BIOTIE THERAPIES CORP. STOCK EXCHANGE RELEASE February 29, 2008 INVITATION TO THE ANNUAL GENERAL MEETING OF BIOTIE THERAPIES CORP. The shareholders of Biotie Therapies Corp. are invited to the Annual General Meeting of Shareholders (the "AGM") convening on Friday 28 March, 2008 at 10 a.m. at Mauno Koivisto -keskus, address Tykistökatu 6, Turku, Finland. The reception of those who have notified of their attendance will start at the meeting venue at 9.30 a.m. MATTERS TO BE DEALT WITH IN THE GENERAL MEETING 1. Matters that shall be dealt with and resolved in the Annual General Meeting of Shareholders pursuant to the Articles of Association and the Companies Act (including chapter 20, section 23 of the Companies Act) The Board of Directors of the company proposes that the loss of the financial year shall be transferred to the company's unrestricted equity. If the company's capital loans are not counted among the items of the company's shareholders' equity, the company's equity is less than a half of the company's share capital. The Board of Directors proposes with reference to chapter 20, section 23 of the Companies Act that the Board of Directors shall be authorised, under the conditions given below, to arrange a share issue to satisfy any capital needs and improve the shareholders' equity. The company has been notified that the shareholders representing approximately 30% of the company's shares and voting rights will propose that the remuneration of the Board of Directors shall remain in the current level so that EUR 36,000 per year will be paid to the Chairman of the Board of Directors and the members living outside Finland and EUR 18,000 per year to other Board members. In addition, costs resulting from the attendance to the meetings shall be compensated. The above mentioned shareholders will also propose to the AGM that the composition of the company's Board of Directors shall remain the same and that, thus, the members of the Board of Directors would be Juha Jouhki, Piet Serrure, Riku Rautsola and Pauli Marttila until the end of the Annual General Meeting of Shareholders to be held in 2009. According to the proposal of the same shareholders, PricewaterhouseCoopers Oy, a firm of authorised public accountants, and Janne Rajalahti, Authorised Public Accountant, would be appointed as the auditor of the company and their fees would be paid pursuant to a reasonable invoice. 2. Board of Directors' proposal to authorise the Board of Directors to resolve on a share issue and granting of option and other specific rights entitling to the shares The Board of Directors proposes that the AGM would authorise the Board of Directors to resolve on one or more share issues, which contains the right to issue new shares or dispose of the shares in the possession of the company and to issue options or other specific rights to the shares pursuant to chapter 10 of the Finnish Companies Act. The authorisation would consist of up to 18,000,000 shares in the aggregate. A maximum of 819,000 own shares in the possession of the company could be conveyed. The authorisation would not exclude the Board of Directors' right to decide on a directed share issue. The authorisation is proposed to be used for material arrangements from the company's point of view, such as financing or implementing business arrangements or investments or for other such purposes determined by the Board in which case a weighty financial reason for issuing shares, options or other specific rights and possibly directing a share issue would exist. However, the authorisation could not be used to create new share-based incentive schemes. The authorisation would be effective until 30 June 2009. The Board of Directors would be authorised to decide on all other terms and conditions of a share issue, options and other specific share entitlements as referred to in chapter 10, section 1 of the Finnish Companies Act, including the payment period, determination grounds for the subscription price and subscription price or allocation of shares, stock options or specific rights free of charge or that the subscription price may be paid besides in cash also by other assets either partially or entirely. 3. Board of Directors' proposal to issue stock options The Board of Directors proposes that the AGM shall decide to issue up to 3,000,000 stock options in the aggregate which would entitle to subscribe for up to 3,000,000 new shares in the company. The stock options would be given free of charge to the company's key personnel and Biotie Therapies International Oy, which is the company's wholly owned subsidiary. The Board of Directors would send a written notification of the issuance of the stock options to those being entitled to the stock options. The stock options would be delivered to the recipient when the recipient has accepted the Board of Directors' offer. 1,000,000 of the stock options would be marked with the symbol 2008A, 1,000,000 with the symbol 2008B and 1,000,000 with the symbol 2008C. Each stock option entitles to subscribe for one (1) new share in the company. The subscription period for the shares would be 1 January 2009 to 31 December 2013 for the 2008A stock option 1 January 2010 to 31 December 2013 for the 2008B stock option 1 January 2011 to 31 December 2013 for the 2008C stock option The subscription price of a share would be the volume-weighted average trading price of the company's share on the Helsinki Stock Exchange during the period between 1 March 2008 and 30 March 2008 with an increase as follows: - increase of 10% for A stock option - increase of 20% for B stock option and - increase of 30% for C stock option. The subscription price of the shares determined this way would be based on the market price of the company's share while at the same time setting an incentive for the key personnel in order to add ownership value. The shares would be paid to the bank account announced by the company upon subscription. The subscription price of the shares would be entered into the invested non-restricted equity fund. The company would have a weighty financial reason for the issuance of stock options because the stock options are intended to form a part of the company's incentive and commitment program for the company's key personnel. The terms and conditions of the stock options proposed by the Board of Directors are included in their entirety in the Board of Directors' proposal. Documents for the General Meeting of Shareholders and participation: The 2007 financial statements, the proposals of the Board of Directors and other documents required by the Companies Act will be available for the shareholders' inspection at the company's head office, address Biotie Therapies Corp., Tykistökatu 6, FI-20520 Turku, Finland, and on the company's website at www.biotie.com for one week prior to the General Meeting. Copies of the documents will be sent to shareholders on request. Right to participate and notice of participation: Shareholders, who have been entered ten days prior to the meeting on 18 March 2008 as shareholders in the company's shareholders' register kept by the Finnish Central Securities Depository Ltd, have the right to attend the AGM. Shareholders of the shares registered in the name of a nominee shall contact their account operators in order to be temporarily registered in the company's shareholders' register on 18 March 2008 for the participation in the AGM. Shareholders who wish to attend the AGM are requested to notify the company of their attendance no later than on 26 March, 2008 at 4 p.m. (Finnish time). The notification can be made by telephone to +358 2 2748 911, by e-mail to virve.nurmi@biotie.com or by mail to Biotie Therapies Corp./Virve Nurmi, Tykistökatu 6, FI-20520 Turku, Finland. In case of a proxy, this should be mentioned when notifying the company of the attendance and the proxy is requested to be submitted prior to the end of the notification period to the aforementioned address. February 28, 2008 Biotie Therapies Corp. The Board of Directors For further information, please contact: Timo Veromaa, President and CEO, Biotie Therapies Corp. tel. +358 2 274 8901, e-mail: timo.veromaa@biotie.com www.biotie.com Distribution: OMX Nordic Exchange Helsinki Main Media APPENDIX: BOARD OF DIRECTORS' PROPOSALS TO THE ANNUAL GENERAL MEETING OF SHAREHOLDERS TO BE HELD ON 28 MARCH 2008 1. Matters that shall be dealt with in the Annual General Meeting of Shareholders pursuant to the Articles of Association and the Companies Act (including chapter 20, section 23) The Board of Directors of the company proposes that the loss of the financial year shall be transferred to the company's unrestricted equity. If the company's capital loans are not counted among the items of the company's shareholders' equity, the company's equity is less than a half of the company's share capital. The Board of Directors proposes with reference to chapter 20, section 23 of the Companies Act that the Board of Directors shall be authorised, under the conditions given below, to arrange a share issue to satisfy any capital needs and improve the shareholders' equity. 2. Board of Directors' proposal to authorise the Board of Directors to resolve on a share issue and granting of option and other specific rights entitling to the shares The Board of Directors proposes that the General Meeting of Shareholders shall authorise the Board of Directors to resolve on the issuance of up to 18,000,000 shares through a share issue or granting of options or other special rights entitling to shares pursuant to chapter 10, section 1 of the Finnish Companies Act. The authorisations are proposed to be utilised in one or several issues. The Board of Directors may resolve to give either new shares or shares in the company's possession. A maximum of 819,000 own shares in the possession of the company may be conveyed. The maximum amount of the proposed authorisation regarding the shares corresponds to approximately 19.95% of all shares on the date of issue of the Board's proposal. The authorisation is proposed to include the right to deviate from the shareholders' pre-emptive subscription right. The authorisation is proposed to be used for material arrangements from the company's point of view, such as financing or implementing business arrangements or investments or for other such purposes determined by the Board in which case a weighty financial reason for issuing shares, options or other specific share entitlements and possibly directing a share issue would exist. The authorisation could not be used to create new share-based incentive schemes. The authorisation is proposed to be effective until 30 June 2009. The Board of Directors proposes that the Board would be authorised to decide on all other terms and conditions of a share issue, options and other specific share entitlements as referred to in chapter 10, section 1 of the Finnish Companies Act, including the payment period, determination grounds for the subscription price and subscription price or allocation of shares, options or other specific rights free of charge or that the subscription price may be paid besides in cash also by other assets either partially or entirely. 3. Board of Directors' proposal to create a new option program The Board of Directors proposes that the General Meeting of Shareholders shall resolve to allocate up to 3,000,000 stock options on the following terms and conditions: I Terms and conditions of the stock options 1. Number of stock options The number of stock options is in total up to 3,000,000 and they entitle to subscribe for up to 3,000,000 new shares in the company. 2. Stock options 1,000,000 of the stock options will be marked with the symbol 2008A, 1,000,000 with the symbol 2008B and 1,000,000 with the symbol 2008C. The Board of Directors will send a written notification of the issuance of the stock options to those being entitled to the stock options. The Options will be delivered to the recipient when the recipient has accepted the Board of Directors' offer. 3. Right to stock options The stock options will be issued gratuitously to the company's key personnel and Biotie Therapies International Oy, which is the company's wholly owned subsidiary. The company has a weighty financial reason for the issuance of stock options since the stock options are intended to form a part of the company's incentive and commitment program for the company's key personnel. 4. Distribution of stock options The Board of Directors decides on the distribution of stock options. The subsidiary will be granted stock options to the extent that they are not distributed to the company's key personnel. The Board of Directors shall later decide upon the further distribution of the stock options granted or returned later to the Subsidiary, to the key personnel employed by or to be recruited by the company. Upon the issuance, all those 2008 stock options that are not distributed to the key personnel shall be granted to the subsidiary. The subsidiary can distribute the 2008 stock options to the key personnel employed by or to be recruited by the company, by the resolution of the Board of Directors. 5. Transfer of stock options and obligation to offer stock options The option rights are freely transferable when the relevant share subscription period has commenced. The Board of Directors may, however, permit the transfer of stock options also before such date. The company shall hold the stock options on behalf of the stock option owner until the beginning of the share subscription period. The stock option owner has the right to acquire the possession of the stock options when the relevant share subscription period begins. Should the stock option owner transfer his or her stock options, such person is obliged to inform the company of the transfer in writing without any delay. Should a stock option owner cease to be employed by or in the service of the company, for any reason other than the death or the statutory retirement of a stock option owner, such person shall, without delay, offer to the company or its order, free of charge, the stock options for which the share subscription period specified in Section II.2 has not begun on the last day of such person's employment or service. The Board of Directors can, however, in the above-mentioned cases, decide that the stock option owner is entitled to keep such stock options, or a part of them, which are subject to the offering obligation. What is previously stated about the service or work relationship, applies correspondingly to the membership of the Board of Directors. Regardless of whether the stock option owner has offered his or her stock options to the company or its order or not, the company can inform the stock option owner in writing that the stock option owner has lost his or her stock options on the basis of the above-mentioned reasons. Should the stock options be transferred to the book-entry securities system, the company has the right, whether or not the stock options have been offered to the company or its order, to request and get transferred all the stock options subject to the offering obligation from the stock option owner's book-entry account to the book-entry account appointed by the company, without the consent of the stock option owner. In addition, the company is entitled to register transfer restrictions and other respective restrictions concerning the stock options to the stock option owner's book-entry account, without the consent of the stock option owner. II Terms and conditions of the share subscription 1. Right to subscribe for new shares Each stock option entitles to subscribe for one (1) new share in the company. As a result of the subscriptions the number of the shares in the company may be increased by a maximum of 3,000,000 new shares. The subscription price of the shares shall be entered into the invested non-restricted equity fund. The subsidiary shall not be entitled to subscribe for shares on the basis of the stock options. 2. Share subscription and payment The subscription period for the shares is 1 January 2009 to 31 December 2013 for the 2008A stock option 1 January 2010 to 31 December 2013 for the 2008B stock option 1 January 2011 to 31 December 2013 for the 2008C stock option The Board of Directors has a right due to a weighty reason to interrupt the subscription for a certain time period. Share subscriptions shall take place at the head office of the company or possibly at another location to be determined later. In case of the stock options having been transferred to the book-entry securities system, the stock options with which shares have been subscribed for shall be deleted from the subscriber's book-entry account. The shares shall be paid to the bank account given by the company upon subscription. The Board of Directors shall decide on all measures concerning the share subscription. 3. Share subscription price The subscription price of the shares shall be the volume-weighted average trading price of the company's share on the Helsinki Stock Exchange during the period between 1 March 2008 and 30 March 2008 with an increase as follows: - increase of 10% for A stock option - increase of 20% for B stock option and - increase of 30% for C stock option. The Board of Directors will notify the subscription price to those being entitled to the stock options in connection with the subscription of the stock options. The share subscription price of the stock options may be decreased in certain cases mentioned in section 7 below. The shares in the company do not have a nominal value. The subscription price of the shares determined this way are based on the market price of the company's share while at the same time setting an incentive to the key personnel in order to add shareholder value. 4. Registration of shares Shares subscribed for and fully paid shall be registered in the book-entry account of the subscriber. 5. Shareholder rights The shares subscribed for based on stock options entitle to a dividend for the financial year during which the shares were subscribed for. Other shareholder rights shall commence when the new shares have been entered in the Trade Register. 6. Share issues, stock options and other special rights entitling to shares before share subscription Should the company, before the share subscription, decide on an issuance of shares or new stock options or other specific rights entitling to shares, a stock option owner shall have the same right as, or an equal right to, that of a shareholder. Equality is reached in the manner determined by the Board of Directors by adjusting the number of shares available for subscription, the share subscription prices or both of these. 7. Rights in certain special cases If the company distributes dividends or funds from the non-restricted equity fund, the amount of the dividend or the amount of the distributable non-restricted equity decided after the beginning of the period for determination of the subscription price but before the share subscription shall be deducted from the subscription price of the share to be subscribed for on the basis of the stock option, as per the dividend record date or the record date of the repayment of equity. If the company reduces its share capital by distributing share capital to the shareholders, the amount of distributable share capital decided after the beginning of the period for determination of the share subscription price but before share subscription shall be deducted from the subscription price of the share to be subscribed for on the basis of the stock option, as per the record date of the repayment of share capital. If the company reduces its share capital in order to transfer funds to the non-restricted equity fund or uses share capital to cover such losses to which the non-restricted equity fund is not sufficient, the reduction of the share capital does not affect the position of the stock option owner. Repurchase or redemption of the company's own shares or acquisition of stock options or other specific rights entitling to shares shall have no impact on the status of the stock option owner. If the company, however, resolves to repurchase or redeem its own shares from all shareholders, the stock option owners shall be made an equivalent offer (applicable to those stock options for which part the subscription period of the shares has commenced). If the company is placed in liquidation before the share subscription, the stock option owner shall be given an opportunity to exercise his or her share subscription right before the liquidation begins, within a period of time determined by the Board of Directors. If the company is deleted from the register before the share subscription, the stock option owner shall have the same right as, or an equal right to, that of a shareholder. If the company resolves to merge into another company as the company being acquired or into a company to be formed in a combination merger, or if the company resolves to be demerged, the stock option owners shall, before the merger or demerger, be given the right to subscribe for the shares with their stock options, within a period of time determined by the Board of Directors. After such period, no share subscription right shall exist. In the above situations, the stock option owners shall have no right to require that the company redeems the stock options from them at their market value. If a redemption right and obligation to all of the company's shares, as referred to in chapter 18, section 1 of the Finnish Companies Act, applies to any of the shareholders, before the end of the share subscription period, on the basis that a shareholder possesses over 90% of the shares and the votes of the shares of the company, the stock option owners shall be given a possibility to use their right of share subscription by virtue of the stock options, within a period of time determined by the Board of Directors, or they shall be given an equal possibility to that of shareholders to sell their stock options to the redeemer, irrespective of the transfer restriction defined in Section I.5 above. A shareholder who holds over 90% of the shares and votes of the shares of the company has the right to purchase the stock option owner's stock options at their market value. III Other matters These terms and conditions shall be governed by Finnish law. Disputes arising in relation to the stock options shall be settled by arbitration in accordance with the Arbitration Rules of the Central Chamber of Commerce. The Board of Directors may decide on the transfer of the stock options to the book-entry securities system at a later date and on the resulting technical amendments to these terms and conditions, as well as on other amendments and specifications to these terms and conditions which are not considered essential. Other matters related to the stock options shall be decided by the Board of Directors. The company shall be entitled to withdraw the stock options which have not been transferred, or with which shares have not been subscribed for, free of charge, if the stock option owner acts against these terms and conditions, or against the regulations given by the company on the basis of these terms and conditions, or against applicable law, or against the regulations of the authorities. These terms and conditions have been made in Finnish and in English. In the case of any discrepancy between the Finnish and English terms and conditions, the Finnish terms and conditions shall prevail. February 28, 2008 Biotie Therapies Corp. The Board of Directors