Cambridge Biotech Corporation Reports on District Court Hearing
WORCESTER, Mass., Sept. 18, 1996/ - Cambridge Biotech Corporation (OTC: CBCXQ)
reported today that the U.S. District Court (District of Massachusetts) held a hearing on the merits
of the appeal by Institut Pasteur and Pasteur Sanofi Diagnostics of the U.S. Bankruptcy Court's
confirmation of CBC's plan of reorganization. Two separate appeals filed by Alfa Laval Agri
were withdrawn prior to the hearing after the company entered into a settlement agreement with
CBC.
The court took the matter under advisement and indicated that it expects to issue a ruling in the
near future. The court extended the current stay of the confirmation order pending its ruling and
ordered Pasteur to show cause why it should not be required to post an initial bond in the amount
of $3 million if the appeal is not decided by the end of September.
Cambridge Biotech Corporation, which filed for protection under Chapter 11 of the United States
Bankruptcy Code on July 7, 1994, is a therapeutics and diagnostics company focusing on
infectious diseases and cancer. The Company is developing and commercializing products which
stimulate the immune system for use in treating certain infectious diseases and specific cancers.
The therapeutic products include the Stimulon(TM) family of adjuvants, the most advanced of
which, QS-21, is in clinical development through corporate and academic partners, and
proprietary vaccines. The proprietary vaccines include a feline leukemia vaccine currently on the
market, and in development human vaccines for pneumococcal infections, malaria and tick-borne
diseases, and animal vaccines for bovine mastitis and canine Lyme disease. Cambridge Biotech's
diagnostic business is primarily focused on retroviral and Lyme diseases.
Statements in this release which relate to plans and objectives of management for future
operations or which otherwise relate to future performance are forward looking statements.
Actual results may differ from those projected as a result of the Company's success in emerging
from bankruptcy, product demand, pricing, market acceptance, the effect of economic conditions,
intellectual property, competitive products, risks in product and technology development, and
other risks identified in the Company's Securities and Exchange Commission filings.
SOURCE Cambridge Biotech Corporation/CONTACT: Alison Taunton-Rigby, President, Chief
Executive Officer of Cambridge Biotech Corporation, 508-797-5777, or Robert Gottlieb of
Senior Vice President of Feinstein Partners, Inc., 617-577-8110/ (CBCXQ)