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Salugen (SYMBOL: SQZ.F) Announces Commercial Sales of its Clinically-Proven Gene Test and DNA-customized Anti-Craving Program through the Salugen Medical Group division
Salugen (SYMBOL: SQZ.F) Announces Commercial Sales of its Clinically-Proven Gene Test and DNA-customized Anti-Craving Program through the Salugen Medical Group division

Salugen launches its Salugen Medical Group division starting in California with revenues in the first week exceeding $200,000 USD and estimated to exceed $2M USD for 2009

ZURICH, SWITZERLAND and SAN DIEGO, CA USA – July 7, 2009 – Salugen® (SYMBOL: SQZ.F), a publicly-traded international life sciences company, announces today the launch of its Salugen Medical Group (SMG) division beginning in the State of California.

In its first week on the market, the Salugen System is being prescribed for dozens of patients suffering from a specific excess craving disorder, namely narcotic tolerance and dependence. The Salugen Medical Group’s first week revenues are over $200,000, and anticipates 2009 revenues in California to exceed $2M.

Just like Michael Jackson

Recent news stories about superstar Michael Jackson’s tragic death have discussed his abuse of narcotics as a factor involved in his early demise. Sadly, many people who use narcotics can develop tolerance, psychological and physical dependence to them when they take them over an extended period. Tolerance refers to a decreased response to a drug, with increasing doses required to achieve comparable effects. Psychological dependence refers to compulsive drug use in which a person uses the drug for personal satisfaction, often in spite of knowing the health risks. Physical dependence occurs when a person stops using the narcotic but experiences a withdrawal syndrome (or set of symptoms). Salugen’s proprietary gene test and system helps identify persons predisposed to narcotic tolerance and dependence and then reduces excess cravings associated with these feelings.*

About the Salugen Medical Group

Each SMG is a wholly-owned subsidiary of Salugen. Salugen plans to establish a SMG in every state to coordinate its network of clinician offices that become Affiliated Salugen Clinics (ASC) to provide its services. Starting in California where Salugen was founded, the Salugen Medical Group of California is led by a multi-disciplinary clinical team including physicians, dieticians, pharmacists, and other researchers.

Each Affiliated Salugen Clinic (ASC) offers the Salugen System to its patients. Salugen contracts with managed care organizations and third party administrators for insurance reimbursement. Currently, the Salugen System is prescribed by a physician and begins with a genetic test to analyze predisposition to excess craving disorders.* In a published clinical study in the Journal of the Royal Society of Medicine, one of the genes in the Salugen panel had a 74% positive predictive value (PPV) in predicting excess craving disorders such as chemical and drug dependency, severe overeating, alcoholism, smoking and others. [1] These excess cravings disorders are the Top 3 Leading Causes of Preventable Death in the United States. [2] By testing these genes, a clinician gains additional information to guide treatment of patients and Salugen uses that information to customize its prescription HAVEOS (Preveras) anti-craving medical nutrition program. Salugen’s anti-craving program is proven in clinical studies to reduce drug and alcohol cravings.* [3-7]

“By partnering with insurance companies and identifying well-respected physicians to become Affiliated Salugen Clinics, we have created the ideal vehicle for this revolutionary personalized medicine program to assist physicians in improving patient care,” states Salugen CEO Brian Meshkin.

[1] Blum K, Sheridan PJ, Wood RC, Braverman ER, Chen TJ, Cull JG, Comings DE. The D2 dopamine receptor gene as a determinant of reward deficiency syndrome. J R Soc Med. 1996 Jul;89(7):396-400.
[2] Mokdad, Ali H., Marks, James S. and Stroup Donna F. et. al. Actual Causes of Death in the United States, 2000. JAMA. 2004;291:1238-1245.
[3] Blum, K. Trachtenberg, M.C. Elliott, C.E. Dingler, M.L. Sexton, R.L. Samuels, A.I. and Cataldie, L. Enkephalinase inhibition and precursor amino acid loading improves inpatient treatment of alcohol and poly drug abusers: Double blind placebo controlled study of the nutritional adjunct SAAVE. Alcohol 5:481 493, 1988.
[4] Blum K, Chen TJH, Downs BW, Meshkin B, Blum SH, Martinez Pons M, Mengucci JF, Waite RL, Arcuri V, Varshofsiky M, Braverman ER. Synaptamine (SG8839) An Amino-Acid Enkephalinase Inhibition Nutraceutical Improves Recovery of Alcoholics, A Subtype of Reward Deficiency Syndrome (RDS). Trends in App Sci Res. 2 (2): 132-138, 2007.
[5] Chen TJ, Blum K, Waite RL, Meshkin B, Schoolfield J, Downs BW, Braverman EE, Arcuri V, Varshavskiy M, Blum SH, Mengucci J, Reuben C, Palomo T. Gene narcotic attenuation program attenuates substance use disorder, a clinical subtype of reward deficiency syndrome. Adv Ther. 2007 Mar-Apr;24(2):402-14.
[6] Blum K, Trachtenberg MC, et al. Neuronutrient effects on weight loss in carbohydrate bingers: an open clinical trial. Curr Ther Res. 48: 217-233 1990.
[7] Blum K, Cull JG, Chen TJH, Garcia-Swan S, Holder JM, Wood R, Braverman ER, Bucci LR, Trachtenberg MC. Clinical evidence for Phencal in maintaining weight loss in an open –label, controlled 2-year study. Curr Ther Res 58: 745-763.1997.

About Salugen AG

Salugen™ is a life sciences company offering nutritional ingredients and gene testing to help reduce excessive cravings involved in smoking, weight problems, and alcohol and drug abuse. Salugen has a patent-protected, clinically proven nutritional formulation to reduce stress and cravings, as well as patent-protected gene tests to help identify these persons and customize their treatment. Simply, Salugen’s goal is to reduce or eliminate the illness, costs, and deaths associated with these preventable disorders. For additional information about the company, please visit

Investor Relations Information Contact:
Petjo Noack, MA and Louis Philippe Antunes
Sherbrooke Equity Inc.
Seefeldstrasse 45
8032 Zürich
Tel.: 41 (0) 43 443 70 70
Fax.: 41 (0) 43 443 70 77


Company Information Contact: Salugen AG, 877-258-4360,, .

* These statements have not been evaluated by the U.S. Food and Drug Administration. This product is not intended to diagnose, treat, cure or prevent any disease

Forward Looking Statements

Certain statements in this press release are forward-looking. These forward-looking statements include references to the use of our laboratory tests and nutritional products. These forward-looking statements are subject to risks and uncertainties and other factors, which may cause actual results to differ materially from the anticipated results or other expectations expressed in such forward-looking statements. These risks and uncertainties include, but are not limited to: the risk that physicians may not use the testing or products correctly; risks and uncertainties relating to the performance of our products; the growth in revenues; the size, timing and success or failure of any clinical trials; whether larger confirmatory clinical studies will confirm the results of initial studies; our ability to establish reliable, high-volume operations at commercially reasonable costs; expected reliance on physicians selling our products for a majority of our revenues; the annual renewal of certain customer agreements; actual market acceptance of our products and adoption of our technological approach and products; our estimate of the size of our markets; our estimates of the levels of demand for our products; the impact of competition; whether payers will authorize reimbursement for our products and services and the amount of such reimbursement that may be allowed; whether the FDA or any other agency will decide to further regulate our products or services; whether actions by the FDA, FTC or any other state regulatory body will restrict our ability to commercialize our products; whether we will encounter problems or delays in automating our processes; the ultimate validity and enforceability of our patent applications and patents; the possible infringement of the intellectual property of others; whether licenses to third party technology will be available; whether we are able to build brand loyalty and expand revenues; and whether we will be able to raise sufficient capital in the future, if required. We do not undertake, and specifically disclaim any obligation, to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements.

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