Rigel Pharmaceuticals, Inc. is engaged in the discovery and development of a range of small molecule product candidates for unmet medical needs. The Company develops a portfolio of product candidates and takes these product candidates through Phase II clinical trials, after which, it seeks partners for completion of clinical trials, regulatory approval and marketing. As of December 31, 2003, Rigel has three initial development programs: allergy/asthma, hepatitis C and rheumatoid arthritis. The Company has begun clinical testing of its first two product candidates, R112 for allergic rhinitis and R803 for hepatitis C, and plans to begin clinical trials of two additional product candidates for the treatment of rheumatoid arthritis and asthma by the end of 2004. Rigel owns the economic and commercial rights to these product candidates. The Company is conducting research efforts that are focused primarily in the areas of immunology/inflammation, virology and oncology.