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BioMS Medical Announces 2008 Year End Results
Date:3/17/2009

MS trials. The data also showed that dirucotide was generally well tolerated. The most common side effects reported were redness and burning sensation at the injection site. No patients withdrew due to adverse events. Eligible patients in this trial are now receiving dirucotide on an un-blinded basis to the end of their 27th month in the trial.

Licensing and Development Agreement with Lilly

On December 17, 2007, BioMS entered into a licensing and development agreement (the "Agreement") granting Lilly exclusive worldwide rights to dirucotide. The transaction closed on January 25, 2008 and BioMS received an upfront payment of US $87 million. In September 2008, BioMS received a development milestone payment of US $10 million as a result of the positive interim analysis from the DSMB for MASESTRO-01. BioMS has the potential to receive future development and sales milestones up to US $400 million and escalating royalties on sales if dirucotide is commercialized.

Not later than sixty (60) days following receipt of the final written report of the results of the MAESTRO-01 trial, Lilly shall notify BioMS in writing whether Lilly will terminate the Agreement or alternatively Lilly shall bear 100% of any and all continuing development costs incurred by Lilly or BioMS for dirucotide.

HYC750 and BioCyDex

On May 9, 2008, BioMS entered into a Royalty and Assignment Agreement with Orcrist Bio. Inc. for HYC750, a technology based on hyaluronic acid that has a number of potential therapeutic uses and is being developed as a treatment for the side effects of chemotherapy. BioMS held an exclusive worldwide license to HYC750 from the University of Alberta. As a result of the Royalty and Assignment Agreement, BioMS terminated its license with the University of Alberta and the University entered into
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