<PAGE>
 
                                                                   EXHIBIT 10.30

                                   AGREEMENT
                                   ---------

     This Agreement is made and entered into as of the 29th day of May, 1998 by
and between PathoGenesis Corporation, a Delaware corporation, having its
principal place of business at 201 Elliott Avenue West, #150, Seattle,
Washington 98119 ("Licensee"), and the Cystic Fibrosis Foundation, a Delaware
not-for-profit corporation, having its principal place of business at 6931
Arlington Road, Bethesda, MD 20814 ("Licensor").

     WHEREAS, Licensor and Licensee entered into the License Agreement as of
January 1, 1994 (the "License Agreement") relating to TOBI(TM) (tobramycin
solution for inhalation) pursuant to which Licensor granted to Licensee an
exclusive license to use the Patents, Research and Technology to manufacture,
use, sell and exploit the Product (as such capitalized terms are defined in the
License Agreement) in exchange for certain royalty payments (the "Royalties")
and a lump sum payment provided for in the License Agreement; and

     WHEREAS, Licensor wishes to sell to Licensee and Licensee wishes to acquire
from Licensor pursuant to this Agreement all of its rights regarding the subject
matter of the License Agreement, and the parties wish to terminate the License
Agreement upon the terms and for the consideration hereinafter set forth;

     NOW THEREFORE, the parties agree as follows:

     Section 1.  Definition.  Capitalized terms not otherwise defined in this
Agreement shall have the same definition as in the License Agreement.

     Section 2.  Purchase and Sale

             2.1  Closing Date.  On the Closing Date (as defined in Section 2.3
hereof), (a) Licensor shall sell, assign and convey to Licensee, and Licensee
shall purchase from Licensor in exchange for the Purchase Price specified in
Section 2.4 of this Agreement, all of Licensor's

                                       
<PAGE>
 
rights, title and interest in all Patent, Product, Research and Technology
rights now or heretofore owned or held by Licensor and licensed, underlying or
relating to the License Agreement (the "Rights"); (b) Licensor will deliver to
Licensee (i) a bill of sale conveying the Rights, free and clear of any lien,
claim or encumbrance and (ii) any document evidencing Licensor's ownership of or
interest in the Rights; and (c) the License Agreement will terminate except to
the extent set forth in Section 2.2 below.

             2.2  Terminated Royalty Rights and Obligations; Post-Closing
Indemnification.  For the period April 1 through the Closing Date, in lieu of
the Royalties otherwise payable pursuant to Section 4.1 of the License Agreement
on or before August 15, 1998 Licensee will pay to Licensor a royalty equal to
1.25% of Net Revenues from Product sold during the three months ending June 30,
1998.  Royalties payable for the period January 1, 1998 through March 31, 1998
also shall be paid by Licensee to Licensor (computed at the 2.5% rate specified
in the License Agreement) on such date.  Licensor's right of inspection under
the License Agreement with respect to the books of account and records of
Licensee for the period through June 30, 1998 shall survive the termination of
this Agreement.  Licensee assumes responsibility for and shall defend, indemnify
and hold Licensor, its directors, officers, managers, agents and employees
harmless from any and all liability, losses, expenses (including reasonable
attorneys' fees), damages, assessments and claims, whether before or after the
Closing Date arising out of or resulting from (i) any use, sale or disposition
of Product by Licensee or by others receiving or sublicensing Product directly
or indirectly from Licensee, including Licensee's affiliates, agents,
representatives or sublicensees, (ii) the practice by Licensee of any subject
matter covered by the licensed patent, Research and/or Technology or (iii) any
act or omission of Licensee giving rise to a claim of a third party relating to
the License Agreement.  Licensee will maintain product

                                       2
<PAGE>
 
liability insurance with respect to the Product, commensurate with the
reasonable standards of the industry, if reasonably practicable. Upon written
request from Licensor, Licensee will provide Licensor with evidence of such
insurance coverage.

             2.3  Closing.  The Closing of the transfer contemplated hereby (the
"Closing") shall take place at Licensee's offices, at 5215 Old Orchard Road,
Suite 900, Skokie, Illinois 60077 on or before June 1, 1998 (the date such
Closing takes place shall be referred to herein as the "Closing Date").

             2.4  Purchase Price.  The total Purchase Price shall be Sixteen
Million Dollars ($16,000,000), payable as follows:

             a)  Five Million Three Hundred Thirty-Three Thousand Three Hundred
Thirty-Four Dollars ($5,333,334) at the closing, payable by wire transfer of
immediately available funds to the following account (the "Account"):  Crestar
Bank, Richmond, VA, Routing #055002707, Account #209111208.

             b)  Five Million Three Hundred Thirty-Three Thousand Three Hundred
Thirty-Three Dollars ($5,333,333) on the first anniversary of the Closing Date
(the "First Anniversary Payment"), payable by wire transfer of immediately
available funds to the Account.

             c)  Five Million Three Hundred Thirty-Three Thousand Three Hundred
Thirty-Three Dollars ($5,333,333) on the second anniversary of the date of this
Agreement, (the "Second Anniversary Payment"), payable by wire transfer of
immediately available funds to the Account.

             2.5  Letter of Credit.  The portion of the Purchase Price payable
after the Closing Date shall be secured by an irrevocable letter of credit
issued by the Harris Trust and Savings Bank in the form attached hereto as
Appendix 1 (the "Letter of Credit").  The Letter of Credit

                                       3
<PAGE>
 
shall secure Licensee's obligation to pay to Licensor the principal amount of
Ten Million Six Hundred Sixty-Six Thousand Six Hundred Sixty-Six Dollars
($10,666,666), and shall be reduced to Five Million Three Hundred Thirty-Three
Thousand Three Hundred Thirty-Three Dollars ($5,333,333) after the full
satisfaction of the First Anniversary Payment. Upon receipt of the First
Anniversary Payment, Licensor shall promptly send to Harris Trust and Savings
Bank a letter acknowledging receipt of the First Anniversary Payment in the form
of the letter attached hereto as Appendix 2. Licensor may draw upon the Letter
of Credit for the full amount of the remaining payments (i.e., the remainder of
the First Anniversary Payment and the Second Anniversary Payment) in accordance
with its terms (a) if Licensee fails to make the First Anniversary Payment (or
any portion thereof) by its due date and such amount is not paid by Licensee in
full within ten days after written demand by Licensor to Licensee, or (b) if
Licensee fails to make the Second Anniversary Payment (or any portion thereof)
and such amount is not paid by Licensee in full within ten days after written
demand by Licensor to Licensee for the remaining payment of the portion thereof
that is unpaid.

     Section 3.  Representations and Warranties.
             
             3.1  Licensee's Representations and Warranties.  Licensee
represents and warrants that it has full right, power and authority to enter
into this Agreement.

             3.2  Licensor's Representations and Warranties.  Licensor
represents and warrants that it has full right, power and authority to enter
into this Agreement and that it is not aware of any claim or threatened claim
challenging or questioning the validity of any of the Rights or of Licensor's
ownership thereof.

     Section 4.  General Provisions.
     

                                       4
<PAGE>
 
             4.1  Governing Law.  This Agreement shall in all respects be
governed by and construed and enforced in accordance with the internal
substantive laws of the State of Maryland, without giving effect to any
principle or rule of conflict or choice of laws. Any action suit, or other
proceeding seeking to enforce any right, remedy, obligation, duty, covenant or
provision of, or arising out of, this Agreement shall be brought and entered
against any party hereto exclusively in any federal or state court of the State
of Maryland or of the United States located in the State of Maryland. Each party
hereto irrevocably submits to the personal jurisdiction of any such court and
irrevocable waives, to the fullest extent of the law, any objection that it may
now or hereafter have to the laying of venue in any such court and any claim
that such action, suit or proceeding has been brought in an inconvenient forum.

             4.2  Notices.  Any notice, request, instruction or other document
to be given hereunder by any party hereto to any other party shall be in writing
and delivered personally or sent by registered or certified mail, return receipt
requested, postage pre-paid, as follows:

             To:            PathoGenesis Corporation
                            5215 Old Orchard Road, Suite 900
                            Skokie, Illinois  60077
                            Attn:  Wilbur H. Gantz, President

             With copy to:  PathoGenesis Corporation
                            5215 Old Orchard Road, Suite 900
                            Skokie, Illinois  60077
                            Attn:  Cameron S. Avery, General Counsel

             To:            Cystic Fibrosis Foundation
                            6951 Arlington Road
                            Bethesda, MD  20814
                            Attn:  Robert J. Beall

             With copy to:  Swidler & Berlin, Chtd.
                            3000 K Street, N.W., #300
                            Washington, D.C.  20077
                            Attn:  Kenneth I. Schaner

                                       5
<PAGE>
 
or at such other address for a party as shall be specified by like notice.  Any
notice which is delivered personally in the manner provided herein shall be
deemed to have been duly given to the party to whom it is directed upon actual
receipt of the specified individual at such party (or to such party's agents for
notices hereunder).  Any notice which is addressed and mailed in the manner
herein provided shall be conclusively presumed to have been duly given to the
party to which it is addressed at the close of business, local time of the
recipient, on the third day after the day it is placed in the mail.

             4.3  Waiver.  Any of the terms or conditions of this Agreement may
be waived in writing at any time by the party which is entitled to the benefits
thereof. No waiver of any of the provisions of this Agreement shall be deemed to
or constitute a waiver of any other provision hereof, whether or not similar.

             4.4  Headings.  The headings of the Sections and Paragraphs of this
Agreement are included for convenience only and shall not be deemed to
constitute part of this Agreement or to effect the construction hereof.

             4.5  Severability.  If any provisions hereof shall be held by any
court of competent jurisdiction to be illegal, void or unenforceable, such
provision shall be of no force and effect, but the illegality or
unenforceability shall have no effect and shall not impair the enforceability of
any other provision of this Agreement.

             4.6  Counterparts.  This Agreement shall be executed in one or more
counterparts, each of which shall for all purposes be deemed to be an original
and all of which shall constitute the same instrument.  Each party shall receive
a counterpart agreement fully executed by the other party.

                                       6
<PAGE>
 
             4.7  Limitation of Agreement.  Nothing in this Agreement shall have
any effect on the separate contractual relationship between PathoGenesis and
CHMC or any other entity with respect to the Product or with respect to the
Patents, Research or Technology.

             4.8  Further Assurances.  Upon the reasonable request of either
party, the other party shall enter into any additional agreements and execute
any additional certificates or other documents that may be reasonably
appropriate to fully implement this Agreement.

             4.9  Entire Agreement.  This Agreement supersedes all prior
agreements between the parties with respect to its subject matter and
constitutes a complete and exclusive statement of the terms of the agreement
between the parties with respect to its subject matter. The Agreement may not be
amended except by a written agreement executed by the party to be charged with
the amendment. No amendment, modification, or alteration of the terms or
provisions of this Agreement shall be binding unless the same shall be in
writing and duly executed by the parties hereto.

                                       7
<PAGE>
 
          IN WITNESS WHEREOF, the parties hereto have caused this Agreement to
be executed as of the date first above written.
          
                                                 
                                              PATHOGENESIS CORPORATION


                                              By:      /s/ Wilbur H. Gantz
                                                       -------------------
                                                       Its: Chairman and CEO
                                                    
                                              CYSTIC FIBROSIS FOUNDATION


                                              By:      /s/ Robert J. Beall
                                                       -------------------
                                                       Its: President and CEO

                                       8
<PAGE>
 
                                  APPENDIX 1

                               Letter of Credit

                                       9
<PAGE>
 
HARRIS TRUST AND SAVINGS BANK             ATTN: LETTER OF CREDIT SECTION
P.O. BOX 755                              311 W. MONROE ST., 13TH FLOOR
CHICAGO, IL 60690-0755                    CHICAGO, IL 60606
 
OUR IRREVOCABLE STANDBY                   DATE OF ISSUE:  MAY 28, 1998
LETTER OF CREDIT NUMBER SPL36471          PAGE:  1
 
 
BENEFICIARY:                              APPLICANT:
CYSTIC FIBROSIS FOUNDATION                PATHOGENESIS CORPORATION
6951 ARLINGTON ROAD                       5215 OLD ORCHARD ROAD
BETHESDA, MD  20814                       SUITE 910
ATTN:  R.J. BEALL, PRESIDENT & CEO       SKOKIE, IL  60077
                                                    
                                          AMOUNT AVAILABLE:  USD 10,666,666.00
                                          TEN MILLION SIX HUNDRED SIXTY SIX
                                          THOUSAND SIX HUNDRED SIXTY SIX AND
                                          00/100'S US DOLLARS


EXPIRY DATE:  JUNE 30, 2000

WE HEREBY ESTABLISH OUR IRREVOCABLE STANDBY LETTER OF CREDIT NO. SPL36471 BY
ORDER AND FOR THE ACCOUNT OF PATHOGENESIS CORPORATION THE "APPLICANT") IN THE
AMOUNT OF $10,666,666.00 (TEN MILLION SIX HUNDRED SIXTY SIX THOUSAND SIX HUNDRED
SIXTY SIX AND 00/100 U.S. DOLLARS) IN FAVOR OF CYSTIC FIBROSIS FOUNDATION (THE
"BENEFICIARY") AND AUTHORIZE BENEFICIARY TO DRAW AT SIGHT ON HARRIS TRUST AND
SAVINGS BANK.

DRAFTS ON US AT SIGHT MUST BE ACCOMPANIED BY BENEFICIARY'S SIGNED CERTIFICATE
FOR DRAW (PURPORTEDLY SIGNED BY AN AUTHORIZED REPRESENTATIVE OF THE BENEFICIARY)
IN THE FORM OF EXHIBIT A ATTACHED HERETO.

THE AMOUNT OF ANY DRAFT(S) DRAWN UNDER THIS CREDIT ARE TO BE ENDORSED ON THE
REVERSE SIDE HEREOF.  SUCH DRAFT(S) MUST BEAR THE CLAUSE "DRAWN UNDER HARRIS
TRUST AND SAVINGS BANK IRREVOCABLE STANDBY LETTER OF CREDIT NO. SPL36471 DATED
MAY 28, 1998."

WE HEREBY AGREE WITH DRAWERS THAT DRAFTS AND DOCUMENTS AS SPECIFIED ABOVE WILL
BE DULY HONORED UPON PRESENTATION TO HARRIS TRUST AND SAVINGS BANK, LETTER OF
CREDIT SECTION, 311 WEST MONROE STREET, 13TH CHICAGO, IL 60606, ATTN:  STANDBY
LETTER OF CREDIT UNIT, IF PRESENTED ON OR BEFORE JUNE 30, 2000.

THIS CREDIT MAY BE REDUCED AT ANY TIME AND FROM TIME TO TIME UPON RECEIPT BY US
OF BENEFICIARY'S WRITTEN NOTICE ADDRESSED TO US THAT BENEFICIARY DESIRES SUCH
REDUCTION TO BE MADE.

                                       10
<PAGE>
 
HARRIS TRUST AND SAVINGS BANK              ATTN: LETTER OF CREDIT SECTION
P.O. BOX 755                               311 W. MONROE ST., 13TH FLOOR
CHICAGO, IL 60690-0755                     CHICAGO, IL 60606
 
OUR IRREVOCABLE STANDBY LETTER OF          DATE OF ISSUE: MAY 28, 1998
CREDIT NUMBER SPL36471                     PAGE: 2

PARTIAL DRAWS ARE PERMITTED.  ANY PARTIAL DRAWING HEREUNDER SHALL BE ENDORSED
HEREON BY US AND THIS CREDIT SHALL BE RETURNED TO THE HOLDER HEREOF (EXCEPT
AFTER A DRAWING WHICH EXHAUSTS THE AVAILABLE CREDIT HEREUNDER).

EXCEPT SO FAR AS IS OTHERWISE EXPRESSLY STATED HEREIN THIS CREDIT IS SUBJECT TO
THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS (1993 REVISION)
INTERNATIONAL CHAMBER OF COMMERCE, PARIS, PUBLICATION NO. 500 AND ENGAGES US IN
ACCORDANCE WITH THE TERMS THEREOF.


HARRIS TRUST AND SAVINGS BANK



-------------------------- 
AUTHORIZED SIGNING OFFICER

                                       11
<PAGE>
 
HARRIS TRUST AND SAVINGS BANK             ATTN: LETTER OF CREDIT SECTION
P.O. BOX 755                              311 W. MONROE ST., 13TH FLOOR
CHICAGO, IL 60690-0755                    CHICAGO, IL 6060

 
OUR IRREVOCABLE STANDBY LETTER OF         DATE OF ISSUE: MAY 28, 1998
CREDIT NUMBER SPL36471                    PAGE: 3

                                   EXHIBIT A
                           IRREVOCABLE STANDBY LETTER
                             OF CREDIT NO. SPL36471

                              CERTIFICATE FOR DRAW

THE UNDERSIGNED, A DULY AUTHORIZED REPRESENTATIVE OF CYSTIC FIBROSIS FOUNDATION
AS BENEFICIARY UNDER THAT CERTAIN IRREVOCABLE STANDBY LETTER OF CREDIT NO.
SPL36471 DATED MAY 28, 1998, ESTABLISHED BY HARRIS TRUST AND SAVINGS BANK,
HEREBY CERTIFIES AS FOLLOWS:

PATHOGENESIS CORPORATION AS APPLICANT HAS FAILED TO MAKE PAYMENT OF AMOUNTS
WITHIN TEN DAYS AFTER THEIR DUE DATE THAT HAVE BECOME DUE UNDER THAT CERTAIN
AGREEMENT DATED AS OF _____________, 1998 BY AND BETWEEN THE BENEFICIARY AND THE
APPLICANT.

THE BENEFICIARY HEREBY REQUESTS A DRAW-IN THE AMOUNT OF $____________ WHICH
CORRESPONDS TO THE TOTAL AMOUNT OWING AND UNPAID AS OF THIS DATE.

IN WITNESS WHEREOF, THE UNDERSIGNED HAS EXECUTED THIS CERTIFICATE AS OF
______________, 1998.


CYSTIC FIBROSIS FOUNDATION



BY:
   -------------------------
TITLE:
      ----------------------
(TITLE OF AUTHORIZED REPRESENTATIVE OF BENEFICIARY)

                                       12
<PAGE>
 
                                  APPENDIX 2
                                  ----------

                    [CYSTIC FIBROSIS FOUNDATION LETTERHEAD]

                                    [Date]

Harris Trust and Savings Bank
Letter of Credit Section
311 West Monroe Street
13th Floor
Chicago, IL  60606

     RE:  IRREVOCABLE STANDBY LETTER OF CREDIT
          NUMBER SPL 36471 Dated May 28, 1998 (the "Letter of Credit")
          ------------------------------------------------------------

Dear [Authorized Representative]:

     Pursuant to the May 29, 1998, agreement between PathoGenesis Corporation
and the Cystic Fibrosis Foundation (the "Agreement"), the Cystic Fibrosis
Foundation hereby acknowledges receipt of the First Anniversary Payment (as
defined in the Agreement) in the amount of Five Million, Three Hundred Thirty-
Three Thousand, Three Hundred Thirty-Three U.S. Dollars ($5,333,333).  The
Cystic Fibrosis Foundation hereby notifies the Harris Trust and Savings Bank to
reduce the Letter of Credit from Ten Million, Six Hundred Sixty-Six Thousand,
Six Hundred Sixty-Six U.S. Dollars ($10,666,666) to Five Million, Three Hundred
Thirty-Three Thousand, Three Hundred Thirty-Three U.S. Dollars ($5,333,333),
effective immediately.

                                Cystic Fibrosis Foundation


                                By:
                                   ---------------------------------
                                Printed Name:
                                             -----------------------
                                Its:
                                    --------------------------------

                                       
<PAGE>
 
                          BILL OF SALE AND ASSIGNMENT


     KNOW ALL BY THESE PRESENTS THAT:

     1.  Transfer.  The Cystic Fibrosis Foundation, a Delaware not-for-profit
corporation ("Licensor"), pursuant to the Agreement dated as of May 29, 1998
(the "Agreement") (capitalized terms not otherwise defined herein shall have the
meanings assigned to them in the Agreement), by and among the Licensor and
PathoGenesis Corporation, a Delaware corporation ("Licensee"), for good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, does hereby grant, sell, convey, transfer, assign and deliver to
Licensee and its successors and assigns, all of the Licensor's right, title and
interest in and to all of the Patents, Research, Product and Technology as
defined in Schedule A attached hereto, including all patent, trademark,
copyright and other intellectual property rights thereto and applications and
registrations thereon, together with all accrued rights of action, royalties and
damages from any past or present infringement or misappropriation of any such
rights in the United States and all foreign countries (collectively the
"Purchased Assets").

     TO HAVE AND TO HOLD all of the properties, assets and rights granted and
transferred hereby, with the appurtenances thereof, unto the Licensee, its
successors and assigns forever, to and for their own use and benefit.

     2.  Power of Attorney.  For the consideration aforesaid, the Licensor
hereby constitutes and appoints the Licensee, its successors and assigns, the
true and lawful attorney or attorneys of the Licensor, with full power of
substitution, for the Licensor and in its name and stead, or otherwise, but on
behalf and for the benefit of the Licensee, its successors and assigns to demand
and receive from time to time, any and all properties hereby granted, sold,
assigned, transferred, conveyed or delivered and give receipts and releases for
and in respect of the same and any part thereof, and from time to time to
institute and prosecute in the name of the Licensor or otherwise, but for the
benefit of the Licensee, its successors and assigns, any and all proceedings at
law, in equity or otherwise, which the Licensee, its successors or assigns, may
deem proper in order to collect, assert or enforce any claim, right or title of
any kind in and to the Purchased Assets hereby granted, sold, conveyed,
assigned, transferred or delivered and to defend or compromise any or all
actions, suits or proceedings in respect of any of the Purchased Assets and do
all such acts and things in relation thereto as the Licensee, its successors and
assigns, shall deem advisable, the Licensor hereby declaring that the
appointment made and the powers hereby granted and coupled with an interest and
are and shall be irrevocable by the Licensor in any manner and for any reason.

     3.  Covenants.  The Licensor for itself and its successors and assigns,
does hereby covenant with the Licensee and its successor and assigns, that the
Licensor and its successors and assigns will do, execute, acknowledge and
deliver, or will cause to be done, executed, acknowledged and delivered all such
further acts, deeds, bills of sale, transfers, assignments, conveyances, powers
of attorney, conveying and confirming unto the Licensee, its successors and

                                       
<PAGE>
 
assigns, all and singular, the Purchased Assets hereby granted, sold, assigned,
transferred, conveyed and delivered as the Licensee, its successors or assigns,
shall reasonably require.

     4.  Representations.  Licensor represents and warrants that:  (a) Licensor
has all requisite power and authority to own or have an interest in the rights
assigned hereunder and to execute, deliver and perform this Bill of Sale and
Assignment; (b) this Bill of Sale and Assignment constitutes a legal, valid and
binding obligation of Licensor and does not violate or conflict with, result in
a breach of or constitute a default under (or an event which with due notice or
lapse of time, or both, would constitute a breach of or default under) or result
in the creation of any lien, security interest or other encumbrance under (i)
any note, agreement, contract, license, instrument, lease or other obligation to
which Licensor is a party or by which it is bound, (ii) any judgment, order,
decree, ruling or injunction, or (iii) any statute, law, regulation or rule of
any governmental agency or authority; and (c) Licensor has not heretofore
assigned, transferred, mortgaged, encumbered or conveyed the rights assigned
hereunder to any person or entity other than Licensee.

     5.  Conflict With Agreement.  In the event that any provision of this Bill
of Sale and Assignment be constructed to conflict with a provision in the
Agreement, the provision in the Agreement shall be deemed to be controlling.

     6.  Counterparts.  This Bill of Sale and Assignment shall be executed in
one or more counterparts, each of which shall for all purposes be deemed to be
an original and all of which shall constitute the same instrument.  Each party
shall receive a counterpart agreement fully executed by the other party.

     IN WITNESS WHEREOF, Cystic Fibrosis Foundation and PathoGenesis Corporation
have each caused this instrument to be signed in its name by its duly authorized
officer to be effective as of the 29th day of May, 1998.

LICENSOR:                           LICENSEE:

CYSTIC FIBROSIS FOUNDATION          PATHOGENESIS CORPORATION


By:  /s/ Robert J. Beall            By:  /s/ Wilbur H. Gantz
     -------------------                 -------------------
     Name: Robert J. Beall               Name: Wilbur H. Gantz
     Title: President/CEO                Title: Chairman and CEO

                                       
<PAGE>
 
                                  SCHEDULE A
                                  ----------

     1.  "Patents" shall mean Licensor's rights in patents and applications for
patents, if any, covering the Technology and Research, now or hereafter issued
or applied for, any reissues, divisions, substitutions, continuations,
continuations-in-part, continued prosecution applications, reexaminations
thereof and extensions thereof.

     2.  "Product" shall mean any products that include an aerosol tobramycin
solution or any other aerosol aminoglycoside solution for treatment of
bronchopulmonary infections, including but not limited to those in patients with
cystic fibrosis.

     3.  "Research" means all laboratory and clinical research, including but
not limited to pre-clinical and clinical trial data, nebulizer studies, etc.
relating to the use of aerosol tobramycin solution and any other aerosol
aminoglycoside solution for treatment of bronchopulmonary infections, including
but not limited to those in patients with cystic fibrosis, conducted by
Children's Hospital and Medical Center and funded by Licensor.

     4.  "Technology" means all technology currently owned by Licensor relating
to the use of aerosol tobramycin solution or any other aerosol aminoglycoside
solution for treatment of bronchopulmonary infections, including, but not
limited to those in patients with cystic fibrosis.