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NeoStem Letter to Shareholders

NEW YORK, Sept. 8, 2014 (GLOBE NEWSWIRE) --

Dear NeoStem Shareholders,

We believe that cell therapy will play a large role in changing the natural history of diseases as breakthrough therapies are investigated and developed, ultimately lessening the overall burden of disease on patients and their families as well as the economic burden that these diseases impose upon modern society. In that vein, we are building NeoStem to be a leader in the emerging cellular therapy industry, pursuing the preservation and enhancement of human health globally through our efforts to develop cell based therapeutics that prevent, treat or cure disease. Our cell therapy platforms seek to address the pathology of disease using a person's own cells in order to amplify the body's natural repair mechanisms including enhancing the destruction of cancer initiating cells, repairing and replacing damaged or aged tissue, cells and organs and restoring their normal function.

At NeoStem, our mission is to transform the future of medicine with innovative cell based therapies while providing development and manufacturing services that drive the industry forward. We are committed to showing the world the path to better medicine. Our goal is to reduce a lifetime dependency on pills to a single dose of cells and help society reduce the burden of an unsustainable healthcare system. Our vision is a world where chronic disease is a problem of the past and patients have the freedom to enjoy a healthier span of life. We truly believe that cell therapies will be better medicine.

Our business includes the investigation of novel proprietary cell therapy products, as well as a revenue-generating contract development and manufacturing service business that we leverage in the development efforts for our therapeutics while providing service to other companies in the cell therapy industry. We believe this combination provides us with unique capabilities for cost effective in-house product development and immediate revenue and future cash flow to help underwrite our internal development programs.

A review of the current status of the cell therapy sector reveals NeoStem as a standout enterprise given our multi-dimensional and diversified approach to accelerating our clinical pipeline through acquisition, internal executive hires and pursuit of multiple independent platforms to support our capacity to grow shareholder value. The key drivers of our growth will relate to the generation of late stage clinical data, the diversity of our platforms, and our unique set of industry specific skills.

To read the complete letter, including highlights regarding NeoStem's strategic growth and development plans, please visit www.neostem.com/sept2014shareholderletter

About NeoStem, Inc.

NeoStem is a leader in the emerging cellular therapy industry, pursuing the preservation and enhancement of human health globally through the development of cell based therapeutics that prevent, treat or cure disease by repairing and replacing damaged or aged tissue, cells and organs and restoring their normal function. The business includes the development of novel proprietary cell therapy products as well as a revenue-generating contract development and manufacturing service business. This combination has created an organization with unique capabilities for cost effective in-house product development and immediate revenue and cash flow generation. www.neostem.com

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect management's current expectations, as of the date of this press release, and involve certain risks and uncertainties. Forward-looking statements include statements herein with respect to the successful execution of the Company's business strategy, including with respect to the Company's ability to develop and grow its business, the successful development of cellular therapies, including with respect to the Company's research and development and clinical evaluation efforts in connection with the Company's Targeted Cancer Immunotherapy Program, Ischemic Repair Program, Immune Modulation Program and Tissue Regeneration Program, the future of the regenerative medicine industry and the role of stem cells and cellular therapy in that industry and the performance and planned expansion of the Company's contract development and manufacturing business. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors. Factors that could cause future results to materially differ from the recent results or those projected in forward-looking statements include the "Risk Factors" described in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 13, 2014 and Current Report on Form 8-K filed with the Securities and Exchange Commission on May 8, 2014 and in the Company's periodic filings with the SEC. The Company's further development is highly dependent on future medical and research developments and market acceptance, which is outside its control.

CONTACT: Investor Contact: LifeSci Advisors, LLC Michael Rice Founding Partner Phone: +1-646-597-6979 Email: mrice@lifesciadvisors.com Media Contact: NeoStem, Inc. Eric Powers Manager of Communications and Marketing Phone: +1-212-584-4173 Email: epowers@neostem.com

Source:NeoStem Inc.