Coulter Pharmaceutical Reports Fourth Quarter and Year-end Results.

PALO ALTO, Calif.--(BUSINESS WIRE)--Jan. 30, 1998--Coulter Pharmaceutical Inc. (NASDAQ:CLTR) today reported a net loss of $10,609,000, or $0.82 per share, for its fourth quarter ended Dec. 31, 1997, compared to a net loss of $4,517,000, or $0.64 per share, for the same period ended Dec. 31, 1996.

The increase in net loss was primarily due to increases in staffing and expenditures associated with the development of Bexxar(TM), including the costs of clinical trials and the establishment of additional manufacturing capacity.

For the fiscal year ended Dec. 31, 1997, the company reported a net loss of $26,328,000, or $2.58 per share, compared to a net loss of $15,338,000, or $2.03 per share for 1996. The increase in net loss was primarily due to increases in staffing, pre-commercialization activities and development activities to support Bexxar which is being evaluated in a pivotal clinical trial. Cash, cash equivalents and short-term investments were approximately $75 million at Dec. 31, 1997.

"We are delighted with our progress during our first year as a public company," said Michael F. Bigham, president and chief executive officer of Coulter Pharmaceutical. "Our most significant milestones included generating data which demonstrated the broad clinical potential of Bexxar in treating non-Hodgkin's lymphoma, from newly-diagnosed cases to late-stage disease.

"We also began manufacturing Bexxar at a central facility and shipping the therapy in a convenient, ready-to-use formulation. Also in 1997, the first patients were treated with Bexxar on an outpatient basis under newly-enacted Nuclear Regulatory Commission Guidelines. Additionally, we strengthened our balance sheet with gross proceeds of approximately $84 million generated from two public offerings."

Coulter Pharmaceutical is engaged in the development of novel drugs and therapies for the treatment of people with cancer. The company currently is developing a family of cancer therapeutics based upon two platform technologies: conjugated antibodies and tumor-activated peptide (TAP) pro-drugs. The company's most advanced product candidate is Bexxar (previously referred to as the B-1 Therapy).

Bexxar is currently being investigated in a pivotal clinical study for the treatment of non-Hodgkin's lymphoma. The company also is developing a TAP pro-drug version of doxorubicin to potentially treat certain solid tumor cancers.

Except for the historical information contained herein, the matters discussed in this news release are forward-looking statements that involve risks and uncertainties, including uncertainties related to product development, uncertainties related to the need for regulatory and other government approvals, dependence on proprietary technology, uncertainty of market acceptance of Bexxar(TM) or the company's other product candidates and other risks detailed from time to time in the company's filings with the Securities and Exchange Commission (SEC). In particular, see "Risk Factors" in the company's Registration Statement on Form S-1 filed with the SEC on October 10, 1997. -0-

           Condensed Consolidated Statements of Operations
               (in thousands, except per share amounts)

                            Three months ended       Year ended
                                 Dec. 31,             Dec. 31,
                            1997       1996       1997       1996
                               (unaudited)       (note)     (note)

Operating expenses

Research and Development $  9,235   $  3,785   $ 21,045   $ 13,681
General and
  administrative            2,284        956      7,610      2,409
                         ---------  ---------  ---------  ---------
Total operating expenses   11,519      4,741     28,655     16,090

Interest income, net          910        224      2,327        752
                         ---------  ---------  ---------  ---------
Net loss                $(10,609)  $ (4,517)  $(26,328)  $(15,338)
                        =========  =========  =========  =========
Net loss per share
  basic and diluted     $  (0.82)  $  (0.64)  $  (2.58)  $  (2.03)

Shares used in calculation
  of basic and diluted net
  loss per share           12,980      7,024     10,195      7,557
                         =========  =========  =========  =========


                CONDENSED CONSOLIDATED BALANCE SHEETS
                            (in thousands)

                             Dec. 31, 1997       Dec. 31, 1996
                           -----------------  -----------------
                                 (note)             (note)

Assets
  Cash, cash equivalents and
   short term investments      $ 75,445           $ 16,443
  Other current assets              269                534
                               ---------          ---------
  Total current assets           75,714             16,977

  Property and equipment, net     2,263                924
  Other assets                      694                420
                               ---------          ---------
                               $ 78,671           $ 18,321

Liabilities and
stockholders' equity

  Current liabilities          $ 10,512           $  6,240
  Long-term obligations           2,298              1,535
  Stockholders' equity           65,861             10,546
                               ---------          ---------
                               $ 78,671           $ 18,321

Note: Derived from audited financial statements at that date

CONTACT: Coulter Pharmaceutical Inc.

Sylvia Wheeler, 650/842-7306