BARDA Delivers Notice of Intent to Exercise Additional Contract Options With Aeolus Worth $9.1 Million (AOLS)

Aeolus Pharmaceuticals, (AOLS) Inc. is a biotechnology company leveraging significant government funding to develop a platform of novel compounds in oncology and biodefense. The Company is developing a new class of catalytic antioxidant compounds that protects healthy tissue from the damaging effects of radiation. Its first compound, AEOL 10150, is being developed for oncology indications, where it is used in combination with radiation therapy. It is also being developed, with funding by the US Government, as a medical countermeasure against chemical and radiological weapons, where its initial target indications are as a protective agent against the effects of acute radiation syndrome and delayed effects of acute radiation exposure. Aeolus' strategy is to leverage the substantial investment in toxicology, manufacturing, and preclinical studies made by US Government agencies in AEOL 10150 to efficiently develop the compound for use in oncology. 

The Company announced that "it has received from the Biomedical Advanced Research and Development Authority (BARDA) a Notice of Intent to Exercise options valued at $9.1 million. The bulk of the options are for the period of performance beginning April 1, 2012 and ending March 31, 2013, and include funding for murine and NHP Efficacy studies in Lung Acute Radiation Syndrome (Lung-ARS), GMP manufacturing, and project management costs." Because of this, The Company expects revenue for the 2012 fiscal year to be in the range of $9 to 11 million, which is an increase from it's fiscal year 2011 revenue of $4.8 million.

Chief Executive Officer and President of Aeolus Pharmaceuticals, Inc. John L. McManus commented,

"BARDA's notice of intent to exercise additional options reflects the hard work and success of our development team and research partners, and our combined success during the first year of the Lung-ARS development contract. During the base period, we delivered valuable animal models for Lung-ARS and made important progress in the manufacturing of AEOL 10150. The options that BARDA intends to exercise will fund the key animal efficacy studies necessary for the design of our ultimate pivotal studies, as well as important chemistry, manufacturing and controls projects, and will keep our development plan on schedule. We remain grateful to BARDA for the financial support and program input that we receive."

The Company will be hosting a Conference Call on Tuesday, April 10, 2012 @ 11am Pacific/2pm Eastern.

Domestic: 877-837-3910      

International: 973-796-5077      

Webcast and replays will be available at www.aeoluspharma.com. 

Read the full release at Yahoo Finance.