APHT Aphton (MM)

Aphton Corporation (NASDAQ: APHT) announced today that effective November 15, 2005, the Company adopted a mandatory retirement policy for the Board of Directors. The Company believes that the mandatory retirement policy will assist the Company with director term and succession planning and ensure that the Board of Directors periodically benefits from the fresh ideas, viewpoints and expertise of new members. Under the mandatory retirement policy, no person may be elected or re-elected as a director of the Company if at the time of his or her election or re-election he or she shall have attained the age of seventy years. The term of any director who shall have attained such age while serving as a director shall terminate effective immediately upon his or her seventieth birthday. In accordance with the mandatory retirement policy, Philip C. Gevas and Nicholas J. Stathis, Esq. will be retiring as directors effective immediately. Philip Gevas co-founded Aphton in 1981 and served as the Company's Chief Executive Officer for approximately 23 years. Mr. Gevas was also Chairman of the Board from October 1990 to March 2005. Nicholas Stathis was a member of the Board of Directors for approximately 11 years. "Both Phil and Nick have provided Aphton with significant contributions over the years. Their commitment to the Company has been unwavering throughout times of growth and change and on behalf of the Company we thank them for their leadership and dedication," commented Patrick Mooney. "However, we believe that the adoption of a mandatory retirement policy which is part of our continued efforts to improve the corporate governance of the Company, will benefit the Company and its stockholders in the long term." About Aphton Aphton Corporation, headquartered in Philadelphia, Pennsylvania, is a clinical stage biopharmaceutical company focused on developing targeted immunotherapies for cancer. Aphton's products seek to empower the body's own immune system to fight disease. Through the acquisition of Igeneon AG in March 2005, Aphton acquired late-stage products, IGN101, a cancer vaccine designed to induce an immune response against EpCAM-positive tumor cells, and IGN311, a fully humanized antibody against the Lewis Y antigen. Aphton has strategic alliances with Xoma for treating gastrointestinal and other gastrin-sensitive cancers using anti-gastrin monoclonal and other antibodies; and with Daiichi Pure Chemicals for the development, manufacturing and commercialization of gastrin-related diagnostic kits. Aphton's most advanced product, Insegia(TM), targets the hormone, gastrin 17, in an attempt to treat gastrointestinal cancers. Aphton is currently seeking partners that will support the further development of Insegia. For more information about Aphton or its programs please visit Aphton's website at: www.aphton.com. Safe Harbor This press release includes forward-looking statements, including statements about: (1) Aphton's belief that the mandatory retirement policy will assist the Company with director term and succession planning and ensure that the Board of Directors periodically benefits from the fresh ideas, viewpoints and expertise of new members; (2) Aphton's belief that the adoption of a mandatory retirement policy will benefit the Company and its shareholders in the long term; (3) Aphton's expectation regarding the purpose and effectiveness of fully-humanized monoclonal antibodies, IGN101 and IGN311, and its cancer immunotherapy, Insegia; and (4) Aphton's intention to seek strategic partners that will support the further development of Insegia. These forward-looking statements may be affected by the risks and uncertainties inherent in the drug development process and in Aphton's and Igeneon's business. This information is qualified in its entirety by cautionary statements and risk factor disclosure contained in Aphton's Securities and Exchange Commission filings, including Aphton's report on Form 10-K filed with the Commission on March 16, 2005. Aphton wishes to caution readers that certain important factors may have affected, and could in the future affect, Aphton's beliefs and expectations and could cause the actual results to differ materially from those expressed in any forward-looking statement made by or on behalf of Aphton. These risk factors include, but are not limited to: (1) Aphton's ability to find qualified individuals who will serve on Aphton's Board of Directors; (2) Aphton's ability to implement the mandatory retirement policy in a manner that will benefit the Company and its stockholders; (3) Aphton's ability to find a strategic partners who will support the further development of Insegia; (4) Aphton's ability to fund the further development of its research and development programs; (5) Aphton's ability to identify a partner willing to fund the continued development of Insegia; (6) scientific developments regarding immunotherapies; and (7) the actual design, results and timing of preclinical and clinical studies for both companies' products and product candidates.