Pharmacopeia Announces Positive Results from Initial DARA Clinical Trial

Pharmacopeia (NASDAQ: PCOP), an innovator in the discovery and development of novel small molecule therapeutics, today announced positive results from the initial Phase 1 clinical trial of PS433540, the company’s lead internal product candidate for the treatment of hypertension and diabetic nephropathy. Data from the single ascending dose (SAD) study indicated that PS433540 was well tolerated at all six doses administered. In addition, study findings suggested that the compound possesses linear pharmacokinetics and a half-life that is consistent with once daily administration.

PS433540 is the first and only dual-acting angiotensin and endothelin receptor antagonist (DARA) in development. The compound, which possesses two clinically validated mechanisms of action in a single molecule, works by selectively blocking the action of two potent vasoconstrictor and mitogenic agents, angiotensin II (AII) and endothelin 1 (ET1), at their respective receptors. PS433540 is highly selective (10,000-fold) for the AII receptor sub-type 1 and the ET receptor sub-type A. As such, PS433540 combines the properties of an angiotensin receptor blocker (ARB) and an endothelin receptor antagonist (ERA) in the same molecule. Preclinical data suggests that, compared to either mechanism alone, simultaneously blocking the actions of both AII and ET1 may provide improved treatment options for several cardiovascular diseases.

“By showing that PS433540 is well tolerated over a broad range of doses while also possessing characteristics consistent with once-a-day dosing, we have taken an important initial step in the development of this first-in-class compound,” said Rene Belder, M.D., Pharmacopeia’s Vice President of Clinical and Regulatory Affairs. “Based on these findings, we are moving forward with our clinical development of DARA in an effort to complete the overall Phase 1 program in a timely fashion.”

The objective of this randomized, placebo-controlled, dose-escalation study was to evaluate the compound’s preliminary safety and tolerability by treating six separate groups of healthy volunteers. Each group consisted of eight subjects, with six individuals receiving the active DARA compound and two receiving placebo. PS433540 doses administered to the study groups ranged from 20 mg to 1000 mg and were increased for each successive group. In addition to safety and tolerability, dose-related pharmacokinetics were also evaluated.

Pharmacopeia’s Phase 1 program for PS433540 is comprised of multiple studies. In addition to the recently completed SAD trial, other planned studies include a multiple ascending dose (MAD) study to further evaluate safety after repeated administration of PS433540 over 14 days, as well as an angiotensin challenge study and an endothelin challenge study to demonstrate PS433540’s dual pharmacology. Pharmacopeia expects the entire Phase 1 program to be complete in late 2007 with a Phase 2 trial beginning in the first half of 2008.

ABOUT PHARMACOPEIA
Pharmacopeia is committed to discovering and developing novel therapeutics to address significant medical needs. The Company has a broad portfolio advancing toward clinical validation, both independently and with partners. Pharmacopeia's most advanced internal program is a dual-acting angiotensin and endothelin receptor antagonist (DARA) for hypertension and diabetic kidney disease for which Phase 1 clinical trials are underway. Other internal proprietary programs address primarily immunoregulation. Pharmacopeia's collaborative efforts have resulted in a portfolio that includes one partnered program currently in Phase 2 clinical trials targeting chronic obstructive pulmonary disease (COPD) and four partnered programs in Phase 1 clinical trials targeting rheumatoid arthritis, oncology, metabolic diseases and inflammatory diseases. Three additional partnered compounds are in preclinical development. Pharmacopeia's current strategic partnerships are with Cephalon, GlaxoSmithKline, Organon and Wyeth.

Organon and Pharmacopeia enter into discovery, development and commercialization alliance

Pharmacopeia (Nasdaq: PCOP), an innovator in the discovery and development of novel small molecule therapeutics, and Organon, the human healthcare business unit of Akzo Nobel (Nasdaq: AKZOY), today announced that they have entered into a new alliance to discover, develop and commercialize therapeutic products across a broad range of therapeutic indications, including neuroscience and immunology. This alliance builds on over ten years of collaborative work between Pharmacopeia and Organon. Under the terms of the alliance agreement, Pharmacopeia will receive an up-front payment of $15 million and additional payments in research funding over the five-year term of the research portion of the alliance.


Under the agreement, both Organon and Pharmacopeia will work collaboratively to generate development compounds addressing targets of mutual interest by taking advantage of the complementary discovery skills and expertise of each company. The goal is to produce compounds ready to enter development which will be primarily handled by Organon. The agreement provides Pharmacopeia the option to co-develop and co-commercialize therapeutic candidates discovered through the alliance.

For therapeutic candidates that Pharmacopeia does not elect to co-develop and co-commercialize, Organon will retain exclusive development and commercialization rights and Pharmacopeia will receive milestone payments as a result of Organon's successful advancement, if any, of each candidate through clinical development, and up to double-digit royalties based on commercialization of any resulting pharmaceutical products.

"Organon has always been, and will continue to be, committed to the creation of long-term value for patients by investing today in the discovery and development of the medicines of tomorrow," says David Nicholson, executive vice president Research and Development of Organon. "Our new alliance with Pharmacopeia provides Organon with access to industry-leading small molecule discovery capability, and with Pharmacopeia's evolution into a therapeutic products business, enables Organon to continue to build its clinical pipeline with a valued, long-term partner."

"This new alliance, and the option we retain to co-develop and co- commercialize products, is consistent with our strategy of retaining a significant share of the ownership of programs on which we work," said Les

Browne, Ph.D., President and Chief Executive Officer of Pharmacopeia. "We recently submitted the IND for our internal DARA program, and partnering with leading players in our industry such as Organon enables us to balance the investment and reward of drug development and thereby optimize returns for Pharmacopeia's shareholders."