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FORM 1O-Q/A
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
(Mark One)
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1998
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from to
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Commission file number 0-19732
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CORVAS INTERNATIONAL, INC.
(Exact name of Registrant as specified in its charter)
DELAWARE 33-0238812
(State or other jurisdiction (I.R.S. Employer
of incorporation or organization) Identification No.)
3030 SCIENCE PARK ROAD
SAN DIEGO, CALIFORNIA 92121
(Address of principal executive offices and zip code)
(619) 455-9800
(Registrant's telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Act: None
Securities registered pursuant to Section 12(g) of the Act:
Common Stock, $0.001 par value
(Title of class)
Indicate by check mark whether the Registrant (l) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
Registrant was required to file such reports), and (2) has been subject to
such filing requirements for the past 90 days.
Yes X No
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At July 31, 1998, there were 15,085,575 shares of Common Stock, $0.001
par value, of the Registrant issued and outstanding.
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Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
As the Company announced on August 14, 1998, in the press release
attached hereto as Exhibit 99.1, Schering Corporation ("Schering-Plough") and
the Company have agreed to terminate their oral thrombin inhibitor
collaboration. As a result, the Company's potential future milestone
payments and research and development funding under its existing
collaborations will be reduced.
Accordingly, the Company hereby amends its "Liquidity and Capital
Resources" subsection of its Management's Discussion and Analysis of Financial
Condition and Results of Operations, as follows:
"If all the milestones on all of the Company's existing collaborations
are met, Corvas could receive a maximum of $69,931,000 in future milestone
payments and research and development funding over the next several years."
Item 6. EXHIBITS AND REPORTS ON FORM 8-K
a. Exhibits
EXHIBIT NUMBER DESCRIPTION
99.1 Press Release dated August 14, 1998
related to the termination of the oral
thrombin inhibitor collaboration with
Schering-Plough.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this Report to be signed on its behalf by the
undersigned thereunto duly authorized.
CORVAS INTERNATIONAL, INC.
Date: August 25, 1998 By: /s/ RANDALL E. WOODS
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Randall E. Woods
President and Chief Executive Officer
Date: August 25, 1998 By: /s/ CAROLYN M. FELZER
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Carolyn M. Felzer
Senior Director of Finance
Principal Financial Officer
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EXHIBIT 99.1
Contact: Gwenetta B. Como
Director, Investor Relations
and Corporate Communications
619/455-9800 x1184
[email protected]
CORVAS ANNOUNCES TERMINATION OF
ORAL THROMBIN PROGRAM WITH SCHERING-PLOUGH
CORVAS AND SCHERING-PLOUGH'S TWO OTHER PROGRAMS, ORAL FACTOR XA INHIBITORS AND
HEPATITIS C INHIBITORS, REMAIN ON TRACK
SAN DIEGO, CA, August 14, 1998 - Corvas International Inc. (Nasdaq: CVAS) today
announced that after reviewing the results from a Phase I clinical trial,
Corvas and Schering-Plough Corporation (NYSE: SGP) have agreed to terminate
their oral thrombin inhibitors research and development collaboration. Corvas
and Schering-Plough have two additional programs in place, Factor Xa inhibitors
and Hepatitis C inhibitors, that are not affected by this decision.
Commenting on the news, Randall E. Woods, President and Chief Executive Officer
of Corvas, said, "The oral thrombin inhibitor was just one of several Corvas
drugs currently in clinical trials. While today's news is disappointing, Corvas
is pleased to continue our strong relationship with Schering-Plough with two
other programs and we remain excited about our other drugs in the clinic
including our proprietary anti-coagulant NAPc2 scheduled to enter Phase II
later this year and NIF (neutrophil inhibitory factor) being developed by
Pfizer Inc. for ischemic stroke."
George P. Vlasuk, Ph.D., Executive Vice-President of Research and Development
at Corvas stated, "Corvas remains committed to the full complement of programs
that constitute a broad-based R & D pipeline, including Factor Xa and Hepatitis
C inhibitors, novel vascular targeting strategies and several other research
programs focusing on protease inhibition."
To date, Corvas has received $17 million in equity and milestone payments from
Schering-Plough and funding for the thrombin program through completion of the
R & D phase. Beginning in 1997, Schering-Plough assumed full financial and
developmental responsibility for the pre-clinical and clinical phases of the
program. Corvas continues to receive R & D funding from Schering-Plough for the
Factor Xa and Hepatitis C collaborations.
Corvas International, Inc. is a biopharmaceutical company engaged in the design
and development of a new generation of therapeutic agents in the fields of
blood clot formation (thrombosis), inflammation, cancer and other diseases.
Corvas has a strategic alliance with Pfizer Inc. to develop neutrophil
inhibitory factor (NIF) as a possible stroke therapy, and alliances with
Schering-Plough to develop an orally available Factor Xa inhibitor and an
inhibitor of a key protease associated with hepatitis C virus replication.
Corvas also holds an option to acquire Vascular Genomics, Inc. allowing it to
apply proteomics-and genomics-based technology to the human vasculature.
This press release may contain forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. Actual results could vary
materially from those described in this press release as a result of a number
of factors. Meaningful factors that may affect these expected results include
the possibility that collaboration agreements may not be renewed or be
terminated with or without any product success, as well as risk factors listed
from time to time in the Company's SEC filings, including, but not limited to,
its 1997 Annual Report on Form 10-K and subsequent 10-Qs.
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