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HAYWARD, Calif., Mar 23, 2010 (BUSINESS WIRE) -- Aradigm Corporation (OTC BB: ARDM.OB) (the "Company") today announced financial results for the fourth quarter and full year ended December 31, 2009.

The Company recorded no revenue in the fourth quarter of 2009 or the fourth quarter of 2008. Total operating expenses for the fourth quarter of 2009 were $3.3 million, compared with total operating expenses of $5.3 million for the fourth quarter of 2008. The decrease in operating expenses was due to expense reduction efforts. The Company's net loss for the fourth quarter of 2009 was $3.4 million, or $0.03 per share, compared with a net loss of $5.3 million, or $0.10 per share, for the same period in 2008.

Full Year Results

Revenues for the year ended December 31, 2009 were $4.9 million, compared with revenues of $251,000 in 2008. The increase in revenue was due to the fact that revenue from milestone and development payments received during the collaboration with United Therapeutics Corporation and previously recorded as deferred revenue were recognized as revenue upon the termination of the collaboration. Total operating expenses for 2009 were $18.3 million, compared with total operating expenses of $23.3 million in 2008. Research and development expenses decreased by $5.1 million, general and administrative expenses decreased by $1.6 million, and restructuring and asset impairment expenses increased by $1.8 million. The decrease in research and development expenses and in general and administrative expenses was consistent with the Company's ongoing expense reduction efforts, including reductions in headcount and other operating expenses. Total direct cost of the clinical trials associated with the Company's lead product candidates, ARD-3100 and ARD-3150 (inhaled liposomal ciprofloxacin), remained relatively constant between 2008 and 2009. The increase in restructuring and asset impairment expenses is the result of the impairment of AERx(R) technology fixed assets, following the termination of the collaboration with United Therapeutics Corporation. The net loss for the year ended December 31, 2009 was $13.8 million, or $0.15 per share, compared with a net loss of $22.6 million, or $0.42 per share, in 2008.