Rigel Announces First Quarter 2013 Financial Results

             Rigel Announces First Quarter 2013 Financial Results

PR Newswire

SOUTH SAN FRANCISCO, Calif., May 7, 2013

SOUTH SAN FRANCISCO, Calif., May 7, 2013 /PRNewswire/ -- Rigel
Pharmaceuticals,Inc. (Nasdaq:RIGL) today reported financial results for the
first quarter ended March 31, 2013.

For the first quarter of 2013, Rigel reported a net loss of $25.6 million, or
$0.29 per share, compared to a net loss of $23.2 million, or $0.32 per share,
in the first quarter of 2012. Weighted average shares outstanding for the
first quarters of 2013 and 2012 were 87.1 million and 71.4 million,
respectively.

There was no contract revenue from collaboration in the first quarter of
2013. Contract revenue from collaborations in the first quarter of 2012 was
comprised of a $750,000 payment from Daiichi Sankyo related to an oncology
compound in pre-clinical testing at Daiichi Sankyo. 

Rigel reported total operating expenses of $25.7 million in the first quarter
of 2013, compared to $24.1 million in the first quarter of 2012. The increase
in operating expenses was primarily due to the research and development
expense related to the ongoing studies of R348, Rigel's topical ophthalmic
JAK/SYK inhibitor program for chronic dry eye, and R343, Rigel'sinhaled SYK
inhibitor program for asthma, partially offset by a decrease in stock-based
compensation expense. Stock-based compensation expense decreased from
approximately$3.1 millionin the first quarter of 2012 to approximately$1.8
millionin the first quarter of 2013 primarily because the majority of options
granted in the first quarter of 2013 have a longer vesting period and a lower
valuation as compared to options granted in the same period of 2012.

As of March 31, 2013, Rigel had cash, cash equivalents and available for sale
securities of $272.5 million, compared to $298.2 million as of December 31,
2012. Rigel expects to end 2013 with cash and investments in excess
of$200.0 million, which is expected to be sufficient to fund operations into
2015.

"In the second quarter of 2013, we expect our partner AstraZeneca to report
topline results from the two remaining Phase 3 studies of fostamatinib in
rheumatoid arthritis, OSKIRA2 and OSKIRA3," said James M. Gower, chairman and
chief executive officer of Rigel Pharmaceuticals. "Results from two other
Phase 2 studies with R343 in allergic asthma and R333 in discoid lupus will
follow later this year."

About Rigel (www.rigel.com)

Rigel Pharmaceuticals, Inc.is a clinical-stage drug development company that
discovers and develops novel, small-molecule drugs for the treatment of
inflammatory and autoimmune diseases, as well as muscle disorders. Rigel's
pioneering research focuses on intracellular signaling pathways and related
targets that are critical to disease mechanisms. Rigel's productivity has
resulted in strategic collaborations with large pharmaceutical partners to
develop and market its product candidates. Current product development
programs include fostamatinib, an oral SYK inhibitor that is in Phase 3
clinical trials for rheumatoid arthritis (RA) with its partnerAstraZeneca;
R343, an inhaled SYK inhibitor for asthma and R333, a topical JAK/SYK
inhibitor for discoid lupus – both of which have commenced Phase 2 clinical
trials; and, R348, a topical JAK/SYK inhibitor in a Phase 1 clinical trial for
the treatment of chronic dry eye.

This press release contains "forward-looking" statements, including, without
limitation, statements related to Rigel's future product candidate pipeline
and strategy, expected cash and investments and sufficiency of funds, the
further development of, and the therapeutic and commercial potential of,
fostamatinib, partnered with AstraZeneca, the potential uses and efficacyof
Rigel's product candidates, the progress of Rigel's product development
programs, including the timing of commencement and completion of ongoing
clinical trials and results thereof, the timing and design of its future
clinical trials and potential milestones and regulatory filings associated
with Rigel'sproduct candidates, Rigel's corporate collaborations, and
revenues that may be received from collaborations and the timing of those
potential payments.Any statements contained in this press release that are
not statements of historical fact may be deemed to be forward-looking
statements. Words such as "expect," "will,""may," "aim," "believe," "plan,"
"potential,"and similar expressions are intended to identify these
forward-looking statements. These forward-looking statements are based upon
Rigel's current expectations and involve risks and uncertainties. There are a
number of important factors that could cause Rigel's results to differ
materially from those indicated by these forward-looking statements,
including, without limitation, the uncertain timing and success of preclinical
studies and clinical trials and the potential problems that may arise in the
clinical development, the uncertain and time-consuming regulatory filing and
approval process, the availability of resources to develop Rigel's product
candidates, the uncertain therapeutic and commercial value of fostamatinib,
market competition, risks associated with Rigel's dependence on corporate
collaborations and partnerships, including risks that if conflicts arise
between Rigel's and its corporate partners or advisors,the clinical
development or commercialization of the affected product candidates or
research programs could be delayed or terminated,risks associated with
Rigel's need for additional capital, as well as other risks detailed from time
to time in Rigel's reports with theSecurities and Exchange Commission,
including its Annual Report on Form 10-K for the year ended December 31, 2012.
Rigel does not undertake any obligation to update forward-looking statements
and expressly disclaims any obligation or undertaking to release publicly any
updates or revisions to any forward-looking statements contained herein.

Contact: Ryan D. Maynard
Phone: 650.624.1284
Email: invrel@rigel.com

Media Contact: Susan C. Rogers, Alchemy Consulting, Inc.
Phone: 650.430.3777
Email: susan@alchemyemail.com





STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
                                       Three Months Ended March 31,
                                       2013               2012
                                       (unaudited)
Revenues:
    Contract revenues                  $        - $        750
Operating expenses:
    Research and development (see Note 20,315             17,904
    A)
    General and administrative (see    5,395              6,156
    Note A)
     Total operating expenses      25,710             24,060
Loss from operations                   (25,710)           (23,310)
Interest income, net                   136                136
Net loss                               $    (25,574)   $     (23,174)
Net loss per share, basic and diluted  $      (0.29) $      
                                                          (0.32)
Weighted-average shares used in
computing
 net loss per share, basic and      87,141             71,422
diluted
Note A
Stock-based compensation expense
included in:
    Research and development           $     1,023   $      1,712
    General and administrative         770                1,386
                                       $     1,793   $      3,098
SUMMARY BALANCE SHEET DATA
(in thousands)
                                       March 31,          December 31,
                                       2013               2012 ^(1)
                                       (unaudited)
    Cash, cash equivalents and
    available
     for sale securities         $   272,450     $    298,241
    Total assets                       282,939            310,043
    Stockholders' equity               265,311            289,096
(1) Derived from audited financial
    statements



SOURCE Rigel Pharmaceuticals, Inc.

Website: http://www.rigel.com