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ADVANCED BIOTHERAPY,
INC. |
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Administration
c/o
KVG Partners
141
West Jackson Blvd.
Suite
2182
Chicago,
IL 60604
Telephone
312-427-1912
Fax
312-427-5396
www.advancedbiotherapy.com
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December
14, 2006
Advanced
Biotherapy to Restate 2005 and 2006 Financial Statements
“FOR
IMMEDIATE RELEASE”
CHICAGO
-- Advanced Biotherapy, Inc. (OTCBB: ADVB) announced today that it plans to
restate its 2005 audited financial statements and its unaudited financial
statements for the first three quarters of 2006 as follows:
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1.
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Revise
its Statements of Operations in its Form 10-KSB for the year ended
December 31, 2005 to reclassify the amount described as “Vesting of
Options and Warrants (Non-Cash)”to identify the specific expense that such
amount relates to, but the Company has not yet determined such expenses,
and no additional expense will result from this
reclassification.
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2.
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Revise
Note 5 - Patents and Patents Pending - to disaggregate the total
carrying
value by existing patents and patents pending.
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3.
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Revise
Note 7 - Concentrations, Bank Accounts and Investments - to reclassify
its
auction rate securities for 2004 between cash and investments, which
will
cause the Company to correct its reporting in 2005 for the sale of
those
securities.
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4.
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Revise
Note 12 - Conventional Convertible Debt - to recognize in 2005 an
additional expense as a finance charge estimated to be no greater
than
$100,000 in connection with the Company’s reduction of the conversion
price from $0.25 to $0.24 per share with respect to its outstanding
2000
and 2002 convertible notes.
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Company
President and Chief Executive Officer, Christopher W. Capps said today that
“the
Company appreciates the guidance of the Securities and Exchange Commission
in
these matters and, with the oversight of the Company’s Audit Committee, we have
instituted procedures to avoid such errors in the future. Mr. Capps commented
that the restatements of the financial statements for 2005 are expected to
have
the effect of increasing the net loss for that year by an amount estimated
to be
no greater than $100,000. The Company anticipates filing the amended Forms
10-KSB and 10-QSB in January, 2007.
About
Advanced Biotherapy
The
Company, a pioneer in anticytokine therapy, has demonstrated the effectiveness
of its pioneering scientific strategy by conducting investigational clinical
trials treating patients suffering from AIDS, multiple sclerosis, rheumatoid
arthritis, corneal transplant rejection and certain autoimmune skin conditions,
including alopecia, all Th1 mediated autoimmune diseases which appear to have
the same proinflammatory Th-1 activity. Advanced Biotherapy is headquartered
in
Chicago with laboratories in Columbia, Maryland. The Company has an extensive
patent portfolio including 7 issued patents.
Forward-Looking
Statements
Statements
made in this news release, other than statements of historical fact, are
forward-looking statements and are subject to a number of uncertainties that
could cause actual results to differ materially from the anticipated results
or
other expectations expressed in our forward-looking statements.
Some of
these forward-looking statements may be identified by the use of words in the
statements such as "anticipate," "estimate," “could” "expect," "project,"
"intend," "plan," "believe,” “seek,” “should,” “may,” “assume,” “continue,”
variations of such words and similar expressions. These statements are not
guarantees of future performance and involve certain risks, uncertainties,
and
assumptions that are difficult to predict. We caution you that our performance
and results could differ materially from what is expressed, implied, or forecast
by our forward-looking statements. The Company operates in a rapidly changing
environment that involves a number of risks, some of which are beyond the
Company’s control. Future operating results and the Company’s stock price may be
affected by a number of factors, including, without limitation: (i)
opportunities for acquisition of a revenue generating business; (ii)
opportunities for licensing agreements with pharmaceutical companies relating
to
the Company’s patents; (iii) opportunities for joint ventures and corporate
partnering; (iv) regulatory approvals of preclinical and clinical trials; (v)
the results of preclinical and clinical trials, if any; (vi) health care
guidelines and policies relating to prospective Company products; (vii)
intellectual property matters (patents); and (viii) competition. See
the
Company's public filings with the Securities and Exchange Commission for further
information about risks and uncertainties that may affect the Company and the
results or expectations expressed in our forward-looking statements, including
the section captioned "Factors That May Affect The Company" contained in the
Company's Annual Report on Form 10-KSB for the fiscal year ended December 31,
2005.
Given
these risks and uncertainties, any or all of these forward-looking statements
may prove to be incorrect. Therefore, you should not rely on any such
forward-looking statements. Except as required under federal securities laws
and
the rules and regulations of the SEC, we do not intend to update publicly any
forward-looking statements to reflect actual results or changes in other factors
affecting such forward-looking statements.
Contact:
Advanced
Biotherapy, Inc.
Christopher
W. Capps - (312) 427-1912
www.advancedbiotherapy.com