Anadys Pharmaceuticals, Inc. Appoints Frank V. Chisari, M.D., To Its Clinical & Scientific Advisory Board

SAN DIEGO, Jan. 10 /PRNewswire-FirstCall/ -- Anadys Pharmaceuticals, Inc. announced today that it has appointed Francis V. Chisari, M.D., to its Clinical and Scientific Advisory Board. Dr. Chisari joins current members, Spyros Artavanis-Tsakonas, Ph.D., David P. Clough, Ph.D., Jason S. Fisherman, M.D., Anna Suk-Fong Lok, M.D., John G. McHutchison, M.D., FRACP, K.C. Nicolaou, Ph.D., and Douglas D. Richman, M.D., Chairman of the Clinical and Scientific Advisory Board.

"We are deeply honored to have Dr. Chisari join our clinical and scientific advisory board and look forward to his knowledge and counsel as we advance our preclinical and clinical product candidates in hepatitis C, hepatitis B, other serious infectious diseases, and cancer," said Kleanthis G. Xanthopoulos, Ph.D., Anadys Pharmaceuticals' President and Chief Executive Officer.

Dr. Chisari is a Professor in the Department of Molecular and Experimental Medicine and Head of the Division of Experimental Virology at Scripps Research Institute, La Jolla, California. He is the author of more than 300 publications dealing with the immunobiology and pathogenesis of hepatitis B virus and hepatitis C virus infections.

His group was the first to define the CD4 and CD8 T-cell responses to HBV in infected patients, and to demonstrate that viral clearance occurs in the context of a vigorous multi-specific T cell response, while a weak or narrowly focused T cell response to the viral antigens leads to viral persistence. This series of landmark studies provided critical insight into the immunological basis of viral clearance and persistence during HBV infection, and established the scientific basis for development of specific immunotherapy for chronic hepatitis. Recently, his group developed a robust cell culture model of hepatitis C virus infection, opening the door for the development of antiviral drugs that interrupt all steps in the HCV life cycle.

In recognition of his scientific accomplishments, Dr. Chisari has received many honors and awards from prestigious professional societies, institutions and organizations. He received the Ernst Jung Prize in Medicine and the Rous-Whipple Award in Experimental Pathology; he is a Fellow of the American Association for the Advancement of Science and the American Academy of Microbiology; and he has been elected to membership in the Institute of Medicine and in the National Academy of Sciences, one of the highest honors that can be accorded a U.S. scientist.

About Anadys

Anadys Pharmaceuticals, Inc. is a biopharmaceutical company committed to advancing patient care by discovering, developing and commercializing novel small molecule medicines for the treatment of hepatitis C virus (HCV), hepatitis B virus (HBV), other serious infections, and cancer. The Company has core expertise in Toll-Like Receptor-based small molecule therapeutics and structure-based drug design coupled with medicinal chemistry. Anadys' clinical development programs include ANA975 for the treatment of HCV and HBV, and ANA380 for the treatment of HBV. In addition, Anadys' therapeutic platform is designed to advance a strong and continual pipeline of drug

candidates into the clinic.

Safe Harbor Statement

Statements in this press release that are not strictly historical in nature constitute "forward-looking statements." Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause Anadys' actual results to be materially different from historical results or from any results expressed or implied by such forward-looking statements. In particular, the results of initial clinical trials may not be predictive of future results, and Anadys cannot provide any assurances that any of its product candidates will have favorable results in future clinical trials or receive regulatory approval. In addition, Anadys' results may be affected by risks related to the implementation of its collaboration with Novartis, competition from other biotechnology and pharmaceutical companies, its effectiveness at managing its financial resources, its ability to successfully develop and market products, the level of effort that its collaborative partners devote to development and commercialization of its product candidates, difficulties or delays in its clinical trials, difficulties or delays in manufacturing its clinical trials materials, the scope and validity of patent protection for its products, regulatory developments involving future products and its ability to obtain additional funding to support its operations. These and other factors that may cause actual results to differ are more fully discussed in the "Risk Factors" section of Anadys' Form 10-Q for the quarter ended September 30, 2005. All forward-looking statements are qualified in their entirety by this cautionary statement. Anadys is providing this information as of this date and does not undertake any obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise.

Anadys Pharmaceuticals, Inc.

CONTACT: Vince Reardon, Sr. Director, Investor Relations, & CorporateCommunications of Anadys Pharmaceuticals, Inc., +1-858-530-3653,vreardon@anadyspharma.com

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