Oslo, Norway, February 28, 2008

Photocure ASA (Oslo Stock Exchange: PHO) today presents its results for the fourth quarter 2007 and for the full year 2007. A meeting will take place today in Oslo, Norway, beginning at 08.15 am (CET) and webcast through the Company's website www.photocure.no.

The main items in the report are:

The revenue from sales of Hexvix bladder cancer diagnostic increased to NOK 8.8 million in the fourth quarter 2007, an increase of 66% over the same period in 2006. Of these sales, NOK 2.0 million came from sales by Photocure in the Nordic region and NOK 6.8 million from sales by GE Healthcare, its commercial partner for Hexvix outside the Nordic region. Comparable figures for 2006 are NOK 5.3 million, NOK 0.4 million and NOK 4.9 million, respectively. In addition to this, Photocure received a NOK 72.5 million milestone payment from GE Healthcare in the fourth quarter 2006 for the rights to market and sell Hexvix in the US.

Over the full year period, revenue from Hexvix increased 108% to NOK 21.0 million in 2007 compared to 2006, split NOK 6.0 million from Photocure in the Nordic region and NOK 15.0 million from GE Healthcare outside the Nordic region. Comparable figures for 2006 are NOK 10.1 million, NOK 2.1 million and NOK 8.0 million, respectively. In addition to this, Photocure received a total of NOK 133.0 million in milestone payments from GE Healthcare in 2006 related to the Licencing agreement for Hexvix.

Revenue from sales of Metvix/Aktilite for the photodynamic treatment of cancerous and precancerous skin lesions decreased 12.3% to NOK 14.8 million in the fourth quarter 2007 compared to the same period for 2006. Photocure's sales of Metvix/Aktilite in the Nordic region increased to NOK 7.6 million from NOK 7.2 million in 2006 and the revenue from Galderma, our commercial partner for Metvix/Aktilite outside the Nordic region, decreased 26.2% to NOK 7.1 million in the fourth quarter 2007 compared with the same period in 2006.

Over the full year period, revenue from Metvix/Aktilite increased 5.2% to NOK 54.2 million in 2007 compared to 2006. Revenue from Metvix/Aktilite from Photocure's own sales in the Nordic region increased by 15.6% to NOK 23.1 million and revenue from Galderma, decreased by 1.4% to NOK 31.2 million in 2007. The decrease in revenues from Galderma is a result of fewer Aktilite sales, lower cost of goods and lower average selling price. The volume of sales in units, however, increased by 21% from 2006 to 2007.

Based on two phase III studies with Metvix/Aktilite in EU/US, which were completed in 2007, a supplemental NDA for Aktilite was submitted to FDA in June 2007. Photocure expects a response from FDA in Q2 2008.

Patient recruitment was completed for a US phase III study of Hexvix with results expected in Q4 2008.

Photocure's US phase IIb clinical study with methyl aminolevulinate (MAL) photodynamic therapy (PDT) for treatment of moderate to severe acne progressed according to plan and was completed in February 2008. The results are expected in Q4 2008.

Patient recruitment was completed for a phase I/II study with Cevira, our new PDT for the treatment of HPV infections and precancerous lesions of the cervix. Results are expected in Q3 2008.

Patient recruitment was completed for a phase I/II study of our new fluorescence-based photodynamic diagnostic (PDD) product, named Lumacan(TM), for detection of early colon cancers. Preliminary results showed 37% improvement in detection of colon cancer compared to current standard colonoscopy. Full results will be presented in May 2008.

Preparations are underway for the first clinical trial of a light-directed therapy based on technology developed at PCI Biotech, our cancer-focused drug delivery subsidiary.

The Board has decided to de-merge PCI Biotech, which the Directors believe will give it the best possible opportunity to become a successful biotech company in its own right as well as releasing the value that this creates to shareholders.

Total revenue was NOK 27.5 million in the fourth quarter 2007, compared to NOK 98.5 million in the fourth quarter 2006. Profit after tax was NOK -16.3 million in the fourth quarter 2007 compared to
NOK 54.5 million in the fourth quarter 2006. The figures in the fourth quarter of 2006 reflect the positive impact of a milestone payment relating to Hexvix from GE Healthcare.

Total revenue for the full year 2007 was NOK 99.0 million, compared to NOK 210.3 million in 2006. Profit after tax was NOK -75.0 million in 2007, compared to NOK 78.4 million in 2006. As in the fourth quarter, the full year 2006 figures reflect the positive impact of milestone payments from GE Healthcare.

The increase in operating expenses of NOK 61.3 million in 2007 compared to 2006 reflects planned increase in activities in clinical programs as well as marketing and sales.

Cash flow from operations was NOK -95.7 million in 2007, compared to NOK 66.4 million in 2006. Liquid funds amounted to NOK 252.5 million as of 31.12.2007.

President and CEO of Photocure, Kjetil Hestdal MD, Ph.D., says in a comment to the results, "We are pleased to see that sales of Hexvix and Metvix continued to grow during 2007. These are products that we believe offer both significant clinical benefits to patients and considerable economic benefits to healthcare payers and we are confident that their uptake will continue to increase over the coming years.

"Furthermore, our pipeline of novel photodynamic products targeting acne, cervical cancer therapy (Cevira) and colon cancer detection (Lumacan) made considerable progress in 2007 and development of these proceeded according to our plans. We expect to see some interesting data emerging from the clinical trials underway with these product candidates during 2008."