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Cell Therapeutics, Inc. Announces $6.5 Million Offering

Friday, November 30, 2007 General News
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SEATTLE, Nov. 30 Cell Therapeutics, Inc. (CTI)(Nasdaq: CTIC; MTAX) today announced that it has entered into agreements tosell approximately $6.5 million of its 7% Convertible Preferred Stock andwarrants in a registered offering to several institutional investors,including certain of its existing securities holders. CTI will sell Series Dconvertible preferred stock and warrants to investors at the negotiated priceof $1,000 per share of Series D convertible preferred stock. The PreferredStock will be convertible into shares of common stock beginning on or aboutDecember 3, 2007, at a conversion price of $2.6125 per share. Purchasers willalso receive warrants to purchase common stock in an amount equal to 50% oftheir total investment amount divided by $2.6125, which warrants will have anexercise price of $2.55 per share, which is equal to the closing bid price ofthe Company's common stock as reported on the NASDAQ Global Market on November29, 2007. The warrants will not be exercisable until six months following theclosing. The Company intends to use the proceeds of the offering towards theclosing of its purchase of ZEVALIN(R) from Biogen Idec Inc. and for generalcorporate purposes.
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The offering is expected to close on December 3, 2007, subject to certainclosing conditions.

Rodman & Renshaw, LLC, a subsidiary of Rodman & Renshaw Capital Group,Inc. (Nasdaq: RODM), acted as the exclusive placement agent for the offering.
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A shelf registration statement relating to the preferred stock andwarrants to be issued in the offering has been filed with the Securities andExchange Commission and has become effective. A prospectus supplement relatedto the offering will be filed with the Securities and Exchange Commission.Copies of the prospectus supplement and accompanying base prospectus may beobtained directly from Cell Therapeutics, Inc., 501 Elliott Avenue West, Suite400, Seattle, Washington 98119. This announcement is neither an offer to sellnor a solicitation of an offer to buy any of our Convertible Preferred Stockor warrants. No offer, solicitation, or sale will be made in any jurisdictionin which such offer, solicitation or sale is unlawful.

This press release includes forward-looking statements that involve anumber of risks and uncertainties, the outcome of which could materiallyand/or adversely affect actual future results. The risks and uncertaintiesinclude the risk that the above described transaction will not close as aresult of the failure to meet closing conditions, investors may breach orwithdraw their commitment, and until closed there is no assurance that it willclose or what the total amount may be, and other risk factors listed ordescribed from time to time in the Company's filings with the Securities andExchange Commission including, without limitation, the Company's most recentfilings on Forms 10-K, 8-K, and 10-Q. Except as may be required by Italianlaw, CTI does not intend to update or alter its forward-looking statementswhether as a result of new information, future events, or otherwise.Media Contact: Cell Therapeutics, Inc. Dan Eramian T: 206.272.4343 C: 206.854.1200 Susan Callahan T: 206.272.4472 F: 206.272.4434 E: [email protected] www.cticseattle.com/media.htm Investors Contact: Cell Therapeutics, Inc. Leah Grant T: 206.282.7100 F: 206.272.4434 E: [email protected] www.cticseattle.com/investors.htm

SOURCE Cell Therapeutics, Inc.
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