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Biophan outlines technological and financial strategy

5 December 2005

Rochester N.Y. CEO of Biophan Technologies, Inc., Michael Weiner, addressed a group of Swiss investors at a meeting in Tagerwilen, Switzerland, in which he provided an overview of the Company's technologies and strategic initiatives, as well as a five-year outlook for potential Company revenues from licensing of its proprietary biomedical technologies and product sales.

Mr. Weiner discussed Biophan's portfolio of technologies for magnetic resonance image compatibility of medical devices such as stents, vena cava filters, and interventional devices. If successfully developed and accepted in the marketplace, these technologies have the potential to generate annual licensing revenues totaling $100 million or more within approximately five years, primarily from royalty payments, he said. In addition, he indicated that licensing revenues related to MRI safety for implantable medical devices, including pacemakers, implantable cardioverter defibrillators (ICDs), and neurostimulators have the potential to reach $40 million per annum within the same five-year time frame. As with any revenue forecast, these projections are subject to various factors, and there are no assurances that the Company will successfully commercialize all of these technologies or achieve these estimated revenue levels.

In addition to these licensing-related forecasts, the Company also announced potential product sales revenues related to the MYO-VAD cardiac assist device of up to $100 million per year within the same approximate five-year period. He added that these projections are dependent upon various factors including FDA approval of the product line currently in development. As previously announced, Biophan executed a letter of intent to acquire a minority interest in MYOTECH, LLC, the developer of the MYO-VAD device, with rights to acquire a majority interest in exchange for funding the development.

In subsequent years, additional growth is expected. The Company provided no additional specific guidance; however, the Company did indicate that it anticipates that the MYO-VAD product has the potential to achieve significant market share in the multibillion dollar ventricular assist device market.

"Biophan is very excited by the potential that the MYO-VAD technology adds to our portfolio of products," said Mr. Weiner. "We anticipate closing a deal with a distribution partner for the MYO-VAD within 24 months, and that the partner will bear costs related to clinical trials, marketing, and distribution."

"Although we cannot make any definitive statements or guarantees of any kind regarding Biophan's forward-looking revenue potential, we are excited by both the medical and market potential that the MYO-VAD technology represents. It is an important addition to our portfolio of biomedical innovations for improved cardiac care and for enhanced MRI safety and image compatibility."

In addition to the established technologies for which Biophan announced these forecasts, Biophan also continues development of a long-term product pipeline of technologies such as a novel biothermal power supply and controlled drug delivery methods. The Company is jointly developing the biothermal power source with NASA's Ames Research Center. The power supply is designed to generate power from a patient's natural body heat, and to replace and/or augment traditional batteries in implanted devices.

The Company is also working to adapt its nanomagnetic particle technology to produce novel MRI contrast agents and controlled drug delivery materials. These technologies are still in early development stages, and no forecasts have been provided related to their commercialization.

Over fifty investors, invited by Capital Management AG, attended the meeting, including major banks, institutional fund managers, individual investors, and Capital Management personnel. The meeting was held at Capital Management's headquarters in Tagerwilen, Switzerland. Biophan is one of the stocks listed in Capital Management's "Aktientipps" portfolio.

The presentation was given by Michael Weiner, CEO of Biophan, and Dr. Andreas Melzer, Chief Technology Office or Biophan Europe. Dr. Melzer presented updated information on the MRI safe and/or image compatible heart valve, stent, vena cava filter, and implantation catheter, and an overview of the medical benefits of procedures performed under MRI vs. under X-Ray. The presentations were given in both English and German.

Mr. Weiner's presentation can be viewed at http://www.biophan.com/presentations.php#recent.

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