Diamyd Medical announces today that the company's European Phase III study of

the diabetes vaccine Diamyd^® is now fully recruited. It is estimated that

results from the study can be reported during spring 2011.

320 children and adolescents between 10 and 20 years of age and recently

diagnosed with type 1 diabetes have now been identified and included in the

company's European Phase III study and have received their first injection of

the Diamyd^® vaccine or placebo. The study is thus fully recruited.

"It is clear now that we will be able to present results from the study during

spring 2011 and our schedule for the market application thereby remains

unchanged," says Elisabeth Lindner, CEO and President of Diamyd Medical.

The study aims to investigate whether the Diamyd^® vaccine can halt or slow the

destruction of beta cells in the pancreas in type 1 diabetes, preserving the

body's own ability to control blood sugar levels. An improved blood sugar

balance in children and adolescents, who have recently been diagnosed with type

1 diabetes, in turn reduces the risk of both short and long term diabetes

complications. The Diamyd^® vaccine has been shown, in Phase II studies, to halt

or slow the destruction process and preserve the remaining beta cell function.

In the US, a parallel Phase III study (DIAPREVENT) is ongoing. The study was

recently opened for children as young as 10 years of age. Children started to be

included in the study in September of this year and the pace of recruitment is

now steadily increasing. The company has also invested in expanded recruitment

activities in connection to an increase in the number of participating pediatric

diabetes clinics. The recruitment campaign for the American Phase III study of

the Diamyd^® vaccine has its own website, www.DiaPrevent.diamyd.com.

For more information, please contact:

Elisabeth Lindner, President and CEO Diamyd Medical AB (publ.)

Phone: +46 8 661 0026

For pictures and press material, please contact:

Andreas Ericsson, Diamyd Medical AB (publ.)

andreas.ericsson@diamyd.com

Phone: +46 8 661 0026

About Diamyd Medical

Diamyd Medical is a Swedish diabetes company focusing on the development of

pharmaceuticals for the treatment of autoimmune diabetes and its complications.

The company's most advanced project is the GAD-based drug Diamyd^® for type 1

diabetes. Phase III trials for this drug are in progress in both Europe and the

US. In addition, the company has initiated clinical studies in the US in the

area of chronic pain, using its Nerve Targeting Drug Delivery System (NTDDS).

The company has also out-licensed the use of GAD for the treatment of

Parkinson's disease. The company currently has three clinical-phase products.

Diamyd Medical has offices in Sweden and in the US. Shares are listed on Nasdaq

OMX in Stockholm (ticker: DIAM B) and on OTCQX in the US (ticker: DMYDY)

administered by the Pink OTC Markets and the Bank of New York Mellon (PAL).

Further information is available on the company's website: www.diamyd.com.

This information is disclosed in accordance with the Swedish Securities Markets

Act, the Swedish Financial Instruments Trading Act, or the requirements stated

in the listing agreements.

Diamyd Medical AB (publ.)

Linnégatan 89 B, SE-115 23 Stockholm, Sweden. Tel: +46 (0)8 6610026, Fax: +46

(0)8 661 63 68

E-mail: info@diamyd.com. VAT no: SE556530-142001.