Phase III Medical Signs Joint Venture Agreement to Develop Stem Cell Banking Programs for Homeland Security and Dept. of Defens

[Murray Charters <mcharters@xxxxxxxxxxxxxx>]

Phase III Medical Signs Joint Venture Agreement to Develop Stem Cell Banking 
Programs for Homeland Security and Dept.
of Defense.

MELVILLE, N.Y., Apr 1, 2004 (BUSINESS WIRE) -- Phase III Medical, Inc. (OTCBB: 
PHSM) today announced that it has
entered into a joint venture agreement with NeoStem, Inc., a California company 
whose primary business is to establish
an adult stem cell bank, to develop a stem cell banking program and strategy 
for the Department of Homeland Security
and the Department of Defense.

Phase III will assist NeoStem in developing programs, utilizing NeoStem's adult 
stem cell collection and storage
technology, for the purpose of exploring potential service contracts with the 
Department of Homeland Security,
Department of Defense and/or other government agencies. The initial 
concentration of efforts will be towards
establishing a stem cell collection and storage program for first responders, 
military personnel or other high risk
personnel who may face the threat of radiation or nuclear exposure.

Phase III will receive a percentage of any revenues or fees received by NeoStem 
with respect to NeoStem's services
provided to these government departments or agencies. Phase III will also be 
entitled to a percentage of funds received
by NeoStem for any research grants given to NeoStem by these agencies.

NeoStem, Inc. is a California-based company whose primary objective is to 
establish an adult stem cell bank. NeoStem
will provide a service to allow adults to collect and store their own stem 
cells (autologous) for future innovative
therapeutic uses.

Phase III Medical is a company involved in the pharmaceutical, biotechnology 
and life science industry. Phase III
provides capital and guidance to companies, within the medical sector, to 
acquire a percentage of revenues, royalties
and licensing fees, from the sale of pharmaceuticals, medical devices and 
biotechnology products.

This Release contains forward-looking statements made pursuant to the safe 
harbor provisions of the Private Securities
Litigation Reform Act of 1995, such as Phase III Medical's ability to enter the 
medical sector or acquire any companies
or technologies, or NeoStem's ability to successfully establish an adult stem 
cell bank. Forward-looking statements
represent management's judgment regarding future events. Although management 
believes that the expectations reflected
in such statements are reasonable, it gives no assurance that such expectations 
will prove to be correct and you should
be aware that actual results could differ materially from those contained in 
the forward-looking statements due to a
number of factors. These factors include the risks detailed in the Phase III 
Medical's Annual Report on Form 10-K for
the year ended December 31, 2003 and other reports filed with the Securities 
and Exchange Commission. In addition, no
assurances can be given that any definitive agreements will be finalized with 
the Department of Homeland Security,
Department of Defense or any other government agency as a result of Phase III 
Medical's efforts pursuant to the Joint
Venture Agreement or otherwise, that NeoStem's collection, processing and 
storage technology will be successfully
implemented, that NeoStem will be able to commercialize its adult stem cell 
banking enterprise, or that there will be
market acceptance of any such enterprise sufficient to generate any material 
revenues for NeoStem or any material
revenues for Phase III Medical, or that any stem cell therapeutic strategies 
will be successfully developed or
commercialized.

SOURCE: Phase III Medical, Inc.

CONTACT:

Phase III Medical, Inc.
Mark Weinreb, 631-574-4955


SOURCE: MacroWorldInvestor


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