Company Profile

MacroChem (OTCBB: MACM.OB) is a specialty pharmaceutical company that develops and seeks to commercialize pharmaceutical products. Currently, our portfolio of proprietary product candidates includes formulations based on our drug delivery technologies: SEPA®, MacroDermTM, and DermaPassTM, as well as other product formulation technologies. Our SEPA topical drug delivery technology (SEPA is an acronym for "Soft Enhancement of Percutaneous Absorption," where "soft" refers to the reversibility of the skin effect of the technology, and "percutaneous" means "through the skin") enhances the efficiency and rate of diffusion of drugs into and through the skin.

Our lead product candidates are EcoNail® and pexiganan. EcoNail is a topically applied SEPA-based econazole lacquer for the treatment of onychomycosis, a condition commonly known as nail fungus. We recently acquired exclusive worldwide license rights to pexiganan, a novel topical anti-infective for the treatment of diabetic foot infection, which has already completed two Phase 3 trials.

Our other clinical stage product candidate, Opterone®, is a topically applied SEPA-based testosterone cream designed to treat male hypogonadism.

In addition to EcoNail, pexiganan and Opterone, we are evaluating several earlier stage product candidates. We have developed and tested SEPA-based formulations to deliver other active pharmaceutical ingredients including topical anesthetic and topical non-steroidal anti-inflammatory drugs (NSAIDs). We have also tested application of our MacroDerm polymers for use with cosmetics, pharmaceuticals and consumer products like insect repellants and sunscreens to decrease skin penetration and/or improve persistence on the skin. We have performed initial laboratory experiments to test the ability of DermaPass to improve transdermal delivery of various active pharmaceutical ingredients.

Key elements of our strategy to become a leading provider of specialty pharmaceuticals include: continuing clinical development of our lead product candidates, EcoNail and pexiganan; creating value through strategic partnerships; in-licensing selected products and technologies; and leveraging and expanding our existing technologies to develop new products.

NOTICE TO MACROCHEM OPTION OR WARRANT HOLDERS

On July 10, 2008, MacroChem entered into a definitive agreement with Access Pharmaceuticals, Inc. ("Access") pursuant to which MacroChem will merge with and into Access (the “Merger”). Upon closing of the Merger, all outstanding Options and Warrants that (i) have vested, (ii) have an exercise price below MacroChem’s closing common stock price as of July 10, 2008, and (iii) are otherwise exercisable, shall be automatically converted into the right to receive shares of Access common stock with the equivalent dollar value. No fractional shares will be issued. All outstanding Options and Warrants that do not meet the above conditions will be forfeited upon the closing of the Merger and void ab initio. For additional information please contact our investor relations department at 80 Broad Street, Suite 2210, New York, New York 10004 (212) 514-8094.