Study Presented at ECVS Shows ARCAD(TM) Instillate Decreases Surgical Adhesions in Foals

    VANCOUVER, June 30 /CNW/ - ARC Pharmaceuticals Inc. today announced
efficacy data from a preclinical study of ARCAD(TM) Instillate in the
prevention of surgical adhesions. Data were presented at the Annual Scientific
Meeting of the European College of Veterinary Surgeons (ECVS) in Dublin,
June 28-30, 2007.
    In this preclinical efficacy study, foals were treated with either
ARCAD(TM) Instillate or control instillate. Results showed that animals
treated with ARCAD(TM) Instillate had a 64% decrease in the number of
adhesions and a 74% decrease in the severity of adhesions compared to control
instillate. The investigators concluded that the use of ARCAD(TM) Instillate
was well tolerated and effective in the prevention of surgical adhesions.
    The study was led by Dr. Ludovic Bouré, Associate Professor of the
Ontario Veterinary College at the University of Guelph. "Even with perfect
surgical technique the prevention of post-surgical adhesions remains a major
challenge following equine abdominal surgeries," said Dr. Bouré. "ARCAD(TM)
Instillate was easily and quickly instilled into the abdomen and was an
effective preventative treatment for experimentally induced abdominal
adhesions in pony foals."
    "The efficacy data obtained by Dr. Bouré's research team are very
encouraging," said Dr. Chris Springate, President and CEO of ARC. "The
significant reduction in both the number and severity of adhesions observed
following the use of ARCAD(TM) instillate in this preclinical study reinforces
data previously obtained in other preclinical models of surgical adhesions
using ARCAD(TM) Instillate. Together, these data help validate the potential
for the use of ARCAD(TM) Instillate in humans following appropriate clinical
trials and regulatory approval."
    Funding for the preclinical study was supplied by the Ontario Ministry of
Agriculture, Food and Rural Affairs and ARC Pharmaceuticals Inc.

    About ARCAD(TM) technology - The key component of ARCAD(TM) Instillate is
a fucan known as fucoidan. Fucoidan is a naturally occurring polysaccharide
and is extracted from seaweed or brown marine algae. ARC has purified and
incorporated fucoidan into the Company's proprietary lead product candidate,
ARCAD(TM) Instillate, for the prevention of surgical adhesions. ARC has also
commenced exploration of the use of the ARCAD(TM) technology in other disease
indications and has formulated ARCAD(TM) as a gel and as a film.

    About ARC Pharmaceuticals Inc. - ARC Pharmaceuticals Inc. is developing
innovative medical products for the prevention and treatment of surgical
adhesions, a major complication in a high proportion of common surgical
procedures. Further potential opportunities exist for the technology in the
management of arthritis and psoriasis.

    Statements contained in this press release that are not based on
historical fact, including without limitation statements containing the words
"will", "plans", "could", "may", "expects", "intends", "anticipates",
"continue", "estimate", "potential" and similar expressions constitute
"forward-looking statements". All such statements are made pursuant to the
"safe harbor" provisions of applicable securities legislation. Forward-looking
statements may involve without limitation comments with respect to the
Company's research and development and commercialization objectives including
product candidates for surgical adhesions, arthritis and psoriasis,
intellectual property including patents, and business strategies and
objectives. Forward-looking statements involve known and unknown risks and
uncertainties including risks and uncertainties beyond the Company's control,
which may cause the actual results to be materially different from any future
results expressed or implied by forward-looking statements. Given these risks,
uncertainties and assumptions, readers are cautioned not to place undue
reliance on forward-looking statements and the Company claims not to be under
any obligation to update or announce the result of any revisions to any
forward-looking statements to reflect future results.

For further information:

For further information: Chris Springate, President and CEO, ARC
Pharmaceuticals Inc., Tel: (604) 222-9577, Fax: (604) 222-9578,,

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