Bradmer second-quarter net loss decreases to US$161,000

Bradmer Pharmaceuticals Inc. ("Bradmer" or the "Company") today announced its 2010 second quarter financial results.

Operational Highlights

On July 29, 2010, subsequent to the quarter end, the Company announced that it had issued and sold, on a private placement basis, an aggregate 5,263,158 common shares at a price of CDN$0.095 per share, for aggregate gross proceeds to the Company of CDN$500,000 (approximately US$475,000).

The proceeds of the Offering will be used primarily for general corporate purposes. Completion of the financing is subject to the final approval of the NEX Board of the TSX Venture Exchange. The common shares issued pursuant to the Offering will be subject to a hold period expiring four months and one day after the closing date of the financing.

In connection with the financing, Wildlaw Capital Markets Inc. received a cash commission of CDN$19,250 and warrants exercisable to acquire 202,631 common shares at a price of CDN$0.095 per share, for a period of 12 months following the closing date of the transaction.

The Company has continued to execute on its cash conservation plan in the second quarter after the termination of all staff and the elimination of clinical trial related expenses. Dr. Alan Ezrin and Paul Van Damme continue to serve as Chief Executive Officer and Chief Financial Officer, respectively, on a part-time consultancy basis.

Financial Results

Amounts in US dollars, unless specified otherwise, and results expressed in accordance with Canadian Generally Accepted Accounting Principles (Canadian GAAP).

For the three months ended June 30, 2010, Bradmer recorded a net loss of $161,000 or $0.01 per common share based on the weighted average outstanding shares of 14,396,574 during the period, compared to a net loss of $1,762,000 or $0.13 per common share for the three months ended June 30, 2009 based on the weighted average outstanding shares of 13,488,215. The decreased loss in 2010 was due to the wind-down of the Company's lead clinical program, Neuradiab, in preparation for the planned dormancy of the Company as well as the reduction in the Company's staffing and administrative functions during 2009.

Research and development expenses totaled $17,000 in the three months ended June 30, 2010, compared to $824,000 in the second quarter of 2009. The decrease was due to the cessation of the clinical trial and related manufacturing activities during 2009. Expenses in 2010 consisted primarily of patent fees and drug storage costs. Stock-based compensation amounted to $4,000 in 2010.

General and administrative expenses were $116,000 in the second quarter of 2010 compared to $734,000 in the same period of 2009 as a result of the wind-down of the Company's operations. As at December 31, 2009, all employees had been terminated and their employment contracts satisfied. Expenses in 2010 consisted primarily of consulting and legal fees, stock exchange listing fees and directors and officers' liability insurance.

For the six months ended June 30, 2010, Bradmer recorded a net loss of $278,000 or $0.03 per common share based on the weighted average outstanding shares of 10,465,936 during the period, compared to a net loss of $3,954,000 or $0.29 per common share for the six months ended June 30, 2009 based on the weighted average outstanding shares of 13,488,215. The decreased loss in 2010 was due to the wind-down of the Company's lead clinical program, Neuradiab, in preparation for the planned dormancy of the Company as well as the reduction in the Company's staffing and administrative functions during 2009.

Research and development expenses totaled $36,000 in the six months ended June 30, 2010, compared to $2,246,000 in the same period of 2009. The decrease was due to the cessation of the clinical trial and related manufacturing activities during 2009. Expenses in 2010 consisted primarily of patent fees and drug storage costs. Stock-based compensation amounted to $9,000 in 2010.

General and administrative expenses were $224,000 in the first half of 2010 compared to $1,499,000 in the same period of 2009 as a result of the wind-down of the Company's operations. Expenses in 2010 consisted primarily of consulting and legal fees, stock exchange listing fees and directors and officers' liability insurance.

At June 30, 2010, the Company had working capital of $1,233,000, as compared to $810,000 at December 31, 2009. Bradmer had available cash of $1,226,000 at June 30, 2010, as compared to cash of $860,000 at December 31, 2009. The increase was due to the private placement financing partially offset by the operating loss incurred in the period and the reduction in accounts payable and accrued liabilities.

As at June 30, 2010, there were 14,396,574 common shares issued and outstanding, 3,311,932 warrants and 499,000 stock options.