TORONTO, ON, August 30th, 2012 - Transition Therapeutics Inc. ("Transition" or the "Company") (TSX:TTH, NASDAQ:TTHI) today announced that its licensing partner, Elan Corporation, plc ("Elan") has commenced a Phase 2, placebo-controlled, safety and efficacy study of oral ELND005 as an adjunctive maintenance treatment in patients with Bipolar I Disorder (BPD 1) to delay the time to occurrence of mood episodes. As the first patient has been dosed in this study, Transition will receive a milestone payment of US$ 11 million from Elan.

This bipolar clinical study is expected to enroll approximately 400 patients with BPD 1. Additional information on the study design and protocol for this study ELND005-BPD201 can be found at http://clinicaltrials.gov/

Bipolar I Disorder (BPD) is a severe form of BPD, also commonly known as manic depressive illness. It is a psychiatric disorder characterized by excessive swings in a person
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