Velcera Announces Positive FDA Meeting on VEL504 Product

Current Formulation is Approvable

Yardley, PA June 2, 2008 - Velcera, Inc., (OTCBB: VLCR) a specialty pharmaceutical company focused on pet health, announced today positive results from its presubmission conference with the U.S. Food and Drug Administration's Center for Veterinary Medicine (CVM) concerning Velcera's novel canine pain management product. The meeting confirmed the current Promist(TM) product formulation is approvable by CVM in accordance with the customary regulations pending completion of the development program as previously planned and agreed upon with CVM. No changes or additions to the plan of development or revisions to current protocols are necessary. This novel product out-licensed in 2007 and now under development by Velcera is positioned to move forward toward regulatory approval.

"We are pleased to report progress on the development of the VEL504 product ," stated Dennis Steadman, Velcera's Chief Executive Officer. "Pain management is a major market segment in pet health and our product administered via Promist(TM) method can gain a significant position in that market. Clearly, this is an important validation of the VEL504 product and our development plan," Steadman said.

About Promist(TM) Drug Delivery
Promist delivery provides a metered dose fine liquid spray to the oral cavity, where the active ingredient is absorbed without the need to swallow. This patented delivery method provides advantages when compared to conventional swallow tablets and liquids. These advantages include: (a) convenient dosing leading to increased compliance, (b) improved bioavailability, (c) faster absorption, and (d) extended product life cycles via patented novel delivery system .

About the Pet Health Market
According to the American Pet Products Manufacturers Association, pet ownership and spending on pets are at an all time high. An estimated 71 million U.S. households (63%) own at least one pet and consumers spending on pets is projected to be in excess of $43 billion in 2008. Animal Pharm projects the U.S. pet health market to be $8.6 billion by 2010. A significant influence on the growth in these numbers has been the "humanization" of pets where, according to USA Today, 69% of owners believe that pets are members of the family.

About Velcera, Inc.
Velcera is a specialty pharmaceutical company focused on innovation in the expanding pet health market. Velcera's product development targets new pet medicines in pain management, anti-allergy and parasiticides that can provide superior convenience and greater compliance than traditional products. Certain product candidates are based upon the patented Promist delivery technology, which has the potential to increase compliance and improve pet health as owners avoid the challenges in getting pets to swallow pills.

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This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties that could cause our actual results to differ materially from the anticipated results and expectations expressed in these forward-looking statements. These statements are often, but not always, made through the use of words or phrases such as "anticipates," "expects," "plans," "believes," "intends," and similar words or phrases. These statements are based on current expectations, forecasts and assumptions that are subject to risks and uncertainties, which could cause actual outcomes and results to differ materially from these statements. Risks that may affect forward-looking information contained in this press release include, without limitation, the risk that the results of clinical trials may not support our claims and our lack of experience in developing and commercializing pet pharmaceutical products.   Additional risks are described in our Registration Statement   on Form SB-2/A filed with the Securities and Exchange Commission on October 18, 2007. We assume no obligation to update these statements, except as required by law.