Sanguine Corporation has signed a license agreement with Ascendiant - Asia, LLC. Ascendiant - Asia, through the appointment of pharmaceutical company sub- licensees, is arranging for the completion of clinical trials, and the commencement of manufacturing and distribution of Sanguine's products in major countries in Asia, the largest of which is the People's Republic of China, with a population exceeding 1.5 billion.

Dr. Thomas C. Drees, Chief Executive Officer of Sanguine, commented, ``This is a major step in the commercialization of PHER-02, a product we believe could change the face of medicine.''

Dr. Drees, with more than 30-years experience in the field of biologics (the study of blood), supervised the development of certain perfluorocarbons (PFCs) into the first synthetic red blood cell substitute to receive FDA approval in 1989. He founded Sanguine Corporation to develop a second-generation synthetic red blood cell substitute named PHER-O2, a PFC-based product that is believed to be a major breakthrough in biologics and considered by the Company's management to be superior to the first-generation product based on improved stability demonstrated in independent laboratory tests.