AnaMar has the objective of developing both new drug candidates and biomarkers within the area of chronic joint diseases. We believe that these complementary activities provide a competitive advantage relative to other early stage companies in that the biomarker development capability (i) increases our understanding of drug action, efficacy and/or safety, (ii) facilitates therapy response prediction, and (iii) expands the molecular definition of the disease.

In addition to the scientific benefits of working in these parallel areas, the company also expects to use revenues from initial biomarker sales to at least partly finance the drug development program. Ultimately we expect each of these activities to develop into separate profitable business lines.

We are continually searching for novel, unique approaches in our drug discovery activities. New project ideas are generated by the in-house research team as well as through collaboration with university research groups and medicinal chemistry-oriented biotech companies.

Certain of AnaMar's drug candidates will most likely have application in other diseases involving inflammation such as asthma, inflammatory bowel disease (IBD), atherosclerosis, and cancer, as well as in general for inflammatory pain management.

AnaMar currently generates revenues through the sale of the existing two first generation biomarker products and will continue to do so. A second generation is under development, together with new potential biomarkers for early stage diagnosis of arthritis in general.

Although the emphasis is on biomarkers as research tools in support of the company's drug development activities, we also expect a commercial potential for our biomarker products. Primarily for research purposes and secondarily, possibly with a partner, for clinical use.