Hawaii Biotech Secures $7.8 Million in Series C Financing; Frank Herringer, Former Transamerica CEO, Amgen Director; and Dick Foster, ex-McKinsey Healthcare Practice Leader Join Board of Directors

Business Wire, Jan 9, 2006

HONOLULU, Hawaii -- Hawaii Biotech, Inc., a privately held biopharmaceutical company engaged in the research and development of human pharmaceuticals, announced today that it has raised $7.8 million in a Series C financing round. The round was led by Hawaii Biotech Board Chairman Nick Mitsakos with participation by both Hawaii based and Mainland private investors. As part of the financing, two nationally known figures in the life science arena will join Hawaii Biotech's Board of Directors. The new Board members are:

--Frank Herringer, Chairman and former CEO of Transamerica Corporation and a Board member of Amgen and Charles Schwab.

--Dick Foster, former founder and leader of the healthcare practice at McKinsey & Company, one of the nation's leading management consulting firms.

Proceeds of the financing will be used primarily to fund Hawaii Biotech's anti-inflammatory small molecule programs, including the pre-clinical and early clinical development of Cardax(TM), the Company's treatment for cardiovascular inflammatory disease, as well as general corporate purposes. Hawaii Biotech expects that its vaccine programs will be funded by a combination of strategic initiatives and grant funding.

In addition to Mitsakos and new board members, Herringer and Foster, the Company's Board of Directors includes Fred Pashkow, MD, Medical Director Cardiovascular Medical Affairs for Sanofi-Aventis; and Hawaii Biotech President and CEO, David G. Watumull. Previous Board members William K. Richardson, Debra Guerin, and Edwin C. Cadman, MD, have stepped down.

"We thank our investors for their support and are also grateful to our departing Board members for their valued service," said David G. Watumull, President and CEO of Hawaii Biotech, Inc. "Looking ahead, we are indeed fortunate to have people of Frank and Dick's caliber and experience in the life science area to help guide us as we move Hawaii Biotech into human clinical trials and onto a national stage."

"Hawaii Biotech's programs are quite promising and I intend to play an active role as a Board Member," stated new Hawaii director Frank C. Herringer, Chairman and former CEO of Transamerica, a financial services company, and Amgen director. Herringer and Hawaii Biotech Board Chairman Nick Mitsakos have worked together for more than five years as board members of Mirapoint, Inc., a company founded by Mitsakos.

"Hawaii Biotech's work is important and as a Board member my role will be to help make this company a success," said Dick Foster, a former leader of the healthcare practice at McKinsey & Co. At McKinsey, Foster led the firm's relationship with the world's largest integrated healthcare company as well as founding the healthcare, technology, and private equity practices.

About Cardax(TM)

Cardax(TM), Hawaii Biotech's proprietary small molecule anti-inflammatory compound, has an outstanding safety profile and localizes in cardiac tissue. In animal studies, it has been shown to reduce cardiac inflammation and evidence of damage related to myocardial infarction. First indications include reduction of general cardiac inflammation as well as treatment for peri-procedural damage in patients undergoing angioplasty.

About Hawaii Biotech

Hawaii Biotech, Inc. is a privately held biopharmaceutical company engaged in the research and development of human pharmaceuticals. It is currently developing products from two product platforms:

--Small molecules with potent anti-inflammatory activity and an outstanding safety profile. First applications include: the reduction of cardiovascular inflammation and the reduction of peri-procedural damage in angioplasty patients.

--Vaccines for dangerous global diseases. First applications include safer, highly protective vaccines for West Nile, dengue, and pandemic flu. Hawaii Biotech's vaccine technology was featured on the cover of the January 22, 2004 edition of Nature magazine.

For more information, please visit http://www.hibiotech.com.

FRANK C. HERRINGER

Herringer, age 62, has been Chairman of the Board of Transamerica Corporation, a financial services company since 1996. He served as Chief Executive Officer of Transamerica from 1991 to 1999 and President from 1986 to 1999. In 1999, Transamerica was acquired by Aegon N.V. From the date of the acquisition until 2000, Herringer served on the executive board of Aegon N.V. and as Chairman of the Board of Aegon U.S.A.

Herringer is also a director of Amgen, Inc., a biotechnology company; the Charles Schwab Corporation, a financial services firm; and Mirapoint, Inc., an Internet message infrastructure equipment developer, where current Hawaii Biotech Chairman Nicholas Mitsaskos is also a director. Herringer graduated from Dartmouth College with A.B. and M.B.A. degrees.

RICHARD FOSTER

Foster is the Managing Partner of Foster Health Partners, LLC. Prior to forming Foster Health Partners, Foster was, for 22 years, a senior partner and director of McKinsey & Company. Foster co-founded the Firm's high technology practice in the late '70s, the chemicals practice in the early '80s, the healthcare practice in the late '80s, and the private equity practice in the 1990s. He also led McKinsey's worldwide knowledge development from 1995 to 1998. He devoted most of his time to the top management of the world's largest integrated healthcare company where he was a lead external advisor from 1980 - 2003.