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Anesiva Announces Adlea ACTIVE-1 Phase 3 Clinical Results, Ceasing of Zingo Commercial Operations and Restructuring
Date:11/10/2008

y will also seek to license rights to the underlying drug delivery technology to third parties for use with other medications.

The company plans to meet with its joint venture partners in China to discuss the future of the relationship. Anesiva will restructure, suspend or cancel Zingo distribution agreements for ex-U.S. territories. In order to wind down ongoing product support obligations, Anesiva will process the withdrawal of Zingo devices from the U.S. supply chain.

As a result of the decision to cease Zingo commercial operations, the company has agreed to work with its lenders to accelerate repayment of its outstanding $20.0 million loan. In order to preserve its capital, the company will reduce its staffing to approximately 15 employees and reduce monthly expenditures to approximately $2.0 million, pending the results of the Adlea Phase 3 trial in total knee replacement surgery.

"These are difficult but necessary decisions that set a new foundation upon which to rebuild value for Anesiva's stock holders," said Michael L. Kranda, president and chief executive officer. "We look forward to the results of the Adlea Phase 3 trial in total knee arthroplasty, and pursuing partnering opportunities for this promising product candidate."

"The Anesiva Board of Directors strongly supports this new direction for Anesiva. We will continue to work closely with the company's management team to ensure Anesiva has the resources to realize its objectives," said Rodney A. Ferguson, J.D., Ph.D., Anesiva's chairman. "We thank the departing employees for their service to the company."

As a result of the foregoing, Anesiva will delay filing its quarterly report on Form 10-Q for the quarter ended September 30, 2008. The Form 10-Q will be filed as soon as reasonably practical and is expected to be filed no later than November 14, 2008.

About Adlea

Adlea is a highly purified form of capsaicin (derived from chili peppers) that acts on TRP
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SOURCE Anesiva, Inc.
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5. Anesiva Announces Pivotal Phase 3 Clinical Trial of Adlea(TM) for Reducing Post-Surgical Pain Following Total Knee Replacement
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