Oral GLP-1, GLP-1 Analogues and Combined PYY and GLP-1 for Type 2 Diabetes

Emisphere is conducting early research using its Eligen^® Technology and GLP-1, a potential treatment for Type 2 diabetes, which represents a potential market of 18 million managed patients. A second, early-stage human study of an oral formulation that combines PYY and GLP-1 has commenced. The Company expects publication of the first and second studies in 2008.

Many experts believe that the future of diabetes treatment lies in the various analogues of GLP-1 that are being developed, and Emisphere is extensively involved in this area. The work the Company is currently doing with GLP-1 may be indicative of how the technology will perform with the more highly touted analogues.

Clinical studies at University Hospital in Switzerland demonstrated that Emisphere's Eligen^® Technology can orally deliver the incretin hormones GLP-1 and PYY. The oral administration of both peptides induced a rapid and dose-dependent, statistically significant increase in plasma drug concentrations at all doses tested versus a placebo.