-- Reported positive in vivo data demonstrating effective and sustained
knockdown of survivin mRNA, an historically undruggable oncology target,
with MRNA-046 (a survivin-specific UsiRNA formulated in our proprietary
DiLA2 liposomal delivery technology) via systemic delivery in a rodent
liver cancer model and via local delivery in a rodent bladder cancer model
-- Reported positive in vivo data demonstrating that MRNA-046 resulted in
65% and 90% decreases in tumor burden in rodent models of liver cancer and
bladder cancer, respectively, compared to negative controls. In the case
of the liver cancer study the tumor burden reduction was similar to
Avastin® (bevacizumab)-treated mice which served as the positive control
Advanced Non-Human Primate Program:
-- Initiated a program in non-human primates to evaluate safety and
efficacy of our UsiRNA construct and lead formulations
-- Developed and validated several in-house in vitro and in vivo
surrogate assays to model efficacy, safety and toxicology in non-human
primates
-- Observed significant knockdown of a primate liver gene following a
single systemic dose of 0.3 mg/kg which is a therapeutically relevant dose
Advanced RNAi Drug Discovery Platform:
-- Reported positive in vivo data demonstrating that our proprietary
UsiRNA constructs silence mRNA (and thus down-regulate protein) via an RNAi-
mediated process
-- Reported positive in vitro data demonstrating that UsiRNAs can
increase strand-specific activity of the guide strand and decrease strand-
specific activity of the passenger strand, thus minimizing off-target
activity associates with common siRNA
-- Reported positive in vitro data demonstrating that UsiRNAs have
decreased cytokine induction including toll-like receptor activity compared
to other siRNA constructs used in the field
-- Announced our first RNAi-related patent allowance covering an siRNA
with therapeutic potential in oncology and other indications
-- Presented the above accomplishments at multiple conferences and
meetings including IBC Drug Discovery & Development Week, Oligonucleotide
Therapeutics: From Concept to Implementation, The International Society for
Biological Therapy of Cancer and Discovery on Target's 3rd Annual RNAi: For
Developing Targeted Therapeutics
Strengthened Management Team and Board of Directors:
-- Appointed Peter S. Garcia, MBA, as our Chief Financial Officer
-- Appointed June D. Ameen, RN, MBA, as our Vice President of Corporate
Development
-- Appointed James M. Karis to our Board of Directors
Conference Call and Webcast Information
Management will host a conference call to provide a business update and to
review financial results for the quarter ended September 30, 2009. The call
is scheduled for Thursday, November 12, 2009, at 4:30 pm Eastern Time (1:30
pm Pacific Time). To participate in the live conference call, U.S.
residents should dial 866-543-6405 and international callers should dial
617-213-8897. The participant passcode for the live conference call is
97970805. To access the 24-hour telephone replay, available approximately
two hours after the live event, U.S. residents should dial 888-286-8010 and
international callers should dial 617-801-6888. The participant passcode
for the replay is 36119088.
Alternatively, to access the live audio webcast for this conference call
via the Internet, please go to MDRNA's website at http://www.mdrnainc.com
under Investors Event Calendar or click on the following link:
http://phx.corporate-ir.net/phoenix.zhtml?c=83674&p=irol-calendar
approximately 15 minutes prior to the conference call in order to register
and download any necessary software. A replay of the webcast will be
available for 30 days following the event.
About MDRNA, Inc.
MDRNA is a biotechnology company focused on the development and
commercialization of therapeutic products based on RNA interference (RNAi).
Our goal is to improve human health through the development of RNAi-based
compounds and drug delivery technologies that together provide superior
therapeutic options for patients. Over the past decade, we have developed
substantial capabilities in molecular biology, cellular biology, lipid
chemistry, peptide chemistry, pharmacology and bioinformatics, which we are
applying to a wide range of RNAi technologies and delivery approaches.
These capabilities plus the in-licensing of key RNAi-related intellectual
property have rapidly enabled us to become a leading RNAi-based
therapeutics company with a pre-clinical pipeline in oncology. Through our
capabilities, expertise and know-how, we are incorporating multiple RNAi
technologies as well as peptide- and lipid-based delivery approaches into a
single integrated drug discovery platform that will be the engine for our
clinical pipeline as well as a versatile platform for establishing broad
therapeutic partnerships with biotechnology and pharmaceutical companies.
We are also investing in new technologies that we expect to lead to safer
and more effective RNAi-based therapeutics while aggressively building upon
our broad and extensive intellectual property estate. By combining broad
expertise in siRNA science with proven delivery platforms and a strong IP
position, MDRNA is well positioned as a leading RNAi-based drug discovery
and development company. Additional information about MDRNA, Inc. is
available at http://www.mdrnainc.com.
MDRNA Forward-Looking Statements
Statements made in this news release may be forward-looking statements
within the meaning of Federal Securities laws that are subject to certain
risks and uncertainties and involve factors that may cause actual results
to differ materially from those projected or suggested. Factors that could
cause actual results to differ materially from those in forward-looking
statements include, but are not limited to: (i) the ability of MDRNA to
obtain additional funding; (ii) the ability of MDRNA to attract and/or
maintain manufacturing, research, development and commercialization
partners; (iii) the ability of MDRNA and/or a partner to successfully
complete product research and development, including preclinical and
clinical studies and commercialization; (iv) the ability of MDRNA and/or a
partner to obtain required governmental approvals; and (v) the ability of
MDRNA and/or a partner to develop and commercialize products that can
compete favorably with those of competitors. Additional factors that could
cause actual results to differ materially from those projected or suggested
in any forward-looking statements are contained in MDRNA's most recent
periodic reports on Form 10-K and Form 10-Q that are filed with the
Securities and Exchange Commission. MDRNA assumes no obligation to update
and supplement forward-looking statements because of subsequent events.
MDRNA, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In Thousands, Except Per Share Data)
Three Months Ended Nine Months Ended
September 30, September 30,
2008 2009 2008 2009
--------- --------- --------- ---------
(Unaudited)
Revenue
License and other revenue $ 100 $ 61 $ 1,213 $ 14,435
Product revenue 243 --- 972 70
Government grants 62 3 237 19
--------- --------- --------- ---------
Total revenue 405 64 2,422 14,524
--------- --------- --------- ---------
Operating expenses:
Cost of product revenue 77 --- 2,906 ---
Research and development 7,603 3,319 27,022 11,775
Selling, general and
administrative 2,502 3,478 11,129 7,836
Restructuring 6,167 118 8,084 429
--------- --------- --------- ---------
Total operating expenses 16,349 6,915 49,141 20,040
--------- --------- --------- ---------
Loss from operations (15,944) (6,851) (46,719) (5,516)
Other income (expense):
Interest income 69 1 497 4
Interest expense (195) --- (697) (311)
Net gain on settlement
of liabilities --- --- --- 654
Change in fair value of
price adjustable warrants --- (160) --- (2,092)
--------- --------- --------- ---------
Net loss $ (16,070) $ (7,010) $ (46,919) $ (7,261)
========= ========= ========= =========
Basic and diluted net loss per
share:
Net loss per common share --
basic and diluted $ (0.52) $ (0.17) $ (1.62) $ (0.20)
========= ========= ========= =========
Shares used in computing net
loss per share - basic and
diluted 31,003 40,710 28,986 36,336
========= ========= ========= =========
December 31, September 30,
Selected Balance Sheet Data (In Thousands) 2008 2009
------------ ------------
(Unaudited)
Cash and Cash Equivalents
(includes restricted cash of $2,268 and
$1,157, respectively) $ 3,352 $ 4,588
Accounts Receivable, net 32 49
Property and Equipment, Inventories and Other
Assets 9,753 5,339
------------ ------------
Total assets 13,137 9,976
============ ============
Fair Value of Liability for Price Adjustable
Warrants --- 10,980
Other Liabilities 16,396 5,633
------------ ------------
Total Liabilities 16,396 16,613
============ ============
Accumulated deficit (254,085) (262,232)
Contact Information: Contacts: MDRNA, Inc.: Peter Garcia Chief Financial Officer (425) 908-3603 pgarcia@mdrnainc.com Westwicke Partners (Investors): Stefan Loren, Ph.D. (443) 213-0507 sloren@westwicke.com John Woolford (443) 213-0506 john.woolford@westwicke.com McKinney|Chicago (Media): Alan Zachary (312) 944-6784 x 316 or (708) 707-6834 azachary@mckinneychicago.com