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Oncolytics Biotech Inc. Announces 2008 First Quarter Results
Date:4/30/2008

capital markets and the potential difficulties we might face in raising additional capital. Market prices and market demand for securities in biotechnology companies are volatile and there are no assurances that we will have the ability to raise funds when required.

Capital Expenditures

We spent $257,304 on intellectual property in the first quarter of 2008 compared to $218,177 in the first quarter of 2007. The change in intellectual property expenditures reflects the timing of filing costs associated with our expanded patent base. As well, we have benefited from fluctuations in the Canadian dollar as our patent costs are typically incurred in U.S. currency. At the end of the first quarter of 2008, we had been issued over 170 patents including 26 U.S. and eight Canadian patents as well as issuances in other jurisdictions. We also have over 180 patent applications filed in the U.S., Canada and other jurisdictions.

Investing Activities

Under our Investment Policy, we are permitted to invest in short-term instruments with a rating no less than R-1 (DBRS) with terms less than two years. We have $14,635,920 invested under this policy and we are currently earning interest at an effective rate of 2.74% (2007 - 4.08%).

CHANGES IN ACCOUNTING POLICIES INCLUDING INITIAL ADOPTION

Capital Disclosures

On January 1, 2008, the Company adopted the new recommendations of the Canadian Institute of Chartered Accountants ("CICA") for disclosure of the Company's objectives, policies and processes for managing capital (CICA Handbook Section 1535), as discussed further in Note 5 of our interim consolidated financial statements.

Financial Instruments - Disclosures

On January 1, 2008, the Company adopted the new recommendations of the CICA for disclosures about financial instruments, including disclosures about fair value and the credit, liquidity and market risks associated with financial instruments (CICA Handbook Section
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