NEWS

Zylera Pharmaceuticals Announces Trade Launch of ZYCOSE for the Treatment of Diabetes

October 18, 2006

Research Triangle Park, North Carolina – October 18, 2006 - Zylera Pharmaceuticals announced today the availability of ZYCOSE™ (benfotiamine 150 mg, folic acid 1 mg and benzamine 850 mg), its novel treatment for diabetes.

“We are extremely pleased to announce the introduction of ZYCOSE, our first proprietary prescription product,” said Dr. Philip Tabbiner, chief executive officer of Zylera Pharmaceuticals. “We believe that ZYCOSE will complement current therapies used to treat diabetes by helping to prevent the development and progression of the secondary diseases of diabetes such as cardiovascular disease, kidney disease, retinal disease and peripheral nerve damage. This is a very exciting time for us as we introduce our first product to the trade in preparation for the national launch of ZYCOSE and the introduction of other proprietary prescription products.”

ZYCOSE is the first product launched by Zylera Pharmaceuticals. One of the key active ingredients, benfotiamine, has been shown to protect proteins in the body from the harmful effects of sugar molecules and the formation of Advanced Glycation Endproducts (AGEs). AGEs affect nearly every type of cell and molecule in the body and are thought to be major factors in aging and age-related chronic diseases. They are also believed to play a causative role in the vascular complications of diabetes mellitus.

ZYCOSE inhibits the chemical pathways that lead to cell and tissue damage. These pathways arise from a single hyperglycemia-induced process that is initiated by overproduction of toxic "free radicals" produced in the cells. Studies have shown that normalizing free-radical levels inhibits the pathways through which cell damage associated with elevated glucose levels occurs.

About ZYCOSE

ZYCOSE is a patented prescription treatment for diabetes. Developed using Zylera’s proprietary Cytac™ technology, ZYCOSE is designed to protect proteins in the body from the harmful effects of sugar molecules. Cytac, a novel carbonyl-trapping agent, enables Zylera’s products to react with, or “trap,” toxic carbonyl groups such as aldehydes and ketones that the body produces under conditions of oxidative stress to form less-harmful derivatives that are then eliminated through the kidneys.

ZYCOSE is believed to provide powerful support for vascular protection, kidney function, peripheral nerve health and retinal function. Diabetes can affect many parts of the body and can lead to serious complications such as heart disease, blindness, kidney damage, and amputations. By limiting the harmful effects of glucose, ZYCOSE may reduce the occurrence of these and other diabetic complications.

About Zylera Pharmaceuticals

Zylera is a specialty pharmaceutical company focused on developing medications that will treat multiple diseases arising within the inflammation and immunosuppressive pathways. Its near-term pipeline includes products for diabetes, elevated cholesterol, osteoporosis, and osteoarthritis, utilizing proprietary and patented chemical entities designed to restore key metabolic processes. Chief among these is Cytac, a carbonyl-trapping agent. Zylera is based in Research Triangle Park, NC.

FOR IMMEDIATE RELEASE Media Contact:
Susan Preston, TRx Pharma
Office: (919) 313-3568

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