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BELLUS Health reports results for the fourth quarter of 2008
Date:2/26/2009

ry by the Company of ownership rights and control of eprodisate (KIACTA(TM)), as discussed earlier.

Other income amounted to $241,000 for the current quarter ($1,051,000 for the year), compared to $287,000 for the same quarter the previous year ($1,274,000 for the year). Other income consists of non-operating revenue, primarily sub-lease revenue.

Financial position and going concern

During the past year, the capital markets have been characterized by significant volatility and by a marked reduction in the ability of companies, and in particular, biotechnology companies, to access these markets for financing. At the same time, a slowdown in the general economy began to manifest itself.

As previously reported, as a result of the decrease in the market price of its shares, the Company's common stock was delisted from the NASDAQ Capital Market. Since maintaining a listing on a recognized American stock exchange was a condition of financing under the equity line of credit facility, the Company is no longer able to avail itself of funds under this agreement. Accordingly, the Company will need to raise additional funds to pursue its operations beyond the first quarter of 2009.

To date, the Company has financed its operations primarily through public offerings of common shares, private placements, issuance of convertible notes, as well as a sale-leaseback transaction, research tax credits, collaboration and research contracts, interest and other income. The future profitability and viability of the Company is dependent upon such factors as the success of the clinical trials, the approval by regulatory authorities of products developed by the Company, the ability of the Company to successfully market, sell and distribute products, including its natural health products, and the ability of the Company to obtain the necessary financing to complete its projects.

The Company has incurred significant operating losse
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SOURCE BELLUS HEALTH INC.
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