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Pharmos Corporation Reports 2011 Fourth Quarter and Full Year Results
Date:2/17/2012

for this trial, costs related to conducting a non-human primate toxicology study and preliminary administrative startup trial costs for the trial that began in the first quarter of 2012. These increases were offset by a reduction of various facility related expenses as the Company continued to reduce overall facility costs.

General and administrative expenses decreased by $181,788 or 15%, from $1,187,335 in 2010 to $1,005,548 in 2011.  The decrease in general and administrative expenses is due to a reduction in every expense category.  Significant reductions occurred in salaries and benefits of $77,000, professional & consulting fees of $55,000 and facility related expenses of $50,000 when comparing 2011 to 2010. The decrease in payroll costs in 2011 reflects lower stock compensation costs and the elimination of an administrative position in 2010. Accounting fees have decreased as there were higher accounting fees related to the filing of a Registration statement on Form S-1 in 2010. Also professional fees have decreased as there were business development fees in 2010 related to a possible reverse merger candidate which eventually was not pursued. The decrease in the facility related expenses were a reduction of various facility related expenses as the Company continued to reduce overall facility costs.

About Pharmos Corporation Pharmos discovers and develops novel therapeutics to treat a range of metabolic and nervous system disorders, including gout, disorders of the brain-gut axis (e.g., Irritable Bowel Syndrome), pain/inflammation, and autoimmune disorders.  The Company's lead products are the two enantiomers of tofisopam. S-tofisopam (levotofisopam) is being investigated for the treatment of gout under a US IND. R-tofisopam (dextofisopam) has been developed through Phase 2b for IBS in the US. There is a large unmet need for new therapeutic alternatives for the treatment of IBS, a chronic and sometimes debilitating condition
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