Cash and cash equivalents was $7.4 million as of March 31, 2009 compared to $12.8 million on December 31, 2008. In order to focus on those areas we believe can provide the most near term value to our stockholders and to ensure we have adequate cash to complete our review of strategic options for the Company, we continued to concentrate our efforts during the quarter on certain MEPACT pre-launch commercial activities in Europe and the review of such strategic options, including merger or acquisition opportunities, which may involve a change in control of our Company. During the first quarter, we placed the U.S. mifamurtide NDA amendment submission on hold until we complete our strategic review, which will allow us to operate into the third quarter of 2009. We have engaged JMP Securities, LLC, an investment bank, to advise us in exploring alternatives available to us with respect to a possible merger or acquisition transaction.

"We made good progress in our pre-launch activities for MEPACT in Europe during the first quarter," said Timothy P. Walbert, president and chief executive officer, IDM Pharma. "We continue to focus on MEPACT pre-launch activities while working with our financial advisor to complete our strategic review process to enhance shareholder value."

Quarter Ended March 31, 2009

Total revenues in the quarter ended March 31, 2009 were $4,000, compared to total revenues of $2.4 million for the three months ended March 31, 2008. Revenues for the three months ended March 31, 2009 were from amortization of deferred revenues related to distribution agreements, while substantially all of the revenues during the three months ended March 31, 2008 were generated from our research and development activities under our collaboration agreement with sanofi-aventis for the UVIDEM program. As a result of sanofi-aventis' decision to terminate its participation in the UVIDEM development program in December 2007, no further such revenues related to UVIDEM were recognized after the first quarter of 2008.

Research and development (R&D) expenses decreased to $3.0 million for the three months ended March 31, 2009 from $3.9 million for the three months ended March 31, 2008. The decrease was primarily due to a $0.8 million reduction in spending related to clinical development of UVIDEM, which we placed on hold in December 2007 following sanofi-aventis' notification that it was discontinuing its participation in the development of the program, $0.2 million in savings due to the closing of our Paris facility, and $0.2 million of decreased spending associated with development activities related to products currently on hold, partially offset by higher spending of $0.3 million related to regulatory filings and manufacturing of MEPACT clinical supplies for our compassionate use program.

Selling, marketing, general and administrative (SG&A) expenses were $1.8 million and $2.7 million for the three months ended March 31, 2009 and 2008, respectively. Expenses for the 2009 period were lower primarily due to $0.5 million savings from the closing of our Paris facility, a $0.2 million reduction in consulting fees and a decrease of $0.2 million in stock compensation expense during the 2009 period.

Restructuring expenses were $2.6 million for the three months ended March 31, 2008, which included $2.3 million of severance benefits and $0.3 million of shutdown costs related to the closing of our facility in Paris, France. There were no restructuring expenses in 2009 as we recorded all charges related to the January 2008 restructuring plan as of December 31, 2008.

Interest income for the three months ended March 31, 2009 and 2008 was $28,000 and $0.2 million, respectively.