AUTOIMMUNE INC. REPORTS SECOND QUARTER 1998 RESULTS
-- Colloral® Pivotal Trial on Schedule for Completion in Mid-1999 --
Lexington, Massachusetts, August 4, 1998 -- AutoImmune Inc. (Nasdaq: AIMM) today reported a net loss of $3.9 million, or $0.24 per share, for the quarter ended June 30, 1998, compared with a net loss of $9.0 million, or $0.55 per share, for the same quarter one year earlier. Research and development expenses decreased to $3.8 million for the quarter ended June 30, 1998, from $8.8 million in the comparable 1997 period, reflecting reduced research and clinical trial activity and restructuring costs recorded in the second quarter of 1997. Net loss for the six months ended June 30, 1998 was $6.7 million, or $0.41 per share, versus a net loss of $16.6 million, or $1.01 per share, for the same period in 1997. As of June 30, 1998, the Company reported $23.5 million in cash and marketable securities.
"We continue to make steady progress toward commercialization of Colloral," said Robert C. Bishop, President and Chief Executive Officer of AutoImmune. "Enrollment in the double-blind pivotal trial is on track, with more than 500 of the approximately 800 rheumatoid arthritis patients already admitted at more than 36 U.S. participating centers. Recruitment will continue through the fall of this year to ensure that a sufficient number of evaluable patients are entered into the Phase III trial. The results of the study should be available in mid-1999."
The Company also noted that its twelfth, thirteenth and fourteenth U.S. patents relating to oral tolerance technology were recently issued and an additional six of AutoImmune's U.S. patent applications were allowed. One patent is directed to oral administration of insulin or insulin fragments to treat or prevent type 1 diabetes. Another is directed to treatment of rheumatoid arthritis by oral administration of type II collagen fragments. The third covers the treatment of allograft rejection.
AutoImmune is a biopharmaceutical company developing a new class of orally administered pharmaceutical therapies for the treatment of autoimmune and cell-mediated inflammatory diseases and conditions. With highly focused human and capital resources, the Company has advanced several product candidates, all based on the principle of oral tolerance, into human clinical testing.
This release contains forward-looking statements which involve risks and uncertainties. The Company's actual results may differ significantly from results discussed in the forward-looking statements due to a number of important factors, including, but not limited to, the developmental stage of the Company's products and uncertainties of clinical trial results; the Company's capital requirements, history of operating losses and lack of product revenue, its limited manufacturing and marketing experience, and the risks of technological change and competition. These factors are more fully discussed in the Company's most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission in the section "Business-Factors to be Considered." The discussion in the Annual Report on Form 10-K is hereby referenced into this release.