Aradigm is an emerging specialty pharmaceutical company developing and commercializing a portfolio of drugs delivered by inhalation for the treatment of severe respiratory disease. Bolstered by its depth of expertise in pulmonary drug delivery and an extensive intellectual property portfolio, the Company is uniquely positioned to fulfill unmet needs in pulmonary medicine. Aradigm’s corporate strategy includes the following: Continued development of proprietary respiratory disease therapies Pursue regulatory pathways that reduce the time, costs and risks associated with product development Conservation of capital for proprietary product development through the outsourcing of late stage clinical and commercial scale manufacturing Deployment of a specialized sales and marketing force to meet the unique needs of pulmonologists in the United States Out-licensing technology and intellectual property assets for applications that lie outside the company’s strategic interests and core expertise Aradigm’s lead candidates are the liposomal antibiotic formulations Pulmaquin® and Lipoquin®. The Company signed a worldwide licensing deal with Grifols (Nasdaq: GRFS) that funds upcoming Phase III clinical trials with Pulmaquin® in bronchiectasis patients, and may pursue additional indications such as cystic fibrosis, non-TB mycobacterial lung infections, and biodefense applications.

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