Intellect Neurosciences signs debt settlement agreement with CARBOGEN AMCIS AG

May 6 2010

Intellect Neurosciences, Inc. (OTCBB:ILNS), a biopharmaceutical company focused on development of disease-modifying therapeutic agents for Alzheimer's disease ("AD"), announced today that it has reached a debt settlement agreement with CARBOGEN AMCIS AG, one of Intellect's largest trade creditors, in connection with prior services rendered. As a result of the settlement agreement, CARBOGEN will remain a key supplier of Intellect's lead internal drug candidate, OXIGON™ (OX1), which has potential for the treatment of Alzheimer's disease and other important indications.

"We are delighted to have reached this agreement with our colleagues at CARBOGEN AMCIS, which has a long standing relationship with the Company," said Intellect's chairman and CEO, Daniel Chain, PhD. "The chemistry and manufacturing teams at CARBOGEN AMCIS have provided exceptional services to our internal drug development processes, especially with respect to developing a process that yields high-purity, clinical-grade material. This process was used to develop a drug candidate that has been tested successfully in Phase I human clinical studies."

OX1 is Intellect's leading clinical candidate for Alzheimer's disease and also has broad therapeutic potential for use in the treatment of other neurodegenerative conditions, such as Parkinson's disease. Already tested in human Phase I trials for safety and tolerability, the next planned stage of testing will be the initiation of Phase II clinical trials in Alzheimer's patients.

"We have supported the development of OX1 since it began," said CARBOGEN AMCIS' finance director, Robert Bollert. "We are excited about the potential of this drug candidate as well as Intellect's pipeline and other prospects, and are pleased to commit to an ongoing relationship with Intellect."