Scott Johnson President and Founder

January 4, 2008

As we enter 2008, we continue to have confidence that we will reach our five-year goal of licensing our first myelin repair drug target for commercial development by July 2009.

Our principal investigators have learned a great deal about myelin biology and its role in multiple sclerosis in these past three-and-a-half years. With their expertise and our management and financial support, the ARC model collaboration has delivered results beyond all of our expectations -- 18 new myelin repair targets, nine patents filed, and two dozen new research tools that have relevance not just for multiple sclerosis research, but for all neurological disease research. This represents an extraordinary rate of productivity.

When MRF was founded, the focus of the ARC model was on accelerating the identification of drug targets, or biological processes, that are involved in myelination and remyelination. As with all dynamic models, the ARC model has evolved into a strategy that not only speeds basic research, but also strategically takes those discoveries and prepares them for commercial development and clinical trials. We have proven that managed, outcome-driven science does accelerate results and we are on the pathway to prove that those results can be effectively translated into patient treatments. I look forward to keeping you updated on the progress of this next critical phase of our work.

This is all good news for multiple sclerosis patients, and for the pharmaceutical industry that has been facing an increasingly grim outlook as a result of the shortage of novel targets in their pipelines. Our accomplishments in myelin repair and in proving the ARC model for use in all disease research, will make a difference.

We are grateful to our scientific and drug discovery advisors, to our participating laboratories, and to all who have supported our efforts.  Thank you all for your continued interest and support.

Sincerely,
Scott Johnson
President and Founder