Strategic Alliances

Vanda Pharmaceuticals, Inc., has the worldwide rights to develop, manufacture and commercialize Fanapt™ (iloperidone), a compound out-licensed by Titan. On May 6, 2009, the FDA granted marketing approval for Fanapt™ for the treatment of schizophrenia in adult patients and Vanda has announced that this product will be available in pharmacies later in 2009. Titan is entitled to receive a royalty of 8-10% on the global net sales of this product. Titan does not incur any expenses related to this product.