SOURCE: Symbollon Pharmaceuticals, Inc.

May 22, 2006 17:08 ET

Symbollon Pharmaceuticals Announces First Quarter 2006 Results

FRAMINGHAM, MA -- (MARKET WIRE) -- May 22, 2006 -- Symbollon Pharmaceuticals, Inc. (OTCBB: SYMBA) today announced financial results for the first quarter ended March 31, 2006. The Company reported a net loss of $(548,771), or $(0.07) per share, compared with a net loss of $(183,547), or $(0.03) per share, in the prior year. The increased loss for such period resulted primarily from increased clinical development expenses related to IoGen™, salaries and related costs and facility expenses previously allocated to manufacturing, and consulting and other service expenses.

"We remain focused on completing the IoGen Phase III pivotal clinical trial and securing the resources necessary to sustain the Company as we move forward," stated Paul C. Desjourdy, President and Chief Executive Officer of Symbollon. "We believe that it is critical for the Company to secure the resources necessary to complete the IoGen clinical trial in light of our corporate partner's current financial difficulties."

Symbollon Pharmaceuticals, Inc. is a specialty pharmaceutical company focused on the development and commercialization of proprietary drugs based on its molecular iodine technology. Symbollon has initiated a Phase III clinical trial evaluating IoGen as a potential treatment for moderate to severe cyclic pain and tenderness (clinical mastalgia) associated with fibrocystic breast disease (FBD). FBD is a condition that affects approximately 20 to 33 million women in the U.S., and there are approximately 7 to 13 million women suffering from clinical cyclic mastalgia. The Company believes IoGen also may be useful in treating and/or preventing certain other female reproductive tissue proliferation, including endometriosis, ovarian cysts, and premenopausal breast cancer.

This news release contains statements by the Company that involve risks and uncertainties and may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements reflect management's current views and are based on certain assumptions. Actual results could differ materially from those currently anticipated as a result of a number of factors, including, but not limited to, the risks and uncertainties associated with whether (i) future clinical trial results will support the use of IoGen for the treatment of fibrocystic breast disease, (ii) the clinical data acquired from Mimetix Inc. will be acceptable exposure data for IoGen, (iii) Symbollon will be able to obtain the resources necessary to continue as a going concern, (iv) IoGen will successfully complete the regulatory approval process, (v) competitive products will receive regulatory approval, (vi) the Company's ability to enter into new arrangements with corporate partners and (vii) the Company's licensing partner for IoGen will be able to meet its obligations to pay for the IoGen clinical development and (viii) such other factors as may be disclosed from time-to-time in the Company's reports as filed with the Securities and Exchange Commission. Given these uncertainties, current or prospective investors are cautioned not to place undue reliance on any such forward-looking statements.

                        SYMBOLLON PHARMACEUTICALS, INC.
                             SUMMARY OF RESULTS
    (U.S. dollars, in thousands, except share and per share amounts)

                                               Three Months Ended March 31,
                                                ---------     ---------
                                                   2006           2005
                                                ---------     ---------

Net product sales                                 $     -       $    11

Operating expenses:
   Cost of goods sold                                   -             9
   Research and development                           276           123
   General and administrative                         274           179
   Stock-based compensation                             -          (115)
                                                ---------     ---------
     Total costs and expenses                         550           196

Loss from operations                                 (550)         (185)
Other income  (net)                                     1             1
                                                ---------     ---------
Net Loss                                          $  (549)      $  (184)
                                                =========     =========

Basic and Diluted Net Loss per share             $  (0.07)      $ (0.03)
                                                =========     =========

Weighted average number of common shares
 outstanding - basic and diluted                7,511,467     6,114,761
                                                =========     =========


                      SYMBOLLON PHARMACEUTICALS, INC.
                               BALANCE SHEET
                       (U.S. dollars, in thousands)


                                                   March 31,   December 31,
                                                     2006          2005
                                                   -------       -------
ASSETS
      Cash and cash equivalents                   $    434       $   313
      Other current assets                             279           369
      Equipment and other assets net                   383           392
                                                   -------       -------
                                                   $ 1,096       $ 1,074
                                                   =======       =======
LIABILITIES AND SHAREHOLDERS'  EQUITY
      Liabilities
      Current liabilities                         $    415       $   246
      Other liabilities                                 -              -
                                                   -------       -------
          Total liabilities                            415           246

      Shareholders' equity                             681           828
                                                   -------       -------
                                                   $ 1,096       $ 1,074
                                                   =======       =======

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