NEUROCHEM TO PROCEED WITH STUDY OF ALZHEIMER'S DRUG

Neurochem has received a second recommendation from a data safety monitoring board (DSMB) to continue its ongoing European Phase III clinical trial for Alzhemed (tramiprosate), the company's investigational product candidate for the treatment of Alzheimer's disease. Neurochem recently completed its North American Phase III clinical trial involving 1,052 patients at 67 sites. For that trial, the company received five consecutive recommendations from the North American DSMB to proceed.

Each DSMB is made up of independent clinical experts who monitor and evaluate the safety of patients taking part in the trials. In Europe, the most recent recommendation was based on the board's review of the available safety data from 491 patients who have been on study medication for an average of 3.6 months.

The North American Phase III clinical trial was a multicenter, randomized, double-blind, placebo-controlled, three-armed, parallel, 18-month study. All patients who completed the trial were eligible to receive tramiprosate in an open-label extension study.

Neurochem is now progressing with its 18-month Phase III trial of tramiprosate in Europe. This trial was initiated in September 2005 and is of a design similar to the North American trial. Approximately 930 Alzheimer's patients at close to 70 sites across 10 countries are expected to take part, and the company expects enrollment to be completed in early 2007.