FOR IMMEDIATE RELEASE CONTACT: John-Mark Hack (502) 682-1865 (cell)

KENTUCKY AGRICULTURAL DEVELOPMENT BOARD APPROVES FUNDING FOR APOIMMUNE PROJECT

Project May Create New Market for Tobacco Farmers

FRANKFORT, KY (May 23, 2002) -- On Friday, May 17, The Kentucky Agricultural Development Board, chaired by Governor Paul Patton, approved $255,000 for the first phase of a project by ApoImmune, that has the potential to create a new market for tobacco farmers. ApoImmune has been working on a new cancer treatment that utilizes tobacco plants to produce therapeutic proteins. The funds will be split to assist in two areas of research. Part of the funds will be used to help produce three therapeutic proteins for use in laboratory testing to determine if proteins grown from the tobacco plant can fight cancer and other life threatening diseases.

The second part of the funds will be utilized to develop a tobacco seed that has therapeutic proteins within it, which would allow for production on a scale that would meet the world demand for the cancer fighting proteins. If the research succeeds, it could potentially create the demand for a large supply of tobacco that could be served by Kentucky tobacco farmers.

“This commitment positions Kentucky tobacco farmers on the ground floor of what could be an unprecedented opportunity in the world of cancer research, if they choose to participate,” said John-Mark Hack, CEO of the Kentucky Agricultural Development Board. “If this project reaches its full potential in the coming years, our tobacco farmers could be sowing seeds that cure cancer.”

Depending on future test results, ApoImmune is potentially eligible for as much as $750,000 from the Agricultural Development Board in additional funds to support ongoing research.

ApoImmune was founded in 2001 to develop and market a University of Louisville researcher’s discovery of a method of creating re-engineered proteins used to manipulate the human body’s immune system. The Louisville-based firm is concentrating on developing cancer therapy, to be tested in humans next year.

ApoImmune has become a pioneer in gene therapy research - exploring potential methods of curing diseases ranging from cancer to diabetes through gene manipulation.

Exploring new opportunities for Kentucky farms and farm products is part of the board’s investment philosophy. The goal of the project is to look at the opportunity to increase net farm income and affect tobacco farmers through the creation of a new market for tobacco. Tobacco farmers from the Licking River Area will be among the first to be involved in this project. ApoImmune will work with farmers in that area while developing their research.

Representative Mike Denham says, “I think it’s a great opportunity for the farmers in our area and I especially appreciate the Governor, John-Mark Hack, and The Agricultural Development Board for recognizing the plight of the farmer in this area and trying to help them.”

Looking at the health implications of the projects, he adds, “I hope that it is able to cure disease, this new research. I think it not only gives our farmers hope but it gives hope to patients who are very ill.”

Fleming County Judge Executive Homer Hurst agreed, saying, “The raising of tobacco is something that our farmers are already accustomed to doing and I am one hundred percent behind this research and I would do anything I can to support our farmers. I don’t think there’s any doubt about it, this would be a wonderful thing for our farmers.”

# # #