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Bionovo Announces Second Quarter 2009 Highlights and Financial Results
Date:8/10/2009

Menerba. Company management expects operating expenses to decrease further in the third quarter.

The Company reported a net loss for the three months ended June 30, 2009 of $4.1 million, or $0.05 per share, compared with a net loss of $4.2 million, or $0.06 per share, for the same period in 2008.

The Company ended the quarter with $5.4 million in cash, cash equivalents and short term investments, and began the quarter with $9.1 million, a difference of $3.7 million. The cash balance at the end of the quarter reflects the expenses mentioned above. The Company received $116,000 in a government grant payment following the quarter close, and is aggressively pursuing further grants and other forms of financing.

The Company has secured additional long-term debt funding from its landlord, totaling $204,000 year-to-date, and is continuing to explore alternative financing from a variety of sources.

"We are encouraged by the progress we have been making over the last quarter and are confident we can address the FDA's requests in a timely fashion and resume clinical testing of Menerba in the near future," stated Isaac Cohen, Bionovo's Chairman and Chief Executive Officer. He added, "We are heartened by the increasing support we are gaining in the scientific and medical communities, and the continuing discoveries we are making in the lab in support of our drug candidates. We look forward to submitting the CMC package to the FDA and believe that a bright future lies ahead for Bionovo and our drug candidates."

Conference Call

The Company will conduct a conference call and webcast to review the financial results for the second quarter of fiscal year 2009 and the Company's plans for the remainder of the year at 5:00 p.m. ET on Monday, August 10, 2009.

Interested parties can access the call by dialing (800) 860-2442 or (412) 858-460
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SOURCE Bionovo, Inc.
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