BLSI Boston Life Sciences (MM)

HOPKINTON, Mass., Nov. 2 /PRNewswire-FirstCall/ -- Boston Life Sciences, Inc. (NASDAQ:BLSI) today announced on October 26, 2006 it issued an amended and restated unsecured promissory note in favor of Robert L. Gipson, a stockholder of the Company, to replace the unsecured promissory note issued to Mr. Gipson on August 8, 2006. Under the amended and restated promissory note, (i) the aggregate principal amount that may be borrowed by the Company has been increased from $3 million to $4 million and (ii) one of the dates triggering repayment under the definition of Maturity Date (as discussed below) has been moved from December 31, 2007 to June 30, 2007. On October 26, 2006, the Company issued to Thomas L. Gipson, also a stockholder of the Company, an unsecured promissory note, under which the Company may borrow up to an aggregate principal amount of $4 million. From time to time prior to the Maturity Date, Messrs. Gipson and Gipson shall make requested advances to the Company under the promissory notes so long as each advance totals at least $1,000,000. The outstanding principal amount borrowed under the promissory notes shall be due and payable upon the earliest to occur: June 30, 2007; the date on which the Company consummates an equity financing in which the gross proceeds to the Company total at least $10 million; or the date on which either Robert Gipson or Thomas Gipson declares an event of default, the first of these three events to occur is referred to as the Maturity Date. The notes will initially bear interest at 9% per annum until the Maturity Date, subject to increase upon the occurrence of certain events. According to a Schedule 13G/A filed with Securities and Exchange Commission on January 24, 2006, Robert Gipson beneficially owned approximately 18.9% of the outstanding common stock of the Company on January 1, 2006. Mr. Gipson, who serves as a Senior Director of Ingalls & Snyder LLC and a General Partner of Ingalls and Snyder Value Partners, L.P., served as a director of the Company from June 15, 2004 until October 28, 2004. According to a Schedule 13G/A filed with Securities and Exchange Commission on January 24, 2006, Thomas Gipson beneficially owned approximately 19.4% of the outstanding common stock of the Company on January 1, 2006. About BLSI Boston Life Sciences, Inc. (BLSI) is engaged in the research and clinical development of diagnostic and therapeutic products for central nervous system (CNS) disorders. ALTROPANE(R) molecular imaging agent is in Phase III clinical trials for the diagnosis of Parkinsonian Syndrome (PS) and Phase II clinical trials for the diagnosis of Attention Deficit Hyperactivity Disorder (ADHD). The Company's research and pre-clinical CNS programs include Inosine for the treatment of stroke, a DAT blocker for the treatment of Parkinson's disease and a second generation technetium-based molecular imaging agent for PS and ADHD. BLSI's current research collaborations include Harvard Medical School and Children's Hospital Boston. Safe Harbor The foregoing release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward- looking statements include statements regarding Boston Life Sciences' future expectations, beliefs, intentions, goals, strategies, plans or prospects regarding the future. Forward-looking statements can be identified by terminology such as "anticipate," "believe," "could," "could increase the likelihood," "estimate," "expect," "intend," "is planned," "may," "should," "will," "will enable," "would be expected," "look forward," "may provide," "would" or similar terms, variations of such terms or the negative of those terms. Such forward-looking statements involve known and unknown risks, uncertainties and other factors including those risks, uncertainties and factors referred to in the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2006 filed with the Securities and Exchange Commission under the section "Risk Factors," as well as other documents that may be filed by Boston Life Sciences from time to time with the Securities and Exchange Commission. As a result of such risks, uncertainties and factors, the Company's actual results may differ materially from any future results, performance or achievements discussed in or implied by the forward-looking statements contained herein. Boston Life Sciences is providing the information in this press release as of this date and assumes no obligations to update the information in this press release. Contact: Sharon Correia -- 508-497-2360 ext 224 Boston Life Sciences, Inc. DATASOURCE: Boston Life Sciences, Inc. CONTACT: Sharon Correia of Boston Life Sciences, Inc., +1-508-497-2360, ext. 224, or Web site: http://www.bostonlifesciences.com/

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