At Diamyd Medical's ordinary Annual General Meeting on December 11, CEO

Elisabeth Lindner announced that Diamyd stands stronger than ever before. The

first of the company's Phase III studies of the Diamyd^® diabetes vaccine is

fully recruited and the recruitment of the other Phase III study is steadily

increasing. Additionally, several children have been vaccinated in a Swedish

prevention study of the Diamyd^® diabetes vaccine with the aim of preventing type

1 diabetes.

"It has been an incredibly exciting and intense year for Diamyd where a number

of important events have contributed to our current position of strength," says

Elisabeth Lindner, CEO and President at Diamyd Medical. "As a result of the

fully recruited European Phase III study and the progress in the American study

we can better assess the future development of the Diamyd^® project and the

company as a whole."

During the year the company has continued its positioning towards a market

oriented diabetes company with the Nordic market as a base.

The following matters were discussed at the meeting:

Diamyd Medical's President and CEO Elisabeth Lindner gave a retrospective view

of and summarized the important events during and after the past fiscal year.

The most important and decisive events were the progress of the Phase III

studies with the Diamyd^® diabetes vaccine and that the company with margin has

secured its financing until data from the current Phase III program is expected

to be available.

The company's income statement and balance sheet were adopted, and the Board and

CEO were discharged from liability for the 2008/2009 fiscal year.

Anders Essen-Möller was re-elected as Chairman of the Board, and Lars Jonsson,

Sam Lindgren and Henrik Bonde were re-elected to the Board, while Maria-Teresa

Essen-Möller and Göran Pettersson were elected as new Board members.

Maria-Teresa Essen-Möller, b. 1970, is a brand and market strategy consultant

who has also done work with Diamyd Medical AB and Elekta AB. She has a Master's

degree in Economics from Linköping University. Göran Pettersson, with degrees in

Pharmacy and Marketing, has a long background from leading business functions in

the Astra group, KabiVitrum AB, KabiPharmacia/Pharmacia&Upjohn AB and Meda AB.

He is currently a Director of the Boards of Medivir AB, OxyPharma AB, Recipharm

AB, Swedish Orphan AB and Vivoxid, Oy.

The annual meeting approved the Board's proposed guidelines for compensation and

terms of employment for the CEO and other key executives.

The meeting approved the Board's proposal to amendments to the Articles of

Incorporation concerning an execution of a 2:1 division of shares (i.e. a

split), meaning that each share is divided into two shares, and that the summons

to the shareholders' meeting is adjusted to the new regulations expected to come

into force in 2010. In addition, the meeting approved the Board's proposal that

the provisions concerning prior application to and right to attend shareholders'

meeting are adjusted to the Companies Act.

The meeting mandated the Board to decide on new share issues of a maximum total

of 10 percent of the number of shares on one or more occasions before the next

Annual General Meeting. In addition, the meeting approved the Board's proposal

to institute an employee option program.

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.