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Genaera Corporation Announces 2007 Financial Results
Date:3/31/2008

PLYMOUTH MEETING, Pa., March 31 /PRNewswire-FirstCall/ -- Genaera Corporation (Nasdaq: GENR) today announced its financial results for the year and quarter ended December 31, 2007. The net loss for the year ended December 31, 2007 was $15.7 million, or $(0.90) per share basic and diluted, as compared to a net loss of $21.2 million, or $(1.46) per share basic and diluted, for the year ended December 31, 2006. The net loss for the quarter ended December 31, 2007 was $5.8 million, or $(0.33) per share basic and diluted, as compared to a net loss of $3.6 million, or $(0.21) per share basic and diluted, for the quarter ended December 31, 2006. The loss from operations for the year and quarter ended December 31, 2007 was $17.2 million and $6.1 million, respectively, as compared to $22.8 million and $4.0 million for the same periods in 2006.

Genaera's research and development expenses for the year and quarter ended December 31, 2007 were $13.1 million and $3.6 million, respectively, compared to $17.7 million and $3.1 million, respectively, for the same periods in 2006. The decrease in research and development expenses for the year ended December 31, 2007 as compared to the same period in 2006 was primarily due to a decrease in clinical, manufacturing and personnel costs as a result of the discontinuation of the EVIZON(TM) (squalamine lactate) program for the treatment of wet age-related macular degeneration. This decrease was partially offset by an increase in clinical, manufacturing, research and personnel costs related to the trodusquemine (MSI-1436) program for the treatment of type 2 diabetes and obesity. The increase in research and development expenses for the quarter ended December 31, 2007 as compared to the same period in 2006 wa
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