Helix BioPharma reports Q2 2008 highlights, financi...(sh usedin operating activities totaled $...)

For the six month period ended January 31, 2008, cash used in operations was relatively unchanged compared to the six months ended January 31, 2007.

Financing activities

Financing activities in each of the three and six month periods ended January 31, 2008 were $14,614,000, compared to nil and $6,480,000, respectively, a year ago. All financing activities related to separate private placements in the given periods.

Investing activities

Use of cash in investing activities for the three and six month periods ended January 31, 2008, as well as the three month period ended a year ago, totaled $9,000, $59,000 and $11,000, respectively. For the six month period last year, investing activities were a source of cash totaling $6,614,000 of which $6,640,000 represented a redemption of short-term investments. Excluding the redemption of short-term investments, all use of funds in investing activities represented capital acquisitions in the particular period. When appropriate, the Company maintains excess funds in short-term investments and redeems these funds as required for its daily operating requirements.

LIQUIDITY AND CAPITAL RESOURCES

Since inception, the Company has financed its operations from public and private sales of equity, the exercise of warrants and stock options, interest income on funds available for investment, government grants, investment tax credits, and revenues from distribution, licensing and contract services. Because the Company does not have net earnings from its operations, the Company's long-term liquidity depends on its ability to access the capital markets, which depends substantially on the Company's ongoing research and development programs.

At Januar
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