Letter from CEO:

It is a very exciting and dynamic time at Arena.

We have engaged a very systematic and robust process to reset the enterprise from a historically research-oriented organization to a high-performing clinical development organization focused on maximizing the value of our pipeline.

In order to transform the enterprise, we have three priorities:

    1. Nothing meaningful can occur without the right team. A few months ago, we embarked on a process to evaluate our resources against our aim to be a high-performing development stage company. We have built and will continue to expand a high-energy team dedicated to constantly improving our ability to execute against our priorities.
    2. We believe strongly that our ability to focus on a few key product priorities in a small number of therapeutic areas will be a large determinant of our ultimate success. Our ability to understand the value of our pipeline is served by an externally-driven approach. Over the past months we have begun to connect with world experts in the various therapeutic areas in which we focus, ask difficult questions, and prepare to make important course corrections. With the priorities firmly grounded, we start with the desired eventual, long-term outcome for each program as we design experiments against value-inflecting milestones.
    3. While we are building an effective organization, we have a keen eye on our efficiency. We have streamlined our organization to focus on mission critical activities, and continue to challenge ourselves, our vendors and our partners to be more efficient with resources in meeting our objectives.

As we move forward, we are well positioned to become a therapeutically-focused company with an initial focus in gastroenterology / hepatology and cardiopulmonary, with the ability to develop important medicines across a broad range of indications.

We believe that the potential related to our portfolio of assets adds up to a very compelling future – we are committed to executing against our goals to deliver medicines to patients, as well as value for shareholders.

Amit Munshi
President & CEO