Cost, staff reduction plans underway for vaccine maker.

2002 DEC 18 - (NewsRx.com & NewsRx.net) -- Avax Technologies, Inc., (AVXT) announced its financial results for the quarter and 9 months ended September 30, 2002.

The losses for the 9- and 3-month periods ended September 30, 2002 were $6,713,178 or $.41 per share and $2,599,940 or $.16 per share, respectively compared with $8,846,965 or $.53 per share and $3,060,998 or $.19 per share for the same periods in 2001.

During the 9- and 3-month periods ended September 30, 2002, the company realized contract and product revenue of $246,966 and $552,877, respectively, versus $71,953 and $365,329, in the prior-year periods. The contract and product revenue relate primarily to manufacturing and research activities occurring at Genopoeitic. The increased revenue relates primarily to the completion of a contract manufacturing agreement in the prior year and the initiation of agreements in the current year providing for more expanded services.

In November 2002, the company announced that it will not begin enrollment into its planned phase I/II clinical trials of M-Vax and O-Vax, the company's AC Vaccine technology candidates for melanoma and ovarian cancers. The company's decision to delay the initiation of these trials, as well as staff and spending reductions discussed below, were taken to help preserve the cash resources of the company.

Even with the reductions in staff and spending levels the company intends to:

* continue exploring product development and potential corporate alliance relationships with other biotechnology or pharmaceutical companies,

* provide limited funding of product development and research activities for the AC Vaccine technology through the technology's principal investigator,