Flat Royalty Rate of 10% in Europe

$5 Million Cash Payment from Commercial Partner

REMOXY NDA Resubmission Still Anticipated Q4 2010

SAN MATEO, Calif., June 28, 2010 (GLOBE NEWSWIRE) -- Pain Therapeutics, Inc. (Nasdaq:PTIE) announced today a modification of its strategic alliance with King Pharmaceuticals, Inc. (NYSE:KG) for REMOXY outside the U.S. The move signals a desire to target Europe's small and growing market for strong pain medications.

"With the NDA resubmission in sight, we feel now is the time to turn our attention to Europe," said Remi Barbier, President & Chief Executive Officer of Pain Therapeutics. 

King and Pain Therapeutics believe the target market for strong pain medication in Europe is smaller than the U.S. market for similar drugs. To accommodate a cohesive commercial strategy for REMOXY outside the U.S., King Pharmaceuticals and Pain Therapeutics recently modified a royalty term of their strategic alliance. Pain Therapeutics will now receive a flat royalty rate of 10% on net sales of REMOXY outside the U.S. We also expect to receive from King Pharmaceuticals a one-time payment of $5,000,000.00 in July 2010. 

Pain Therapeutics' royalty rate in the U.S. and its potential milestone payments are unchanged.

About Pain Therapeutics, Inc.

Pain Therapeutics, Inc. is a biopharmaceutical company that develops novel drugs. In addition to REMOXY, a unique abuse-resistant controlled-release oxycodone, we have three drug candidates in clinical programs, including a novel radio-labeled monoclonal antibody to treat metastatic melanoma, as well as PTI-202 and PTI-721. Pain Therapeutics is also working on a new treatment for patients with hemophilia, a genetic disorder in which patients are unable to stop bleeding. The FDA has not approved any of our drug candidates for commercial sale. For more information, please visit www.paintrials.com.

About REMOXY

REMOXY is a strong painkiller with a unique formulation designed to reduce potential risks of unintended use. We are developing REMOXY and three other abuse-resistant painkillers pursuant to a strategic alliance we have with King Pharmaceuticals. King has sole responsibility for the commercialization of REMOXY worldwide, except for Australia and New Zealand. 

Note Regarding Forward-Looking Statements:

This press release contains forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995 (the "Act"). Pain Therapeutics disclaims any intent or obligation to update these forward-looking statements, and claims the protection of the Safe Harbor for forward-looking statements contained in the Act. Examples of such statements include, but are not limited to, any statements relating to the timing of the resubmission of the NDA for REMOXY in Q4 2010; our expected receipt of milestone payment or other revenue under our strategic alliance with King, including the $5,000,000 payment expected to be received pursuant to the terms of the modification of the strategic alliance; and expectations regarding target markets for potential development and commercialization efforts. Such statements are based on management's current expectations, but actual results may differ materially due to various factors. Such statements involve risks and uncertainties, including, but not limited to, those risks and uncertainties relating to difficulties or delays in obtaining regulatory approval of our drug candidates, unexpected adverse side effects or inadequate therapeutic efficacy of our drug candidates, unanticipated additional research and development and other costs and the timing and receipt of funds from our strategic partners, potential disputes arising with our strategic partners, potential claims of violating the patent rights of third parties, the uncertainty of patent protection for our intellectual property or trade secrets, and the potential for abuse and misuse resistant pain medications to be developed by competitors and potential competitors. For further information regarding these and other risks related to our business, investors should consult our filings with the Securities and Exchange Commission.
CONTACT:  Pain Therapeutics, Inc.          Judy Ishida, Administrative Manager          650-645-1924          IR@paintrials.com