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Volatile Organic Compounds (VOCs) on the Gulf Coastline

Resource: EPA – United States Environmental Protection Agency

Volatile Organic Compounds (VOCs) on the Gulf Coastline

EPA is analyzing air samples for volatile organic compounds (VOCs) – including specifically, benzene, ethylbenzene, toluene, and xylene. EPA is sampling for these pollutants because they are present in oil and because, at elevated concentrations, they may cause health problems, including cancer.

These chemicals are also emitted by many other sources, such as motor vehicles, industries, and paints or solvents. The monitors cannot determine where the VOCs originate. Therefore VOC levels in the air around the monitors could be coming from the oil spill or from other sources.

To evaluate the VOCs EPA scientists compare air sampling results to health-based screening concentrations (also called “screening levels”) in the Gulf region. These screening levels are developed from health effects information about each VOC, including information regarding exposure levels that might pose an increased risk of health problems. At this time, EPA is using health-protective screening levels that assume a person is breathing a pollutant continuously  (24 hours a day, seven days a week) for as long as one year. EPA will re-evaluate this time-period if needed.

How EPA is using sampling data and screening levels for the VOCs

Monitoring staff are taking air samples at several locations along the Gulf coast. The air quality samples are collected in canisters, which are shipped to a laboratory for analysis.  The daily results shown in the table are the average 24-hour concentration for each day.

EPA will compare individual measurements as well as long-term average (i.e. levels averaged over many days) to the screening level.  Since the screening levels are based on exposure lasting for many months, this average is more appropriate for evaluating the potential risk to health than any single measurement.  But also screening the individual measurements allows EPA to closely track the results.

Results that are below the health-based screening level generally indicate a low potential for health concerns for exposures up to a year.  In addition, a single daily reading that is higher than the screening level does not indicate a health problem will occur.

However, if a measured concentration is above the health-based screening level, EPA will investigate further:

  • EPA would look at how high the concentration is above the screening level, how long the concentration stays above the screening level, and the impact of the concentration on the running average concentration over many days.
  • EPA will also look at how these measurements compare to measurements in the region prior to the spill. EPA would also look at information for that chemical, and the situations in which it might cause health problems.
  • After this further investigation, EPA would determine whether follow-up actions are needed.
  • Possible follow-up actions include conducting additional monitoring to better identify the source of the pollutant, or to track the pollutant concentration over time.
  • If there is cause for immediate concern, EPA will work with state and local officials to notify people in the area through local news media.

source: gulfofmexicohealth.com

Institutional Profile: Sanford-Burnham Sets Up Shop in Florida

 

The Sanford-Burnham Medical Research Institute, headquartered in La Jolla, CA, dedicated its new Lake Nona campus in Orlando, FL, last fall. The $85 million building, which opened in April 2009, will employ more than 300 people. Florida attracted Sanford-Burnham in 2006 by offering a $350 million incentive package that included land, construction funds, and in-kind services.

The Lake Nona facility is part of a medical park that includes the University of Central Florida College of Medicine, Nemours Children’s Hospital, and M.D. Anderson Cancer Center-Orlando.

Researchers at Lake Nona will continue to carry out cutting-edge research that will complement areas established at Sanford-Burnham in La Jolla—cancer, infectious and inflammatory disease, aging and stem cells, and neuroscience. In addition, Lake Nona houses a new center for diabetes and obesity research that will cover cardiovascular disease, as well.

 

Chemical Biology Theme

A strong emphasis on chemical biology underlies all research areas and drives investigations. Chemical biology focuses on identifying small molecules that modulate disease pathways. “That theme weaves itself throughout our research and gets us closer to discoveries that are relevant to small molecule drug discovery,” says John Reed, M.D., Ph.D., president and CEO of Sanford-Burnham.

Finding the correct small molecule can advance a program to prototype medicines and clinical trials. Sanford-Burnham is one of only a few academic centers in the U.S. with advanced high-throughput screening (HTS) systems and access to a large chemical libraries approaching one million small molecules.

Sanford-Burnham’s small molecule drug discovery program is embodied within the Conrad Prebys Center for Chemical Genomics (CPCCG), an effort that involves 75 scientists working on both coasts. The development of HTS assays takes place in La Jolla, while Lake Nona specializes in HTS and houses an ultra-HTS robotic screening center.

The CPCCG provides a one-stop shop whose services span a range of biochemical and cell-based screens to find chemical hits and optimize them into biological probes or potential drugs. The equipment includes a first-in-class, highly flexible HighRes Biosolutions 3-POD nonagon ultra-HTS system and two PerkinElmer Janus workstations. “The robot can run more than one million assays in a workday at Lake Nona,” explains Dr. Reed.

Collaborators Wanted

The newly installed system is capable of handling 50 HTS campaigns a year, yet is currently operating below capacity. This makes Sanford-Burnham an ideal partner for pharmaceutical companies seeking to externalize R&D projects. “We’re looking for corporate partners that fit into our therapeutic research areas,” says Dr. Reed. Collaborations with Sanford-Burnham could identify innovative drug candidates to strengthen pharmaceutical pipelines. Two new partners are Johnson & Johnson Pharmaceutical Research and Development (J&JPRD) and Magellan Bioscience.

Sanford-Burnham will provide J&JPRD with access to HTS assay technologies to investigate drug targets for inflammatory diseases. The collaboration started in January 2009 and is Sanford-Burnham’s first broad-based partnership with a large pharmaceutical company.

Magellan Bioscience began collaborating with Sanford-Burnham in July 2009. The multidisciplinary drug discovery program identifies and develops novel marine microbial compounds that show potential as tools for biological research or new medicines. Marine microbes and their natural products provide a new source of drug candidates for the pharmaceutical industry.

Sanford-Burnham also offers NMR-based screening against targets for which no assay has been developed. “This is unusual in a nonprofit environment, and it’s one of our fortes,” adds Dr. Reed.

The NMR facility at Sanford-Burnham is the largest of its type affiliated with a nonprofit research institution, according to Dr. Reed. Sanford-Burnham’s NMR center includes four fully dedicated high-field magnets with automated sample changers, a library with 4,000 chemical fragments, and three-dimensional (3-D) modeling programs to evaluate hits. Other tools include robotic x-ray crystallography to investigate crystal structures of compounds and their binding to targets and  high-content screening microscopy that  performs HT phenotype screening.

Engineers at Sanford-Burnham are advancing the field of HT microscopy by developing software for automated image analysis and 3-D imaging systems to monitor cells growing in 3-D conformations in culture.

No Culture Gap

Pharmaceutical firms that collaborate with Sanford-Burnham will not face a cultural divide. A blend of academic and industrial scientists at Sanford-Burnham makes it easier to do business with them. About one-fifth of Sanford-Burnham’s drug discovery researchers have backgrounds in the pharmaceutical and biotechnology industry.

“They bring the discipline and competency of industrial settings,” says Dr. Reed, such as being accustomed to working toward milestone-driven timelines on projects. The same timeline-driven management style guides the workflow at the CPCCG to fulfill contracts with the NIH and the NCI.

Another reason to partner with Sanford-Burnham is its strong reputation for scientific publishing, Dr. Reed says. For the past decade, Sanford-Burnham scientists have ranked first worldwide for scientific citations in biology and biochemistry, according to Thomson Reuters Journal Citation Reports. “The work we do is high quality and has a high impact,” Dr. Reed adds. In addition, Sanford-Burnham ranks second in the number of U.S. patents received for the amount of grant dollars awarded.

Collaborators can work with Sanford-Burnham researchers in California or Florida. The East and West Coast laboratories operate as a fully integrated, single organization, and researchers conduct daily teleconferences. Sanford-Burnham is exploring opportunities to build on this infrastructure to expand to other sites such as Asia in the future.

BioServe to Test for Swine Flu in India

Beltsville, MD; and Hyderbad, AP, India, October 21, 2009 – BioServe, a leading provider of clinical bio-samples and research services, today announced that it has been selected by the Government of the State of Andhra Pradesh in India and The Institute of Preventive Medicine (IPM) Hyderabad as one of two private diagnostic centers to test samples of Influenza A – H1N1 (Swine Flu) in afflicted patients. BioServe’s ISO 9001:2008 and ISO 17025:2005 (NABL) certified genomic laboratory in Hyderabad, India is one of the most advanced full-service reference laboratories in the country.

In addition, to help prepare the Indian health system for a robust response to pandemic outbreaks of swine flu, BioServe is also developing a powerful one-step PCR diagnostic test for effective identification of swine flu, at a price point that makes it possible to carry out mass screenings of large populations in India. The test will be certified in accordance with the prevailing guidelines for diagnosis of virus strains, and is scheduled for a market launch upon due validation and verification.

According to the Indian Government’s most recent data, there have been 12,880 confirmed cases of swine flu and 415 deaths from the virus. The country’s Ministry of Health views the addition of BioServe’s new diagnostic center as critical to expediting the testing of swine flu samples, which will enable the authorities to diagnose more cases and start treatment immediately, thus mitigating the risks of spreading the disease further throughout the population.

Rama Modali, President, BioServe, said, “We are proud to be a key part in India’s fight against the pandemic outbreaks of swine flu. BioServe’s clinical testing labs, as well as our indigenous swine flu diagnostic test currently in development, will help provide the rapid and accurate diagnoses that are critical to disease containment and treatment in  India and countries around the world.”

About BioServe

BioServe provides pharmaceutical, biotechnology, clinical and academic research markets with comprehensive ‘biomaterial to validated data’ genomic research services that generate pre-clinical data needed for breakthroughs in drug discovery and molecular diagnostics.  BioServe’s services feature over 600,000 high quality, well-annotated and clinically relevant biological specimens from its Global Repository® and a suite of complimentary CLIA-certified genomic research services. Used together or separately BioServe’s genomic services enable biomedical researchers to efficiently conduct genomic and proteomic research,  validate drug and diagnostic targets  and correlate clinical data with molecular data for the development of improved drugs and diagnostics.  BioServe has headquarters in Beltsville, MD and Hyderabad, India. For more information please visit www.bioserve.com or call 301-470-3362.

InVivo and CEVEC pharmaceuticals sign license agreement regarding the use of human CAP-Tâ„¢ Technology for production of recombinant proteins

Cologne, Germany, October 01, 2009 / b3c newswire / – CEVEC Pharmaceuticals, the developer of a novel human expression system derived from amniocytes and the contract manufacturer InVivo BioTech Services GmbH announced today the signing of a strategic license agreement. This license enables InVivo to offer its customers the production of their diagnostic ad preclinical grade material very fast and in highest quality, including authentic human glycosylation patterns, using the novel and proprietary CAP-Tâ„¢ transient expression system.

CAP-T™ Technology is based on CAP® cells, the stable cell line from CEVEC. The non-tumor origin cells have high expression rates of human proteins and grow in serum-free suspension culture and post-translational modifications are human-like. Process times are reduced by means of large-scale transient transfection.

“After launching our new transient cell in the US market we are delighted to have now our first customers in Europe not only using our stable expression system but also working with our new transiently expressing human cell line. With expression rates outperforming any other human system on the market, e.g. HEK 293 freestyle and others, while offering highest quality human like proteins, we offer our customers a unique state of the art cell line,”  Wolfgang Kintzel, CCO of CEVEC Pharmaceuticals GmbH states.

Rainer Lichtenberger, CEO of CEVEC, adds. “Because posttranslational modifications play a significant role for the bioactivity of recombinant proteins it is of crucial importance to produce proteins with human-like glycosylation and sialylation. With our proprietary human cell lines, CAP for permanent producer cells for proteins and the novel CAP-T system, only CEVEC is able to offer a unique range of versatile human cell expression systems to our customers, from early discovery to protein manufacture. This license agreement contributes significantly to CEVECs goal becoming the leading cell line supplier for protein production with human cell expression systems.”

Link to the news release
About CEVEC Pharmaceuticals GmbH – www.cevec-pharmaceuticals.com
CEVEC Pharmaceuticals GmbH, operational since 2004 was founded by a group of internationally renowned scientists and clinicians from the University of Cologne, Germany. Based on their experience and theirlongstanding collaborative work they had experienced a lack of innovative expression systems formore efficient production of biologics such as recombinant proteins or gene therapy vectors. CEVEC’s novel proprietary human CAP® and CAP-T™ expression systems are ideal for manufacturing complex biopharmaceutical molecules with human glycosylation patterns.

About InVivo BioTech Services GmbH – www.invivo.de
InVivo is a contract manufacturing organization (CMO) dedicated to the development and production of monoclonal antibodies and expression of recombinant proteins. Based in Hennigsdorf, Germany, just outside Berlin, InVivo is an ISO 9001 certified company with over ten years experience in mammalian cell culture and protein production. More than 1100 different hybridomas have been cultivated in InVivo’s proprietary serum-free media ISF1 for high productivity and cost benefits in cultivation and purification. Furthermore InVivo offers the complete range of modern protein expression techniques. Starting from synthetic or amplified cDNA your protein can be stable expressed in bacteria, insect and mammalian cell lines or alternatively transient expressed.

Horizon Discovery signs screening agreement with SuperGen Inc.

Horizon Discovery today announced it has signed a commercial agreement with US Pharmaceutical company SuperGen, Inc., relating to its X-MAN technology.

Horizon’s X-MAN (Mutant And Normal) cell-line technology provides the first genetically-defined and patient-relevant in vitro models of human cancer. These models are being used by a growing number of Pharma and Biotech companies to rationalize key steps of the ‘targeted’ drug development process, and thus accelerate and economize the burgeoning field of ‘personalised’ medicine.

The agreement covers the screening of a number of lead compounds on a wide panel of human isogenic cell-lines comprising target genotypes of interest to SuperGen. The approach may enable SuperGen to gather information relating to the selectivity and mode-of-action of their compounds using model in-vitro systems.

“Dr Darrin M Disley, Commercial Director and Chairman of Horizon says “working with SuperGen is an exciting development for Horizon. In this expandable agreement, we hope to further prove the potential of our human X-MAN models in a screening environment; thus facilitating a long and productive relationship with SuperGen.”

SuperGen will pay Horizon undisclosed fees during the term of the agreement. Work between the parties will begin in July 2009.

About Horizon Discovery

Horizon Discovery is a translational genomics company founded in June 2007 and is headquartered at the Babraham Research Campus, Cambridge, UK and with additional research laboratories in Torino, Italy. Horizon’s goal is to convert new information on the genetic causes of cancer into laboratory models that will facilitate the discovery of drugs that target these defects. Central to this aim is Horizon Discovery’s offering of X-MAN cell-lines, which represent accurate models of defined cancer patient populations and their matched normal genetic backgrounds – a missing link in the rational and efficient development of novel targeted anti-cancer agents.

Source: Cambridge Network

BioFocus DPI to apply TET Technology in high-throughput screening campaigns

Saffron Walden, UK and Heidelberg, Germany; 24 April 2009 – BioFocus DPI, a leading provider of gene-to-candidate discovery services, and TET Systems Holding, a privately-held, German-based biotech company, announced today that they have entered into an agreement to apply TET System’s inducible gene technology in high-throughput screening campaigns performed for BioFocus DPI customers.

BioFocus DPI will offer TET Technology as part of its drug discovery screening service.  Through this technology, the activity of individual genes can be controlled quantitatively and reversibly in cellular assays.  This approach is particularly powerful in cases where the target is not well tolerated in the cells, since the protein will not be expressed until required for screening.

“The TET Technology allows us to build on the proven compound screening service that we offer clients.  This powerful approach will benefit discovery programs that are hindered by difficult to express targets.  Using this technology, we will be able to perform more efficient, extensive compound screening on these problematic targets,” commented Dr. Kate Hilyard, VP Biological Sciences, BioFocus DPI.

“We are very pleased to sign this agreement with BioFocus DPI, one of the leading drug discovery service providers worldwide.  TET Technology has been used successfully for many years by most of the major pharmaceutical companies.  Through this new partnership with BioFocus DPI, a broader range of pharmaceutical and biotechnology companies will gain access to TET System’s gene expression technology,” stated Dr. Ernst Boehnlein, CEO of TET Systems Holding and IP Merchandisers.

AEterna Zentaris Presents Two Posters on its PI3K Inhibitor Compound, AEZS-126, at AACR Annual Meeting

In Vitro and In Vivo Data Show AEZS-126 as Promising Oral Compound for

Future Clinical Development in Cancer

QUEBEC CITY, April 21 /PRNewswire-FirstCall/ – AEterna Zentaris Inc. (TSX: AEZ; NASDAQ: AEZS), a global biopharmaceutical company focused on endocrine therapy and oncology, today presented two posters on AEZS-126, a promising compound for clinical intervention of the PI3K/ Akt pathway in human tumors. The posters were presented at the American Association for Cancer Research (AACR) Annual Meeting in Denver, Colorado.

Poster #3705

Entitled, “AEZS-126, a new orally bioavailable PI3K inhibitor with antitumor effects”, I. Seipelt, S. Baasner, M. Gerlach, M. Teifel, J. Fensterle, L. Blumenstein, G. Mueller and E. Guenther, the poster focuses on ADMET and safety profiling of the compound, as well as in vivo pharmacokinetic experiments and mouse xenograft antitumor studies.

Results

AEZS-126 was identified as a potent inhibitor of class I PI3Ks in biochemical and cellular assays and demonstrated favorable properties in early in vitro ADMET screening including microsomal stability, plasma stability and screening against a large safety profile composed of receptors, enzymes and cardiac ion-channels. During the course of in vivo pharmacokinetic experiments and mouse xenograft antitumor studies, the oral bioavailability in mice was determined to be about 60%, leading to micromolar plasma levels which are well above the nanomolar IC50 values in in vitro studies. Significant antitumor activity was observed at 30mg/kg daily oral administration in Hct116 and A549 models.

Conclusion

These data suggest that AEZS-126 is a promising compound for clinical intervention of the PI3K/Akt pathway in human tumors.

Poster #3706

Entitled, “In vitro profiling of the potent and selective PI3K inhibitor, AEZS-126″, I. Seipelt, M. Gerlach, L. Blumenstein, G. Mueller, M.Teifel, E. Polymeropoulos and E. Guenther, the poster outlines the key in vitro characteristics of this compound that led to its selection for in vivo development.

Results

AEterna Zentaris has identified a new generation of low molecular weight pyridopyrazine compounds as highly potent and selective inhibitors of class I PI3Ks. Presented here, are the key in vitro characteristics of AEZS-126 that led to its selection for in vivo development. AEZS-126 inhibits PI3Ka with an IC50 value of 10nM and proved to be a potent inhibitor of Akt phosphorylation in cellular assays. Mode-of-action studies showed that AEZS-126 acts as an ATP competitive compound. The in vitro antiproliferative activity against different human tumor cell lines (MDA-MB 468, U87, Hct116, PC-3, A549 and others) was determined, with EC50 values in the nanomolar range.

Discovery of dual function acridones as a new antimalarial chemotype

Preventing and delaying the emergence of drug resistance is an essential goal of antimalarial drug development. Monotherapy and highly mutable drug targets have each facilitated resistance, and both are undesirable in effective long-term strategies against multi-drug-resistant malaria. Haem remains an immutable and vulnerable target, because it is not parasite-encoded and its detoxification during haemoglobin degradation, critical to parasite survival, can be subverted by drug–haem interaction as in the case of quinolines and many other drugs1, 2, 3, 4, 5. Here we describe a new antimalarial chemotype that combines the haem-targeting character of acridones, together with a chemosensitizing component that counteracts resistance to quinoline antimalarial drugs. Beyond the essential intrinsic characteristics common to deserving candidate antimalarials (high potency in vitro against pan-sensitive and multi-drug-resistant Plasmodium falciparum, efficacy and safety in vivo after oral administration, inexpensive synthesis and favourable physicochemical properties), our initial lead, T3.5 (3-chloro-6-(2-diethylamino-ethoxy)-10-(2-diethylamino-ethyl)-acridone), demonstrates unique synergistic properties. In addition to ‘verapamil-like’ chemosensitization to chloroquine and amodiaquine against quinoline-resistant parasites, T3.5 also results in an apparently mechanistically distinct synergism with quinine and with piperaquine. This synergy, evident in both quinoline-sensitive and quinoline-resistant parasites, has been demonstrated both in vitro and in vivo. In summary, this innovative acridone design merges intrinsic potency and resistance-counteracting functions in one molecule, and represents a new strategy to expand, enhance and sustain effective antimalarial drug combinations.

New Drug Shows Promise In Treating Drug-resistant Prostate Cancer

ScienceDaily (Apr. 11, 2009) — A new therapy for metastatic prostate cancer has shown considerable promise in early clinical trials involving patients whose disease has become resistant to current drugs.
Chemists and biologists at UCLA and colleagues at several other institutions, including Memorial Sloan-Kettering Cancer Center, have created a new drug to treat a particularly lethal form of the disease, known as castration-resistant prostate cancer, or CRPC. Also referred to as hormone-refractory prostate cancer, CRPC is resistant to further treatment by anti-hormone drugs such as Casodex and Eulexin.

In an article published April 9 in the advanced online edition of the journal Science, the scientists describe the development and testing of two novel compounds, MDV3100 and RD162, which block the androgen receptor (AR) in CRPC cells, and report results from clinical trials in which MDV3100 was found to lower prostate-specific antigen (PSA) levels — a marker for tumor growth — in men with CRPC.

The new, small organic molecule MDV3100 was “designed as a very strong antagonist of the androgen receptor to stop the growth of any prostate cancer that requires the AR for propagation, which includes most forms of prostate cancer,” said Michael Jung, UCLA professor of chemistry and biochemistry and a researcher at UCLA’s Jonsson Comprehensive Cancer Center, whose research group synthesized both MDV3100 and RD162.

The biology research was carried out in the UCLA departments of medicine, urology and pharmacology by Charles Sawyers and his research group; Sawyers has since moved to Memorial Sloan-Kettering Cancer Center in New York, where he serves as chair of the human oncology and pathogenesis program. The UCLA patents for both compounds were licensed by the pharmaceutical company Medivation Inc., which chose to test MDV3100 in clinical trials.

The drug has successfully completed Phase 1 and Phase 2 clinical trials, and the Food and Drug Administration has agreed to allow Medivation to begin what Jung described as “the pivotal Phase 3 clinical trials.”

The results of clinical studies with MDV3100 were described at the 2009 ASCO Genitourinary Cancer Symposium in February by the trials’ principal investigator, Dr. Howard Scher of Memorial Sloan-Kettering Cancer Center. In general, the drug, at 240 mg once a day, was very effective at lowering PSA levels and also in reducing the number of circulating tumor cells, without any significant toxicity.

“I think it is quite likely that the exciting results seen in the smaller population will also be evident in the larger Phase 3 trial and that the drug could be approved for use in the next few years,” said Jung, who is also a member of the California NanoSystems Institute (CNSI) at UCLA.

Of 30 men with anti-androgen–resistant prostate cancer who received low doses of MDV3100 in the multisite Phase 1/2 trial designed to evaluate safety, 22 showed a sustained decline in PSA levels, an indication that their cancer was responding favorably to the drug. This trial is still underway, and results from a total of 140 patients receiving higher doses of the drug will be reported within the next year, Sawyer said.

The Phase 3 clinical trial will evaluate the drug’s effect on survival in a large group of patients with metastatic prostate cancer.

MDV3100 and RD162 are second-generation anti-androgen therapies that prevent male hormones from stimulating the growth of prostate cancer cells. These new compounds appear to work well even in prostate cells that have a heightened sensitivity to hormones; that heightened sensitivity makes prostate cancer cells resistant to existing anti-androgen therapies.

Approximately 186,000 new cases of prostate cancer are diagnosed each year in the United States. The male hormones testosterone and dihydrotestosterone, which are also known as androgens, spur the growth of prostate cells, and drugs that block the receptors for these hormones are the most common treatment for the disease in its advanced, metastatic stage. Anti-androgen drugs, such as bicalutamide (Casodex), suppress the growth of cancer cells temporarily, but in most patients, the cancer ultimately develops resistance to drugs. Approximately 29,000 men in the United States die each year from the disease.

Prostate cancer becomes resistant to anti-androgen drugs when cancer cells begin to increase production of the androgen receptor, Sawyers said. When the level of androgen receptors on the cells’ surface reaches a certain level, the drugs that originally suppressed the cancer actually begin to stimulate cancer growth.

Because of this backlash effect, many scientists have questioned whether blocking the androgen receptor is a wise course of action. Sawyers and his colleagues, however, believe that blocking the receptor is critical to successful treatment. They set out to design a new generation of drugs that can block the androgen receptor without unwanted side effects, even when levels of the receptor are high.

Researchers in Jung’s and Sawyers’ laboratories based their designs on a drug that tightly attaches to the site on the androgen receptor that binds with testosterone. If that site is blocked, the hormone cannot bind to prostate cells and tell the receptor to stimulate growth. Using this initial drug as a chemical scaffold, the researchers synthesized nearly 200 slightly different versions of the drug. They tested each one in the laboratory on prostate cancer cells that had been engineered to produce high levels of androgen receptor.

This screening yielded MDV3100 and RD162, molecules which tightly bind to the androgen receptor and do not show the cancer-stimulating effect of bicalutamide and other current anti-androgen drugs. The molecules were good candidates for drugs, because they are readily absorbed into the blood when taken orally and they persist in the bloodstream. The researchers tested the new drugs’ effectiveness in mice with tumors derived from drug-resistant prostate cancer cells.

“To our delight, we found that these compounds caused very dramatic shrinkage of tumors in the mice,” Sawyers said. “While treating these animals with bicalutamide produced a modest effect on their tumors, the new drugs caused the tumors to shrink dramatically, and in some animals almost completely.”

Sawyers said the new drugs bind tightly enough to the natural hormone-binding site on androgen receptors to prevent most of them from functioning, even in cells with many androgen receptors.

The promising laboratory studies led Medivation to license the drugs for commercial development.

Medivation has received permission from the FDA for a large Phase 3 clinical trial of MDV3100 on about 1,200 patients with anti-androgen-resistant disease. This study will assess MDV3100′s effect on cancer survival and will take several years.

While the preliminary results are promising, Sawyers said his laboratory will continue to seek further improvements in drug therapy for prostate cancer.

“There were some men in the initial trial in which the drug didn’t work at all, and we want to find out why,” he said. “It may be because the drug is not potent enough to overcome resistance due to androgen receptor over-expression. Or it may be that the cancers in these men are not driven by the androgen receptor anymore. Also, there were men who initially received benefit from the drug but then relapsed, and their PSA levels came back up. We want to understand the mechanism of that relapse and to try to develop drugs that prevent that renewed resistance.”

For years, no treatment was available for CRPC; recently paclitaxel — a strongly cytotoxic drug — was approved.

In addition to Sawyers’ and Jung’s teams, researchers from the Oregon Health and Science University, the University of Washington and Medivation contributed to the research.

This research was supported by the National Institutes of Health, the Department of Defense, the Prostate Cancer Foundation and Medivation and was conducted through the Prostate Cancer Clinical Trials Consortium.

Institute of Microbiology of the Chinese Academy of Sciences and TB Alliance Announce Partnership to Develop New Tuberculosis Drugs from Natural Sources

BEIJING & NEW YORK–(BUSINESS WIRE)–The Institute of Microbiology (IMCAS), a member institute of the Chinese Academy of Sciences, and the Global Alliance for TB Drug Development (TB Alliance), a not-for-profit product development partnership accelerating the discovery and development of new TB drugs, today announced a partnership to discover and develop promising, novel anti-tuberculosis agents from natural sources, including microbial metabolites and traditional Chinese medicines.

A pilot screen conducted by IMCAS identified 24 natural product extracts as having potential anti-tubercular activity. IMCAS and the TB Alliance will collaborate to further test these extracts, purify and identify the active components, and develop those that prove most promising. Additionally, IMCAS and the TB Alliance will work together to investigate traditional Chinese herbal medicines and purified compounds for biological activity against the Mycobacterium tuberculosis (M.tb) organism. Scientists in China have made significant contributions in developing new drugs from natural sources, as exemplified by the identification of Artemisinin, one of the most effective anti-malarial drugs, first isolated from a traditional Chinese medicinal plant. The deficiency in natural product screening directly against M.tb combined with China’s strong track record of successfully developing new drugs from traditional Chinese medicines, suggests such screenings are likely to yield novel active compounds.

Previously, a group of scientists including Professors Lixin Zhang, Deborah Hung and Eric Rubin of IMCAS, Broad Institute and Harvard University, respectively, worked together to investigate underlying mechanisms of M.tb, the bacterium that causes TB, with the intent to develop new TB drugs from natural sources to treat both drug-susceptible and drug-resistant TB. Modern technologies including high-throughput chemical screening, total genome sequencing, and the construction of systematic, comprehensive arrayed bacterial libraries were utilized in this process.

“This partnership reflects China’s increasing commitment to address the deadly TB epidemic, which has had such a devastating effect on so much of the world for so many years,” said Dr. Mel Spigelman, President and CEO, TB Alliance. “Bringing the best science in China together with the expertise of the TB Alliance is an example of the pooling of global resources necessary to save the millions of lives needlessly lost to TB every year.”

Novel drugs are needed to work against drug-resistant TB, the more deadly and difficult-to-treat form of TB that is on the rise across the globe, including Asia. Drug resistance oftentimes emerges as a result of patients not completing the burdensome regimen currently used to treat drug-susceptible TB. The last class of new TB drugs was developed and approved in the 1960s. While the current treatment regimen for drug-susceptible TB is effective when administered properly, it must be administered over six to nine months. Treatment for multidrug-resistant tuberculosis (MDR-TB) usually takes a minimum of 18 months and only cures approximately half of those infected. New, faster-acting TB treatments can improve treatment of both drug-sensitive and drug-resistant TB, enhance compliance, lower relapse rates, reduce the growth of drug resistant TB, reduce health care costs and save millions of lives. The partnership between IMCAS and the TB Alliance is a fitting precursor to the three-day ministerial meeting of high MDR-/XDR-TB burden countries beginning tomorrow in Beijing.

“The fight against tuberculosis is a global endeavor. This partnership represents joint efforts by IMCAS and the TB Alliance in the development of new TB drugs from natural resources,” said Prof. Li Huang, Executive Deputy Director-General of the IMCAS. “Natural products have long been an important source of drugs for human medicine. The rich functionality and stereochemistry of natural products is without doubt one of their great strengths, providing both potency and selectivity. Taking advantage of its expertise in the exploitation of microbial resources, IMCAS has recently set up the Drug Discovery Center for Tuberculosis. The aim of the Center, led by Prof. Lixin Zhang, is to develop and deliver novel TB drugs that work quickly and can help prevent the problems of today’s drugs relating to compliance, drug resistance and TB-HIV co-infection.”

The TB Alliance is leading the development of the most comprehensive portfolio of TB drugs in history, and is accelerating discovery, preclinical and clinical research of known and novel classes of antibiotics to shorten and simplify the treatment of tuberculosis, including MDR- and XDR-TB. The TB Alliance is committed to making all drugs developed by its research partnerships affordable and available to all who need them.

DiscoveryBioMed, Inc. Engaged in Multiple Drug Discovery Projects on Behalf of Mount Sinai School of Medicine and Its Office of Technology and Business Development

BIRMINGHAM, Ala. & NEW YORK–(BUSINESS WIRE)–DiscoveryBioMed, Inc. (DBM) and Mount Sinai School of Medicine (MSSM) have agreed to move forward on multiple “fee for service” contracts in human cell optimization, assay optimization and pilot drug discovery bioassays on behalf of the Mount Sinai Office of Technology and Business Development (OTBD) and MSSM investigators.

“DiscoveryBioMed is very pleased that MSSM has chosen our company and its novel approaches to the drug discovery process to begin work on these initial projects,” said DBM’s CEO Dr. Erik Schwiebert. “We seek to provide access to drug discovery infrastructure at a reasonable cost to academic clients. We also see our academic clients as partners in the process.”

Experiments have already commenced on assay optimization and pilot drug screening will begin shortly. DiscoveryBioMed has developed several commercial-academic partnerships over its first 15 months of formal operation. DBM’s particular expertise is the development and/or engineering of human cell cultures and lines from normal or diseased tissue that serve as relevant platforms on which to accelerate this drug discovery process. It is the early formative steps of a drug discovery program that are critical, even before the first small molecule is screened.

“As part of this joint effort, DBM is using a particular human cell model that is especially relevant to one of these projects and is building assays around other relevant human cell lines that will serve as the drug discovery platforms,” explained Dr. Eric Seales, DBM’s Chief Laboratory Officer. CEO Dr. Erik Schwiebert explains DBM’s novel core principle in a simple way: “One is going to eventually treat a human with the best discovered lead compounds going forward so why not screen on a human cell background.”

”We are pleased to have a partner in DBM who provides us with drug discovery services consistent with our academic needs and capabilities,” said Patrick McGrath, Executive Director of MSSM’s OTBD. “We have been expanding our resources and capabilities in the area of technology development in order to further typical academic early stage technologies to a point that they are more attractive to partners who can translate the technology into products and service that can benefit the public. We anticipate that our partnership with DBM will help us meet this goal by identifying lead compounds against new disease relevant pathways some of which will hopefully lead to new therapeutics. In the absence of these technology development resources academic technologies often are not further developed in a commercial direction and as a result potentially useful products and services go unexplored.”

AsisChem and Apredica Announce Strategic Alliance to Combine Complementary Drug Discovery Support Services

Watertown, Mass. (PRWEB) March 30, 2009 — AsisChem, Inc., a custom chemical synthesis and medicinal chemistry services provider, and Apredica, an ADME-Tox contract research laboratory, today announced a strategic alliance to provide drug-discovery support services to biotech, pharmaceutical, and non-profit research organizations around the world. The alliance provides Apredica and AsisChem’s clients immediate and convenient access to both companies’ core services: Apredica’s ADME-Tox services and AsisChem’s powerful, cost-effective small-molecule synthesis and analog library development.

“Our firms excel in our respective areas of expertise” said Grigoriy Rublev, AsisChem’s Chief Executive Officer. “The joint effort establishes an expanded menu of coordinated, complementary, high-value services that drug discovery teams can engage to accelerate drug development, improve cost efficiency, and increase program success rates,” he added.

“The combination of Apredica’s ADME-Tox services and AsisChem’s synthesis and medicinal chemistry capabilities means that now our customers can increase their cycle speeds,” said Katya Tsaioun, Ph.D., President of Apredica. “Direct communication of our ADME-Tox data back to AsisChem’s chemists means that discovery teams can develop their best lead compounds faster and submit their IND applications sooner.”

Chemical Synthesis in Drug Discovery
Organizations that advance their discovery programs beyond the identification of viable screening hits require synthesis and testing of up to hundreds of analogs during the hit-to-lead and lead-optimization stages to identify a viable clinical development candidate. Success often depends on testing a sufficiently large array of carefully selected analogs in an iterative process that is usually constrained by cycle times and budgets. AsisChem relies on its experienced pool of Ph.D.-level chemists and a low-cost infrastructure to deliver high-quality synthetic analogs with lower budgets and shorter timelines than its leading competitors can achieve. “We were able to synthesize more compounds than we expected based on offers from other custom synthesis companies” said Dr. Carlos E. Pedraza, a postdoctoral fellow at the Cleveland Clinic. “This gave us the opportunity to successfully explore more research avenues than we originally thought possible.”

ADME-Tox Profiling in Drug Discovery
Drug discovery and development programs see many drug candidates fail in clinical-trial stages. Many of these failures could have been avoided through the application of early ADME testing and toxicity profiling, which can quickly identify drug candidates with characteristics that would preclude regulatory approval. Early identification of these sure-to-fail candidates saves not only millions of dollars, but also months or years of research time that could have gone towards producing a successful drug candidate. Apredica works closely with clients to provide the data needed to reduce the risk of expensive, later stage failure, to increase the likelihood of drug development program success, and to accelerate the program towards IND. “More than any other CRO I have worked with, Apredica acts as a true collaborative partner and not simply a for-hire service provider. I have on many, many occasions benefited from Apredica’s guidance, help and advice, something I have generally not seen in other CROs” said Dr. Donald Kirsch, Vice President of Drug Discovery at Cambria Pharmaceuticals.

GTCbio Announces its 4th Annual Assay Development and Screening Technologies Conference taking place

The goal of the 4th annual Assay and Screening Technologies Conference is to provide a forum for academics and professionals in the drug discovery industry to stay abreast of exciting new developments in assay technologies while exchanging ideas and developing more efficient approaches to the drug discovery and development process.


[USPRwire, Thu Mar 26 2009] GTCbio Announces its 4th Annual Assay Development and Screening Conference taking place June 8-9, 2009. As compounds derived from high throughput screening increasingly find their way into clinical trials, drug screening has become widely accepted as a critical step in the drug discovery process. After more than a decade of rapid growth, tremendous progress has been made in assay technology, laboratory automation, and informatics. These technological developments have not only facilitated a drastic increase in throughput and efficiency in drug screening, but have also provided novel solutions in other areas of drug discovery and development. As screening has also become prominent in biological research, screening facilities have become increasingly popular in academic institutions.
As the pharmaceutical industry continues to face the challenges of developing more new chemical entities and reducing the cost of R&D, the demand for novel technologies and creative approaches for improving the efficiency of screening has intensified. Cell-based assays used in compound screening and high-content screening technologies have gained popularity in the industry. Years of intensive research have finally resulted in label-free technologies in the drug screening market place. These technologies provide new ways of interrogating cellular and molecular binding events and enable orthogonal screening approaches to drug targets.
The goal of the 4th annual Assay and Screening Technologies Conference is to provide a forum for academics and professionals in the drug discovery industry to stay abreast of exciting new developments in assay technologies while exchanging ideas and developing more efficient approaches to the drug discovery and development process.

First auto carbohydrate synthesiser

German researchers have unveiled the first fully automated carbohydrate synthesiser, which they hope will advance development of carbohydrate-based vaccines for the developing world.

The new machine was announced at this week’s meeting of the American Chemical Society in Salt lake City, Utah, and could significantly reduce the amount of time it takes for researchers to build complex carbohydrates for vaccine research. Currently, synthesis of multiple carbohydrates for screening causes a bottle neck in efforts to discover new carbohydrate-based vaccines.

‘A chemical synthesis of a single carbohydrate typically takes months to years,’ explains Peter Seeberger from the Max Planck Institute of Colloids and Interfaces, Potsdam. His team has now revealed a next generation synthesiser, building on an earlier partially automated model announced in 2001, that Seeberger says is ‘entirely reliable, very fast and can be operated by somebody with no experience of chemistry at all’. And when he says fast, he means fast: ‘we have repeated a synthesis of a carbohydrate that initially took two years in the lab in less than 20 hours.’ He also claims to have fixed protection and deprotection issues, major hurdles in carbohydrate synthesis, that plagued the earlier version of the synthesiser.

The concept of the machine is very simple, solid phase chemistry. The starting point is a polystyrene bead with a single sugar attached and ‘we add to that one sugar at a time like threading beads on a necklace,’ explains Seeberger. ‘The bead’s only role is to stop the sugar from being dissolved, and using this methodology we can build up chains between six and 15 sugars. The addition of each sugar takes about two hours, meaning that in 1.5 to two days we can make pure, useable quantities of carbohydrates.’ In a single run they can make 25-50mg of carbohydrate. Seeberger also claims that the sugar building blocks can be made easily in 50-100g bulk quantities.

Carbohydrates surround every cell in humans, bacteria and viruses and play a crucial role in the body’s immune response to disease-causing viruses and bacteria. They have been used for medicinal purposes before, including in some blockbuster vaccines used to inoculate small children against bacterial diseases, such as meningitis, explains Seeberger. The current vaccines are based on isolated carbohydrates – meaning drug companies have to grow bacteria, harvest the carbohydrates, isolate mixtures of compounds and put them into a carrier protein – and Seeberger is looking to simplify this process by using carbohydrates that can be chemically synthesised and therefore help drive down the cost of these vaccines.

The 2001 version of his machine was used to develop a carbohydrate-based vaccine for malaria, scheduled to enter clinical trials in 2010. Malaria kills two million children a year in the developing world, explains Seeberger, and ‘we have a cost target of under $1 per child’. Using their technique the team now have ‘approximately 15 carbohydrates that are entering different phases of development for potential clinical purposes such as tuberculosis.’

The price is pretty attractive too – according to Seeberger the machine itself will cost somewhere in the region of $25,000 (£17,000), approximately one quarter the price of the analogous peptide synthesiser owned by most labs.

Geert Jan Boons, University of Georgia, Athens, US, an expert in carbohydrate synthesis, says that this technology is ‘very sophisticated and has great potential’. Explaining that there is nothing similar available, he says ‘most complex carbohydrates are made in solution, and any solid phase chemistry that is done uses manual approaches – where you add the reagents one by one yourself.’ Seeberger’s fully automated system handles everything, including cooling and warming of each step as required, he adds. Boons does however say that he is not entirely convinced that the chemistry is yet robust enough to make every type of carbohydrate, but adds that Seeberger does claim to have fixed these issues in research he is yet to publish. ‘I think the biggest hurdle will be when he tries to make a bigger molecule,’ he explains, adding that the separation of the desired product from its isomeric compounds is another hurdle that needs to be overcome.

Thermo Fisher Scientific Accelerates Drug Discovery Process with New Maybridge Quick2LeadT Compound Kits

TINTAGEL, England, (17 March 2009) – Thermo Fisher Scientific, the world leader in serving science, announced today that it has introduced a novel tool to accelerate hit-to-lead programmes in the drug discovery process. Its Maybridge Quick2Lead™ Compound Kits are designed to save time and money by enabling rapid compound library synthesis around bioactive “hits” emerging from screening assays. The kits are made up of pre-weighed, diverse building block selections, facilitating rapid capture of structure-activity (SAR) data from the closely related structural analogues within the library.

Quick2Lead Compound Kits are available as five functionality-based kits, with each one containing 48 carefully selected compounds. This enables the exploration of a wide area of chemical space to maximise credible SAR data acquisition for the successful conversion of an initial hit into a genuine, optimisable lead. Since these compounds are all pre-weighed, the kits are ready to use by simply adding solvent and transferring straight to a synthesiser.

The five functional groups available include: carboxylic acids, sulfonyl chlorides, amines, anilines and boronic acids. Each of these different functional groups is applicable to a wide range of tried and trusted parallel synthesis methodologies. Furthermore, although each kit taps into the hugely diverse Maybridge collection, they all include compounds from the top levels of the relevant Topliss Tree, thereby ensuring quality and rigour in interaction testing.

Each of the pre-selected compounds is supplied as 0.1mMol in a 5mL vial. This saves time and money at several levels — minimising stock, avoiding disposal and reducing storage footprint. The pre-selection process also avoids the “dead time” that can be experienced whilst waiting for multiple building blocks from internal and external sources. Maybridge Quick2Lead Kits arrive as a complete library, delivered rapidly ex-stock.

“Our aim with the Maybridge product range is to help shorten the discovery process, from screening to scale-up, and the introduction of our Quick2Lead Compound Kits is the latest addition to our broad product portfolio of pharmacophorically relevant compounds and services,” said Dr. Mick Durrant, Director of Business Development for Maybridge products at Thermo Fisher Scientific. “We recognise that identifying, sourcing and weighing building blocks to feed the library production process around an initial hit can be time consuming and expensive. Our new Quick2Lead Kits offer a novel approach to drive these costs down by providing pre-weighed, diverse building block selections which are simply ready-to-go.”

PerkinElmer Announces Collaboration with Korea’s Sangmyung University for Drug Discovery Research

WALTHAM, Mass. & CHEONAN, South Korea–(BUSINESS WIRE)–PerkinElmer, Inc., a global leader focused on the health and safety of people and the environment, today announced that it has entered into a drug discovery research collaboration with Sangmyung University (Republic of Korea), based on applying PerkinElmer’s AequoScreen® aequorin assay technology to cutting-edge G-protein coupled receptor (GPCR) research.

It is estimated that GPCRs are associated with at least 30% percent of addressable diseases, and continue to be a key focus in drug discovery. Aequorin assays are a sensitive and flexible cell-based assay technology used to detect GPCR activation with several advantages over conventional fluorescence based dyes, including fewer false positives, much simpler protocol and significantly increased assay windows.

AequoScreen will be used by Sangmyung University as part of its efforts to establish an academic GPCR screening facility together with the Korea Chemical Bank, a national repository library of over 100,000 small molecule compounds. The aequorin technology will be used as part of nationwide GPCR screening campaigns and drug discovery programs in Korea.

“We are very pleased to be working with the distinguished faculty of Sangmyung University in providing our AequoScreen technology in support of their Korea-wide GPCR screening campaign implementation,” said Richard M. Eglen, Ph.D., president, Bio-discovery, PerkinElmer, Inc. “Given the wide range of potential drug targets linked to GPCR research, the University’s project presents tremendous promise in terms of advancing potential new drugs.”

According to Professor Sunghou Lee, Ph.D., of the Department of Biomedical Technology at Sangmyung University, “Screening programs have begun to increase in Korea, partly through the support of institutions such as the Center for Biological Modulators (CBM), the Frontier R&D Program for drug discovery research. For a nationwide academic screening research laboratory such as ours, the ability to reliably and accurately deploy a sensitive, flexible and easy-to-use GPCR detection platform like AequoScreen is of prime importance. This is especially true when dealing with small molecules, where conventional technologies such as fluorescence techniques tend to result in issues such as artifacts and interference that distort results.”

Professor Lee added, “We are delighted to be working with a partner of PerkinElmer’s caliber in this effort, and look forward to compelling results in our screening program.”

New Report Further Demonstrates Ultra-Gloâ„¢ Luciferase is Less Susceptible to Compound Interference

Research results just published in the Journal of Medicinal Chemistry demonstrate the superior performance of Promega Ultra-Gloâ„¢ Luciferase. The research, conducted by the NIH Chemical Genomics Center (NCGC), describes Ultra-Glo recombinant luciferase as approximately 90% less susceptible to small molecule inhibition compared to another commercially available luciferase. The NCGC is leading the US government-sponsored efforts aimed at developing biological probes and expanding the use of HTS assays in academic settings.The studies reveal why most screeners prefer Ultra-Glo as the luciferase enzyme formulation in their screening and profiling regimens. Ultra-Glo was derived by directed evolution and is the key component in Kinase-Glo Assay and a suite of other bioluminescent assays for high throughput screening and profiling of small molecule compound libraries.

At the 2007 SBS meeting in Montreal, Dr. Mohammed Kashem from Boehringer Ingelheim Pharmaceuticals, first reported similar findings when he compared Kinase-Glo and a second commercially available ATP-detection luminescent reagent for tolerance to interference by compounds in the BI screening deck. When asked to comment on the NCGC findings, Dr. Kashem replied, “The findings of Auld et al. are consistent with ours (Kashem et al., SBS 2007 Poster #PST1C016) that Kinase-Glo is much less prone to interference from library compounds than PKLight reagent, making it a superior ATP-detection reagent for identifying small-molecule modulators of kinases by HTS”.

Promega Corporation is a leader in providing innovative solutions and technical support to the life sciences industry. The company’s 2,000 products enable scientists worldwide to advance their knowledge in genomics, proteomics, cellular analysis, molecular diagnostics and human identification. Founded in 1978, the company is headquartered in Madison, WI, USA with branches in 14 countries and over 50 global distributors

BIO-Europe Spring 2009 Presenter and Exhibitor Profiles

MILAN, Mar 12, 2009 (BUSINESS WIRE) — BIO-Europe Spring 2009 takes place March 16-18, 2009 at the Milano Convention Centre in Milan, Italy.
Business Wire is the official news wire for BIO-Europe Spring 2009. Breaking news releases, advisories, photos, and multimedia are available at Tradeshownews.com, Business Wire’s trade show, conference, and event news resource.
Listed below are the BIO-Europe Spring 2009 exhibitor and presenter profiles.
Company:                          Addex Pharmaceuticals
Ticker Symbol & Exchange:         ADXN
Media Contact:                    Chris Maggos
Phone:                            41 22 884 15 11
E-mail:                           chris.maggos@addexpharma.com
Web:                               www.addexpharma.com
Addex Pharmaceuticals discovers and develops allosteric modulators
for human health. Allosteric modulators are a different kind of
orally available small molecule therapeutic agent, which we
believe will offer patients better results than classical drugs.
The lead product in our pipeline, ADX10059, has achieved clinical
proof of concept and is in Phase IIb testing for the treatment of
GERD (e.g. heartburn) and, separately, migraine headache. ADX10059
is a first-in-class mGluR5 inhibitor, a therapeutic strategy that
also is being pursued for multiple indications by large pharma
competitors.
ADX10059 is not yet partnered but we have established drug
development deals with Merck & Co., Inc. (2 deals: schizophrenia &
Parkinson's) and Ortho McNeil Pharmaceuticals, a J&J company
(anxiety/schizophrenia). Roche Ventures and SR One
(GlaxoSmithKline's VC investing unit) have invested in Addex.
Company:                          Allon Therapeutics Inc.
Ticker Symbol & Exchange:         TSX:NPC
Media Contact:                    Aaron Keay, Director, Investor Relations
Phone:                            604-742-2540
E-mail:                           akeay@allontherapeutics.com
Web:                               www.allontherapeuticsc.com
Allon Therapeutics Inc. is a clinical-stage biotechnology company
developing treatments for major neurodegenerative conditions.
Allon's drug AL-108 (davunetide) has demonstrated human efficacy in
amnestic mild cognitive impairment, a precursor to Alzheimer's
disease. Allon has Phase II human efficacy programs pursuing large
underserved markets: Alzheimer's disease, frontotemporal dementia,
and schizophrenia-related cognitive impairment.
Company:                          Almac Group
Stand:                            10
Media Contact:                    Carl Whyte (Stakeholder Communicati)
Phone:                            44(0)28 3833 2200
E-mail:                           info@almacgroup.com
Web:                               www.almacgroup.com
Almac's integrated development services extend from research to
commercialisation of product. Our extensive facilities in Europe
and North America offer the following:
-Route design & synthesis of APIs (including potent, peptide and
chiral compounds);
-Synthesis and formulation of labelled compounds (pre-clinical and
clinical);
-Formulation development of tablets and capsules;
-Gene expression profiling & bioinformatics;
-Manufacturing/blinding, packaging, randomised labelling and
distribution of clinical supplies;
-Clinical trial technology solutions based on IVRS/Web/EDC;
-Commercial scale manufacture and distribution;
-Comprehensive analytical service;
-EU import testing and QP release for clinical and commercial
product.
Company:                          AmberCRO, ltd
Media Contact:                    Julija Gabrusenoka
Phone:                            37129340168
E-mail:                           gabrusenokaj@amber-cro.com
Web:                               www.amber-cro.com
AmberCRO is a private CRO company providing Contract Research
Organization services in Baltic Countries.
Started from feasibility to Close out Visits including additional
services:
Independent Audit services
Study Design, Protocol Development, Case report Form, Design and
Preparation.
Selection process. Site and Investigator selection.
Regulatory Consultation. Preparation and submission of Regulatory
documents (clinical trial application/ Notification).
Organize Investigator meeting, qualify and train Investigators
ICH/GCP training
Site Management and Monitoring Based on SOP's and study specific
procedures.
AmberCRO is providing services for reasonable price with high
quality.
AmberCRO has established its own EDC system with High data
security, elastic database structure, easy navigation, simple data
verification system, comprehensive report system.
Company:                           FGK Clinical Research GmbH
Stand:                             18
Media Contact:                     Dr. Edgar J. Fenzl
Phone:                             49 - 89 - 893119-0
E-mail:                            edgar.fenzl@fgk-cro.de
Web:                                www.fgk-cro.de
FGK Clinical Research GmbH is a full service contract research
organization offering a complete range of clinical development and
consulting services to pharmaceutical, biotechnology and medical
device companies.
With more than 50 highly skilled and experienced people, FGK
operates out of Munich on local and global projects, covering
clinical studies from phases II to IV. FGK has extensive experience
in all major therapeutic areas and clinical research fields, which
allows it to effectively design, manage and analyze your development
programs and clinical trials.
Company:                           Hospira One 2 One
Stand:                             4
Ticker Symbol & Exchange:          HSP
Phone:                             44 (0) 1926 835 554
E-mail:                            one2one@hospira.com
Web:                                http://one2one.hospira.com
Hospira is a global specialty pharmaceutical and medication delivery
company. The company's One 2 One(R) business is a world leader in the
custom development and manufacture of parenteral products packaged
in vials, prefilled syringes, cartridges, flexible containers and
ampules.
One 2 One(R) offers development and manufacturing services at its
worldwide facilities located in North America, Europe and Australia.
Company:                           Hybrigenics
Ticker Symbol & Exchange:          ALHYG (NYSE-Euronext)
Phone:                             (33) 1 58 10 38 00
E-mail:                            contact@hybrigenics.com
Web:                                www.hybrigenics.com
Hybrigenics is a public bio-pharmaceutical company focusing its R&D
programs on innovative targets and therapeutics against cancer. Its
most advanced development program is based on inecalcitol, a vitamin
D analogue, for prostate cancer in combination with reference
treatments, for improved efficacy and better tolerance. Hybrigenics'
research program explores the role of Ubiquitin-Specific Proteases
(USPs) in the degradation of proteins involved in cancer
(oncoproteins), and the use of proprietary USP inhibitors against
various cancer types.
Hybrigenics also commercializes expert protein interaction services
dedicated to identify, validate and inhibit protein interactions for
academic and industrial researchers from all life sciences. Its
flagship technology is a unique ISO 9001-certified Yeast-Two Hybrid
(Y2H) high throughput screening platform, backed by bioinformatic
tools.
Company:                           InNexus Biotechnology Inc.
Ticker Symbol & Exchange:          IXS.V: Toronto Stock Exchange
Media Contact:                     Jeff Morhet, Chairman & CEO
Phone:                             480-862-7500
E-mail:                            jmorhet@ixsbio.com
Web:                                www.ixsbio.com
InNexus is a drug development company commercializing the next
generation of monoclonal antibodies based on its DXL(TM) technology,
which improves the potency of existing antibody products while
opening new markets and disease applications.
In a short period of time, InNexus has assembled facilities,
resources, a stellar Scientific Advisory Board, staff and milestones
yielding multiple pre-clinical candidates targeting cancer and other
commercial opportunities. InNexus has launched into pre-clinical
development its first four products, DXL625 (CD20) for non-Hodgkin's
lymphoma, DXL702 (HER-2/neu) for breast cancer, DXL1218 for
colorectal cancer and DXL1215 for endometriosis. InNexus has
numerous products and platform opportunities for antibodies.
Company:                           PEPperPRINT GmbH
Media Contact:                     Dr. Volker Stadler
Phone:                             49-6221-424744
E-mail:                            info@pepperprint.com
Web:                                www.pepperprint.com
By means of laser printing, PEPperPRINT produces high density
peptide and peptidomimetic arrays on conventional glass slides.
For the first time, tens of thousands of individual peptides are
available at moderate costs. PEPperPRINT markets customized
peptide arrays on demand for proteome research (antibody
profiling, epitope mapping, screening for enzyme substrates...).
Additionally, on a fee-for-service basis, PEPperPRINT provides
truly large scale peptide and peptidomimetic libraries for
biomarker discovery and drug development. PEPperPRINT adds speed
and throughput on your experiment.
Company:                          Resverlogix Corp.
Ticker Symbol & Exchange:         TSX:RVX
Media Contact:                    Theresa Kennedy
Phone:                            1.604.538.7072
E-mail:                           Theresa@Resverlogix.com
Web:                               www.resverlogix.com
Resverlogix Corp. is a leading biotechnology company engaged in the
development of novel therapies for important global medical markets
with significant unmet needs. The NexVas(TM) PR (plaque regression)
program is the Company's primary focus which is to develop novel
small molecules that enhance ApoA-I. These vital therapies address
the grievous burden of atherosclerosis and other important diseases
such as acute coronary syndrome, diabetes, Alzheimer's disease,
Peripheral Artery Disease and other vascular disorders. Resverlogix
Corp. trades on the Toronto Stock Exchange  (CA:RVX:
news
,
chart
,
profile
)
. For further
information please visit  www.resverlogix.com
Company:                          ViroStatics, srl
Media Contact:                    Michael Stevens
Phone:                            1 609 213-5287
E-mail:                           m.stevens@virostatics.com
Web:                              virostatics.com
Dr. Franco Lori, Chief Executive Officer of Virostatics, will
present a Company overview during BIO-Europe Spring 2009 at 09:30
AM on Wednesday, 18 March, 2009. Dr. Lori will update recent
Company advancements in drug discovery and development in the
areas of HIV/AIDS and cancer as well as the potential for the
Company's proprietary biomarker assays. Dr. Lori will review how
Anti-Viral Hyper-Activation Limiting Therapies (AV-HALT) represent
a new family of antivirals designed to not only suppress viruses
but also to preserve the immune system from chronic damage. Dr.
Lori will also discuss in-licensing and partnering opportunities
in HIV/AIDS and cancer.

EPIX Pharmaceuticals Achieves Milestone from Collaboration with Cystic Fibrosis Foundation Therapeutics

LEXINGTON, Mass.–(BUSINESS WIRE)–Mar 11, 2009 – EPIX Pharmaceuticals, Inc. (NASDAQ:EPIX), a biopharmaceutical company focused on discovering and developing novel therapeutics through the use of its proprietary and highly efficient in silico drug discovery platform, today announced that it has achieved another milestone in its collaboration with Cystic Fibrosis Foundation Therapeutics, Inc. (CFFT), the nonprofit affiliate of the Cystic Fibrosis Foundation. Under the terms of the collaboration EPIX has earned an additional $500,000, bringing the total amount of milestone payments achieved under this collaboration to $5 million. The milestone payment is part of a research, development and commercialization agreement between EPIX and CFFT that focuses on discovering potential drug therapies targeting the Cystic Fibrosis Transmembrane conductance Regulator (CFTR) ion channel. Under the terms of the agreement, EPIX will own all worldwide rights to any compound that results from the collaboration.To earn the milestone, EPIX successfully completed in silico high throughput screening at four distinct sites in the delta F508 mutational form of CFTR for small molecules that may correct the defects in the mutation’s cellular processing and chloride channel gating. The delta F508 is the most common mutation of the key protein associated with cystic fibrosis. EPIX and CFFT believe that ligands to CFTR may act as molecular chaperones, stabilizing the folded structure and modulating CFTR activity.

“We continue to make progress in our collaboration with CFFT and believe that our research may eventually lead to significant advances in the treatment of cystic fibrosis,” said Elkan Gamzu, Ph.D., president and chief executive officer of EPIX. “This achievement, coupled with our announcement in September 2008 regarding the identification of dual-acting compounds that act as both potentiators and correctors, moves us one important step closer to lead optimization and the identification of clinical candidates.”

Early in the collaboration, EPIX became the first company to generate a 3-D model of the CFTR, a considerable step forward in the CF research field. All of these milestones resulted from EPIX’s highly efficient discovery platform which integrates proprietary in silico modeling techniques with hypothesis-driven approaches for the design and synthesis of compounds.

“Our collaboration with EPIX continues to yield important scientific advances in the field of cystic fibrosis research,” added Robert J. Beall, Ph.D., president and chief executive officer of Cystic Fibrosis Foundation. “This is the first time that a 3-D model has been used to test for compounds that may bind to multiple sites on the CFTR and play a key role in a future treatment for CF. We are pleased with the tangible results stemming from our relationship with EPIX and we look forward to continuing our work together as we focus on our goal of creating new therapies to treat CF.”

Cystic fibrosis (CF) is a life-threatening genetic disease that affects approximately 30,000 children and adults in the United States and nearly 70,000 people worldwide. It causes life-threatening lung infections and serious digestive complications. A mutation in the CFTR gene is one of the key factors that ultimately leads to the symptoms, complications and premature mortality in people with CF.

10-K: ALEXZA PHARMACEUTICALS INC.

he following Management’s Discussion and Analysis of Financial Condition and Results of Operations contains forward-looking statements that are based upon current expectations. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “expect,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “intend,” “potential” or “continue” or the negative of these terms or other comparable terminology. Forward-looking statements involve risks and uncertainties. Our actual results and the timing of events could differ materially from those discussed in our forward-looking statements as a result of many factors, including those set forth under “Risk Factors” and elsewhere in this Annual Report on Form 10-K.

Overview
We are a pharmaceutical development company focused on the research, development, and commercialization of novel proprietary products for the acute treatment of central nervous system, or CNS, conditions. All of our product candidates are based on our proprietary technology, the Staccato system. The Staccato system, vaporizes an excipient-free drug to form a condensation aerosol that, when inhaled, allows for rapid systemic drug delivery. Because of the particle size of the aerosol, the drug is quickly absorbed through the deep lung into the bloodstream, providing speed of therapeutic onset that is comparable to intravenous, or IV, administration but with greater ease, patient comfort and convenience. We currently have six product candidates in various stages of clinical development, ranging from Phase 1 through late-stage Phase 3. In 2009, our focus will be on the continued rapid development of AZ-004.
We have identified approximately 200 drug compounds that have demonstrated initial vaporization feasibility for delivery with our technology. We believe that a number of these drug compounds, when delivered by the Staccato system, will have a desirable therapeutic profile for the treatment of acute and intermittent conditions. We are initially focusing on developing proprietary products by combining our Staccato system with small molecule drugs that have been in use for many years and are well characterized to create aerosolized forms of these drugs. We believe that we will be able to reduce the development time and risks associated with our product candidates, compared to the development of new chemical entities.
Our clinical-stage product candidates are:
AZ-004 (Staccato loxapine). We are developing AZ-004 for the acute treatment of agitation in patients with schizophrenia or bipolar disorder. In 2008 we successfully completed two pivotal Phase 3 clinical trials and we project a New Drug Application, or NDA, submission in the first quarter of 2010.
AZ-104 (Staccato loxapine). We are developing AZ-104 to treat patients suffering from acute migraine headaches. AZ-104 is a lower-dose version of AZ-004. AZ-104 has completed a Phase 2a in-clinic study and we initiated an out-patient Phase 2b clinical trial in January 2009. AZ-104 has been licensed to Symphony Allegro, and we have the right to repurchase all rights to this product candidate
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AZ-001 (Staccato prochlorperazine). We are developing AZ-001 to treat patients suffering from acute migraine headaches. During the third quarter of 2008, we conducted an end-of-Phase 2 meeting with the FDA. We believe we have a clear understanding of the development requirements for filing an NDA for this product candidate. We do not intend to conduct any AZ-001 Phase 3 studies without a partner, and we are continuing to seek partners for our Staccato migraine product candidates, AZ-001 and AZ-104.
AZ-007 (Staccato zaleplon). We are developing AZ-007 for the treatment of insomnia in patients who have difficulty falling asleep, including patients who awake in the middle of the night and have difficulty falling back asleep. AZ-007 has completed Phase 1 testing. We do not intend to conduct any AZ-007 Phase 2 studies without a partner in 2009.
AZ-003 (Staccato fentanyl). We are developing AZ-003 for the treatment of patients with acute pain, including patients with breakthrough cancer pain and postoperative patients with acute pain episodes. We have completed and announced positive results from a Phase 1 clinical trial of AZ-003 in opioid naïve healthy subjects.
In December 2007, we entered into a license, development and supply agreement, or the license agreement, with Endo Pharmaceuticals, Inc., or Endo, for AZ-003 and the fentanyl class of molecules for North America. Under the terms of the license agreement, Endo paid us an upfront fee of $10 million, and was obligated to pay potential additional milestone payments of up to $40 million upon achievement of predetermined regulatory and clinical milestones. Endo was also obligated to pay undisclosed royalties to us on net sales of the product, from which we would be required to pay for the cost of goods for the manufacture of the commercial version of the product. Under the terms of the license agreement, we had the primary responsibility for the development and costs of the Staccato Electronic Multiple Dose device and the exclusive right to manufacture the product for clinical development and commercial supply. Endo had the responsibility for future pre-clinical, clinical and regulatory development, and, if AZ-003 was approved for marketing, for commercializing the product in North America. In January 2009, we mutually agreed with Endo to terminate the license agreement, With all rights to AZ-003 reverting back to us. We recorded the $10 million upfront fee we received from Endo in January 2008 as deferred revenue and began to recognize this revenue in the third quarter of 2008 over the estimated performance period of six years, resulting in revenue of $486,000 in 2008. Our obligations under the license agreement were fulfilled upon the termination of the agreement, and we will recognize the remaining deferred revenue in the first quarter of 2009. We do not expect to pursue the development of AZ-003 without a partner.
AZ-002 (Staccato alprazolam). AZ-002 has completed a Phase 2a proof-of-concept clinical trial for the treatment of panic attacks, an indication the Company is not planning to pursue. However, given the safety profile, the successful and reproducible delivery of alprazolam, and the IV-like pharmacological effect demonstrated to date, we and Symphony Allegro are assessing AZ-002 for other possible indications and renewed clinical development. AZ-002 has been licensed to Symphony Allegro, and we have the right to repurchase all rights to this product candidate.
In December 2006, we entered into a transaction involving a series of related agreements providing for the financing of additional clinical and nonclinical development of AZ-002, Staccato alprazolam, and AZ-004/AZ-104, Staccato loxapine. Pursuant to the agreements, Symphony Capital LLC, a wholly owned subsidiary of Symphony Holdings LLC, and its investors have invested $50 million to form Symphony Allegro to fund additional clinical and nonclinical development of Staccato alprazolam and Staccato loxapine. We have exclusively licensed to Symphony Allegro certain intellectual property rights related to Staccato alprazolam and Staccato loxapine. We have retained manufacturing rights to these product candidates. We continue to be primarily responsible for the development of these product candidates in accordance with a development plan and related development budgets, and we have incurred and may continue to incur expenses that are not funded by Symphony Allegro. Pursuant to the agreements, we have received an exclusive purchase option that gives us the right, but not the obligation, to acquire all, but not less than all, of the equity of Symphony Allegro, and reacquire the intellectual property rights that we licensed to Symphony Allegro. This purchase option is exercisable at predetermined prices between $92.5 million at March 31, 2009 and $122.5 million at December 1, 2010. The purchase option exercise price may be paid for in cash or in a combination of cash and our common stock, in our sole discretion, provided that the common stock portion may not
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exceed 40% of the purchase option exercise price or 10% of our common stock issued and outstanding as of the purchase option closing date. If we pay a portion of the purchase option exercise price in shares of our common stock, then we will be required to register such shares for resale under a resale registration statement pursuant to the terms of a registration rights agreement. If we do not exercise our purchase option by December 1, 2010, then Symphony Allegro will retain its exclusive license to develop and commercialize Staccato alprazolam and Staccato loxapine for all indications, and we will maintain exclusive rights to manufacture and sell Staccato alprazolam and Staccato loxapine to Symphony Allegro or its sublicensee for those purposes. Pursuant to a warrant purchase agreement, we issued to Symphony Allegro Holdings, LLC a warrant with a five-year term to purchase 2,000,000 shares of our common stock at $9.91 per share, also paid a transaction structuring fee of $2.5 million, and reimbursed approximately $329,000 of Symphony Allegro transaction fees.
We have retained all other rights to our product candidates and the Staccato system. We are seeking a partner in the United States for our lead product candidate, AZ-004, and intend to retain co-promotion rights in the United States. We eventually plan to build a United States-based specialty sales force to commercialize our product candidates which are approved for marketing and which are intended for specialty pharmaceutical markets. We plan to enter into strategic partnerships with other companies to commercialize products that are intended for certain markets in the United States and for all of our product candidates in geographic territories outside the United States.
In March 2008, we obtained a committed equity line of credit under which we may sell, subject to certain limitations, up to $50 million of our registered common stock to Azimuth Opportunity, Ltd., or Azimuth, over a 24-month period. We are not obligated to utilize any of the $50 million equity line of credit. We will determine, at our sole discretion, the timing, the dollar amount and the price per share of each draw under this equity line of credit, subject to certain conditions. When and if we elect to use the equity line of credit, we will issue shares to Azimuth at a discount between 4.15% and 6.00% to the volume weighted average price of our common stock over a preceding period of trading days. Azimuth is not required to purchase any shares at a price below $5.00 per share. Any shares sold under this facility will be sold pursuant to a shelf registration statement declared effective by the Securities and Exchange Commission, or the SEC, on April 16, 2007. We have not sold any shares under this agreement as of December 31, 2008.
In March 2008, we sold 1,250,000 shares of our registered common stock to Biomedical Sciences Investment Fund Pte. Ltd, or Bio*One, at a price of $8.00 per share and issued a warrant to Bio*One to purchase up to $3 million of additional shares of our common stock at an exercise price of $8.00 per share. The agreement contained certain conditions, in which Bio*One was eligible to receive 135,041 additional shares of our registered common stock and an adjustment to the exercise price of the warrant, which would adjust the effective purchase price paid or payable by Bio*One to $7.22 per share. We did not meet these conditions, and in January 2009 we issued Bio*One 135,041 additional registered shares of our common stock and the warrant’s exercise price was automatically adjusted to give Bio*One the right to purchase 415,522 shares at a $7.22 per share exercise price. In addition, we committed to initiate and maintain manufacturing operations in Singapore. The warrant became exercisable only if we terminated operations in Singapore or did not achieve certain performance milestones. In December 2008, we did not achieve a specified performance milestone, at which time the warrant became fully exercisable. All securities sold to Bio*One were sold pursuant to a shelf registration statement declared effective by the SEC on April 16, 2007.
We were incorporated December 19, 2000. We have funded our operations primarily through the sale of equity securities, capital lease and equipment financings and government grants. We have generated $7.4 million in revenues from inception through December 31, 2008, substantially all of which was earned through United States Small Business Innovation Research grants and the agreement with Endo. We had $486,000 of revenues in 2008 and no revenues in 2007. In the third quarter of 2008, we began to recognize revenues related to our Endo license agreement. In prior years we have recognized governmental grant revenue and drug compound feasibility revenue, however, we expect no grant revenue or drug compound feasibility screening revenue in 2009. In January 2009, we and Endo mutually terminated the license agreement, at which time we fully fulfilled our obligations under the agreement, and will recognize the remaining $9.5 million of deferred revenues into revenues in the first quarter of 2009. We do not expect any material product revenue until at least 2011.
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We have incurred significant losses since our inception. As of December 31, 2008, our deficit accumulated during development stage was $222.6 million and total stockholders’ equity was $33.7 million. We recognized net losses of $58.5 million, $45.1 million, and $41.8 million, in 2008, 2007 and 2006, respectively. We expect our net losses to continue, however, at a lower rate than 2008, as we continue our existing and planned preclinical studies and clinical trials, reduce our research and development efforts, continue our manufacturing development, and begin commercialization development. We expect that our general and administrative expenses in 2009 to slightly decrease from 2008 levels as we reduced our headcount in January 2009 and have otherwise sought to reduce expenses for items such as travel and outside consultancy.
The process of conducting preclinical studies and clinical trials necessary to obtain FDA approval is costly and time consuming. We consider the development of our product candidates to be crucial to our long term success. If we do not complete development of our product candidates and obtain regulatory approval to market one or more of these product candidates, we may be forced to cease operations. The probability of success for each product candidate may be impacted by numerous factors, including preclinical data, clinical data, competition, device development, manufacturing capability, regulatory approval and commercial viability. Our strategy is to focus our resources on AZ-004. We expect to file an NDA for this product candidate in the first quarter of 2010. We have announced that we are seeking partnerships to continue development of our other programs. If in the future we enter into additional partnerships, third parties could have control over preclinical development or clinical trials for some of our product candidates. Accordingly, the progress of such product candidate would not be under our control. We cannot forecast with any degree of certainty which of our product candidates, if any, will be subject to any future partnerships or how such arrangements would affect our development plans or capital requirements.
As a result of the uncertainties discussed above, the uncertainty associated with clinical trial enrollments, and the risks inherent in the development process, we are unable to determine the duration and completion costs of the current or future clinical stages of our product candidates or when, or to what extent, we will generate revenues from the commercialization and sale of any of our product candidates. Development timelines, probability of success and development costs vary widely. While we are currently focused on developing our product candidates, we anticipate that we and our partners, will make determinations as to which programs to pursue and how much funding to direct to each program on an ongoing basis in response to the scientific and clinical success of each product candidate, as well as an ongoing assessment as to the product candidate’s commercial potential. We do not expect any of our current product candidates to be commercially available before 2011, if at all.
In January 2009, we consolidated our operations to primarily focus our efforts on the continued rapid development of AZ-004. As part of the reorganization, we reduced our total workforce by 33% and we mutually agreed with Endo to terminate our development agreement for our AZ-003 product. We anticipate that this consolidation will reduce 2009 operating expenses by $21.5 million from the 2008 operating expenses. We anticipate that with current cash, cash equivalents and marketable securities along with interest earned thereon, expected payments from Symphony Allegro, the proceeds from option exercises, and purchases of common stock pursuant to our Employee Stock Purchase Plan, we will be able to maintain our currently planned operations into the second quarter of 2010. Changing circumstances may cause us to consume capital significantly faster or slower than we currently anticipate.
Critical Accounting Estimates and Judgments
Our management’s discussion and analysis of our financial condition and results of operations is based on our financial statements, which have been prepared in accordance with U.S. generally accepted accounting principles. The preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, as well as reported revenues and expenses during the reporting periods. On an ongoing basis, we evaluate our estimates and judgments related to development costs. We base our estimates on historical experience and on various other factors that we believe are reasonable under the circumstances, the results of which form the basis for making assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.
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While our significant accounting policies are more fully described in Note 2 of the notes to consolidated financial statements, we believe the following accounting policies are critical to the process of making significant estimates and judgments in preparation of our financial statements.
Preclinical Study and Clinical Trial Accruals
We estimate our preclinical study and clinical trial expenses based on our estimates of the services received pursuant to contracts with multiple research institutions and clinical research organizations that conduct and manage preclinical studies and clinical trials on our behalf. The financial terms of these agreements vary from contract to contract and may result in uneven payment flows. Preclinical study and clinical trial expenses include the following:
fees paid to contract research organizations in connection with preclinical studies;
fees paid to contract research organizations and other clinical sites in connection with clinical trials; and
fees paid to contract manufacturers in connection with the production of components and drug materials for preclinical studies and clinical trials.
We record accruals for these preclinical study and clinical trial costs based upon the estimated amount of work completed. All such costs are charged to research and development expenses based on these estimates. Costs related to patient enrollment in clinical trials are accrued as patients are entered in the trial. We monitor patient enrollment levels and related activities to the extent possible through internal reviews, correspondence and discussions with research institutions and organizations. However, if we have incomplete or inaccurate information, we may underestimate or overestimate activity levels associated with various preclinical studies and clinical trials at a given point in time. In this event, we could record significant research and development expenses in future periods when the actual activity level becomes known. To date, we have not made any material adjustments to our estimates of preclinical study and clinical trial costs. We make good faith estimates which we believe to be accurate, but the actual costs and timing of clinical trials are highly uncertain, subject to risk and may change depending upon a number of factors, including our clinical development plan. With the our ongoing Phase 3 clinical trial and future Phase 3 clinical trials, the process of estimating clinical trial costs will become more difficult as the trials will involve larger numbers of patients and clinical sites.
Share-Based Compensation
On January 1, 2006, we adopted the fair value recognition provisions of Statement of Financial Accounting Standard No. 123R, Share-Based Payment, or SFAS 123R. As required, we adopted SFAS 123R using the prospective transition method. Under this transition method, beginning January 1, 2006, compensation cost recognized includes: (a) compensation cost for share-based payments granted prior to, but not yet vested as of December 31, 2005 related to (i) employees, based on the intrinsic value in accordance with the provisions of Accounting Principles Board Opinion No. 25, Accounting for Stock Issued to Employees, or APB 25, and (ii) non-employees based on the options fair value in accordance with the provisions of SFAS 123, and (b) compensation cost for all share-based payments granted or modified subsequent to December 31, 2005, based on the grant-date fair value estimated in accordance with the provisions of SFAS 123R.
We currently use the Black-Scholes option pricing model to determine the fair value of stock options and purchase rights issued under the employee stock purchase plan. The determination of the fair value of share-based payment awards on the date of grant using an option-pricing model is affected by our stock price as well as assumptions regarding a number of complex and subjective variables. These variables include our expected stock price volatility over the term of the awards, actual and projected employee stock option exercise behaviors, risk-free interest rates and expected dividends.
The estimated fair value of restricted stock unit awards is calculated based on the market price of our common stock on the date of grant, reduced by the present value of dividends expected to be paid on our common stock prior to vesting of the restricted stock unit. Our current estimate assumes no dividends will be paid prior to the vesting of the restricted stock unit.
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Through 2007, we estimated the expected term of options using the “simplified” method, as illustrated in SAB 107. Beginning in 2008, we estimated the expected term of options based on the historical term periods of options that have been granted but are no longer outstanding and the estimated terms of outstanding options.
As we had been operating as a public company for a period of time that was significantly shorter than our estimated expected option term, we were unable to use actual price volatility data. Therefore, we estimated the volatility of our common stock based on volatility of similar entities through 2007. In 2008 we estimated the volatility of our stock based on our actual historical volatility since our initial public offering.
We base the risk-free interest rate that we use in the option pricing model on U.S. Treasury zero-coupon issues with remaining terms similar to the expected term on the options. We do not anticipate paying any cash dividends in the foreseeable future and therefore use an expected dividend yield of zero in the option pricing model.
We are required to estimate forfeitures at the time of grant and revise those estimates in subsequent periods if actual forfeitures differ from those estimates. We use historical data to estimate pre-vesting option forfeitures and record share-based compensation expense only for those awards that are expected to vest. All share-based payment awards are amortized on a straight-line basis over the requisite service periods of the awards, which are generally the vesting periods.
If factors change and we employ different assumptions for estimating share-based compensation expense in future periods or if we decide to use a different valuation model, the expenses in future periods may differ significantly from what we have recorded in the current period and could materially affect our operating loss, net loss and net loss per share.
See Note 2 to the consolidated financial statements in this Annual Report on Form 10-K for further information regarding the SFAS 123R disclosures.
Symphony Allegro, Inc.
On December 1, 2006 we entered into a transaction involving a series of related agreements with Symphony Capital LLC, or Symphony Capital, Symphony Allegro Holdings LLC, or Holdings, and Holdings’ wholly owned subsidiary Symphony Allegro, Inc., or Allegro, to fund the clinical development of AZ-002, Staccato alprazolam, and AZ-004/104, Staccato loxapine, or the programs. Symphony Capital and other investors, together referred to as Symphony, invested $50 million in Holdings, which then invested the $50 million in Allegro. Pursuant to the agreements, Allegro agreed to invest up to the full $50 million to fund the clinical development of the programs, and we licensed to Allegro certain intellectual property rights related to these programs. We have retained manufacturing rights to these product candidates. Pursuant to the agreements, we continue to be primarily responsible for all preclinical, clinical and device development efforts as well as maintenance of the intellectual property portfolio for the programs. We and Allegro have established a development committee to oversee the programs. We participate in the development committee and have the right to appoint one of the five board of director seats of Allegro. We have incurred and may continue to incur expenses related to the programs that are not funded by Allegro. Pursuant to the agreements, we have received an exclusive purchase option, or the purchase option, that gives us the right, but not the obligation, to acquire all, but not less than all, of the equity of Allegro, and reacquire the intellectual property rights that we licensed to Allegro. The purchase option is exercisable at predetermined prices that increase over time and range from $67.5 million starting December 31, 2007 to $122.5 million through December 1, 2010. As of March 1, 2009 the purchase option is $92.5 million. The purchase option exercise price may be paid for in cash or in a combination of cash and our common stock, in our sole discretion, provided that the common stock portion may not exceed 40% of the purchase option exercise price or 10% of our common stock issued and outstanding as of the purchase option closing date. If we pay a portion of the purchase option exercise price in shares of our common stock, then we will be required to register such shares for resale under a resale registration statement pursuant to the terms of a registration rights agreement. If we do not exercise the purchase option by December 1, 2010, then Allegro will retain its exclusive license to develop and commercialize Staccato alprazolam and Staccato loxapine for all indications, and, if they are ultimately commercialized, we will . . .