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NicOx Signs Agreement With Capsugel for the Commercial Manufacture of Naproxcinod Oral Capsules
Date:9/23/2008

ation Microspray Sealing). The manufacturing will be performed at one of Capsugel's plants in France. A 2001 study showed that 66% of patients prefer to take drugs as capsules, compared to 22% who prefer tablets(1).

NicOx chose Capsugel as an exclusive supplier following a long-standing, fruitful collaboration, where Capsugel has been responsible for the manufacturing of naproxcinod capsules for clinical studies. Capsugel produced 160 billion capsules in 2007, giving it a 50% share of the capsule market. Its experience, expertise and capabilities make Capsugel the choice partner for the high-quality and efficient manufacture of naproxcinod capsules. Capsugel can bring to NicOx its expertise both in formulation and encapsulation due to its leading edge capsule manufacturing technology and formulation development capabilities.

"We are very pleased to continue our collaboration with NicOx through this agreement," commented Keith Hutchison, Vice President of Research and Development at Capsugel. "Naproxcinod is a new therapeutic approach addressing a huge market need and we believe this agreement represents an exciting opportunity for Capsugel. We are looking forward to leveraging our expertise to ensure substantial supplies of naproxcinod capsules and to be thus part of the expected success for this novel compound."

NicOx is developing naproxcinod in phase 3 clinical studies, which are designed to demonstrate that it is safe, well tolerated and effective for treating the signs and symptoms of osteoarthritis, in addition to having no detrimental effect on blood pressure, in contrast to traditional Non-Steroidal Anti-Inflammatory Drugs (NSAIDs) and COX-2 inhibitors. The results of the third phase 3 trial for naproxcinod (the 303 study) are expected by the end of the year.

About Capsugel

Capsugel is a division of Pfizer Inc. With a diverse product line, including hard gelatin, softgel, non-animal, and fish gelatin capsules, Capsugel is a
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