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Emisphere Technologies, Inc. Announces 2007 Second Quarter Financial Results
Date:8/19/2007

arily the result

of non-cash charges related to share-based payments

-- Other expense second quarter 2007 were $2.6 million, compared to $0.3

million in the second quarter of 2006

* $2.3 million increase in other expenses is primarily the result of

non-cash charges related to the change in fair value of derivative

instruments

-- Second quarter 2007 revenues were $0.4 million, compared to the $5.2

million in the second quarter of 2006

-- Second quarter 2007 operating loss of $9.5 million, compared to an

operating loss of $3.4 million for the first quarter of 2006

-- Second quarter 2007 net loss was $12.1 million, or $0.43 per basic and

diluted share, compared to a net loss of $3.8 million, or $0.14 per

basic and diluted share for the second quarter of 2006

-- As of June 30, 2007, Emisphere has $8.9 million in cash and

investments. The Company is currently evaluating various financing

options to address its future cash needs that will enable the Company

to continue operations through the fourth quarter of 2007 and beyond.

Corporate and Product Developments

Emisphere has two Phase III products based on the compound salmon calcitonin in partnership with Novartis Pharma AG and its development partner, Nordic Bioscience:

-- One product relates to the prevention of osteoporosis and the other

product relates to the prevention of osteoarthritis

-- Osteoarthritis product has the potential to be the first disease-

modifying drug that halts progression of the illness rather than

treating symptoms

-- Both products use Emisphere's eligen(R) delivery technology to provide

salmon calcitonin for the first time as a convenient oral medication

Emisphere has three products in Phase II:

-- Development of recombinant human growth hormone ("rhGH") in

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SOURCE Emisphere Technologies, Inc.

Copyright©2007 PR Newswire.

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