Alteon Announces Financial Results for the Second Quarter Ended
June 30, 2004 PARSIPPANY, N.J., Aug. 9 /PRNewswire-FirstCall/ --
Alteon Inc. (AMEX:ALT) announced today a net loss of $3,501,802 for
the three months ended June 30, 2004. This compared to a net loss
of $5,061,474 for the same period in 2003. The net loss applicable
to common stockholders, which included a non-cash preferred stock
dividend, was $4,518,759 or $0.11 per basic/diluted share for the
three months ended June 30, 2004, as compared to $5,996,181 or
$0.17 per basic/diluted share for the same period in 2003. Also
included in the net loss applicable to common stockholders for the
three months ended June 30, 2003 was a non-cash variable stock
compensation expense of $531,657. Research and development expenses
for the three months ended June 30, 2004 decreased by $814,532, or
25.0%, as compared to the three months ended June 30, 2003. The
decrease was primarily attributed to lower clinical costs in the
three months ended June 30, 2004 associated with the Phase 2
trials, SPECTRA and PEDESTAL, as compared to the completion of the
SAPPHIRE/SILVER trial for the same period in 2003, which included
higher personnel and personnel-related costs, including temporary
help related to accumulating and assessing the data of the
SAPPHIRE/SILVER trial. General and administrative expenses
decreased by $671,265, primarily related to the non-cash variable
stock compensation expense of $509,988 for the three months ended
June 30, 2003. Based upon the price of our common stock at June 30,
2004, there was no non-cash variable stock compensation
expense/(benefit) incurred for the period. For the six months ended
June 30, 2004, Alteon had a net loss of $7,236,795. This compared
to a net loss of $10,284,531 for the same period in 2003. The net
loss applicable to common stockholders, which included a non- cash
preferred stock dividend, was $9,249,605 or $0.23 per basic/diluted
share for the six months ended June 30, 2004, as compared to
$12,124,695 or $0.35 per basic/diluted share for the same period in
2003. Non-cash variable stock compensation expense for the six
months ended June 30, 2003 was $1,559,556. Research and development
expenses for the six months ended June 30, 2004 decreased by
$1,035,240 or 16.8%, as compared to the six months ended June 30,
2003. The decrease was primarily attributed to lower clinical costs
in the six months ended June 30, 2004 associated with the Phase 2
trials, SPECTRA and PEDESTAL, as compared to the completion of the
SAPPHIRE/SILVER trial for the same period in 2003, which included
higher personnel and personnel-related costs, including temporary
help related to accumulating and assessing the data of the
SAPPHIRE/SILVER trial. General and administrative expenses
decreased by $1,898,156, primarily related to the non-cash variable
stock compensation expense of $1,475,917 for the six months ended
June 30, 2003. Cash and cash equivalents at June 30, 2004 totaled
$9,569,472. On July 2, 2004, pursuant to a Stock Purchase
Agreement, the Company sold 8,000,000 shares of common stock to a
number of new and existing institutional investors at $1.00 per
share for net proceeds after fees and expenses of approximately
$7,600,000. Alteon will hold its investor update conference call on
September 9, 2004 at 2:00 p.m., ET. About Alteon Alteon is
developing several new classes of drugs that reverse or slow down
diseases of aging and complications of diabetes. These compounds
have an impact on a fundamental pathological process caused by
protein-glucose complexes called Advanced Glycation End-products
(A.G.E.s). The formation and crosslinking of A.G.E.s lead to a loss
of flexibility and function in body tissues, organs and vessels and
have been shown to be a causative factor in many age-related
diseases and diabetic complications. Alteon has created a library
of novel classes of compounds targeting the A.G.E. Pathway.
Alteon's lead compound alagebrium chloride (formerly ALT-711), the
only A.G.E. Crosslink Breaker in advanced human testing, has
demonstrated safety and efficacy in several Phase 2 trials and is
actively being developed for systolic hypertension and heart
failure. Ongoing clinical trials include SPECTRA (Systolic Pressure
Efficacy and Safety Trial of Alagebrium) and PEDESTAL (Patients
with Impaired Ejection Fraction and Diastolic Dysfunction: Efficacy
and Safety Trial of ALagebrium). For more information on Alteon,
visit the company's website at http://www.alteon.com/. Any
statements contained in this press release that relate to future
plans, events or performance are forward-looking statements that
involve risks and uncertainties including, but not limited to,
those relating to technology and product development (including the
possibility that early clinical trial results may not be predictive
of results that will be obtained in large-scale testing or that any
clinical trials will not demonstrate sufficient safety and efficacy
to obtain requisite approvals or will not result in marketable
products), regulatory approval processes, intellectual property
rights and litigation, competitive products, ability to obtain
financing, and other risks identified in Alteon's filings with the
Securities and Exchange Commission. The information contained in
this press release is accurate as of the date indicated. Actual
results, events or performance may differ materially. Alteon
undertakes no obligation to publicly release the result of any
revision to these forward-looking statements that may be made to
reflect events or circumstances after the date hereof or to reflect
the occurrence of unanticipated events. Alteon Inc. Statements of
Operations (Unaudited) Three Months Ended Six Months Ended June 30,
June 30, 2004 2003 2004 2003 Income: Investment Income $29,051
$55,176 $66,417 $103,898 Other Income 100,000 -- 151,821 -- Total
Income $129,051 $55,176 $218,238 $103,898 Expenses: Research and
Development (which includes non-cash variable stock compensation
expense of $0 and $21,669, for the three months ended June 30, 2004
and June 30, 2003, respectively, and $0 and $83,639, for the six
months ended June 30, 2004 and June 30, 2003, respectively)
2,445,563 3,260,095 5,129,698 6,164,938 General and Administrative
(which includes non-cash variable stock compensation expense of $0
and $509,988, for the three months ended June 30, 2004 and June 30,
2003, respectively, and $0 and $1,475,917, for the six months ended
June 30, 2004 and June 30, 2003, respectively) 1,185,290 1,856,555
2,325,335 4,223,491 Total Expenses $3,630,853 $ 5,116,650
$7,455,033 $10,388,429 Net Loss $(3,501,802) $(5,061,474)
$(7,236,795) $(10,284,531) Preferred Stock Dividends 1,016,957
934,707 2,012,810 1,840,164 Net Loss Applicable to Common
Stockholders $(4,518,759) $(5,996,181) $(9,249,605) $(12,124,695)
Basic/Diluted Net Loss Per Share Applicable to Common Stockholders
$(0.11) $(0.17) $(0.23) $(0.35) Weighted Average Common Shares Used
in Computing Basic/ Diluted Net Loss Per Share 40,472,898
35,907,764 40,472,123 34,773,382 Selected Balance Sheet Data
(Unaudited) June 30, December 31, 2004 2003 Cash and Cash
Equivalents $9,569,472 $16,678,582 Total Assets 10,605,360
17,254,985 Accumulated Deficit (196,868,464) (187,618,859) Total
Stockholders' Equity 8,161,821 15,384,432 DATASOURCE: Alteon Inc.
CONTACT: Susan M. Pietropaolo, Director, Corporate Communications
& Investor Relations of Alteon Inc., +1-201-818-5537 or Web
site: http://www.alteonpharma.com/
Copyright
Ishares Diversified Alternatives Trust (AMEX:ALT)
Historical Stock Chart
From Jun 2024 to Jul 2024
Ishares Diversified Alternatives Trust (AMEX:ALT)
Historical Stock Chart
From Jul 2023 to Jul 2024