CepTor Redeems 2.9 Million Shares from Xechem; Cancelled Shares Represent 24% Accretion to CepTor Shareholders.

HUNT VALLEY, Md. -- CepTor Corporation, Inc. (OTC BB:CEPO) today announced that it has redeemed 85% of the shares held by Xechem International, Inc. which will subsequently be cancelled, representing, on an issued and outstanding basis, an anti-dilution of approximately 24%. CepTor purchased 2,886,563 shares of CepTor stock from Xechem for cash at a discount to market. The Agreement cancels any obligations by CepTor to use proceeds from future financings to redeem CepTor shares held by Xechem. As part of the Agreement, William Pursley, Chairman and CEO of CepTor, surrendered 43,000,000 personally owned options to purchase Xechem shares at $0.0025 per share. Xechem will retain just 500,000 restricted shares of CepTor stock, representing about 4% of CepTor shares outstanding, that can only be sold under Rule 144 volume restrictions.

Regarding the transaction, Mr. Pursley stated, "This represents a very healthy long-term move for the Company. We believe our current and future shareholders will benefit in many ways: shareholders enjoy an immediate 24% accretion on their ownership positions; the elimination of nearly a 3.4 million share overhang held by a non-strategic owner provides stability; it terminates over $700,000 of redemption obligations the Company had with Xechem related to future financings and; it eliminates a reportable and beneficial owner.

"As far as the return of my own options to Xechem," Pursley continued, "It reveals my willingness to put CepTor's best interests before my own and should be viewed as an indication of my confidence in CepTor's current and future prospects."

About CepTor

CepTor Corporation is a development-stage biopharmaceutical company engaged in the discovery, development, and commercialization of proprietary, cell-targeted therapeutic products for the treatment of neuromuscular and neurodegenerative diseases with a focus on orphan diseases. The Company's mission is to increase the quality and quantity of life of people suffering with these diseases. An orphan disease is defined in the United States as a serious or life-threatening disease that affects less than 200,000 people and for which no definitive therapy currently exists. CepTor Corporation seeks to create an efficient orphan drug platform by taking advantage of the legislative, regulatory and commercial opportunities common to these rare diseases. CepTor's primary efforts are currently being focused on moving its lead product, MYODUR, into phase I/II clinical trials for Duchenne's muscular dystrophy. The Company's broad platform technology also includes the development of products for multiple sclerosis, retinal degeneration and epilepsy.

This news release contains forward-looking statements. Such statements are valid only as of today, and we disclaim any obligation to update this information. These statements are subject to known and unknown risks and uncertainties that may cause actual future experience and results to differ materially from the statements made. These statements are based on our current beliefs and expectations as to such future outcomes. Drug discovery and development involve a high degree of risk. Factors that might cause such a material difference include, among others, uncertainties related to the ability to attract and retain partners for our technologies, the identification of lead compounds, the successful preclinical development thereof, the completion of clinical trials, the FDA review process and other government regulation, our pharmaceutical collaborator's ability to successfully develop and commercialize drug candidates, competition from other pharmaceutical companies, product pricing and third party reimbursement.