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Discovery Labs Presents Surfaxin and Aerosurf Data At the Pediatric,Academic Societies' Annual Meeting

ines precision-engineered KL-4 surfactant technology with the capillary aerosol generator technology. This integrated drug device system potentially can be uniquely customized to address specific respiratory diseases in a broad range of patient populations. Discovery's lead neonatal program utilizing the Chrysalis technology is Aerosurf administered via nasal continuous positive airway pressure (nCPAP) to treat premature infants in the Neonatal Intensive Care Unit (NICU) with RDS. Discovery plans to initiate multiple Phase 2 clinical studies of Aerosurf utilizing the Chrysalis aerosolization technology in 2007.

Robert J. Capetola, Ph.D., President and Chief Executive Officer of Discovery, commented, "The ability to effectively deliver a less-invasive aerosolized surfactant could potentially redefine respiratory critical care medicine. Historical attempts to achieve this ambitious goal have been constrained by current technological limitations. These data support our approach in collaboration with our partners at Chrysalis to address these historical limitations."

DISCLAIMER: The Aerosurf pre-clinical study results discussed above cannot be interpreted to reflect whether the investigational integrated drug device system will be safe or effective in humans.

About BPD

BPD is associated with surfactant deficiency and is diagnosed when premature infants require mechanical ventilation or supplemental oxygen either at the 28th day of life or 36 weeks PMA. Premature babies are often born with a lack of natural lung surfactant and are unable to absorb sufficient oxygen, resulting in RDS. These infants often require endotracheal intubation to administer one of the currently available animal-derived surfactants (usually within the first hours of birth), and to provide respiratory support via mechanical ventilation. Unfortunately, many infants relapse following initial therapy and require reintubation and prolonged mechanical ventilation as well as s
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