AmpliPhi Provides Shareholder Update Bacteriophage-based Antibacterial Therapies to Treat Drug Resistant Infections Advancing towards Human Clinical Studies 2015 Uplisting to Major Exchange Expected Richmond, VA, USA, Lj

AmpliPhi Provides Shareholder Update

Bacteriophage-based Antibacterial Therapies

to Treat Drug Resistant Infections Advancing towards Human Clinical Studies

2015 Uplisting to Major Exchange Expected

Richmond, VA, USA, Ljubljana, Slovenia, and Sydney, Australia,

January 05, 2015 - AmpliPhi BioSciences Corporation (OTCQB: APHB), the global leader in the development of bacteriophage-based

antibacterial therapies to treat drug resistant infections, provided an update to shareholders during a teleconference on January

5, 2015. The update confirmed the Company is on track to enter human clinical trials in the second half of 2015 with an optimized

bacteriophage product targeting multi-drug resistant Staphylococcus aureus. The Company further reported it is preparing for an

up-listing to a major stock exchange.

During the shareholder call, Jeremy Curnock-Cook, Chairman and

Interim CEO said "During 2014 AmpliPhi successfully re-established its public reporting status with the SEC and as of last

week AmpliPhi's S-1 registration statement has been declared effective by the SEC. AmpliPhi believes that with the foundation

of its reporting status and strong investor base, the company is well placed to embark on the up-listing process to a major stock

Operational highlights:

Reflecting on the progress made in 2014 and the prospects for

2015, Jeremy Curnock-Cook, Chairman and Interim CEO said,

"Over the course of 2014, AmpliPhi has made a number of

significant advancements in characterizing and optimizing its bacteriophage based products to target current, clinically relevant

multi-drug resistant species of bacteria. Ampliphi is well positioned to be part of the solution to the urgent need for new treatments

for multi-drug resistant bacterial infections, a problem that claims at least 50,000 lives per year in the EU and the US, with

hundreds of thousands of more dying in other areas of the world.

"With advances in all of our collaborations and a significant

investment in a GMP bacteriophage manufacturing facility, we are well placed to begin our first human clinical studies in 2015.

I believe AmpliPhi has established itself as the leading phage company in the world, and am excited about the prospects for the

AmpliPhi is developing its Pseudomonas program with the Royal

Brompton Hospital, UK. During 2014, AmpliPhi further characterized its bacteriophage product candidate selection to target gram

negative Pseudomonas aeruginosa in mild to moderate cystic fibrosis and successfully conducted a meeting earlier this year with

the Medicines and Healthcare Products Regulatory Agency. In 2015, AmpliPhi expects to conduct preclinical animal work including

a GLP inhalation toxicology study to support an early Phase I/II study in mild to moderate cystic fibrosis. AmpliPhi is currently

evaluating a number of nebulizers to identify an appropriate candidate for administration of its phage mixture to the lungs.

Throughout 2014, AmpliPhi worked with the USARMRMC and certain

groups within, namely the Walter Reed Army Institute of Research, in order to further develop AmpliPhage-002, to target multi-drug

resistant Staph aureus, including MRSA and vancomycin resistant Staph aureus.

AmpliPhi has already produced its first batches of bacteriophage

in its dedicated facility in Slovenia, commissioned during 2014. The facility is currently awaiting final GMP certification following

an initial GMP audit in late 2014. The facility has been reviewed by the US Army, a former FDA inspector and EU regulatory authorities.

Under all inspections and audits, including the formal regulatory audit for GMP inspection, the facility did not receive any notices

of findings which are expected to delay GMP certification.

AmpliPhi is conducting several preclinical studies and validation

studies, which will be completed in early 2015, to ensure proposals to enter human clinical trials are fully supported and validated.

On the basis of successful results, AmpliPhi anticipates starting a proof-of-concept nasal decolonization clinical trial at the

Walter Reed Institute of Research in the second half of 2015. AmpliPhi may instead also proceed with a more direct approach to

better support the Army's primary interest in wound infections and a streamlined regulatory pathway with a Phase I study

to directly pursue topical and wound infections.

AmpliPhi and University of Leicester are developing a panel

of C. difficile bacteriophages as a targeted treatment against C. difficile infection. During 2014, the teams demonstrated the

highly lytic capability of these bacteriophage. University of Leicester reports the phage are able to kill 86% of clinically relevant

ribotypes including RT014/020 and RT027, two of the most prevalent and virulent ribotypes of C. difficile. This work and additional

work in nonclinical models of C. difficile infection will be published in 2015.

During 2015, AmpliPhi and University of Leicester will continue

nonclinical product optimization including phage and host production optimization, formulation development and finalization, and

potential combination therapies with antibiotics. These efforts will prepare the product for entry into human clinical studies

Financial highlights:

A replay of the teleconference will be archived for 60 days

on the company's website at www.ampliphibio.com.

About AmpliPhi BioSciences

AmpliPhi BioSciences Corporation (OTCQB: APHB) is a biotechnology company focused on the development and commercialization of novel

bacteriophage-based antibacterial therapeutics. The Company's product development programs target infections that are often

resistant to existing antibiotic treatments. AmpliPhi is collaborating with a number of leading organizations, including Intrexon

Corporation (NYSE: XON), the U.S. Army, The Royal Brompton Clinic in London, UK and UK-based University of Leicester, to rapidly

advance bacteriophage-based therapies. The Company is US-headquartered in Richmond, Virginia and has primary operations in Ljubljana,

Slovenia and Sydney, Australia.

For more information, visit www.ampliphibio.com.

Bacteriophage are naturally occurring viruses that are highly specific for the bacterial hosts they infect. They can rapidly kill

their host, amplifying themselves in the process. Bacteriophage are unaffected by antibiotic resistance and are able to disrupt

bacterial biofilms. Such biofilms are a major line of defence for bacteria, contributing to antibiotic resistance. Bacteriophage

are able to penetrate biofilms and replicate locally to high levels, to produce strong local therapeutic effects.

Forward Looking Statements

Statements in this press release about the potential use of bacteriophages to treat bacterial infections, the development of bacteriophage-based

therapies and AmpliPhi's clinical, research and development plans are forward looking statements subject to risks and uncertainties,

including without limitation the risk that such therapies may not be successfully developed, will require extensive and expensive

nonclinical and clinical testing, may not be safe or efficacious, and may not be approved for marketing by the United States Food

and Drug Administration or any foreign regulatory agency. For a further description of the risks and uncertainties that could cause

actual results to differ from those expressed in these forward-looking statements, as well as risks relating to AmpliPhi's

business in general, see AmpliPhi's Annual Report on Form 10-K for the fiscal year ended December 31, 2013, as amended, filed

with the Securities and Exchange Commission (SEC) on September 12, 2014.