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Ondine Biopharma Announces Second Quarter 2008 Financial Results
Date:8/14/2008

VANCOUVER, Aug. 14 /PRNewswire-FirstCall/ - Ondine Biopharma Corporation (the "Company" or "Ondine", TSX: OBP; AIM: OBP) a medical technology company developing photodisinfection based products, today announced its financial results for the second quarter ended June 30, 2008.

"During the past quarter we made significant regulatory and clinical progress with our photodisinfection technology and we are leveraging our successes to advance discussions with prospective strategic partners," stated Carolyn Cross, Ondine's President & CEO, "We also took steps to build on our technology as we see the opportunity to address many unmet medical needs with our photodisinfection platform. Accordingly, having validated Periowave (TM) in the Canadian dental market, we are refocusing our resources on new product development and obtaining appropriate strategic partners for the commercialization and co-development of our photodisinfection-based product pipeline."

2008 Second Quarter Results and Recent Developments

FINANCIAL RESULTS

For the quarter ended June 30, 2008 (the "Second Quarter of 2008"), the Company recorded a loss of $2.43 million or $0.04 per common share compared with a loss of $3.79 million or $0.07 per common share during the quarter ended June 30, 2007 (the "Second Quarter of 2007"). For the six months ended June 30, 2008 (the "First Half of 2008"), the Company recorded a loss of $4.9 million or $0.08 per common share compared with a loss of $7.24 million or $0.13 per common share during the six months ended June 30, 2007 (the "First Half of 2007"). Product sales of our laser base stations and treatment kits during the Second Quarter of 2008 amounted to $0.26 million with a gross margin of $0.18 million (69.8%) compared to product sales of $0.51 million and a gross margin of $0.23 million (45.6%) during the Second Quarter of 2007. Product sales of our laser base stations and treatment kits during the First Half of 2008 amounted
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