EXHIBIT 10.17

COMPENSATION ARRANGEMENTS WITH NAMED EXECUTIVE OFFICERS

The following are the annual salaries of our named executive officers as of
March 1, 2005.

Name

 

Position

 

Salary

 

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Kenneth G. Chahine, J.D., Ph.D.

 

President, Chief Executive Officer and Director

 

$

376,550
 

Thomas J. Paulson

 

Vice President, Finance, Chief Financial Officer and Secretary

 

$

260,441
 

Glenn Pierce, Ph.D., M.D.

 

Vice President, Research and Clinical Development

 

$

242,179
 

Dawn McGuire, M.D.

 

Chief Medical Officer

 

$

243,950
 

Kirk Johnson, Ph.D.

 

Vice President, Preclinical Research

 

$

219,625
 

In addition to these named executive officers, we have three other executive
officers who receive base salaries in amount commensurate to their position and
role with the Company.

Bonuses are paid to executive officers based on subjective determinations by the
Compensation Committee of amounts warranted.  There are no target bonus amounts
set.