Selected Financial Data The selected financial data presented below summarizes certain financial data which has been derived from and should be read in conjunction with our consolidated financial statements and footnotes thereto included elsewhere herein. See also Management’s Discussion and Analysis of Financial Condition and Results of Operations. Thirteen Year Ended December 31, 2001 2000 1999 1998 1997 (in thousands, except per share data) Statement of Operations Data: Total revenue (1) $ 4,572 $ 1,880 $ 337 $ — $17,500 Operating expenses: Research and development 23,339 16,744 9,429 7,813 9,310 Acquired in-process research and development (2) — 4,969 136 — 9,500 General and administrative 5,383 4,070 2,794 3,708 6,514 Other income, net (3) 6,686 5,115 726 907 8,415 Net (loss) income $ (17,464) $ (18,788) $(11,296) $(10,614) $ 592 Basic net (loss) income per share $ (0.63) $ (0.73) $ (0.70) $ (0.81) $ 0.05 Diluted net (loss) income per share $ (0.63) $ (0.73) $ (0.70) $ (0.81) $ 0.04 Shares used in computing: Basic net (loss) income per share 27,595 25,591 16,112 13,109 13,002 Diluted net (loss) income per share 27,595 25,591 16,112 13,109 13,477 As of December 31, 2001 2000 1999 1998 1997 (in thousands) Balance Sheet Data: Cash, cash equivalents, and marketable securities $105,051 $117,523 $ 46,454 $ 11,655 $24,387 Working capital 100,193 115,386 45,128 10,215 23,642 Total assets 107,132 118,442 47,362 12,228 25,594 Total stockholders’ equity 100,127 114,738 44,302 9,406 17,178 (1) Revenues for 1997 include $17.4 million from fees related to the sublicense of iloperidone to Novartis. Revenues for 2001 include $2.5 million license fee payment from Novartis for the development and commercialization of iloperidone in Japan. (2) Acquired in-process research and development reflects the acquisition of GeoMed in 2000, the acquisition of a minority interest in Theracell in 1999, and the acquisition of an exclusive worldwide (except for Japan) license for iloperidone in 1997. (3) Other income for 1997 includes a gain of $8.4 million from the sale of a research technology.