Auriga Laboratories Acquires Exclusive License to Market Unique New Intranasal Lubricant.

OTC Product Expands Company's Consumer Brands Division

LOS ANGELES -- Auriga Laboratories, Inc. (OTCBB:ARGA), a specialty pharmaceutical company with products for the treatment of Xerostomia, dermatological conditions, and acute respiratory diseases, announced today that it has acquired the exclusive license to market a new over-the- counter intranasal lubricant developed by Dr. Donald Carter, MD, PC, a Colorado based Otolaryngologist. Licensing this nasal gel is part of Auriga's strategic plan to grow its Consumer Brands Division. The company introduced Zinx Lozenges into the OTC cough/cold category in February and will introduce additional Zinx OTC products this summer. Auriga also markets a prescription-only line of Zinx products through its 200+ person nationwide sales force.

Nasal moisturizers are routinely recommended by physicians for patients with a wide range of nasal conditions including dryness, itching, burning, bleeding, and crusting. While saline solutions have been widely used for these conditions, due to rapid evaporation, these solutions typically do not have a long lasting effect. Unlike saline solutions, this new nasal gel, which is referred to as Ellevan gel, is a unique formulation consisting of microencapsulated saline which produces longer-lasting nasal hydration.

"The track record of the Ellevan gel is exceedingly impressive. It is clear that it significantly increases healing and helps to alleviate discomfort, both of which are critical components in helping patients to breathe more easily and efficiently," said Nicolas G. Benedict, Ph.D, Chief Operating Officer of Scientific Due Diligence, Inc., who helped facilitate the deal. "I am very pleased with the Ellevan-Auriga partnership and am confident that the Auriga sales team will get the product into the hands of physicians and patients, where it can do the most good."

"We believe this product and technology platform represent a significant opportunity for Auriga," said Philip S. Pesin, CEO of Auriga. "While our cold remedy products have a seasonal element to sales, these products are in high demand throughout the year. We look forward to working with Scientific Due Diligence and Dr. Carter to further develop products based upon this exciting technology."

About Scientific Due Diligence:

Founded in 2000, Scientific Due Diligence is a team of professional scientists and business strategists that are dedicated to bridging the gaps that exist between the science and business communities. The firm provides its clients with the expertise they need to successfully commercialize their technologies to enhance the quality of life. Its broad range of skills and expertise enable the firm to guide them through all phases of their growth; from discovery, through clinical trials, to ultimately successfully commercializing their product. The firm also provides services to venture capitalists, private equity investors, and financial analysts to assist them in evaluating the merits and risks of investment in science-based enterprises.

www.scientificduediligence.com

About Auriga Laboratories(TM)

Auriga Laboratories is a specialty pharmaceutical company building an industry changing commission based-sales model. The company's high-growth business model combines driving revenues through a variable cost commission-based sales structure, acquisition of proven brand names, introduction of new brands, and a strategic development pipeline, all of which is designed to enhance its growing direct relationships with physicians nationwide. Auriga's exclusive prescription and over-the-counter product portfolio includes Aquoral(TM) for the treatment of Xerostomia, Akurza(TM) and Xyralid(TM) dermatology products, and the Zinx(TM), Extendryl[R], and Levall[R] families of products for relief of symptoms associated with a range of acute respiratory diseases. For more information, visit: www.aurigalabs.com.

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