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BioMS Medical Announces 2007 Year End Results
Date:3/18/2008

tudy

was initiated in June, 2007 and to date there has been in excess of

200 patients enrolled. The trial will include approximately 510

patients at approximately 65 sites across the U.S. The DSMB has

conducted its first review of the data from this trial and has

recommended it continue. The trial is expected to complete enrollment

in mid-2008.

- MINDSET-01: A phase II clinical trial evaluating MBP8298 for the

treatment of relapsing-remitting MS ("RRMS"). The randomized,

double-blind study has completed recruitment with 218 patients

enrolled at 24 trial sites in 6 countries across Europe. The DSMB has

completed three safety analyses to date and recommended that the

trial continue as per the protocol.

Licensing and Development Agreement

On December 17, 2007, BioMS entered into a licensing and development agreement granting Eli Lilly and Company exclusive worldwide rights to its lead MS compound, MBP8298. Under the terms of the agreement, Lilly and BioMS will collaborate on the development of MBP8298 and will also share in certain development costs with Lilly being responsible for future research and development, manufacturing and marketing activities. The transaction closed on January 25, 2008 with the receipt of an upfront payment of US$87 million. BioMS has the potential to receive additional development and sales milestones of up to US$410 million and escalating royalties on sales commensurate with the current stage of development of the product if MBP8298 is commercialized. BioMS will continue to oversee the current trials. The completion of the transaction resulted in licensing bonuses, as contemplated in a number of pre-existing employment agreements, paid to all Company personnel in February 2008 of $9.0 million which was reviewed and approved by the independent Compensation Committee, and supported by an independent compensation
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SOURCE BioMS Medical Corp.
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