Stellar Pharmaceuticals Inc. Announces Revenue Increased by 25.7% Gross Profits up by 50.9%

LONDON, ONTARIO--(Marketwire - May 15, 2008) - Stellar Pharmaceuticals Inc. ("Stellar" or the "Company") (TSX VENTURE:SLX)(OTCBB:SLXCF) announced that for the three month period ended March 31, 2008, total operating revenues improved by 25.7%. This improvement was driven by increased international sales for NeoVisc, while cost of products sold for the period improved to 24.3% of product sales compared to 31.4% of product sales in the same period in 2007. The reduction in cost of products sold was a result of a decrease in the cost of materials used in the manufacturing process, as well as healthier production yields. These positive operating changes resulted in a gross profit increase of 50.9% over the same period in 2007.

Increased sales revenue was mainly a result of the growth in international sales of NeoVisc, which grew by 103.3%, as Stellar's new European partners increased their market penetration. While Canadian sales for the quarter decreased 9.5% compared to the same period in 2007 (due to price increases, which generated a buy-in of NeoVisc and Uracyst, in February 2007), BladderChek sales were up over 604% compared to the first quarter of 2007.

During the quarter the Company also received interim results of a 50 patient Canadian, community based, clinical trial with Uracyst, which showed positive results. The Company anticipates these results to be formally published or presented by the fourth quarter of this year and although there can be no assurance, the Company believes this will have a positive impact on Uracyst sales in all sectors.

Peter Riehl, Stellar's President and CEO stated, "We are very pleased with our progress in this quarter and believe these improvements should continue to occur for the balance of the year. The Company is moving forward to execute on its strategy to improve the top line and believes it is in a more positive position in its move to a profitable status for 2008."

As at March 31, 2008, the Company was debt free and had working capital of $3,852,700 of which $3,014,100 was in cash.

ABOUT STELLAR PHARMACEUTICALS INC.

Stellar has developed and is marketing direct in Canada and in countries around the world through out-license agreements two products based on its core polysaccharide technology: NeoVisc®, for the treatment of osteoarthritis; and Uracyst® and the Uracyst® Test Kit, its patented technology for the diagnosis and treatment of interstitial cystitis (IC), an inflammatory disease of the urinary bladder wall. Stellar also has in-licensing agreements for NMP22® BladderChek®, a proteomics-based diagnostic test for the diagnosis and monitoring of bladder cancer.

For more information, please contact

Stellar Pharmaceuticals Inc. Peter Riehl 1-800-639-0643 or (519) 434-1540

or

Stellar Pharmaceuticals Inc. Arnold Tenney (416) 587-3200