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AAIPharma Expands Clinical and Non-Clinical Operations with Strategic Hires

Wilmington, N.C., August 23, 2006 -- AAIPharma Inc. announced today two new additions to its management team. Lee Karras joins the Company as senior vice president, Non-Clinical Services, and Anne Wiles joins AAIPharma as senior vice president, Data Systems and Processes.

“We are pleased to add Lee and Anne to our management team. As we develop and pursue strategies to bring innovation and productivity to drug development both in our non-clinical and clinical operations, their experience and expertise will be invaluable and instrumental to our organization’s continued growth and success,” stated Ludo Reynders, Ph.D., AAIPharma president and CEO.

With over fifteen years of experience in pharmaceutical operations, Lee Karras will focus on building a best-in-class infrastructure for the Company’s North American non-clinical business. Most recently, he served as a consultant for pharmaceutical and biotech companies in the areas of technical operations, FDA compliance, supply chain operations and strategic planning. Prior to this, he served as vice president of contract services for Baxter Healthcare Corporation. Previously, he served Baxter as vice president of operations.

Anne Wiles, whose professional focus is clinical data technology, will play a critical role in advancing the Company’s clinical processes and technologies worldwide. She joins AAIPharma from INC DataSpectrum, the data services subsidiary of INC Research, where she served as president. Prior to this, Wiles served IBM Life Sciences as executive consultant, responsible for the development of solutions to e-enable the clinical development process for pharmaceutical, biotechnology, CRO and medical device companies.

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.

Contacts:
Luke Heagle
AAIPharma Inc.
Corporate Communication
910-254-7066

Anna Munoz
Gibbs & Soell, Inc.
Public Relations
919-870-5718