Iomai Corp (IOMI)

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Iomai Announces Year-End 2007 Financial Results and Business Progress
Thursday March 6, 8:00 am ET
Conference Call at 1:30 p.m. Eastern Time Today

GAITHERSBURG, Md., March 6 /PRNewswire-FirstCall/ -- Iomai Corporation (Nasdaq: IOMI - News) today reported financial results and corporate progress for the full year ended December 31, 2007.

"In the past few months, we have further demonstrated that Iomai's vaccine and immunostimulant patches can be safely and effectively self-applied," said Stanley C. Erck, president and chief executive officer of Iomai. "This lays the foundation for a revolution in the way vaccination is approached. Rather than shots at a doctor's office or travel clinic, we believe we have a platform that makes possible a vaccine that could be mailed to consumers and self-applied."

"2007 was a groundbreaking year for Iomai, with the positive results from the Phase 2 field study of our travelers' diarrhea vaccine and the $128 million government contract to fund the development of our adjuvant patch for pandemic influenza," continued Mr. Erck. "This year, we hope to build on those achievements by pursuing a partnering deal, announcing results from the Phase 1/2 trial of our adjuvant patch for pandemic influenza and preparing to conduct a pivotal Phase 3 trial for our travelers' diarrhea vaccine in 2009."

Full-Year and Fourth Quarter 2007 Financial Results

For the full year ended Dec. 31, 2007, Iomai reported a net loss available to common stockholders of $28.3 million, or $1.16 per share, compared to a net loss of $32.3 million, or $2.03 per share, for the year ended Dec. 31, 2006. The lower net loss per share in 2007 was attributable to increased revenues principally under our Department of Health and Human Services ("DHHS") contract, which was awarded in January 2007 and the increased number of shares outstanding as a result of our $30.2 million private placement completed on March 2, 2007. For the fourth quarter of 2007, Iomai's net loss was $6.2 million, or $0.24 loss per share, compared to a net loss in the fourth quarter of 2006 of $9.9 million, or $0.53 loss per share. As of Dec. 31, 2007, Iomai had common stock outstanding of 25,588,673 shares.

The Company reported revenues of $10.7 million for the year ended Dec. 31, 2007, compared to $1.5 million in the year ended Dec. 31, 2006. The increase in revenue in 2007 was principally from the reimbursement of expenses incurred under the DHHS contract. Iomai reported revenues of approximately $3.3 million in the fourth quarter of 2007, compared to approximately $40,000 in the fourth quarter of 2006.

Total operating expenses were $39.8 million in 2007, compared to operating expenses of $33.9 million in 2006. The increase in operating expenses was primarily due to five major factors associated with supporting our development programs: (1) higher payroll and stock compensation costs associated with a 28% increase in full-time employee equivalents, (2) higher facility costs associated with leasing additional space, (3) increased animal study costs associated with work performed under our DHHS contract, (4) higher contract manufacturing costs associated with procuring and finishing the pandemic flu vaccine for the clinical trial under the DHHS contract, and (5) higher consulting costs associated with market studies for our product candidates. These increased costs were partially offset by lower development costs for our skin preparation system.

Total operating costs for the fourth quarter of 2007 were $9.6 million as compared to $10.1 million for the fourth quarter of 2006. The decrease in operating expenses was primarily due to decreased in year-to-year clinical trial costs for Iomai's needle-free travelers' diarrhea vaccine and decreased contract manufacturing expenses.

As of Dec. 31, 2007, Iomai had unrestricted cash and cash equivalents and marketable securities of $15.5 million compared to $22.0 million on Sept. 30, 2007.

Iomai expects to be able to fund its capital expenditures and operations with its current working capital and reimbursement of expenses under our existing government grants and contracts into the third quarter of 2008.

Conference Call Details

To access the live conference call on Thursday, March 6 at 1:30 p.m. Eastern Time via phone, please dial 866-578-5784 from the United States and Canada or 617-213-8056 internationally. The conference ID is 87233725. Please dial in approximately 10 minutes prior to the start of the call. A telephone replay will be available beginning approximately one hour after the call through March 10 and may be accessed by dialing 888-286-8010 from the United States and Canada or 617-801-6888 internationally. The replay passcode is 74369365.

To access the live and subsequently archived webcast of the conference call, go to the Investor Relations section of the Company's website at http://www.iomai.com. Please connect to the web site at least 15 minutes prior to the call to allow for any software download that may be necessary. The webcast is also being distributed through the Thomson StreetEvents Network. Individual investors can listen to the call at http://www.earnings.com, Thomson's individual investor portal, powered by StreetEvents. Institutional investors can access the call via Thomson StreetEvents (http://www.streetevents.com), a password-protected event management site.