Proneuron Receives Award for Outstanding Contribution to the New Jersey-Israel Life Science Year in the Area of Spinal Cord and CNS Treatments at event Organized by the New Jersey-Israel Commission Award Presented by Gov. of NJ and Vice Prime Minister of Israel October 27, 2003

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Los Angeles, California, Ness Ziona Israel and Trenton, NJ, October 27, 2003
Proneuron Biotechnologies (www.proneuron.com), a leader in the development of treatments for spinal cord injuries and other acute and chronic disorders of the central nervous system, accepted an award today from the Governor of New Jersey, the Honorable James E. McGreevey and the Vice Prime Minister of Israel, the Honorable Ehud Olmert, for "Outstanding Contribution to the New Jersey-Israel Life Science Year in the Area of Spinal Cord and CNS Treatments". The award was presented at a ceremony organized by the New Jersey-Israel Commission at the Trenton War Memorial celebrating the signing of the Declaration of Mutual Intent for A New Jersey-Israel Life Science Year (2003-2004) by leaders of the two states, Governor McGreevey and Vice Prime Minister Olmert.

"We are very pleased that New Jersey has set its sights on supporting research and development in the area of spinal cord and CNS treatments. New Jersey is home to many quality institutions and organizations in the field, with which we enjoy an ongoing and productive relationship. It is an honor to be chosen as the first emerging company to receive this award today," said Proneuron Biotechnologies CEO Mr. Nir Nirmodi.

Proneuron is currently engaged in a US IND Phase II study of ProCord therapy for the treatment of spinal cord injuries within 14 days of incident. Enrollment is now open at Sheba Medical Center in Israel and soon, will open at four sites in the U.S. These include Craig Hospital in Denver, Colorado; Mount Sinai Hospital in NYC; Shepherd Center in Atlanta and Kessler Institute for Rehabilitation in West Orange, NJ. Kessler and Mt. Sinai will be serviced by Progenitor Cell Therapy, L.L.C. (PCT) of Hackensack, New Jersey, Proneuron's choice laboratory in the region for cell processing.

"In the U.S. alone, there are an estimated 11,000 new spinal cord injuries per year. To date, spinal cord injuries have been considered permanent. Thanks to the work of Proneuron, this may not be the case any longer, giving new hope to thousands. Proneuron is working together with several well-regarded New Jersey institutions, which will shortly make the experimental treatment available in our state. These are the main reasons why we are honoring Proneuron today. New Jersey is proud to be a part of such a worthwhile endeavor," said Andrea Yonah, Executive Director of the NJ-Israel Commission. acology studies, Phase I safety and efficacy results, the Phase II protocol, the role and responsibilities of the Independent Data Monitoring Committee and the 24-hour call center and patient recruitment flow.

Interested patients, immediate family members of patients and/or physicians inquiries are requested to contact the Company's 24/7 patient recruitment center. Email: clinical.trial@proneuron.com; Telephone: 1 866 539 0767 (U.S. toll free) or 1 506 652 3486; Fax: 1 866-214-7078 *Callers outside of the U.S., please use standard international dialing code.

About Proneuron Biotechnologies
Proneuron Biotechnologies, Inc. is a privately held biopharmaceutical company developing products for the medical treatment of spinal cord injuries and other disorders of the central nervous system. Its products are based on proprietary technology for modulating the interaction between the nervous and the immune systems. The company is currently engaged in several clinical studies located in the U.S., Belgium and Israel. These include: a trial of Macrophage therapy for the treatment of spinal cord injuries and a trial of Cop-1 for the treatment of Huntington's disease (HD). In 2001, Proneuron entered into a strategic collaboration with Teva to develop and commercialize Cop-1 for various indications other than HD and ALS. Proneuron is also developing PN277 for the treatment of additional neurodegenerative diseases.

Press inquiries: Marjie Hadad, Marjie.hadad@proneuron.com; Marjie@netvision.net.il; +972-55-365-220