Avid Bioservices Inc (CDMO)

[until2000]

In my mind, Merke KgaA is not a good fit as a partner initially because they are looking for collaborations that produce revenue in the USA. Peregrine has stated that they are looking for foreign partners that give them total ownership of the USA market.

Merke, I believe, would only make a play for partnering if they intended to buy us out down the road.

I think this concept of owning the American market has been a non starter for some of the other large biotechs. It is however, good for us, as it drives the price higher.

Now, if we can just deliver? Better make sure security is tight this time, no more tainted trials please.

As to initiating the Phase III it is also my opinion that while we are at the mercy of many other mile stones, timing wise, initiating the Phase III is entirely within our control. And, frankly, if we say we can do it, we damned well better come through. The biotech industry, the FDA, and other investors are watching.

And yes, sometimes I feel that Peregrine is being run like Congress, and doesnt' deserve an approval rating of more than 22%.

Although I admit that their abundance of caution is probably justifiable given the biotech landscape. It makes sense to play ones cards very close to the vest. We've been burned before by jumping into bed with the wrong suitor.

All this, and yet I remain,positive and committed

Happy Thanksgiving all!