Mission Statement SLIL is a world leader in the field of polyamine analog research and is developing new therapies for cancer and other diseases. SLIL also has an exclusive license to the Sequential Pathogenesis technology and has the opportunity to develop therapeutic and diagnostic breakthroughs in cancer and other diseases. The Company’s mission is to fully realize these opportunities. R&D Strategy SLIL’s Drug Discovery Program is based on three classes of drugs: Polyamine analogs: Compounds that mimic natural polyamines in cells and have therapeutic potential as anti-cancer agents, as well as other applications Cyclic polyamines: A new class of cytotoxic agents originally derived from plant alkyloids TTD™ technology: SLIL's proprietary Tumor Targeting and Delivery technology Product Pipeline SLIL scientists have already discovered and patented more than 250 novel compounds. After in vitro testing and drug refinement, a number of compounds have now been identified as Lead Compounds for preclinical development for cancer and other human diseases. The first of these drug candidates (SL11047) has been approved to commence a Phase I/II clinical trial for AIDS-related lymphoma to determine its safety and efficacy in humans. This trial is currently open for patient enrollment at UCSF. Recently, the FDA has allowed extension of this Phase I/II trial to include non-AIDS lymphoma patients. The first non-AIDS lymphoma patient has now been treated with 2 courses of therapy. The Company expects to begin recruiting non-AIDS lymphoma patients during 2003. Another candidate drug, SL11093, which has shown excellent preclinical efficacy for prostate and pancreatic cancers, should enter clinical trial during thethird quarter 2003. Two additional drugs should enter clinical trial for cancer/infectious diseases in 2004. New Disease Model An important new conceptual model of disease causation, Sequential Pathogenesis offers SLIL a broad range of proprietary opportunities for the discovery of new diagnostic assays, new therapeutic targets and new viruses involved in such important diseases as atherosclerosis, ALS and various cancers. The Company has already discovered new, disease-associated viruses, and has demonstrated the ability of virally-altered human macrophages to cause disease (see Oct. 1 2002 Cancer Research). SLIL is aggressively advancing both the therapeutic and diagnostic implications of this proprietary and far-reaching technology platform. Market Opportunities and Business Model Taken together, the Company's two technology platforms present distinct commercialization opportunities, and yet are synergistically linked scientifically -because the pre-clinical/clinical testing of SLIL's polyamine analog drug candidates as anticancer agents (which also selectively kill virally-altered macrophages) provides immediate insight into broader therapeutic aspects of the Sequential Pathogenesis model. The Company currently holds 24 patents/patent applications covering the Polyamine Analog and Sequential Pathogenesis technologies-and the diagnostic and therapeutic products that are emerging from them. Our immediate focus is on the cancer market - an $8 billion drug market worldwide, attracting the attention of more than 40 major pharmaceutical companies. SLIL’s strategy is to license its novel compounds to one or more of these companies. Such strategic alliances will be vital to the company’s revenues and development over the next few years. People SLIL has a World-class scientific team, including Dr. Laurence Marton, Dr. Benjamin Frydman, Dr. Michael McGrath, Dr. Brian Herndier and an outstanding Scientific Advisory Board.