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IDM Pharma Reports 2007 Financial Results
Date:3/20/2008

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Details of Financial Results

Total revenues in the quarter ended December 31, 2007 were $5.6 million compared to total revenues of $3.0 million for the quarter ended December 31, 2006. Total revenues were $14.6 million for the year ended December 31, 2007, compared to total revenues of $11.3 million for the year ended December 31, 2006. Revenues in all periods were primarily in connection with the Company's collaboration agreement with sanofi-aventis.

Research and development (R&D) expenses in the quarter ended December 31, 2007 decreased to $4.8 million from $5.3 million in the prior year period. For the year ended December 31, 2007, R&D expenses decreased to $21.8 million for the year ended December 31, 2007 from $22.3 million in 2006. Increased R&D spending during the periods related to L-MTP-PE and UVIDEM development was offset by reductions in development activities related to IDM-2101 and other development candidates that the Company has put on hold, as well as reductions associated with lower headcount and termination of a lease agreement for certain of the Company's Paris facilities.

Selling and marketing and general and administrative (SG&A) expenses were $2.9 million for the quarter ended December 31, 2007 compared with $2.8 million in the prior year period. SG&A expenses increased to $12.6 million for the year ended December 31, 2007 from $10.0 million for the year ended December 31, 2006. The higher expenses in 2007 include $0.5 million in fees paid to an investment advisor in connection with the private placement completed in February 2007, $1.1 million associated with accrued severance benefits, $0.5 million in bonus accruals, and $0.4 million due to higher headcounts and consultant costs in the sales and marketing area.

Restructuring expenses were $1.1 million for both the quarter and year ended December 31, 2007, which included $0.5 million of severance benefits and $0.6 million of fixed asset impairments related
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SOURCE IDM Pharma, Inc.
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