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Vion Reports 2007 Third Quarter and Nine-Month Results
Date:11/7/2007

M), including additional personnel, drug production costs and other costs in support of a potential registration filing; (ii) stock-based compensation expense; and (iii) a gift to support research projects at a Yale University laboratory, partially offset by lower spending on preclinical drug production. In addition, marketing, general and administrative expenses were higher than the prior year period, primarily due to increased stock-based compensation expense, medical advisory board meetings and patent fees.

The Company reported $1.2 million and $3.4 million of stock-based compensation expense in the three-month and nine-month periods ended September 30, 2007, respectively, as compared to $413,000 and $1.4 million for the comparable 2006 periods.

The Company reported $3.7 million in interest expense for the nine months ended September 30, 2007 related to its private placement in February 2007 of convertible debt and warrants. There was no interest expense in 2006. Interest income increased from $1.6 million for the nine-month period ended September 30, 2006 to $2.6 million for the comparable 2007 period based on higher invested balances and higher interest rates in 2007.

The Company reported ending the quarter with $68.0 million in cash and cash equivalents. Based on its current operating plan, the Company reported that it had funds to operate the Company into the third quarter of 2009 excluding any expenses for commercialization of Cloretazine(R) (VNP40101M) in the United States. If the Company does commercialize Cloretazine(R) (VNP40101M) in the United States on its own, it would have to raise additional capital.

In August, the Company announced that it had completed the initial target accrual of 85 patients for its pivotal Phase II trial of Cloretazine(R) (VNP40101M) as a single agent in elderly de novo poor-risk acute myelogenous leukemia (AML). Recent FDA/ICH guidance recommends that an electrocardiograph evaluation (QT/QTc) study be i
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SOURCE Vion Pharmaceuticals, Inc.
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