SciClone Reports Results for the First Quarter 2008

SciClone Pharmaceuticals, Inc. (NASDAQ: SCLN) today reported results for the first quarter ended March 31, 2008.

"Over the course of the first quarter, product revenues from ZADAXIN® sales increased 23% to exceed $10 million, and for the first time, we are providing quarterly financial data for SciClone China to quantify the value of this unique asset," said Friedhelm Blobel, Ph.D., President and Chief Executive Officer of SciClone Pharmaceuticals, Inc. "In the United States and Europe, we advanced our pipeline of development-stage compounds by initiating our phase 2 RP101 clinical trial for pancreatic cancer and continuing enrollment in the phase 2 SCV-07 proof-of-concept trial in hepatitis C (HCV). In addition, we look forward to unblinding and reporting final data for our phase 3 trial evaluating thymalfasin in triple therapy to treat patients infected with HCV who have not responded to standard therapy in the third quarter of 2008."

Financial Results

For the first quarter 2008, product revenues from the sale of ZADAXIN increased by 23% to $10,634,000, compared with product revenues of $8,644,000 for the first quarter 2007. The increase in product revenues for the first quarter 2008 is primarily attributable to an increase in the quantity of ZADAXIN sold in the People's Republic of China ("China"), which accounted for approximately 94% of total ZADAXIN sales for the quarter.

Research and development expenses for the first quarter 2008, including related party research and development, totaled $7,549,000, compared with $2,423,000 for the first quarter 2007. The increase was due to expenses associated with clinical development activities for RP101, SCV-07, and thymalfasin and includes a $1.3 million milestone payment paid to RESprotect GmbH upon initiation of the phase 2 RP101 clinical trial. General and administrative expenses for the first quarter 2008 were $3,021,000, compared with $2,610,000 for the first quarter of 2007.

Net loss for the first quarter 2008 totaled $5,659,000, or $0.12 per share, compared with $624,000, or $0.01 per share, for the first quarter 2007.

Cash, cash equivalents and short-term investments totaled $25,767,000 at March 31, 2008, compared with $35,281,000 at December 31, 2007 and $38,986,000 at March 31, 2007.

SciClone China Quarterly Financial Data

For the first quarter of 2008, SciClone China generated product revenues of $9,990,000 from sales of ZADAXIN, a 26% increase compared with $7,918,000 of product revenues for the first quarter 2007. SciClone China operating income for the first quarter of 2008 was $4,807,000. These SciClone China results are provided on a GAAP basis and exclude inter-company expenses. Inter-company expenses payable to the Company from SciClone China were $597,000 in the first quarter.

Recent Highlights

--  SciClone presented a corporate overview at several investor
    conferences.

--  SciClone hosted symposia at the European Association for the Study of
    the Liver and the Asian Pacific Association for the Study of the Liver
    where medical experts presented the benefits and use of thymalfasin for the
    treatment of hepatitis B, hepatitis C, and liver cancer.

--  SciClone Pharmaceuticals International Ltd. (SPIL) received approval
    from the Russian Ministry of Health and Social Development to commercialize
    ZADAXIN for treatment of hepatitis B and hepatitis C. SPIL expects to
    record initial sales of ZADAXIN in Russia during the second quarter of
    2008.
    

Financial Guidance for 2008

For the full year 2008, SciClone expects product revenues of $42 million to $44 million, a 14 to 19% increase compared with revenues of $37 million for 2007, primarily due to the continued growth of ZADAXIN sales to China. SciClone expects research and development expenses of approximately $27 million for 2008, of which approximately $12 million relate to the ongoing phase 2 pancreatic cancer clinical trial for RP101. Beyond 2008, the Company expects a substantial reduction in expenses required to complete the phase 2 RP101 clinical trial. For the full year 2008, SciClone expects net loss to be $17 million to $19 million, or $0.38 to $0.41 per share, and expects to end 2008 with $10 million in cash, cash equivalents, and short-term investments.

For SciClone China, SciClone expects product revenues of between $40 million to $42 million and operating income of $16 million to $18 million for the full year 2008.

Conference Call

SciClone will host a conference call at 11:00 a.m. ET (8:00 a.m. PT) today, Thursday, May 8, 2008. Management will review its operating results for the first quarter 2008 and give a business update. A live webcast can be accessed by visiting the Investor Relations section of SciClone's website at www.sciclone.com .

DATE:          Thursday, May 8, 2008
TIME:          11:00 a.m. ET (8:00 a.m. PT)
WEBCAST:       Live call and replay accessible at  www.sciclone.com 
LIVE CALL:     877-419-6600 (U.S./Canada)
               719-325-4896 (International)
REPLAY:        888-203-1112  (U.S./Canada)
               719-457-0820 (International)
               Passcode:  2400325
               (Replay and available from 2:00 p.m. ET on May 8, 2008
               through 11:59 p.m. ET on June 6, 2008)