NeoPharm Enrolls First Patient in Phase I Trial for Patients with Metastatic Solid Cancer.

LAKE BLUFF, Ill. -- NeoPharm, Inc. (NASDAQ:NEOL) today announced that it has enrolled its first patient in its Phase I clinical trial for LE-DT, a novel, proprietary liposomal delivery system of docetaxel, the active ingredient of Taxotere[R], which is used for the treatment of patients with metastatic

"We continue to build momentum within our pipeline, as this trial marks our second program that has moved into clinical trials during the first half of 2008. Additionally, the progression of LE-DT further demonstrates the value proposition of our NeoLipid[TM] platform, and provides hope for patients suffering from metastatic solid cancer," commented Mr. Laurence Birch, President and Chief Executive Officer of NeoPharm Inc. "We are encouraged by the results LE-DT has exhibited in pre-clinical analysis, and are pleased to have well-respected organizations, including The Lombardi Comprehensive Cancer Center at Georgetown University and the TGen Clinical Research Services at Scottsdale Healthcare in Scottsdale, AZ, committed to piloting this drug candidate through its initial development cycle."

Docetaxel is a potent antineoplastic agent that functions by inhibiting microtubule disassembly, thereby arresting mitosis. The commercial formulation, Taxotere[R], is approved for breast, non-small cell lung, and androgenindependent prostate cancers. In pre-clinical trials, NeoPharm's liposome entrapped docetaxel (LE-DT) has demonstrated evidence of reducing toxicity profile and increased therapeutic efficacy in human xenograft mouse models.

Dr. Aquilur Rahman, the Company's Chief Scientific Adviser commented, "LE-DT is NeoPharm's new modality of treatment to enter the clinic for Taxotere[R], a chemotherapeutic drug in wide use for the treatment of several forms of advanced cancers, including metastatic breast and ovarian. LE-DT is being developed to eliminate the use of the excipients (solvents) Tween 80 and ethanol, which contribute to an allergic reaction that occurs in most patients, by formulating Taxotere[R], in liposomes."

Dr. Rahman continued, "Patients receiving Taxotere[R] formulated with Tween 80 and ethanol are routinely given antihistamines and steroids prior to treatment to reduce the frequency and severity of these infusion reactions, which could potentially be eliminated by using LE-DT. Additionally, LE-DT may also demonstrate the ability to substantially reduce the toxicities of Taxotere[R], which are dose and treatment limiting."

This open label, dose escalation, Phase I study is designed to determine the maximum tolerated dose (MTD) of LE-DT in patients with metastatic solid cancer who have failed conventional therapy. Up to five dose levels will be studied at up to three investigational sites. NeoPharm anticipates the enrollment of 25 to 30 patients. The secondary objectives of this study will be to evaluate the pharmokinetics of docetaxel following intravenous administration of LE-DT.

About NeoPharm, Inc.

NeoPharm, Inc., based in Lake Bluff, Illinois, is a publicly traded biopharmaceutical company dedicated to the research, development and commercialization of new and innovative cancer and other drugs for therapeutic applications. Additional information, including ongoing clinical trials, can be obtained by visiting NeoPharm's Web site at www.NeoPharm.com.

Forward Looking Statements

This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The Company has tried to identify such forward-looking statements by use of such words as "expects," "intends," "projects," "hopes," "anticipates," "believes," "could," "may," "evidences" and "estimates," and other similar expressions, but these words are not the exclusive means of identifying such statements. Such statements include, but are not limited to, any statements relating to the Company's drug development programs, the initiation, progress, and outcomes of clinical trials of the Company's drug product candidates including, but not limited to LE-DT, and any other statements that are not historical facts. Such statements involve risks and uncertainties, including, but not limited to, risks and uncertainties relating to difficulties or delays that may arise in the development, testing, regulatory approval, production, and marketing of the Company's drug and non-drug compounds, including, but not limited to, LE-DT, the Company's possible need to reduce its funding of certain of its development projects in order to conserve its cash resources, the ability of the Company to procure additional future sources of financing, unexpected adverse side effects or inadequate therapeutic efficacy of the Company's drug product candidates, including, but not limited to, LE-DT, that could slow or prevent products coming to market, uncertainty regarding the Company's ability to commercialize any of its drug product candidates, including, but not limited to, LE-DT, and other risks detailed from time to time in filings the Company makes with the Securities and Exchange Commission including its annual report on Form 10-K for the calendar year ended December 31, 2007, as subsequently updated by the Company in its quarterly reports on Form 10-Q. Such statements are based on management's current expectations, but actual results may differ materially due to various factors, including those risks and uncertainties mentioned or referred to in this press release. Accordingly, you should not rely on these forward-looking statements as a prediction of actual future results.