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Genaera Announces Diabetes IND In Effect for Trodusquemine (MSI-1436)
Date:1/23/2008

- Second filing provides opportunity for additional indications and

increased potential market -

PLYMOUTH MEETING, Pa., Jan. 23 /PRNewswire-FirstCall/ -- Genaera Corporation (Nasdaq: GENR) today announced that the investigational new drug (IND) application submitted to the US Food and Drug Administration (FDA) for trodusquemine (MSI-1436) in type 2 diabetes is now in effect. This application represents the second IND filed by the Company in 2007 for MSI- 1436. A previous IND for the treatment of obesity, under which Genaera is currently conducting phase 1 clinical trials, has been in effect since April 2007. MSI-1436 is a novel therapeutic for the treatment of type 2 diabetes and obesity which acts by regulating insulin and leptin receptor signaling through inhibition of the tyrosine phosphatase, PTP-1B.

"A growing body of data indicates that inhibition of PTP-1B is central to controlling the key pathologies associated with type 2 diabetes; namely insulin sensitivity and obesity," said Jack Armstrong, President and Chief Executive Officer of Genaera. "Since MSI-1436 has demonstrated significant potential to impact both the insulin and leptin pathways, we believe this new IND provides us with the opportunity for additional indications and a much broader potential market. Therefore, we are implementing a clinical plan which evaluates the drug's potential in type 2 diabetes, in addition to our ongoing obesity studies. With this dual strategy, we believe that we are well-positioned to maximize the therapeutic potential of MSI-1436."

In October 2007, Genaera completed the first phase 1 study of MSI-1436 in healthy obese and overweight subjects. MSI-1436 is currently being evaluated in a second pha
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SOURCE Genaera Corporation
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