A leading Chinese TB research institute evaluated the efficacy of the 
 Company's nanoparticle-encapsulated Streptomycin administered 2 times 
 a week versus that of daily nonencapsulated drug against Mycobacterium 
 tuberculosis infection in mice. Both treatments significantly reduced
 the bacterial count and mortality, suggesting that AlphaRx's nanoparticle 
 drug delivery system has potential in the treatment of tuberculosis.

MARKHAM, Ontario, Feb. 20, 2007 (PRIME NEWSWIRE) -- AlphaRx (OTCBB:ALRX) is pleased to announce pre-clinical data on Streptomycin encapsulated in the company's Nano Drug Delivery Platform for the treatment of Tuberculosis. Streptomycin is a well-known antibiotic, mainly used to treat tuberculosis. Standard treatment for TB as recommended by the World Health Organization, is Streptomycin 1,000 mg administered once a day by intra-muscular injection initially, and then reducing to two or three times a week after the first 2-4 months.

Pre-clinical studies are being conducted at the Beijing Tuberculosis and Thoracic Tumor Research Institute. In a murine model of tuberculosis, Streptomycin encapsulated in the company's Nano Drug Delivery platform administrated by injection of 100mg/kg, twice a week, is as effective as injecting 200mg/kg, five times a week in a conventional formulation in terms of bacteria reduction and mortality. The 80% reduction in dosage (from 1000mg/kg to 200mg/kg) per week is significant, in that it may reduce potential toxicity effects of Streptomycin. Furthermore, the reduction in treatment frequency may result in enhanced patient compliance. A second study to decrease the total dosage to 100mg/kg per week and the treatment frequency to once per week, will commence shortly.

The Company is very pleased with the results of this study and believes that drugs loaded in its Nano Drug Delivery platforms may improve efficacy, reduce side-effects and increase patient compliance. The Company's Nano Drug Delivery platforms are versatile and applicable to many small molecule drug candidates. Currently, the Company has six nano products in the development pipeline, with an estimated annual market sales potential of over US$7.0 Billion dollars.

The Company looks forward to reporting more pre-clinical results on its infectious disease program as they become available.

Mycobacterium tuberculosis (TB) is the leading cause of death among HIV positive and infected patients in the United States. Additionally, TB affects one third of the world's population. A traditional TB treatment regimen requires long treatment times due to poor cellular antibiotic penetration and as a result, patient compliance tends to be low. The Company believes that by successfully increasing intracellular antibiotic concentration, drug efficacy may be substantially improved.

About AlphaRx Inc.

AlphaRx is a clinical stage biopharmaceutical company utilizing proprietary drug delivery technology to develop novel formulations of drugs that are insoluble or poorly soluble in water or have yet to be administrable to the human body with an acceptable delivery method. The Company's product candidates address various pharmaceutical markets, including arthritis, tuberculosis, ocular infection and inflammation, pneumonia and sepsis.

Forward Looking Statements:

This release contains forward-looking statements within the meaning and pursuant to the Safe Harbor provisions of the Securities Litigation Reform Act of 1995 and involve risks and uncertainties that may individually or mutually impact the matters herein described, including but not limited to product development and acceptance, manufacturing, competition, regulatory and/or other factors, which are outside the control of the companies.