Clinical Data Announces Results for Fiscal Third Quarter Ended December 31, 2005; Performance Reflects Recent Acquisitions of Genaissance, Icoria, and Electa Lab Including One-time $40.1 Million Non-Cash Charge

Business Wire, Feb 14, 2006

NEWTON, Mass. -- Quarterly Revenue up 38% over Prior Year Quarter

Clinical Data, Inc. (NASDAQ: CLDA), a worldwide leader in commercializing pharmacogenomic services and products to guide drug utilization, today announced consolidated revenues and earnings for the third quarter ended December 31, 2005. Revenues for the three-month period were $19.9 million compared to $14.4 million for the same period a year ago, an increase of 38.6%. The Company reported a net loss of $42.7 million and a net loss applicable to common stockholders of $42.8 million, or ($6.25) per basic common share, based on 6.84 million weighted average shares outstanding compared with net income of $1.0 million, or $0.23 per common share, for the third quarter last year based on 4.39 million average shares outstanding.

Revenues for the nine-month period ended December 31, 2005 were $45.6 million as compared to $43.7 million for the same period last year, an increase of 4.2%. The Company reported a net loss of $41.9 million, or a net loss applicable to common stockholders of $42.0 million, or ($8.05) per common basic share, based on 5.21 million weighted average shares outstanding as compared with net income of $3.2 million, or $0.73 per basic common share, for the same period last year based on 4.39 million weighted average shares outstanding.

Israel M. Stein, M.D., President and CEO of Clinical Data, said, "The quarter ending December 31, 2005 represents a key period in the strategic repositioning of the Company with our series of acquisitions during the period of industry-leading companies in molecular services. Revenues for the quarter were up sharply from the comparable period a year ago on a larger asset base, while profitability was impacted primarily by one-time, non-cash charges associated with these strategic acquisitions. Specifically, we recognized $40.1 million in aggregate purchased in-process R&D expense primarily related to the development of an efficacy biomarker for our anti-depressant vilazodone and a safety biomarker for the antipsychotic clozapine, two of the leading products in development acquired from Genaissance."

Dr Stein continued, "In aggressively pursuing a return to profitability of Genaissance and Icoria, we eliminated annualized expenses of over $9 million resulting in a positive trend in the underlying operational performance of both companies. We also continue to invest heavily in the development of vilazodone. We have made substantial progress in moving vilazodone clinical trials forward with the first of our two anticipated pivotal Phase III studies where we have already screened our first patients for the first study. We have had a very encouraging quarter and we believe the strategic repositioning we have undertaken is providing tangible benefits."

About Clinical Data, Inc.

Clinical Data, Inc. is a worldwide leader in providing molecular services and clinical diagnostics to improve patient care. Clinical Data's molecular services division is among the largest independent providers of pharmacogenomics and metabolomics services globally and consolidates the operations of Genaissance Pharmaceuticals, Inc., Lark Technologies, Inc. and Icoria, Inc., each acquired during 2005. The division is utilizing pharmacogenomics to develop molecular diagnostics and more efficacious therapeutics by finding genetic markers to guide drug development and utilization. These services are marketed to the pharmaceutical, biotech, clinical, academic, government and agricultural marketplaces. Clinical Data's Vital Diagnostics division consolidates the operations of Clinical Data Sales & Service, Inc., Vital Scientific NV, Vital Diagnostics Pty. Ltd., and Electa Lab s.r.l., which are each focused on the small volume clinical diagnostics market worldwide. Vital Diagnostics' instrumentation business has a market focus on the physician's office, hospital and small-to-medium sized laboratory segments. With customers in approximately 100 countries, Vital Diagnostics has also achieved a leading market share for instruments and reagents sold into moderately complex physicians' office laboratories within the United States.

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This press release contains certain forward-looking information and statements that are intended to be covered by the safe harbor for forward looking statements provided by the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts. Words such as "expect(s)", "feel(s)", "believe(s)", "will", "may", "anticipate(s)" and similar expressions are intended to identify forward-looking statements. Such statements are subject to certain risks and uncertainties, the effects of which are difficult to predict and generally beyond the control of the Company, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements. These risks and uncertainties include, but are not limited to, whether vilazodone will advance further in the clinical trials process; whether future clinical trials will warrant continued product development; whether and when, if at all, vilazodone will receive final approval from the U.S. Food and Drug Administration or equivalent regulatory agencies, and for which indications; the extent to which genetic markers (haplotypes) are predictive of clinical outcomes and drug efficacy and safety; whether vilazodone will be successfully marketed; whether Clinical Data will be able to develop or acquire additional products and attract new business and strategic partners; competition from pharmaceutical, biotechnology and diagnostics companies; the strength of our intellectual property rights; the effect on the Company's operations and results of significant acquisitions or divestitures made by major competitors; the Company's ability to achieve expected synergies and operating efficiencies in all of its acquisitions, and to successfully integrate its operations; and those risks discussed and identified by Clinical Data in its public filings with the U.S. Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of the date hereof. Clinical Data does not undertake any obligation to republish revised forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Readers are also urged to carefully review and consider the various disclosures in Clinical Data's SEC reports, including but not limited to its Annual Report on Form 10-KSB for the fiscal year ended March 31, 2005, and fiscal 2005 and 2006 quarterly reports on Forms 10-QSB and 10-Q.