AAIPharma Strengthens South American Operations through Acquisition of Instituto de Pesquisa Clinica de Sao Paulo, Ltd.

AAIPharma Inc. announced today that it has completed the
acquisition of Instituto de Pesquisa Clinica de Sao Paulo, Ltd.
(IPCSP), a contract research organization providing clinical
development services in Brazil. The acquisition of IPCSP combined with
AAIPharma's existing operations in Argentina and Peru provides the
Company critical mass in South America and a platform for continued
growth in this region.

"Expanding AAIPharma's presence in Brazil is important for our
customers who want access to the substantial South American patient
populations," said Ludo Reynders, Ph.D., AAIPharma president and CEO.
"Brazil is a highly populous gateway to South America which is a key
region for the continued growth of clinical development worldwide.
With the highly trained clinical research professionals from IPCSP and
their network of physicians, AAIPharma can offer pharmaceutical and
biotech customers broader reach for their large multinational trials."

IPCSP has extensive experience managing phase I-IV clinical trials
across a wide range of therapeutic areas. The Company's service
offerings include medical and clinical monitoring, project management,
regulatory affairs, pharmacovigilance, clinical supplies, drug
importation, drug storage, drug distribution, and sample exportation,
among others.

"AAIPharma's global presence and experience will create
significant value for our customers," said Andrea Saud Martinez,
Pharm.D., M.Sc., IPCSP founder and CEO, who will become General
Manager of AAIPharma's South American Operations. "We look forward to
enhancing our breadth and depth of services, and remain focused on
continued growth throughout South America."

The terms of the transaction were not disclosed.

About AAIPharma

AAIPharma Inc. is a global provider of product development and
support services to the pharmaceutical, biotechnology and medical
device industries. From a single test through a range of integrated
service offerings, we create value to an industry in search of
productivity and innovation. For more information on the Company,
please visit AAIPharma's website at www.aaipharma.com.