Novavax Reports Second-Quarter 2014 Financial Results Gaithersburg, MD (

Novavax Reports Second-Quarter 2014 Financial

Gaithersburg, MD (August 6, 2014) -

Novavax, Inc. (Nasdaq: NVAX), a clinical-stage biopharmaceutical company focused on the discovery, development and commercialization

of recombinant nanoparticle vaccines and adjuvants, today reported its financial results for the second quarter and six months

ended June 30, 2014.

Novavax Corporate Highlights

Second Quarter Achievements:

2014 Anticipated Events:

"Progress in the second quarter maintained

the momentum built in both the first quarter of the year and in 2013. We continue to make progress in our RSV and influenza vaccine

development programs," said Stanley C. Erck, President and CEO of Novavax. "The second half of 2014 will be the most

productive period in the company's history. We plan to initiate 4 clinical studies before the end of 2014; RSV maternal immunization,

pediatric and elderly, as well as a seasonal influenza clinical trial. We also plan to initiate a combination RSV/seasonal influenza

clinical trial in early 2015. In addition, we plan to present pre-clinical and clinical data at several important medical meetings

Financial Results for the Three and

Six Months Ended June 30, 2014

Novavax reported a net loss of $17.9 million,

or $0.08 per share, for the second quarter of 2014, compared to a net loss of $12.6 million, or $0.08 per share, for the second

quarter of 2013. For the six months ended June 30, 2014, the net loss was $31.7 million, or $0.15 per share, compared to a net

loss of $22.6 million, or $0.15 per share, for the same period in 2013.

Novavax revenue in the second quarter of

2014 increased 134% to $8.3 million as compared to $3.5 million for the same period in 2013. The increase in revenue was primarily

due to the higher level of activity in the second quarter of 2014 associated with the company's Phase 1/2 clinical trial

using its H7N9 pandemic influenza candidate and Matrix-M adjuvant and preliminary manufacturing work for its Phase 2 seasonal influenza

clinical trial, both under the HHS BARDA contract, and with the company's Phase 2 clinical trial in women of childbearing

age under its amended collaboration with PATH. In conjunction with the increase in revenue, the cost of government contracts revenue

in the second quarter of 2014 increased 213% to $5.1 million as compared to $1.6 million for the same period in 2013. This increase

was primarily related to higher level of activity associated with the company's previously mentioned pandemic and seasonal

influenza activities.

Research and development expenses increased

41% to $15.2 million in the second quarter of 2014, compared to $10.8 million for the same period in 2013, primarily as a result

of higher employee-related costs tied to continued growth in support of the company's RSV and influenza vaccine programs,

as well as Novavax AB research and development expenses. General and administrative expenses increased 45% to $5.8 million in the

second quarter of 2014 as compared to $4.0 million for the same period in 2013, resulting from higher employee-related costs, as

well as Novavax AB general and administrative expenses, partially offset by lower professional fees.

As of June 30, 2014, the company had $208.8

million in cash and cash equivalents and investments compared to $133.1 million as of December 31, 2013. In June 2014, the company

raised net proceeds of approximately $108 million through the sale of its common stock. Net cash used in operating activities for

the six months of 2014 was $31.4 million compared to $18.2 million for the same period in 2013. The factors contributing to the

increase in cash usage are as described above.

Conference call Replay:

Novavax, Inc. (Nasdaq: NVAX) is a clinical-stage

biopharmaceutical company creating novel vaccines and vaccine adjuvants to address a broad range of infectious diseases worldwide.

Using innovative proprietary recombinant nanoparticle vaccine technology, the company produces vaccine candidates to efficiently

and effectively respond to both known and newly emergent diseases. Additional information about Novavax is available on the company's

website, novavax.com.

Novavax Inc., Forward-Looking Statements

Statements herein relating to the future

of Novavax and the ongoing development of its vaccine and adjuvant products are forward-looking statements. Novavax cautions that

these forward looking statements are subject to numerous risks and uncertainties, which could cause actual results to differ materially

from those expressed or implied by such statements. These risks and uncertainties include those identified under the heading "Risk

Factors" in the Novavax Annual Report on Form 10-K for the year ended December 31, 2013, filed with the Securities and Exchange

Commission (SEC). We caution investors not to place considerable reliance on the forward-looking statements contained in this press

release. You are encouraged to read our filings with the SEC, available at sec.gov, for a discussion of these and other risks and

uncertainties. The forward-looking statements in this press release speak only as of the date of this document, and we undertake

no obligation to update or revise any of the statements. Our business is subject to substantial risks and uncertainties, including

those referenced above. Investors, potential investors, and others should give careful consideration to these risks and uncertainties.

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