Vical Incorporated’s DNA Vaccine With Vaxfectin(TM) Adjuvant Advances In Pandemic Influenza Program

SAN DIEGO, March 31 /PRNewswire-FirstCall/ -- Vical Incorporated announced today that an influenza (flu) DNA vaccine formulated with the company’s patented Vaxfectin(TM) adjuvant protected mice against lethal challenges with two different strains of human influenza virus. The data were presented in a poster Thursday evening at the Keystone Symposium, “Advances in Influenza Research: From Birds to Bench to Bedside.” The study was part of the company’s program to develop a DNA vaccine that could ultimately protect humans against emerging strains of avian flu that could cause a pandemic. Funding for the study was included under a previously-announced grant from the National Institutes of Health.

The DNA vaccines tested in mice targeted highly-conserved influenza proteins -- nucleoprotein (NP) and matrix protein (M2) -- and were systematically tested with Vaxfectin(TM) and other formulations. Vaxfectin(TM)-formulated vaccines demonstrated statistically superior protection in mice, particularly at low doses, against lethal challenges with H1N1 or H3N2 strains of human influenza. The program has advanced to lethal challenge testing in mice and ferrets with the H5N1 strain of avian influenza in BSL-3 facilities at St. Jude Children’s Research Hospital. Results from testing of Vaxfectin(TM)-formulated vaccines targeting NP, M2 and H5, are expected to be available in the second half of 2006.

“Our pandemic influenza vaccine program has advanced rapidly from initial concept, through lethal challenge testing against human flu strains in animals, to lethal challenge testing against the H5N1 avian flu strain in animals,” said David C. Kaslow, M.D., Vical’s Chief Scientific Officer. “The human flu strain challenge data confirmed the concept of cross-protection via low-dose, Vaxfectin(TM)-formulated DNA vaccines targeting conserved influenza proteins, and drove our design of vaccines for the avian influenza challenge studies.”

About Vical

Vical researches and develops biopharmaceutical products based on its patented DNA delivery technologies for the prevention and treatment of serious or life-threatening diseases. Potential applications of the company’s DNA delivery technology include DNA vaccines for infectious diseases or cancer, in which the expressed protein is an immunogen; cancer immunotherapeutics, in which the expressed protein is an immune system stimulant; and cardiovascular therapies, in which the expressed protein is an angiogenic growth factor. The company has retained all rights to its internally developed product candidates. In addition, the company collaborates with major pharmaceutical companies and biotechnology companies that give it access to complementary technologies or greater resources. These strategic partnerships provide the company with mutually beneficial opportunities to expand its product pipeline and serve significant unmet medical needs. Additional information on Vical is available at www.vical.com.

This press release contains forward-looking statements subject to risks and uncertainties that could cause actual results to differ materially from those projected, including: whether Vical or others will continue development of the influenza vaccine; whether the vaccine will be shown to be protective against lethal avian influenza challenge in animals; whether H5N1 or other strains of avian influenza will emerge as pandemic threats; whether the vaccine will be effective in protecting humans against H5N1 or other strains of avian influenza; whether the company’s formulated vaccine candidates will be able to provide cross-protection against emerging strains of influenza; the timing, nature and cost of any additional development; whether any other product candidates under development by Vical or its collaborators will be shown to be safe and effective; whether Vical or its collaborative partners will seek or gain approval to market any product candidates; whether Vical or its collaborative partners will succeed in marketing any product candidates; and additional risks set forth in the company’s filings with the Securities and Exchange Commission. These forward-looking statements represent the company’s judgment as of the date of this release. The company disclaims, however, any intent or obligation to update these forward-looking statements.

Contacts: Investors: Media: Alan R. Engbring Susan Neath Vical Incorporated Porter Novelli Life Sciences (858) 646-1127 (858) 527-3486 Website: www.vical.com

Vical Incorporated

CONTACT: Investors, Alan R. Engbring of Vical Incorporated,+1-858-646-1127, or Media, Susan Neath of Porter Novelli Life Sciences,+1-858-527-3486, for Vical Incorporated

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