NEW YORK, March 11, 2013

At December 31, 2012, the Company had cash, cash equivalents, interest receivable, and investment securities of $14.7 million, as compared to $39.5 million at December 31, 2011.  Subsequent to December 31, 2012, the Company completed an underwritten public offering of common stock, which provided proceeds to the Company of approximately $74.8 million, net of underwriting discounts and offering expenses of approximately $5.6 million.  Also subsequent to December 31, 2012, the Company received a $7.0 million milestone payment from its Japanese partner for Zerenex (ferric citrate), Japan Tobacco Inc. ("JT") and Torii Pharmaceutical Co., Ltd. ("Torii"), related to JT's January 2013 filing of a New Drug Application ("NDA") with the Japanese Ministry of Health, Labour and Welfare for marketing approval of ferric citrate in Japan for the treatment of hyperphosphatemia in patients with chronic kidney disease.

The net loss for the fourth quarter ended December 31, 2012 was $6.6 million, or $0.09 per share, compared to a net loss of $8.4 million, or $0.12 per share, for the comparable quarter in 2011, representing a decrease in net loss of $1.8 million.  The change in net loss in the fourth quarter of 2012, as compared to the fourth quarter of 2011, was primarily attributable to a $3.1 million decrease in research and development expenses due to the cessation of the development of KRX-0401 (perifosine) in May 2012, partially offset by a $1.3 million increase in research and development expenses related to the Zerenex clinical program.  The net loss for the fourth quarter ended December 31, 2012, included $0.5 million of non-cash compensation expense related to equity incentive grants.

The net loss for the year ended December 31, 2012, was $22.7 million, or $0.32 per share, compared to a net loss of $28.1 million, or $0.42 per share, for the year ended December 31, 2011, representing a decrease in net loss of $5.4 million.  The change in net loss in the year ended December 31, 2012, as compared to 2011, was primarily attributable to an $8.9 million decrease in research and development expenses due to the cessation of the development of KRX-0401 (perifosine) in May 2012, partially offset by a $2.5 million increase in research and development expenses related to the Zerenex clinical program.  The net loss for the year ended December 31, 2011, included license revenue of $5.0 million related to a milestone payment from JT and Torii for their commencement, in April 2011, of a Phase 3 clinical program in Japan.  The net loss for the year ended December 31, 2012, included a non-cash extraordinary gain of $2.6 million related to a write-off of the contingent equity rights liability following the termination of the license agreement for KRX-0401 in May 2012 and $2.2 million of non-cash compensation expense related to equity incentive grants. 

Ron Bentsur, the Company's Chief Executive Officer, commented, "In January, we reached a major milestone with the announcement of successful top-line results from the long-term Phase 3 study of Zerenex.  Following that announcement, we solidified our balance sheet with a substantial capital raise, allowing us to focus on the next key milestones for the Company, specifically, our pending U.S. New Drug Application and European Marketing Authorization Application filings and a potential launch for Zerenex in the middle of next year."

The Company will host an investor conference call tomorrow, Tuesday, March 12, 2013, at 8:30am EDT, to discuss the Company's fourth quarter and year-end 2012 financial results and provide a business outlook for 2013.   

In order to participate in the conference call, please call 1-877-869-3847 (U.S.), 1-201-689-8261 (outside the U.S.), call-in ID: KERYX. The audio recording of the conference call will be available for replay at http://www.keryx.com, for a period of 15 days after the call.