 Recombinant IFN alfa possesses anti-viral and immunomodulatory effects and has been shown to be effective in chronic hepatitis B Davis et al. 1989; Bisceclie et al, 1989. Interferon alfa is also one of the approved treatments for chronic hepatitis B. Administration of IFN alfa-2b to adults leads to disappearance of HBV DNA with or without HBeAg seroconversion in 30-50 of patients, which is two to three times above the rate of yearly spontaneous HBeAg seroconversion 10-15. Normalization of serum ALT occurs in most cases. Loss of HBsAg is observed in 10-15 of Caucasian patients during the prolonged post-treatment follow-up period. Recently, studies suggested that a higher proportion of patients receiving pegylated IFN could achieve HBeAg seroconversion and control of HBV replication Marcellin et al, 2004; Lau et al, 2004; Jensen et al, 2004. 