Photocure establishes US subsidiary to build speciality dermatology business

OSLO, Norway, 4 August 2010:  Photocure (OSE: PHO), a Norwegian pharmaceutical company specialising in dermatology and cancer, today announce the establishment of its US subsidiary, Photocure Inc, and the appointment of Terry Conrad as President to build its specialty dermatology business in the US.

Terry Conrad has over 23 years experience in the pharmaceutical industry and has held senior marketing, sales and business development positions at a number of multinational pharmaceutical companies including Lederle Laboratories, Bayer AG and Parke-Davis (a division of Warner Lambert now owned by Pfizer).  He was most recently President and CEO of Merz Pharmaceuticals GmbH-US division.  During his time at Merz, Terry was responsible for managing US commercial operations and building the dermatology franchise while also preparing for two new business units.  Revenues at Merz US more than tripled during his tenure to over US$70 million while also delivering significant profitability. He has a successful track record of launching products in various specialties and his last 10 years in the dermatology field will be a valuable asset to Photocure as it enters the US market. 

The establishment of Photocure Inc follows the Company's strategic decision in November 2009 to build its own specialty dermatology business in the US.  Photocure is using its proven photodynamic technology (PDT) and expertise to develop innovative dermatology products.  PDT is a well established procedure in the dermatology field, and Photocure has been a leader in developing effective PDT products to serve that market.  

Photocure is developing Allumera(TM), a novel PDT-based solution for improving the appearance of skin. Allumera is currently undergoing a pilot consumer trial in the US.  Results from this consumer trial are expected in the fourth quarter 2010. Based on results from previous clinical trials, the company believes Allumera(TM) will be well accepted by the dermatology community. Photocure is planning to launch Allumera in 2011.

Also, Photocure is developing Visonac(TM), an exciting new option for treating moderate to severe acne.  Visonac is currently in Phase II development.

Kjetil Hestdal, M.D. Ph.D, President and CEO of Photocure, said:

 "We are delighted that Terry has joined Photocure to spearhead our expansion into the US.  His track record of success in launching products combined with his knowledge and experience of the US dermatology market, will be instrumental in successfully building our operations in the US."

Terry Conrad, President of Photocure Inc, said:

 "Photocure has an exciting pipeline of medical dermatology and aesthetic products offering clinical and technical advantages over existing products on the market.  This is an exciting time to build Photocure's operations and sales capabilities in the US. The launch of Allumera(TM) into the US market will enable Photocure to enter the attractive skin rejuvenation market segment and provide the platform for growing our dermatology business."

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For further information, please contact

President & CEO Kjetil Hestdal, Tel: + 47 913 19 535, email: kh@photocure.no

CFO Christian Fekete, Tel: + 47 916 42 938 email: cf@photocure.no

President Photocure Inc, Terry Conrad, Tel: + 1 336 681 8777

Mary Clark, Capital MS&L, Tel: +44 207 307 5330 email: mary.clark@capitalmsl.com

About Photocure
Photocure is a Norwegian pharmaceutical company listed on the Oslo Stock Exchange (OSE: PHO). The company develops and sells pharmaceuticals and medical devices for the photodynamic treatment and diagnosis of cancer and selected dermatology indications.

Photocure's commercial activities include its own marketing and sales organisations in selected markets as well as partnerships with leading pharmaceutical companies on a regional or global basis.

Photocure has one proprietary pharmaceutical product on the market: Hexvix®, for the diagnosis of bladder cancer. Hexvix® is approved in EU and in the US. In addition, the company has developed a proprietary light source, which is used in combination with Visonac(TM) cream. Through worldwide studies, Photocure is continuously testing its products for new indications, and the aim is to develop a pipeline of follow-on products based on the Photocure Technology(TM) platform.

For more information about Photocure, visit our website at www.photocure.com.