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Genaera Receives Non-Compliance Notice From NASDAQ
Date:10/21/2008

PLYMOUTH MEETING, Pa., Oct. 21 /PRNewswire-FirstCall/ -- Genaera Corporation (Nasdaq: GENR) today announced that it has received notification from NASDAQ that the bid price of the Company's common stock has closed below the minimum $1.00 per share requirement under NASDAQ Marketplace Rule 4310(c)(4) for the last 30 consecutive trading days.

NASDAQ also notified the Company that as of October 16, 2008 it has suspended for a three-month period the enforcement of the rules requiring a minimum $1 closing bid price or a minimum market value of publicly held shares. NASDAQ has said that it will not take any action to delist any security for these concerns during the suspension. NASDAQ has stated that, given the current extraordinary market conditions, this suspension will remain in effect through Friday, January 16, 2009 and will be reinstated on Monday, January 19, 2009.

As a result of this suspension, the Company now has until July 20, 2009 to regain compliance with the minimum bid rule. If at any time before July 20, 2009, the bid price of the Company's common stock closes at $1.00 per share or more for a minimum of 10 consecutive business days, NASDAQ will provide written notification that it has achieved compliance with the Rule.

If the Company does not regain compliance with the Rule by July 20, 2009, NASDAQ will determine whether the Company meets The Nasdaq Capital Market initial listing criteria as set forth in Marketplace Rule 4310(c), except for the bid price requirement. If it meets the initial listing criteria, NASDAQ will notify the Company that it has been granted an additional 180 calendar day compliance period.

About Genaera

Genaera Corporation is developing trodusquemine (MSI-1436), for type
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SOURCE Genaera Corporation
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