Corautus Genetics Inc. Announces Final Efficacy Results Of GENASIS Phase IIb Clinical Trial

ATLANTA, Oct. 10 /PRNewswire-FirstCall/ -- Corautus Genetics Inc. , a clinical stage biopharmaceutical company, announced today that the final efficacy results from its GENASIS Phase IIb clinical trial did not achieve a statistically significant difference from placebo in any active dose group for the primary efficacy endpoint. The primary efficacy endpoint in the GENASIS clinical trial was an improvement of at least one minute in exercise tolerance time ("ETT") from baseline to three months. The data indicated considerable overlap in results between the active and placebo groups for the secondary endpoints as well, and no clear dose effect was seen.

"The final efficacy results proved to be consistent with the preliminary data reviewed earlier this year by the independent Data Monitoring Committee (DMC) and as reported in our release of April 10, 2006," said Richard Otto, President and Chief Executive Officer of Corautus. "At that time, the DMC reviewed summary ETT data on 220 patients and recommended that enrollment in the GENASIS trial be terminated, a recommendation that Corautus accepted. When the trial was terminated, 295 patients had been enrolled. As reported in our release of July 13, 2006, we planned, and subsequently implemented, locking the database on those patients and began the complete efficacy analysis of both primary and secondary endpoints. The final data from the trial has now been received and studied."

"The placebo effect was much more significant and was sustained longer than was anticipated in the design of the GENASIS trial. In general, a majority of patients in all treatment arms (active and placebo) significantly improved from their baseline status in both primary and secondary efficacy endpoints; however, there was no significant separation from the placebo in any active dose group."

"We would like to thank both patients and investigators for their support and participation in this clinical development program for a disease that still represents a large unmet medical need," said Mr. Otto.

Mr. Otto continued, "We continue to support Phase I clinical trials involving VEGF-2 for both diabetic neuropathy and critical limb ischemia, but we have also actively focused recent efforts on identifying additional therapeutic development opportunities for Corautus via in-license, merger or acquisition. On September 30, 2006, we had approximately $19.7 million in cash and short-term investments in addition to our intangible assets of people, organizational structure, and experience. We intend to deploy our assets in programs and opportunities that will build long-term shareholder value."

About Corautus Genetics

Corautus Genetics is a clinical-stage biopharmaceutical company dedicated to the development of gene transfer therapy products for the treatment of cardiovascular (severe angina) and peripheral vascular disease. Corautus has been developing a gene therapy product candidate using the VEGF-2 gene to promote therapeutic angiogenesis in ischemic muscle. Corautus has a strategic alliance with Boston Scientific Corporation to develop, commercialize and distribute the VEGF-2 gene therapy products. For more information, please visit www.corautus.com.

About GENASIS

GENASIS was a randomized, double-blind, dose-ranging and placebo controlled Phase IIb clinical trial, which treated 295 patients with Class III or IV angina that were not suitable candidates for traditional revascularization procedures. The GENASIS trial was conducted in approximately 30 leading cardiac medical centers throughout the United States.

In the GENASIS trial, defined doses of VEGF-2 in the form of "naked" plasmid DNA, a non-viral delivery vector, were delivered to diseased heart muscle tissue via the Boston Scientific Corporation Stiletto(TM) endocardial direct injection catheter system. The injection procedure was performed by a cardiologist in a standard cardiac catheterization laboratory.

VEGF-2 is a naturally occurring growth factor that is believed to promote the development of supplemental collateral blood vessels, a process known as therapeutic angiogenesis. Once administered, the DNA plasmid appears to be taken up and expressed by myocardium near the injection site. Inside the cell, the DNA plasmid then enters the nucleus of the cell without a requirement of incorporation into the genomic DNA. The Phase IIb clinical trial was designed to determine the effect of the expression of DNA-encoded VEGF-2, which in turn is believed to stimulate the growth of new blood vessels by promoting the migration and proliferation of endothelial cells in the heart.

Forward-Looking Statements

This press release may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain factors, risks and uncertainties that may cause actual results, events and performances to differ materially from those referred to in such statements. These risks include statements that address the results of our clinical trial, the ability to identify and secure rights to new therapeutic development opportunities, operating performance, events or developments that we expect or anticipate will occur in the future, future results of operations or our financial condition, adequacy of funding, benefits from the alliance with Boston Scientific, research, development and commercialization of our product candidates, anticipated trends in our business, meeting additional capital requirements, and other risks that could cause actual results to differ materially. These risks are discussed in Corautus Genetics Inc.'s Securities and Exchange Commission filings, including, but not limited to, the risk factors in Corautus' 2005 Annual Report on Form 10-K which was filed on March 20, 2006 amended by Corautus' Form 10-Q for the period ended March 31, 2006 which was filed on May 15, 2006. All forward-looking statements included in this document are based on information available to Corautus on the date hereof, and Corautus assumes no obligation to update any such forward-looking statements.

CONTACTS: Corautus Genetics Inc. Michael K. Steele (404) 526-6212 msteele@corautus.com

Corautus Genetics Inc.

CONTACT: Michael K. Steele of Corautus Genetics Inc., +1-404-526-6212, ormsteele@corautus.com

Web site: http://www.corautus.com/