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Lexicon Pharmaceuticals Reports on Clinical Program Status and 2011 First Quarter Results
Date:5/3/2011

million for the corresponding period in 2010.  The decrease for the three months ended March 31, 2011 was primarily attributable to reduced revenues under Lexicon's alliance with Taconic Farms.

Research and Development Expenses:  Research and development expenses for the three months ended March 31, 2011 increased 13 percent to $23.9 million from $21.1 million for the corresponding period in 2010.  The increase was primarily attributable to increased external clinical and preclinical research and development costs and increased severance costs resulting from Lexicon's continued reallocation of resources from earlier-stage research towards its most advanced drug discovery and development programs.  

Increase in Fair Value of Symphony Icon Purchase Liability:  In connection with the acquisition of Symphony Icon, Lexicon made an initial estimate of the fair value of the liability for the associated base and contingent payments.  Changes in this liability, based on the development of the programs and the time until such payments are expected to be made, are recorded in Lexicon's consolidated statements of operations.  The increase in fair value of the Symphony Icon purchase liability was $1.1 million for the three months ended March 31, 2011.  

General and Administrative Expenses:  General and administrative expenses for the three months ended March 31, 2011 decreased 14 percent to $4.8 million from $5.5 million for the corresponding period in 2010.  The decrease was primarily attributable to decreased legal and patent fees.Consolidated Net Loss:  Net loss for the three months ended March 31, 2011 was $29.6 million, or $0.09 per share, compared to a net loss of $26.1 million, or $0.13 per share, in the corresponding period in 2010.  For the three months ended March 31, 2011, net loss included non-cash, stock-based compensation expense of $1.5 million, compared
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SOURCE Lexicon Pharmaceuticals, Inc.
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