March 2010 Announcement 2

TauRx is continuing the clinical evaluation of LMTX™, a second-generation form of rember®, that delivers the same active moiety as rember® into the blood, in healthy elderly volunteers now under an open US IND. TauRx has prioritized LMTX™ ahead of rember® due to preclinical and early clinical results indicative of its improved bioavailability and tolerability, possibly allowing for higher dosing levels and greater clinical efficacy than the striking effects already seen with rember®.  Preparations are underway to commence phase 3 pivotal clinical evaluation of LMTX™ during 2010.