Newsletter

January 7, 2005

Volume VI, Issue 28

Home Page : www.otcjournal.com
Email Questions or Comments To: editor@otcjournal.com

To OTC Journal Members:

Comments in the BLOG

There were three very important BLOG entries late last week. There are some very interesting events in three of our long term ideas. Leading the pack was outstanding news from Newave (OTC BB: NWWV). The company surpassed the 150,000 members serviced number. Since they were at the 100,000 member mark in December, clearly the outstanding growth is continuing. I strongly recommend reviewing this BLOG entry. This company is a winner and sooner or later the market will recognize it.

Secondly, I posted a BLOG entry on Virta Sytem's (OTC BB: VTSI) year end numbers. The stock is trading quite poorly against a vacuum of new sales news. Check the BLOG for my current observations on the state of the company.

Thirdly, was news long over due from beleaguered American Water Star (AMEX: AMW). The last important news we got on this company was Chairman Mohlman's sales forecast of $80 million in revenues in '05. That was last October. Since that time we have seen no hard numbers from this company, and the stock is not behaving as if $80 million were in the cards. Year end numbers are do out soon, and 1st quarter numbers won't be far behind. Mr. Mohlman will be conducting an open conference call on Tuesday, 15 minutes after the market closes. The stock perked up a little last week out in front of the news. Check the BLOG for my current view.

Comments or questions on all theBLOG entries are welcome.

To use the BLOG, simply go to the home page at www.otcjournal.com - the BLOG will scroll down automatically on the right side of your screen. The most current journal entries appear in the middle of your screen. Check back frequently for updates particularly when stocks are moving to overbought or oversold levels or in volatile markets.

Xenomics (OTC BB: XNOM) Brings in the Big Guns

XNOM is one of the new ideas recently introduced. I realize this is a completely undiscovered stock with a very limited trading history, so it will take some time to develop the story. As time goes by, the audience for this stock will grow.

The company owns the rights to develop applications for the use of transrenal DNA. To me, the is absolutely fascinating technology, and it will be very interesting to see this company develop commercial applications for this discovery.

In the 1980's the medical community believed that DNA in the blood stream was filtered out through the kidneys. Russian scientists who were researching radiation poisoning from the Chenobyl disaster discovered this was not the case.

DNA can provide you will a lot of information about what's happening in the body. For example, fetal DNA can be found in the mother's urine. DNA from a transplanted organ can be found in the recipients urine. DNA from cancer cells, which almost have a life of their own, can be found in urine. Heretofore, it was difficult to locate and retrieve this DNA without highly invasive surgery.

In order to manage and protect the myriad of potential applications for transrenal DNA, XNOM has recruited one of the biggest guns in the industry.

Dr. David Ladner has been awarded the position of Director of Licensing and Intellectual Property. There is a lot of information about Dr. Ladner in the press release below.

Prior to coming over to fledgling XNOM, Dr. Lander was a manager of Intellectual Property at Bayer Pharmaceutical Division for the last five years, where he handled patent filing and prosecution for Chemical Research. He also served as Patent Liaison as well as Research Manager at American Cyanamid Co., for over 20 years, overseeing key aspects of patents and intellectual property. Dr. Ladner holds 22 patents himself, and has published widely in professional journals.

As stated above, watch this one develop. I believe XNOM has remarkable potential, and clearly one industry pro who has jumped ship agrees with me.

Here is the complete text of Friday's press release for your review:

Press Release Source: Xenomics, Inc.

Xenomics Establishes Department of Licensing and Intellectual Property, Hires Veteran Patent Agent David Ladner to Head Unit

Thursday March 24, 4:01 pm ET

Former Bayer and American Cyanamid Executive Will Direct Company's Intellectual Property and Licensing Business

NEW YORK--(BUSINESS WIRE)--March 24, 2005--Xenomics, Inc. (OTCBB:XNOM - News), a developer of next-generation medical DNA technologies, has announced the formation of a Department of Licensing and Patents to manage the growth and licensing business of the Company's expanding intellectual property portfolio. Dr. David Ladner, a patent agent and research scientist with extensive background in the pharmaceutical and chemical industries, has been hired to lead the new unit in the position of Director of Licensing and Intellectual Property.

"The continued expansion of our intellectual property portfolio and the potential for licensing revenues is central to Xenomics' strategic plans for growth and increased shareholder value," said Dr. Randy White, CEO of Xenomics. "As we move from research to commercial product development our intellectual property portfolio has already started to expand in both the U.S. and Europe. Dr. Ladner's appointment as Director of Licensing and Intellectual Property is a key addition to help us manage our growth in this crucial area."

Xenomics is developing and commercializing proprietary gateway DNA testing technology that has the potential to significantly expand the field of molecular diagnostics, currently a $1.5 billion segment of the health care and biotechnology industry. The Company is using its patented Transrenal DNA-based technology platform to develop a number of medical tests for infectious diseases including AIDS and tuberculosis, and for prenatal genetic testing, including gender determination, Rh incompatibility and Down syndrome. Xenomics' breakthrough technology enables detection of DNA using safe, simple and non-invasive urine collection, which offers a number of significant advantages over current techniques that require blood or tissue sampling.

Dr. Ladner, a longtime senior research scientist with extensive experience as a patent agent and specialist in the chemical and pharmaceutical industries, holds a Ph.D. in Organic Chemistry and is currently pursuing an MBA. He was a manager of Intellectual Property at Bayer Pharmaceutical Division for the last five years, where he handled patent filing and prosecution for Chemical Research. He also served as Patent Liaison as well as Research Manager at American Cyanamid Co., for over 20 years, overseeing key aspects of patents and intellectual property. Dr. Ladner holds 22 patents himself, and has published widely in professional journals.

"We are lucky to have someone with David's experience to guide our patent expansion and licensing business," said Dr. White. "His scientific background and technical knowledge of the patent and licensing area is a perfect combination for interaction with our scientific staff."

"I'm excited to bring my experience in patents and licensing to a company with such great potential as Xenomics," said Dr. Ladner. "I believe the company is poised to make extensive and important scientific discoveries, and I look forward to being a part of the team."

About Xenomics, Inc.

Xenomics is a molecular diagnostic company that focuses on the development of DNA-based tests using trans-renal DNA (Tr-DNA). Xenomics' patented technology uses safe and simple urine collection and can be applied to a broad range of applications, including prenatal testing, tumor detection and monitoring, tissue transplantation, infectious disease detection, genetic testing for forensic identity determination, drug development, and research to counter bioterrorism. Scientists from Xenomics were the first to report that fragments of DNA from normal cell death cross the kidney barrier and can be detected in urine. The Company believes that its technology will open significant new markets in the molecular diagnostics field. Xenomics has three issued U.S. patents covering different applications of the technology for molecular diagnostics and genetic testing and a pending European patent for the same applications. The Company has organized a joint venture to conduct research on infectious disease detection with the National Institute for Infectious Diseases (Instituto Nazionale per le Malattie Infettive "Lazarus Spallanzani") in Rome, in the form of a new R&D company called SpaXen Italia, S.R.L. For more information, please visit http://xenomics.com. For more investor-specific information, including daily and historical Company stock quote data and recent news releases, please visit http://www.trilogy-capital.com/tcp/xenomics. To read or download the Company's Investor Fact Sheet visit http://www.trilogy-capital.com/tcp/xenomics/factsheet.html. To view an online video about Xenomics technology and products, visit http://www.trilogy-capital.com/tcp/xenomics/video.html. A TV news report about the Company's next-generation prenatal tests can be viewed at http://www.trilogy-capital.com/tcp/xenomics/ny1_video.html.

Forward-Looking Statements

Certain statements made in this press release are forward looking. Such statements are indicated by words such as "expect," "might," "should," "anticipate" and similar words indicating uncertainty in facts and figures. Although Xenomics believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations reflected in such forward-looking statements will prove to be correct. As discussed in the periodic reports of Xenomics, as filed with the Securities and Exchange Commission, actual results could differ materially from those projected in the forward-looking statements as a result of the following factors, among others: uncertainties associated with product development, the risk that Xenomics will not obtain approval to market its products, the risk that Xenomics' technology will not gain market acceptance, the risks associated with dependence upon key personnel, and the need for additional financing.
Contact:

     Xenomics, Inc.
     Randy White, 212-297-0808
     or
     Trilogy Capital Partners, Inc. (Investor Relations)
     Paul Karon, 800-342-1467
     paul@trilogy-capital.com

Source: Xenomics, Inc.

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