Lexington, Massachusetts, February 24, 2000 -- AutoImmune Inc. (Nasdaq: AIMM) reported a net loss of $10.7 million, or $0.64 per share, for the year ended December 31, 1999, compared with a net loss of $13.2 million, or $0.80 per share, for the year ended December 31, 1998. Research and development expenses for 1999 were $8.8 million, down from $12.8 million in 1998, reflecting the cessation of Colloral® clinical trials at the end of the third quarter of 1999 offset by severance costs associated with eliminating research and development personnel. General and administrative expenses for 1999 were $2.4 million, up from $1.7 million in 1998, reflecting severance costs associated with terminating administrative employees. Net loss for the three months ended December 31, 1999 was $1.4 million, or $0.08 per share, versus a net loss of $2.9 million, or $0.17 per share, for the comparable 1998 period, reflecting the cessation of clinical trials and the reduction in corporate activity, offset by severance costs. As of December 31, 1999, the Company reported $7.0 million in cash and marketable securities.
Robert C. Bishop, Ph.D., Chairman of the Board and Chief Executive Officer stated: "AutoImmune has dramatically lowered its cash burn rate to conserve resources while exploring several different options to maximize shareholder value. We are looking for a partner to help exploit the potential of Colloral for the nutraceutical market and continue to pursue technology outlicensing and other opportunities. Teva Pharmaceutical Industries, Ltd., with which we already have an exclusive agreement, is nearing the initiation of its clinical trial of an oral formulation of COPAXONE® (glatiramer acetate), Teva’s currently available injectable drug for the treatment of multiple sclerosis."
AutoImmune is a biopharmaceutical company involved in the development of a new class of orally administered therapies for the treatment of autoimmune and cell-mediated inflammatory diseases and conditions.
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.
Marcia A. Kean
Managing Director
Feinstein Kean Healthcare
(617) 577-8985