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Revolutionary Immunologic Data Explains Function of Diamyd Diabetes,Vaccine

Diamyd Medical AB (www.omxgroup.com ticker: DIAM B; www.otcqx.com ticker DMYDY)

STOCKHOLM, Sweden, May 3, 2007 – During a presentation made in Linkoping, Sweden at the Sweden-Seattle Diabetes Conference this past week-end, Professor Johnny Ludvigsson, the Principal Investigator in Diamyd’s previously reported successful Phase II study in type 1 diabetes, presented potentially scientifically ground-breaking results from a recently completed analysis of the immunological data from the same trial.

The phase II type 1 clinical trial reported positive 15-month clinical results in August 2006. The study was a double blind, randomized and placebo controlled trial that included 70 young type 1 diabetes patients. The patients received two injections, four weeks apart, of either 20 µg Diamyd® or placebo. Since this was a double-blinded study, the code containing information on which patients received the Diamyd® vaccine and which patients received placebo was not “unlocked” until 15 months after study initiation.

Vaccination with Diamyd® Counteracts Destruction of Insulin Producing Cells
In addition to analysing clinical outcome of Diamyd®, immunological tests were also conducted by the Linkoping team according to international scientific standards. These immunological data was subject to rigorous biostatistical analysis.

At the Conference, Professor Ludvigsson presented startling data based on the immunological analysis from the type 1 diabetes trial. The data illustrates that virtually all patients treated with the Diamyd® therapeutic vaccine had an upregulation of certain beneficial immunological markers in response to the active ingredient in Diamyd®, which according to current opinion may counteract the destruction
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