U.S. International Trade Commission Refers MVA Case Back to the Administrative Law Judge


On February 21, 2007 the International Trade Commission (ITC) issued an order   
vacating the Initial Determination in a case in which Bavarian Nordic's patents 
on the Modified Vaccinia Ankara virus (MVA) were found to be infringed but      
invalid. The order has the effect of nullifying the Initial Determination's     
ruling, including its finding of patent invalidity. The entire investigation    
will be heard again before the Administrative Law Judge with a new target       
completion date of October 19, 2007.                                            

Bavarian Nordic asked the full ITC Commission to review the Initial             
Determination based on grounds that the finding on the issue of invalidity was  
legally and factually erroneous. This decision has now been vacated which       
Bavarian Nordic finds very satisfying.                                          

Bavarian Nordic filed its complaint with the ITC on August 19, 2005 alleging    
that Acambis plc has imported, sold, and/or offered to sell its MVA-based       
smallpox vaccines in the USA that infringed patents owned by Bavarian Nordic.   
Bavarian Nordic re­quested the ITC to issue to Acambis a permanent cease and    
desist order which would prohibit Acambis from im­porting, selling, or offering 
for sale its MVA-based smallpox vaccine in the USA.                             

The ITC order issued yesterday has no significance on the ongoing discussions   
with the US Department of Health and Human Services (HHS) on the MVA-based      
smallpox vaccine tender process including the expected RFP order. Furthermore,  
the ITC order has no impact on the company's recently announced rights issue and
the prospectus released in conjunction with the offering. Bavarian Nordic       
management has determined that the issued ITC order does not materially impact  
the company or its stated projections for the future and therefore will not file
an amendment to the prospectus.                                                 

Commenting on the ITC order, Peter Wulff, President and CEO of Bavarian Nordic, 
said: “We are happy about the revised ITC decision and are confident in the     
validity of our current and expanding portfolio of patents on our MVA technology
and will pursue their enforcement in this venue and others as appropriate. We   
are pleased that the ITC Commission recognized the weakness of the Initial      
Determination and that we now can straighten out any legal and factual          
misunderstandings.”                                                             


Kvistgård, 22 February 2007                                                     

Asger Aamund                                                                    
Chairman                                                                        

Contacts:	Li Westerlund, Director Intellectual Property Rights                  
	Telephone: +45 33 26 83 83                                                     

	Media: United Kingdom		Media: United States of America                         
	Mary Clark, Capital MS&L	Elizabeth Dempsey Becker, Bavarian Nordic Inc.        
	Telephone: +44 207 307 5330	Telephone: +1 202 725-0501                         

About Bavarian Nordic A/S:                                                      
Bavarian Nordic (CSE: BAVA) is a leading international biopharmaceutical company
developing and producing inno­vative vaccines to prevent and treat infectious   
diseases and cancer. With operations in Denmark, Germany, the USA, and          
Singapore, Bavarian Nordic employs over 200 people. Bavarian Nordic's patented  
technology, MVA-BN®, is as been demonstrated in clinicial studies, one of the   
world's safest, multivalent vac­cine vectors for the development of vaccines    
against various infectious diseases such as smallpox, HIV/AIDS, as well as      
against breast and prostate cancer. Several MVA-BN®-based HIV and smallpox      
vaccines are in clinical Phase I and Phase II trials. Bavarian Nordic has       
ongoing development contracts with the US government to develop IMVAMUNE® as a  
safe third-generation smallpox vaccine. Bavarian Nordic has supplied several    
other governments with smallpox vaccines.                                       
For more information please visit www.bavarian-nordic.com                       
“Safe Harbour" Statement Under the Private Securities Litigation Reform Act of  
1995:                                                                           
Except for the historical information contained herein, this release contains   
"forward-looking state­ments" within the meaning of the Private Securities      
Reform Act of 1995. No "forward-looking state­ment" can be guaranteed, and      
actual results may differ materially from those projected. Bavarian Nor­­dic    
undertakes no obligation to publicly update any "forward-looking statement",    
whether as a re­sult of new information, future events, or otherwise. Additional
information regarding risks and unce­rtainties is set forth in the current      
Annual Report, which we incorporate by reference.                               
Stockwise Resumé                                                                
U.S. International Trade Commission Refers MVA Case Back to the Administrative  
Law Judge

Attachments

05-07_uk.pdf