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Palatin Announces Strategic Realignment of Operations
Date:9/24/2010

CRANBURY, N.J., Sept. 24 /PRNewswire-FirstCall/ -- Palatin Technologies, Inc. (NYSE Amex: PTN) today announced the realignment of its workforce and operations to reflect a strategic reassessment of its research and development activities and corporate objectives. As a result, Palatin will focus resources and efforts on clinical trials of bremelanotide for male and female sexual dysfunction and PL-3994 for acute severe asthma. In implementing this plan, Palatin is reducing its workforce by approximately 50% and discontinuing research activities relating to the discovery of new compounds.

"After critically reviewing our current research and development operations and plans, as well as other business activities, we made the decision to reposition Palatin.  We believe prioritizing our clinical programs and focusing on advancing our clinical drug candidates can generate the most value for our stockholders," stated Dr. Carl Spana, Palatin's President and Chief Executive Officer.

Palatin also announced that it is implementing a one-for-ten reverse stock split of its common stock, effective with the opening of trading on September 27, 2010.

Palatin's Strategic Priorities

Sexual Dysfunction

Bremelanotide for erectile dysfunction (ED):  In the fourth quarter of calendar 2010 we intend to submit protocols to the U.S. Food and Drug Administration (FDA) for initiation of a Phase 2 clinical trial of subcutaneously administered bremelanotide, as either monotherapy or a combination therapy with a PDE-5 inhibitor such as sildenafil, for men with ED who are non-responsive or inadequately responsive to PDE-5 inhibitor therapies alone. Assuming concurrence of the FDA, and depending on financial resources, this Phase 2 clinical trial for men with ED could start as early as the first quarter of calendar 2011.

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SOURCE Palatin Technologies, Inc.
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