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Biopure Announces 2008 Third Quarter Financial Results
Date:8/21/2008

iod in 2007. Insurance premiums, travel expenses and audit fees decreased during the third fiscal quarter of 2008 compared to the same period in 2007. Compensation expense, including salaries and equity compensation, decreased during the third fiscal quarter of 2008 compared to the same period in 2007 but were offset by a one-time severance charge of $249,000 related to the reduction in force.

Financial Condition

At July 31, 2008, Biopure had $1.7 million in cash on hand. During the third fiscal quarter the Company signed an agreement with purchasers for a private placement of its common stock and warrants. Under this agreement, the Company had raised $800,000 as of July 31, 2008, raised $400,000 in August and expects to raise an additional $1.1 million over the next three months, subject to certain conditions, including a requirement that the Company raise additional funds before September 30, 2008.

Recent Developments

Clinical

Both Biopure and the Naval Medical Research Center (NMRC) continue to be in discussions with the Food and Drug Administration (FDA) for proposed clinical trials. The trial in discussion between Biopure and the FDA is a small trial for patients with acute myelogenous leukemia (AML) who refuse transfusion with blood components and therefore cannot currently undergo induction chemotherapy, which depletes oxygen-carrying capacity. FDA, as previously reported, has indicated that this could be a pivotal trial, which means that Hemopure might seek a registration for this narrow, yet significant, indication before other applications. The protocol is being drafted by Biopure scientists and by outside experts in this field.

NMRC continues to be in discussion with the FDA regarding two trials under consideration, both of which would be for pre-hospital resuscitation of patients with severe traumatic hemorrhagic shock. Originally, NMRC sought approval for a study entitled "Restore Effective SUrvival in Shock" (R
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SOURCE Biopure Corporation
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