieved for this product during 2000."

In July 1997, Angiotech entered into the co-exclusive, worldwide license with Cook and Boston Scientific for the use of paclitaxel and related compounds applied as coatings for stents and other endoluminal devices in the treatment of vascular and gastrointestinal diseases. The value of this license to Angiotech is up to CAD$32 million (exclusive of royalty payments). Cook's milestone payment represents the first of such payments under the license.

Angiotech Pharmaceuticals, Inc. is a Canadian pharmaceutical company dedicated to the development of medical device coatings and treatments for chronic inflammatory diseases through the reformulation of the anticancer drug, paclitaxel. In addition to the paclitaxel-coated stent program, three of the Company's therapies are in clinical development: systemic Micellar Paclitaxel for rheumatoid arthritis, systemic Micellar Paclitaxel for secondary progressive MS and Topical Paclitaxel Gel for psoriasis. Other programs include implants used in peripheral vascular surgery for the prevention or treatment of stenosis and drug loaded barriers for prevention of surgical adhesions.