FOR IMMEDIATE RELEASE

AUTOIMMUNE INC. REPORTS 2001 THIRD QUARTER FINANCIAL RESULTS

Pasadena, California, November 8, 2001 – AutoImmune Inc. (Nasdaq: AIMM) today reported net income of $1.14 million, or $0.07 per share basic and diluted, for the three months ended September 30, 2001, compared with a net loss of $0.10 million, or $0.01 per share basic and diluted, for the same period prior year. For the nine months ended September 30, 2001, net income was $0.95 million. For the nine months ended September 30, 2000, net income was $3.25 million. The results for the three-month and nine-month periods ended September 30, 2001, and for the nine-month period ended September 30,2000, reflect receipt of payments from a subsidiary or Elan Corporation plc for its purchase of AutoImmune’s rights to certain patent applications under an agreement signed last year. Pursuant to that agreement, in September 2001 AutoImmune issued to a subsidiary of Elan a five-year warrant to purchase 375,000 shares of AutoImmune common stock at a purchase price of $3.13 per share. At the end of the third quarter, the Company reported $11.0 million in cash and marketable securities.

Robert C. Bishop, Ph.D., Chairman of the Board and Chief Executive Officer stated: “AutoImmune’s financial position continues to improve while we actively pursue additional outlicensing opportunities and wait for results from externally funded clinical trial programs.”

During the third quarter, BioMSMedical Corporation reported successful completion of a Phase II clinical trial on its MBP8298 treatment for chronic progressive multiple sclerosis which utilizes intellectual property rights exclusively licensed from AutoImmune. Teva Pharmaceutical Industries, Ltd., has announced that near the end of this year it will report final data from the Phase III study of an oral formulation of COPAXONE® (glatiramer acetate), a product for the treatment of multiple sclerosis, which utilizes intellectual property rights exclusively licensed from AutoImmune. Teva has said that although it does not expect the trial will meet the end-point required for approval, there is a high probability it will continue development of the oral product using a much higher dose. Recruitment for the NIH sponsored diabetes prevention trial (DPT-1) remains ongoing and the search continues for a marketing and distribution partner to sell Colloral®, AutoImmune’s product for the treatment of rheumatoid arthritis, as a dietary supplement.

AutoImmune is a biopharmaceutical company involved in the development of a new class of mucosally 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 uncertainties of clinical trial results, the Company’s dependence on third parties for licensing revenue 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.

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