OXiGENE Reaches Agreement with FDA on Special Protocol Assessment for ZYBRESTAT(TM) (CA4P) Phase II/III Pivotal Trial in Anaplastic Thyroid Cancer

OXiGENE Reaches Agreement with FDA on Special Protocol Assessment for
ZYBRESTAT(TM) (CA4P) Phase II/III Pivotal Trial in Anaplastic Thyroid Cancer

Phase II/III Pivotal Trial Expected to Begin Enrolling Patients in
                               June 2007

   Conference Call Scheduled for 9 a.m. EST on Friday, June 1, 2007

    WALTHAM, Mass.--(BUSINESS WIRE)--May 31, 2007--OXiGENE, Inc.
(NASDAQ: OXGN, XSSE: OXGN) a clinical-stage biopharmaceutical company
developing novel therapeutics to treat cancer and eye diseases,
announced today that the Company has reached agreement with the U.S.
Food and Drug Administration (FDA) on a Special Protocol Assessment
(SPA) for a Phase II/III pivotal trial of its potential first-in-class
vascular disrupting agent, ZYBRESTAT(TM) (combretastatin-A4 phosphate
/ CA4P) in anaplastic thyroid cancer (ATC). The FDA's agreement to the
SPA means that, if OXiGENE follows the agreed-upon protocol, the
results of the trial support the safety and effectiveness of
ZYBRESTAT, and no substantive scientific issues are identified after
the trial begins, much of the uncertainty associated with the design
of a pivotal clinical trial should be removed."Despite advances in the management of cancer, there are no
approved treatments for anaplastic thyroid cancer. By working closely
with the FDA to reach agreement on an SPA for this trial, and given
our promising Phase II data in ATC, we believe that we have moved
closer to our goal of providing an effective treatment for patients
suffering from this highly lethal form of cancer," commented Dr.
Richard Chin, Chief Executive Officer and President of OXiGENE.

    The randomized and controlled Phase II/III clinical trial is
expected to enroll approximately 180 patients with ATC, two-thirds of
whom will receive intravenous ZYBRESTAT plus carboplatin and
paclitaxel, and the other third of whom will receive carboplatin and
paclitaxel alone. The primary endpoint will be a statistically
significant difference in the overall survival rate between the two
treatment arms, as determined by a log-rank analysis of Kaplan-Meier
survival curves at times when pre-determined numbers of study events
(patient deaths) are reached. The study design incorporates a planned
interim analysis for efficacy and safety which will be overseen by an
Independent Data Monitoring Committee. The Company currently plans to
begin enrolling patients in this trial in June 2007. Approximately 45
clinical trial sites worldwide are expected to participate in the
study.

    The trial will be conducted under OXiGENE's Investigational New
Drug (IND) application on file with the FDA. ZYBRESTAT has received
fast-track designation by the FDA and has also been granted Orphan
Drug status in both the United States and Europe for thyroid cancer.
Additional information regarding the study design, enrollment
criteria, and participating centers will be available at
http://www.clinicaltrials.gov (keyword: anaplastic thyroid cancer).

    Conference Call Scheduled for 9 a.m. EST on Friday, June 1, 2007

    On Friday, June 1, 2007 at 9 a.m. EST a conference call will be
webcast to discuss the SPA. OXiGENE's President and Chief Executive
Officer, Dr. Richard Chin, will host the call. Chief Scientific
Officer, Dr. David Chaplin, Chief Business Officer, John Kollins and
Chief Financial Officer, James Murphy, will also participate.

    To listen to a live or an archived version of the audio webcast,
please log on to the Company's website, www.oxigene.com. Under the"Investor Center" tab, click on the link to "Presentations &
Conference Calls."

    OXiGENE's conference call can also be heard live by dialing (800)
811-8845 (U.S. and Canada) or (913) 981-4905 (international) five
minutes prior to the call. A replay will be available starting at
12:00 p.m. EST on June 1, 2007 and ending at midnight EST on June 8,
2007. To access the replay, please dial (888) 203-1112 (U.S. and
Canada) or (719) 457-0820 (international) and refer to reservation
number 5735734.

    About Special Protocol Assessments

    A Special Protocol Assessment (SPA) is an agreement with the U.S.
Food and Drug Administration that the Company's Phase II/III clinical
trial design is acceptable and is robust enough to form the basis of a
regulatory approval based on the protocol design, clinical endpoints,
and statistical analyses, if pre-specified efficacy results are
achieved. The SPA process allows for FDA evaluation of a clinical
trial protocol intended to form the primary basis of an efficacy claim
in support of a New Drug Application (NDA). For more information on
Special Protocol Assessments, go to
http://www.fda.gov/cber/gdlns/protocol.htm#ii.

    About Anaplastic Thyroid Cancer

    Anaplastic Thyroid Cancer (ATC) is one of the most lethal cancers
known in humans. There are no approved treatments for this disease.
ATC is a high-grade neoplasm, characterized by an aggressive clinical
course with brief survival, and refractoriness to currently available
local and systemic modalities of treatment. ATC comprises 1-2% of all
primary thyroid malignancies, and patients are often elderly (between
60-70 years of age). While ATC epidemiology has not been extensively
studied and documented, it is estimated that there are approximately
1,000 to 4,000 new cases per year in the U.S. and in Europe combined.
Newly-diagnosed ATC patients have a median life expectancy of
approximately 3 months, and only a very limited number of patients
survive for longer than one year.

    Information for Patients and Caregivers

    For further information about anaplastic thyroid cancer and the
OXiGENE Phase II/III ZYBRESTAT(TM) clinical trial, please contact
ThyCa: Thyroid Cancer Survivors' Association, Inc.:

-0-
*T
ThyCA
www.ThyCa.org
(877) 588-7904
thyca@thyca.org
*T

    About ZYBRESTAT / Combretastatin A4P (CA4P)

    The Company believes that ZYBRESTAT is poised to become the first
therapeutic product in a novel class of small-molecule drug candidates
called vascular disrupting agents (VDAs). Through interaction with
vascular endothelial cell cytoskeletal proteins, ZYBRESTAT selectively
targets and collapses tumor vasculature, thereby depriving the tumor
of oxygen and causing death of tumor cells. ZYBRESTAT has demonstrated
potent and selective activity against tumor vasculature as well as
clinical activity against ATC and other solid tumors in clinical
studies to date. Our strategy for optimizing the antitumor activity of
ZYBRESTAT is to combine it with other types of therapeutic modalities,
including cytotoxic drugs, anti-angiogenesis drugs, and radiation
therapy. Our rationale for combining ZYBRESTAT with other therapeutic
modalities stems from the hypothesis that agents with different and
potentially complementary mechanisms of action and with a
non-overlapping toxicity profile may achieve synergistic antitumor
activity when administered concurrently. In animal studies, ZYBRESTAT
has been shown to enhance the anti-tumor effects of several
chemotherapeutic agents, several anti-angiogenic drugs, and radiation.

    About OXiGENE, Inc.

    OXiGENE is a clinical-stage biopharmaceutical company developing
novel small-molecule therapeutics to treat cancer and eye diseases.
The Company's major focus is the clinical advancement of drug
candidates that selectively disrupt abnormal blood vessels associated
with solid tumor progression and visual impairment. OXiGENE is
dedicated to leveraging its intellectual property position and
therapeutic development expertise to bring life saving and enhancing
medicines to patients.

    Safe Harbor Statement

    This news release contains "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. Any
or all of the forward-looking statements in this press release,
including those relating to the successful completion of the planned
Phase II/III trial, approval by the FDA, enrollment of the first
patient by June 2007 and ZYBRESTAT leading a novel class of small
molecule drug candidates may turn out to be wrong. Forward-looking
statements can be affected by inaccurate assumptions OXiGENE might
make or by known or unknown risks and uncertainties. Additional
information concerning factors that could cause actual results to
materially differ from those in the forward-looking statements is
contained in OXiGENE's reports to the Securities and Exchange
Commission, including OXiGENE's Form 10-Q, 8-K and 10-K reports.
However, OXiGENE undertakes no obligation to publicly update
forward-looking statements, whether because of new information, future
events or otherwise. Please refer to our Annual Report on Form 10-K
for the fiscal year ended December 31, 2006.

CONTACT: OXiGENE, Inc.
         Investor Relations, 781-547-5900