ANACOR ANNOUNCES NINE POSTER PRESENTATIONS FOR ITS TWO LEAD PRODUCT CANDIDATES AT THE AMERICAN ACADEMY OF DERMATOLOGY 64TH ANNUAL MEETING/span>

Palo Alto, Calif. — March 1, 2006 - Anacor Pharmaceuticals, a private pharmaceutical company developing novel pharmaceuticals for inflammatory and infectious diseases, announced today the presentation of nine posters detailing clinical and pre-clinical studies of its two lead product candidates. AN2690 represents a new class of antifungals, and is in development for the topical treatment of onychomycosis, a fungal infection of the toenails, fingernails and nail bed. AN0128 is a novel topical compound with combined antibacterial and anti-inflammatory activity that is being evaluated for treatment of atopic dermatitis, or eczema.

"Over the past 12 months, Anacor has evolved from a pre-clinical company with proprietary chemistry, to a clinical stage company with two compounds based on that chemistry in Phase 2 trials," said David Perry, chief executive officer of Anacor. "The posters at AAD demonstrate the company's evolution and the promise of both our lead compounds and the underlying technology platform."

The posters will be available for viewing on Friday March 3, 2006 at 1:00 p.m. at the 64th Annual Meeting of the American Academy of Dermatology (AAD) at Moscone Convention Center, San Francisco. Specific poster presentation times are indicated below.

AN2690 Poster Presentations

1. Pre-clinical Toxicology of AN2690, A New Antifungal Agent in Development for the Topical Treatment of Onychomycosis.
   Poster: P1611
   Presentation time: Sunday March 5, 12 p.m. to 2 p.m.


2. Initial Characterization of Resistant Mutants to AN2690, A New Antifungal Agent in Development for the Topical Treatment of Onychomycosis, Predicts a Novel Mechanism of Action.
   Poster: P1607
   Presentation time: Sunday March 5, 12 p.m. to 2 p.m.


3. Microbiological Activity of AN2690, a New Antifungal Agent in Development for the Topical Treatment of Onychomycosis.
   Poster: P1608
   Presentation time: Saturday March 4, 12 p.m. to 2 p.m.

AN0128 Poster Presentations

1. Clinical Safety of AN0128, a Novel Borinic Acid Ester. Poster: P145 Presentation time: Sunday March 5, 12 p.m. to 2 p.m.


2. AN0128, A Novel Borinic Acid Ester with In Vitro and in vivo Anti-Inflammatory Activity.
   Poster: P108
   Presentation time: Saturday March 4, 12 p.m. to 2 p.m.


3. Pre-clinical Toxicology of AN0128, A Novel Borinic Acid Ester with Combined Antimicrobial and Anti-Inflammatory Activity.
   Poster: P122
   Presentation time: Saturday March 4, 12 p.m. to 2 p.m.


4. A Novel Borinic Acid Ester with Antibacterial Activity Against Propionibacterium acnes.
   Poster: P103
   Presentation time: Sunday March 5, 12 p.m. to 2 p.m.


5. A Novel Borinic Acid Ester with Antibacterial Activity Against Staphylococcus aureus.
   Poster: P800
   Presentation time: Saturday March 4, 12 p.m. to 2 p.m.


6. A Novel Synthetic Borinic Acid Ester with a Broad Spectrum of Antibacterial Activity.
   Poster: P104
   Presentation time: Saturday March 4, 12 p.m. to 2 p.m.

--- View Posters ---

About Anacor Pharmaceuticals
Anacor, a privately held, clinical-stage pharmaceutical company, is developing novel product candidates for inflammatory and infectious diseases based on its proprietary, small-molecule, boron-based chemistry. Initially, Anacor is focusing development efforts on dermatological disorders with a product candidate in Phase 2 clinical trials for atopic dermatitis and another in Phase 2 trials for onychomycosis, a fungal infection of fingernails and toenails that affects as much as 14% of the general U.S. population.