Press Release

PORTLAND, Ore.--(BUSINESS WIRE)--June 19, 2006--AVI BioPharma, Inc. (Nasdaq:AVII), announced that Alan P. Timmins, AVI's president and COO, will present the company's biodefense therapeutic development strategy and progress at the Rodman & Renshaw 3rd Annual Security, Biodefense & Connectivity Investor Conference. The conference will be held at the St. Regis Hotel in New York; AVI's presentation will take place today at 8:55 a.m. EDT in the Fountainebleau Room.

"We see an important role for our rapid response antisense therapeutics in potentially protecting the nation's health in the event of a bioterror attack," Timmins said. "I'm looking forward to discussing the various applications of our technology at the upcoming conference."

In January 2006, AVI gained approval for an $11 million allocation as part of the Defense Appropriations Act to develop therapeutic agents against Ebola, Marburg and dengue viruses, as well as countermeasures for anthrax exposure and antidotes for ricin toxin. This funding allocation more than doubled the allocation approved by the Department of Defense in the previous fiscal year. The company anticipates receiving the funding as agreed-upon research benchmarks are met in the future.

About AVI BioPharma

AVI BioPharma develops therapeutic products for the treatment of life-threatening diseases using third-generation NEUGENE(R) antisense drugs. AVI's lead NEUGENE antisense compound is designed to target cell proliferation disorders, including cardiovascular restenosis, cancer and polycystic kidney disease. In addition to targeting specific genes in the body, AVI's antiviral program uses NEUGENE antisense compounds to combat disease by targeting single-stranded RNA viruses, including West Nile virus, hepatitis C virus, dengue virus, Ebola virus and influenza A virus. AVI has introduced a NEUGENE-based exon-skipping technology called ESPRIT therapy. More information about AVI is available on the company's Web site at http://www.avibio.com.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: The statements that are not historical facts contained in this release are forward-looking statements that involve risks and uncertainties, including, but not limited to, the results of research and development efforts, the results of preclinical and clinical testing, the effect of regulation by the FDA and other agencies, the impact of competitive products, product development, commercialization and technological difficulties, and other risks detailed in the company's Securities and Exchange Commission filings.

    CONTACT: AVI BioPharma, Inc.
             Michael Hubbard, 503-227-0554
             hubbard@avibio.com
              or
             Lippert/Heilshorn & Associates Inc. (Investor Contacts)
             Jody Cain, 310-691-7100
             jcain@lhai.com
              or
             Brandi Floberg, 310-691-7100
             bfloberg@lhai.com
              or
             Waggener Edstrom Worldwide  (Press Contact)
             Bioscience and Healthcare Practice
             Jenny Moede, 503-443-7507
             jmoede@waggeneredstrom.com

    SOURCE: AVI BioPharma, Inc.