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Neuralstem Reports Second Quarter Financial Results and Highlights
Date:8/14/2008

n 2008 is the drop in short term interest rates on our cash balances.

Highlights 2008

In July the Company notified CJ CheilJedang Corporation (CJ) that Neuralstem will exercise its right to commence negotiations with CJ concerning the potential addition of China to the list of Asian countries for which CJ has purchased an option to negotiate for the exclusive license to Neuralstem's stem cell-products and technology. In February 2008, CJ purchased options to negotiate exclusive licenses for: Korea, Indonesia, Philippines, Malaysia, Singapore and Vietnam. CJ CheilJedang Corporation is a subsidiary company of CJ Group whose core businesses consists of Food & Food Services, Bio Pharma, Entertainment Media, and Home Shopping & Logistics.

In August, Dr. Thomas Hazel will be rejoining the Company as Senior Vice President, Research. He will be working with Dr. Karl Johe, Neuralstem's Chairman and Chief Science Officer, to manage the Company's upcoming clinical trial for ALS (Amytrophic Lateral Sclerosis, or Lou Gehrig's disease), and complete development of Neuralstem's small molecule neurogenesis compound targeted to treat depression.

The Company neared completion of the pre clinical package for the Company's stem cell derived treatment for ALS.

The Company has begun manufacturing a batch of Neuralstem's small molecule neurogenesis treatment using "Good Manufacturing Practice" procedures. The compound will be used in required safety testing prior to human trials for the drug.

In April the European Patent Office granted Neuralstem a European patent EP0915968, covering the "Isolation, Propagation and Directed Differentiation of Stem Cells from Embryonic and Adult Central Nervous System of Mammals." The European patent has been validated in several European countries including France, Germany, Ireland, Spain, Sweden, Switzerland and the United Kingdom.

STATEMENTS OF OPERATIONS


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SOURCE Neuralstem Inc.
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