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Vion Pharmaceuticals Pays Interest on 7.75% Convertible Senior Notes
Date:2/15/2008

NEW HAVEN, Conn., Feb. 15 /PRNewswire-FirstCall/ -- VION PHARMACEUTICALS, INC. (Nasdaq: VION) today announced that the Company had paid interest due February 15, 2008 on its 7.75% Convertible Senior Notes due 2012 (the "Notes"). The aggregate principal amount of the Notes is $60 million.

The Company paid $2,376,666.67 through the issuance of shares of its registered Common Stock. Approximately $2,376,345.60 was paid in 5,500,800 shares of Common Stock, based on today's closing bid price of $0.432, which is approximately equal to 91.68 shares of Common Stock per each $1,000 principal amount of Notes. Cash interest was paid in lieu of fractional shares.

Vion Pharmaceuticals, Inc. is committed to extending the lives and improving the quality of life of cancer patients worldwide by developing and commercializing innovative cancer therapeutics. Vion has two agents in clinical trials. Cloretazine(R) (VNP40101M), a unique alkylating agent, is being evaluated in a pivotal Phase II trial as a single agent in elderly patients with de novo poor-risk acute myelogenous leukemia. Clinical trials of Cloretazine(R) (VNP40101M) as a single agent in small cell lung cancer, with temozolomide in brain tumors, and with stem cell transplantation in advanced hematologic malignancies, are also being conducted. Triapine(R), a potent inhibitor of a key step in DNA synthesis, is being evaluated in clinical trials sponsored by the National Cancer Institute. For additional information on Vion and its product development programs, visit the Company's Internet web site at http://www.vionpharm.com.

This news release contains forward-looking statements. Such statements are subject to certain risk f
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SOURCE Vion Pharmaceuticals, Inc.
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