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Adeona Reports 2010 Year End Financial Results
Date:3/31/2011

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Total net revenues for the year ended December 31, 2010 were $3,164,512, compared to $103,089 for the year ended December 31, 2009. Total net revenues for the year ended December 31, 2010 consisted of $2,125,000 as a result of the Meda AB sublicense agreement of flupirtine for fibromyalgia during the second quarter of 2010, $550,553 of net laboratory revenues from the first full year of operations at Adeona Clinical Laboratory and $488,959 of grant revenues from the Qualifying Therapeutic Discovery Project Program to support Adeona's Alzheimer's disease and multiple sclerosis programs currently in clinical testing. Total net revenues for the year ended December 31, 2009 consisted of $103,089 of net laboratory revenues from Adeona Clinical Laboratory. Since purchasing Adeona Clinical Laboratory in July of 2009, the client base has increased and the in-house diagnostic testing services have been expanded to include a full array of microbiology testing.

Total costs and expenses for the year ended December 31, 2010 were $4,748,465, compared to $3,784,569 for the year ended December 31, 2009.

Research and development expenses increased to $1,579,891 for the year ended December 31, 2010, from $948,891 for the year ended December 31, 2009. This 66% increase is primarily the result of increased costs associated with the continued development of Adeona's product candidates, including outside manufacturing costs, consultant fees, license fees and patent costs. Research and development expenses also include a non-cash charge relating to stock-based compensation expense of $90,290 for the year ended December 31, 2010, compared to $188,166 for the year ended December 31, 2009.

General and administrative expenses decreased slightly to $2,700,951 for the year ended December 31, 2010, from $2,708,778 for the year ended December 31, 2009. General and administrative costs in 2009 included acquisition costs of $75,000 related to the purchase of Ad
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SOURCE Adeona Pharmaceuticals, Inc.
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