BELTSVILLE, Md., June 29 /PRNewswire-FirstCall/ -- Spherix Incorporated held its Annual Shareholders Meeting at the Rocky Gap Lodge and Golf Resort in Flintstone, MD, on June 28, 2006. The following Directors were elected:
* Douglas T. Brown, Senior Vice President and Manager of the Corporate Banking Government Contracting Group for PNC Bank * A. Paul Cox, Jr., Principal, Asset Protection Company * George C. Creel, former Executive VP and Chief Operating Officer, Baltimore Gas and Electric Co. * Gilbert V. Levin, Ph.D., Chairman of the Board and Executive Officer for Science, Spherix * M. Karen Levin, former Vice President, Spherix * Richard C. Levin, CEO and President, Spherix * Robert A. Lodder, Jr., Director of the Analytical Spectroscopy Research Group of the Advanced Science and Technology Center at the University of Kentucky * Robert J. Vander Zanden, Ph.D., former Vice President, R&D, Kraft Foods International
In addition, Grant Thornton LLP was selected as the Company’s independent accountants for the year 2006.
Dr. Gilbert Levin, Chairman, emphasized the progress made in the Company’s development of Naturlose as an anti-diabetes drug. Mr. Richard Levin, CEO and President, gave the Shareholders an update on both Spherix and InfoSpherix. Mr. Levin summarized the accomplishments of the Companies over the past year. He stressed the importance of receiving permission from the FDA to conduct a Phase 3 trial on the Firm’s diabetes drug, and pointed to the signing of an FDA drug regulatory consultant, and the recent letting of a contract to a clinical research organization to conduct the Phase 3 trial. He reported that additional capital has been raised to support these efforts. A new InfoSpherix office was opened in Indianapolis, and several contracts were won, which increased backlog by $19 million. Mr. Levin said all of the above was accomplished while reducing the 1st quarter 2006 consolidated net loss by 50%.
Mr. Levin said he hopes the Phase 3 trial will begin in March 2007, and in the best case scenario take 3 years to gain approval; however, he cautioned that issues could arise that could affect the length of the trial, or even its success. Mr. Levin said he feels optimistic because of the long safety record established for Naturlose, and said safety, or adverse side effects, are the most frequent cause of drug trial failures. The Company is seeking a pharmaceutical partner to commercialize, manufacture, and market the drug. As a contingency, additional financial arrangements are being sought. Mr. Levin concluded his remarks by saying, “We plan to build on our recent successes with Naturlose, continue our improvements in profitability, and increase revenues by winning several of the procurements soon to be issued.”
A question and answer session followed Mr. Levin’s presentation. A brief tour of InfoSpherix’s Cumberland contact center was held at 1:00 p.m.
Certain statements contained herein are “forward looking” statements as defined in the Private Securities Litigation Reform Act of 1995. Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied. Factors that could cause actual results to differ materially from those expressed or implied include, but are not limited to, those discussed in filings by the Company with the Securities and Exchange Commission, including the filing on Form 8-K made on March 3, 1999.
Under its motto, “A World of Solutions,” Spherix’s mission is to create value and increase shareholder wealth through innovations that benefit our clients and the human condition. Spherix offers innovations in information technology, knowledge management, and biotechnology. Spherix’s Internet address is http://www.spherix.com.
Spherix Incorporated
CONTACT: Spherix Incorporated Investor Relations, +1-301-419-7877,info@spherix.com
Web site: http://www.spherix.com//
