HS-7 Document Regarding Research @ M. D. Anderson Orlando

September 4, 2009

GREENVILLE, SC –  September 3, 2009 – HS Pharmaceuticals, LLC and its business partner 7 Oaks Pharmaceutical Corporation have engaged in a collaborative research agreement with M. D. Anderson Cancer Center Orlando to study the effects of its proprietary and patented research compound, HS-7, as an effective treatment for pancreatic cancer. The first preclinical study has shown encouraging results and additional studies are now underway.

The research was conducted by Dr. Cheryl Baker, Director and Assistant Professor, Cancer Research Institute of M. D. Anderson Cancer Center Orlando. In a double-blinded study, HS-7 was injected into nude mouse models impregnated with human pancreatic cancer tissue. Reported results indicate that HS-7 demonstrated promising anti-cancer activity. Dr. Baker will continue with the next phase of preclinical studies and M. D. Anderson Cancer Center Orlando will work with HS Pharmaceuticals, LLC and 7 Oaks Pharmaceutical Corporation to progress the HS-7 compound into Phase 1 clinical trials for pancreatic cancer.

The companies have also contracted with Dr. Thomas Wagner (Director, Oncology Research Institute, Greeneville Hospital System) and Dr. Gunter Schwamberger (Professor, University of Salzburg, Austria) to research additional oncology applications for HS-7. Dr. Wagner and Dr. Schwamberger are now conducting animal studies on the compound’s effect in melanoma, lymphoma, leukemia, and sarcoma models.