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    Pam Lord
    Porter Novelli Life Sciences
    619-849-6003
    plord@pnlifesciences.com

Nereus Pharmaceuticals Names Chief Scientific Officer and Vice President of Finance

San Diego, California - July 31, 2000 - Nereus Pharmaceuticals, Inc., an emerging leader in drug discovery and development, announced today that G. Kenneth Lloyd, Ph.D., has joined Nereus as its Chief Scientific Officer. Also joining Nereus is Donald Salz as its Vice President of Finance and Administration. Both Ken and Don will report directly to Kobi Sethna, President and Chief Executive Officer.

Ken joins Nereus with 25 years of experience in Drug Discovery and Development. Most recently, Ken held the position of Vice President of Biology at SIBIA Neurosciences, Inc. With SIBIA he was involved in the initiation and development of the drug discovery program, including High Throughput Screening and Clinical Development. Prior to SIBIA, Ken was Director of Research and Assistant VP at Wyeth-Ayerst in the United Kingdom and was previously with Synthelabo of Paris, France. Ken has been instrumental in the discovery and development of highly successful commercial products and has a remarkable record for establishing drug discovery research teams leading to fast-track entry of novel molecules into clinical development.

Don brings to Nereus over 18 years of financial experience. This includes approximately 8 years of experience in senior management positions ranging from multi-billion dollar health care related companies to early stage start-up ventures. Previously, Don was with Arthur Andersen, as a manager in their health care group.

"We are pleased to welcome Ken and Don to Nereus as the company accelerates its microbial drug discovery and oral TNF-àlpha synthesis inhibitor development programs," said Kobi Sethna, President and Chief Executive Officer of Nereus.

About Nereus Pharmaceuticals, Inc.
Nereus Pharmaceuticals is an innovative drug discovery and development company pursuing untapped sources of chemical diversity. With unmatched expertise in marine microbiology and structural elucidation, Nereus is using its integrated platform technologies to identify novel biologically active compounds. The company believes that its marine microbes will be the next great source of drug discovery for the pharmaceutical industry. Nereus aims to develop and optimize drug candidates to treat cancer, infectious diseases, and inflammation. The company's lead compounds, a small molecule, oral TNF-àlpha and IL-1 synthesis inhibitor and a novel anti-cancer agent, are progressing through preclinical development. Nereus is privately held and based in San Diego, California. For more information, visit www.nereuspharm.com.