The progress on CS-917 increases our confidence in the value of MB07803, our second generation inhibitor of FBPase that we are currently independently developing as a treatment for type 2 diabetes. While MB07803 is structurally different from CS-917, and may offer certain advantages, both agents are designed to inhibit gluconeogenesis by targeting the same binding site on FBPase. We initiated and completed four Phase 1 clinical trials for MB07803 during 2006, another milestone for our metabolic disease product development efforts. The results from the completed clinical trials indicated that MB07803 appears to be safe and well tolerated and, as a result, we initiated a Phase 2a clinical trial for MB07803 for the treatment of type 2 diabetes in the second quarter of 2007.

With the alarming growth in the incidence of type 2 diabetes worldwide, we believe that new treatment approaches are urgently needed. We continue to believe that CS-917 and MB07803 represent an important new therapeutic class of product candidates that have the potential to be an effective approach for treating type 2 diabetes, which is a chronic, life-threatening disease.