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<div style="font-family:Times New Roman;">
 <div style="border:none;border-bottom:double windowtext 6.0pt;padding:0pt 0pt 0pt 0pt;"> <p align="center" style="border:none;margin:0pt 0pt .0001pt;padding:0pt;text-align:center;"><a name="scotch"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">As Filed with the Securities and Exchange Commission on May 14, 2007</font></b></a></p> <p align="right" style="border:none;margin:0pt 0pt .0001pt;padding:0pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Registration No. 333-&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font></b></p> </div>

<p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">UNITED
STATES</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">SECURITIES
AND EXCHANGE COMMISSION</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Washington,
D.C. 20549</font></b></p>

<div style="line-height:9.0pt;margin:0pt 0pt 7.5pt;page-break-after:avoid;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt 6.0pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">FORM S-8</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;font-weight:bold;">REGISTRATION STATEMENT UNDER THE
SECURITIES ACT OF 1933</font></b></p>

<div style="line-height:9.0pt;margin:0pt 0pt 7.5pt;page-break-after:avoid;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">INOVIO
BIOMEDICAL CORPORATION</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Exact
Name of Registrant as Specified in its Charter)</font></p>

<div align="center">

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="48%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="font-size:10.0pt;margin:0pt 0pt .0001pt;text-align:center;"><!-- SET mrlNoTableShading --><b>Delaware</b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="48%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">33-0969592</font></b></p>
  </td>
 </tr>
 <tr>
  <td width="48%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(State or other
  jurisdiction of incorporation or<br>
  organization)</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="48%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:48.8%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(I.R.S. Employer
  Identification No.)</font></p>
  </td>
 </tr>
</table>

</div>

<p style="line-height:1.0pt;margin:0pt 0pt 7.5pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">11494
Sorrento Valley Road</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">San
Diego, California 92121-1318</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">(858)
597-6006</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Address of Principal
Executive Offices and Zip Code)</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INOVIO BIOMEDICAL CORPORATION 2007 OMNIBUS INCENTIVE PLAN</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Full Title of the Plans)</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Avtar Dhillon, M.D.</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Chief Executive Officer and President</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">11494 Sorrento Valley Road</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">San Diego, California 92121</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Telephone (858) 597-6006</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Facsimile (858) 597-0451</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Name, address, including
zip code, and telephone number, including area code, of agent for service)</font></p>

<div style="line-height:9.0pt;margin:0pt 0pt 7.5pt;page-break-after:avoid;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Copies to</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Mark A. Klein, Esq.</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Shoshannah D. Katz, Esq.</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Kirkpatrick &amp; Lockhart Preston Gates Ellis LLP</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">10100 Santa Monica Blvd., 7th Floor</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Los Angeles, CA&#160;
90067</font></b></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Telephone (310) 552-5000</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Facsimile (310)
552-5001</font></b></p>

<p align="center" style="margin:0pt 0pt 6.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CALCULATION OF REGISTRATION FEE</font></b></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="37%" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:37.84%;">
  <p style="font-size:8.0pt;font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><!-- SET mrlNoTableShading -->Title&nbsp;of&nbsp;securities&nbsp;to&nbsp;be&nbsp;registered</p>
  </td>
  <td width="1%" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Amount&nbsp;to&nbsp;be<br>
  registered&nbsp;(1)</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" colspan="2" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Proposed<br>
  maximum&nbsp;offering<br>
  price<br>
  per&nbsp;share(2)</font></b></p>
  </td>
  <td width="1%" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" colspan="2" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Proposed<br>
  maximum<br>
  aggregate&nbsp;offering<br>
  price</font></b></p>
  </td>
  <td width="1%" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" colspan="2" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Amount&nbsp;of<br>
  registration&nbsp;fee</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:none;border-top:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:37.84%;">
  <p style="margin:0pt 0pt .0001pt 10.0pt;page-break-after:avoid;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Common Stock, par value
  $0.001 per share (3)</font></p>
  </td>
  <td width="1%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">629,006</font></p>
  </td>
  <td width="2%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="0%" valign="bottom" style="border:none;padding:0pt 0pt 0pt 0pt;width:.98%;">
  <p align="left" style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:left;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$</font></p>
  </td>
  <td width="11%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.78%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.795</font></p>
  </td>
  <td width="1%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="0%" valign="bottom" style="border:none;padding:0pt 0pt 0pt 0pt;width:.98%;">
  <p align="left" style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:left;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$</font></p>
  </td>
  <td width="11%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.78%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2,387,078</font></p>
  </td>
  <td width="1%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="0%" valign="bottom" style="border:none;padding:0pt 0pt 0pt 0pt;width:.98%;">
  <p align="left" style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:left;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$</font></p>
  </td>
  <td width="11%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:11.78%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">73.28</font></p>
  </td>
  <td width="2%" valign="bottom" style="border:none;padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:37.84%;">
  <p style="margin:0pt 0pt .0001pt 10.0pt;page-break-after:avoid;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Common Stock, par value
  $0.001 per share (3)</font></p>
  </td>
  <td width="1%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">120,994 </font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(4)</font></p>
  </td>
  <td width="0%" valign="bottom" style="padding:0pt 0pt 0pt 0pt;width:.98%;">
  <p align="left" style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:left;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$</font></p>
  </td>
  <td width="11%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:11.78%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.795</font></p>
  </td>
  <td width="1%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="0%" valign="bottom" style="padding:0pt 0pt 0pt 0pt;width:.98%;">
  <p align="left" style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:left;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$</font></p>
  </td>
  <td width="11%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:11.78%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">459,172</font></p>
  </td>
  <td width="1%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="0%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt 0pt 0pt 0pt;width:.98%;">
  <p align="left" style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:left;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$</font></p>
  </td>
  <td width="11%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:11.78%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">14.10</font></p>
  </td>
  <td width="2%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37%" valign="top" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:37.84%;">
  <p style="margin:0pt 0pt .0001pt 10.0pt;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="1%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" colspan="2" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="1%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" colspan="2" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:12.76%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="1%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:1.98%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="0%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt 0pt 0pt 0pt;width:.98%;">
  <p align="left" style="margin:0pt 0pt .0001pt;text-align:left;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">$&nbsp;</font></p>
  </td>
  <td width="11%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:11.78%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">87.38 </font></p>
  </td>
  <td width="2%" valign="bottom" style="border:none;border-bottom:double windowtext 1.5pt;padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(5)</font></p>
  </td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 6.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0pt 0pt 4.0pt;text-indent:36.0pt;"><font size="1" face="Times New Roman" style="font-size:9.0pt;">(1)&#160; This
Registration Statement also registers additional securities to be offered or
issued upon adjustments or changes made to registered securities by reason of
any stock splits, stock dividends or similar transactions as permitted by Rule
416(a) and Rule 416(b) under the Securities Act of 1933, as amended (the &#147;Securities
Act&#148;).</font></p>

<p style="margin:0pt 0pt 4.0pt;text-indent:36.0pt;"><font size="1" face="Times New Roman" style="font-size:9.0pt;">(2)&#160; Estimated
solely for the purpose of calculating the registration fee pursuant to Rule
457(c) and (h).&#160; The fee is calculated on
the basis of the average of the high and low prices for the Registrant&#146;s Common
Stock reported on the American Stock Exchange on May 3, 2007 for the restricted
stock grants made effective as of May 4, 2007, and the average of the high and
low prices for the Registrant&#146;s Common Stock reported on the American Stock
Exchange on May 10, 2007 for those awards not yet granted.</font></p>

<p style="margin:0pt 0pt 4.0pt;text-indent:36.0pt;"><font size="1" face="Times New Roman" style="font-size:9.0pt;">(3)&#160; Each share
of common stock issuable pursuant to the Plan includes an associated right to
purchase common stock in accordance with registrant&#146;s Amended and Restated
Shareholder Rights Agreement.</font></p>

<p style="margin:0pt 0pt 6.0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="1" face="Times New Roman" style="font-size:9.0pt;">(4) &#160;In accordance
with Instruction E of Form S-8, in addition to the 629,006 new shares of the
Registrant&#146;s common stock being registered hereunder, the Registrant hereby
carries forward, and this Registration Statement shall be deemed to apply to
120,994 shares of the Registrant&#146;s common stock previously registered, but not
used, under a Registration Statement on Form S-8 (File No. 333-136126) filed by
the Registrant on July 28, 2006 (the &#147;2000 Amended Plan Registration Statement&#148;)
registering shares of the Registrant&#146;s common stock to be offered under the
Registrant&#146;s Amended 2000 Stock Option Plan.&#160;
In conjunction with the filing of this Registration Statement, the
Registrant is filing a Post-Effective Amendment to the 2000 Amended Plan
Registration Statement acknowledging the transfer of shares to this
Registration Statement.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="1" face="Times New Roman" style="font-size:9.0pt;">(5)&#160; Aggregate
registration fees of $220.46 were paid in connection with the shares of the
Registrant&#146;s common stock registered under the 2000 Amended Plan Registration
Statement on July 28, 2006, of which $26.28 is applied hereto.&#160; See footnote 4.&#160; As a result, the total registration fee due
and payable with this registration statement is $61.10.</font></p>


 <div style="border:none;border-bottom:double windowtext 6.0pt;padding:0pt 0pt 0pt 0pt;"> <p style="border:none;margin:0pt 0pt .0001pt;padding:0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p> </div>
</div><br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">EXPLANATORY NOTE</font></b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Inovio Biomedical
Corporation (the &#147;Company&#148;) has prepared this Registration Statement in
accordance with the requirements of Form S-8 under the Securities Act of 1933,
as amended (the &#147;1933 Act&#148;), to register shares of its Common Stock that may be
issued pursuant to awards granted under the Inovio Biomedical Corporation 2007
Omnibus Incentive Plan (the &#147;2007 Plan&#148;).&#160;
This registration statement also includes a reoffer prospectus.&#160; The Reoffer Prospectus may be utilized for
reofferings and resales on a continuous or a delayed basis in the future of up
to 165,000 shares of Common Stock that constitute &#147;restricted securities&#148; which
were granted to the selling stockholders under the 2007 Plan prior to the
filing of this registration statement. &#160;The reoffer prospectus does not contain all of
the information included in the registration statement, certain items of which
are contained in exhibits to the registration statement as permitted by the
rules and regulations of the Securities and Exchange Commission.&#160; Statements contained in this reoffer
prospectus as to the contents of any agreement, instrument or other document
referred to are not necessarily complete.&#160;
With respect to each such agreement, instrument or other document filed
as an exhibit to the registration statement, we refer you to the exhibit for a
more complete description of the matter involved, and each such statement shall
be deemed qualified in its entirety by this reference.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PART I</font></b></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INFORMATION REQUIRED IN THE SECTION
10(a) PROSPECTUS</font></b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman"><font style="font-size:10.0pt;">The documents containing
information specified in Part I of Form S-8 are being separately provided to </font>Inovio
Biomedical Corporation&#146;s (the &#147;Registrant&#148;)
employees, officers, directors, consultants and advisors as specified by Rule
428(b)(1) of the Securities Act of 1933, as amended.</font></p>

<br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INOVIO
BIOMEDICAL CORPORATION</font></b></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">165,000
SHARES OF COMMON STOCK</font></b></p>

<div style="line-height:9.0pt;margin:0pt 0pt 12.0pt;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">REOFFER
PROSPECTUS</font></b></p>

<div align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">This prospectus relates to 165,000 shares of common
stock of Inovio Biomedical Corporation that may be sold from time to time by
the selling stockholders named in this prospectus beginning on page 17.&#160; We originally issued the shares in connection
with grants made under our 2007 Omnibus Incentive Plan.&#160; The selling stockholders may offer their
shares through public or private transactions, on or off the American Stock
Exchange, at prevailing market prices, or at privately negotiated prices.&#160; For details of how the selling stockholders
may offer their Inovio common stock, please see the section&nbsp;of this
prospectus called &#147;Plan of Distribution&#148; beginning on page 20.&#160; We will not receive any proceeds from the
sales of shares by the selling stockholders.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Our common stock is traded on the American Stock
Exchange under the symbol &#147;INO.&#148;&#160; On May
10, 2007, the last reported sale price for our common stock on the American
Stock Exchange was $3.75 per share.</font></p>

<p style="margin:0pt 0pt 12.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">The
securities offered by this prospectus involve a high degree of risk.&#160; See &#147;Risk Factors&#148; beginning on page 4.</font></i></b></p>

<p style="margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Neither the Securities and Exchange Commission nor any state
securities commission has approved or disapproved of these securities or
determined if this prospectus is truthful or complete.&#160; Any representation to the contrary is a
criminal offense.</font></b></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">This prospectus is dated May 14, 2007</font></p>

</div><br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="font-weight:bold;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Table of Contents</font></b></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#DisclosureRegardingForwardlooking_013659" title="Click to goto "><!-- SET mrlNoTableShading -->Disclosure Regarding
  Forward-Looking Statements</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#ProspectusSummary_013705" title="Click to goto ">Prospectus Summary</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#RiskFactors_013738" title="Click to goto ">Risk Factors</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#AdditionalOrUpdatedRiskFactors_020924" title="Click to goto ">Additional or Updated Risk Factors</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#UseOfProceeds_020927" title="Click to goto ">Use of Proceeds</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#SellingStockholders_020927" title="Click to goto ">Selling
  Stockholders</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#PlanOfDistribution_021056" title="Click to goto ">Plan
  of Distribution</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#LegalMatters_021100" title="Click to goto ">Legal Matters</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.68%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="85%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:85.86%;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#Experts_021101" title="Click to goto ">Experts</a></font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
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  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#DisclosureOfCommissionPositionOn_021107" title="Click to goto ">Disclosure of Commission Position on Indemnification
  for Securities Act Liabilities</a></font></b></p>
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  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#WhereYouCanFindMoreInformation_021108" title="Click to goto ">Where You Can Find More Information</a></font></b></p>
  </td>
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  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;"><a href="#IncorporationOfCertainDocumentsBy_021113">Incorporation
  of Certain Documents by Reference</a></font></b></p>
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<p style="margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">You should rely only on the information contained or incorporated
by reference in this prospectus or any prospectus supplement.&#160; We have not authorized anyone to provide you
with information different from that contained or incorporated by reference
into this prospectus.&#160; No dealer,
salesperson or other person is authorized to give any information or to
represent anything not contained in this prospectus.&#160; You must not rely on any unauthorized
information or representation.&nbsp; You should assume that the information contained
in this prospectus or any prospectus supplement is accurate only as of the date
on the front of the document and that any information contained in any document
we have incorporated by reference is accurate only as of the date of the
document incorporated by reference, regardless of the time of delivery of this
prospectus or any prospectus supplement or any sale of a security.&nbsp; These
documents are not an offer to sell or a solicitation of an offer to buy these
shares of common stock in any circumstances under which the offer or solicitation
is unlawful.</font></b></p>


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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">DISCLOSURE
REGARDING FORWARD-LOOKING STATEMENTS</font></b><a name="DisclosureRegardingForwardlooking_013659"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">This prospectus and the documents and information
incorporated by reference in this prospectus, such as under the heading &#147;About
Inovio&#148; in this prospectus and from Item 1. &#147;Business&#148; and Item 7. &#147;Management&#146;s
Discussion and Analysis of Financial Condition and Results of Operations&#148; in
our Annual Report on Form&nbsp;10-K for the year ended December&nbsp;31, 2006,
and Item 2. &#147;Management&#146;s Discussion and Analysis of Financial Condition and
Results of Operations&#148; in our Quarterly Reports on Form 10-Q for the quarter
ended March 31, 2007, include &#147;forward-looking statements&#148; within the meaning
of section 27A of the Securities Act of 1933, as amended and section&nbsp;21E
of the Securities Exchange Act of 1934, as amended.&nbsp; Forward-looking
statements include the information concerning our possible or assumed future
operating results, business strategies, financing plans, competitive position,
industry environment, the anticipated impact on our business and financial
results of recent and future acquisitions, the effects of competition, our
ability to produce new products in a cost-effective manner and estimates
relating to our industry.&nbsp; Forward-looking statements may be identified by
the use of words like &#147;believes,&#148; &#147;intends,&#148; &#147;expects,&#148; &#147;may,&#148; &#147;will,&#148; &#147;should&#148;
or &#147;anticipates,&#148; or the negative equivalents of those words or comparable
terminology, and by discussions of strategies that involve risks and
uncertainties.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Actual results may differ materially from those
expressed or implied by forward-looking statements for a number of reasons,
including those appearing elsewhere in this prospectus under the heading &#147;Risk
Factors.&#148;&nbsp; In addition, we base forward-looking statements on assumptions
about future events, which may not prove to be accurate.&nbsp; In light of
these risks, uncertainties and assumptions, you should be aware that the
forward-looking events described in this prospectus and the documents
incorporated by reference in this prospectus may not occur.</font></p>


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<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PROSPECTUS SUMMARY</font></b><a name="ProspectusSummary_013705"></a></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">This summary highlights
information contained elsewhere in this reoffer prospectus.&#160; This summary is not complete and may not
contain all of the information that you should consider before investing in the
securities.</font></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have filed a registration
statement on Form S-8 with the Securities and Exchange Commission registering
the shares of common stock the selling stockholders are offering by this
prospectus.&#160; This prospectus does not
include all of the information contained in the registration statement and its
exhibits.&#160; We have included all material
terms of the registration statement and the related exhibits that are referred
to in this prospectus.&#160; You should refer
to the registration statement and its exhibits for additional information.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">ABOUT INOVIO</font></b></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:24.2pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We are a San Diego-based biomedical company focused on
commercializing our Selective Electrochemical Tumor Ablation (SECTA) therapy
and development of multiple DNA-based immunotherapies using our delivery
platform for gene-based treatments.</font></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:24.2pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">SECTA is our local ablation therapy for solid tumors
designed to selectively kill cancerous cells and minimize cosmetic or
functional impacts to predominantly healthy tissue typically treated around a
tumor. Our SECTA therapy is in Phase III clinical trials in the United States and
Europe for the treatment of recurrent head and neck cancer; and in Phase I/II
clinical trials for the treatment of recurrent breast cancer. In addition, we
are conducting pre-marketing studies for head and neck and skin cancers to
support the commercialization of our SECTA system in Europe. Prior to
commercial sales of our SECTA system in the European Union (EU), we were
required to, and already have obtained, a CE Mark which is recognized
internationally as a symbol of quality and compliance. Completion of the
European pre-marketing studies will provide pharmacoeconomic data which we can
use to seek reimbursement, as well as provide additional efficacy and safety
data and local experience with physicians who are considered thought leaders in
Europe. This pre-marketing data is a vital component for the European
commercial launch of our SECTA system and will represent an important milestone
for us.</font></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:24.2pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition, as part of our MedPulser&#174; product line we
have been developing devices for the delivery of DNA for vaccinations and gene
therapy. The flagship of our development efforts involve licensing agreements
with Merck &amp; Co., Inc., Wyeth Pharmaceuticals and Vical, Inc., in which
these companies are supporting the development and registration of their therapies
using our devices. In November 2006, we executed a licensing agreement with VGX
Pharmaceuticals (VGX) for a worldwide non-exclusive license to our DNA
Electroporation Delivery Technology for intratumoral delivery of a proprietary
gene to control the growth of melanoma and other cancers using an HIV sequence.
We also have a collaborative commercialization agreement with Tripep AS to
co-develop a Hepatitis C therapeutic vaccine (HCV). Other activities include
Phase I trials at the H. Lee Moffitt Cancer Center and at the University of
Southampton. As a result of our partnerships in this area, our DNA
Electroporation Delivery Technology is currently being evaluated in four
DNA-based immunotherapies in Phase I clinical studies, and in multiple
pre-clinical studies.</font></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:24.2pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We are developing human therapeutic applications of
electroporation, which uses brief and controlled electrical pulses to increase
both cellular uptake of a useful biopharmaceutical and, in the case of
gene-based treatments, levels of gene expression.</font></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:24.2pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have an extensive patent portfolio encompassing
electroporation, covering a range of apparatus, methodologies, conditions, and
applications including oncology, gene delivery, vascular, transdermal and ex
vivo.</font></p>

<p style="margin-left:0pt;margin-right:0pt;text-indent:24.2pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Our principal executive offices are located at 11494
Sorrento Valley Road, San Diego, California 92121-1318, and our telephone
number is (858)&nbsp;597-6006. Our website address is www.inovio.com.&nbsp; Our
American Stock Exchange ticker symbol is &#147;INO.&#148;</font></p>


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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">RISK FACTORS</font></b><a name="RiskFactors_013738"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">You should carefully consider and
evaluate all of the information in this Reoffer Prospectus in combination with
the more detailed description of our business in our annual report on Form 10-K
for the year ended December 31, 2006, which we filed with the Securities and
Exchange Commission on March 16, 2007, and in our quarterly report on Form 10-Q
for the three months ended March 31, 2007 we filed with the Securities and
Exchange Commission on May 9, 2007, for a more complete understanding of the
risks associated with an investment in our securities.&#160; The following risk factors are not the only
risks that could potentially face our company.&#160;
Additional issues not now known to us or that we may currently deem immaterial
may also impair our ability to commercialize our technology and the therapies
we believe are derivable therefrom resulting in our business outlook being
compromised and the trading price of our common stock declining.</font></i></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Have a History of Losses, We
Expect to Continue to Incur Losses and We May Not Achieve or Maintain Profitability.</font></i>&#160; </b>As of March 31, 2007, we had an
accumulated deficit of $132,840,637. We have operated at a loss since 1994, and
we expect this to continue for some time. The amount of the accumulated deficit
will continue to increase, as it will be expensive to continue clinical,
research and development efforts. If these activities are successful and if we
receive approval from the FDA to market equipment, then even more funding will
be required to market and sell the equipment. The outcome of these matters cannot
be predicted at this time. We are evaluating potential partnerships as an
additional way to fund operations, but there is no assurance we will be able to
secure partnerships that will provide the required funding, if at all. We will
continue to rely on outside sources of financing to meet our capital needs
beyond next year.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Further, there can be no assurance, assuming we
successfully raise additional funds, that we will achieve positive cash flow.
If we are not able to secure additional funding, we will be required to further
scale back our research and development programs, preclinical studies and
clinical trials, general, and administrative activities and may not be able to
continue in business. Including the cash proceeds received from financings, various
licensing payments, the exercise of employee stock options and investor
warrants, we believe we have sufficient funds to fund operations through the
beginning of the third quarter of 2008.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Our Ability to Utilize Our Net
Operating Losses and Certain Other Tax Attributes May Be Limited.</font></i></b>&#160; As disclosed in our annual report on Form
10-K for the 2006 fiscal year, we have significant net operating loss (NOL)
carryforwards for both federal and state income tax purposes. We also have
federal research tax carryforwards which begin to expire at the end of 2007
unless previously utilized.&#160; Under
Section&nbsp;382 of the Internal Revenue Code, if a corporation undergoes an &#147;ownership
change,&#148; the corporation&#146;s ability to use its pre-change NOLs, research tax
credit carryforwards and other pre-change tax attributes to offset its
post-change income may be limited. An ownership change is generally defined as
a greater than 50% change in its equity ownership by value over a three-year
period. We believe that there are built-in gains inherent in the value of our
assets that, when recognized, may increase this annual limitation during the
five-year period from the date of an ownership change. We are currently
assessing the extent of these built-in gains. Any limitation on our net
operating loss carryforwards that could be used to offset post-ownership change
in taxable income would adversely affect our liquidity and cash flow, as and
when we become profitable.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">A Small Number of Licensing
Partners Account for a Substantial Portion of Our Revenue in Each Period and
Our Results of Operations and Financial</font></i></b><i>  <b>Condition Could Suffer if We Lose
These Licensing Partners or Fail to Add Additional Licensing Partners in the
Future</b></i><b>.&#160; </b>We derive a significant portion of
our revenue from a limited number of licensing partners in each period.
Accordingly, if we fail to sign additional future contracts with major
licensing partners, if a licensing contract is delayed or deferred, or if an
existing licensing contract expires or is cancelled and we fail to replace the
contract with new business, our revenue could be adversely affected. Until
commercialization of our Medpulser&#174;<i>  </i>Electroporation Therapy System, we expect
that a limited number of licensing partners will continue to account for a
substantial portion of our revenue in each quarter in the foreseeable
future.&#160; During the three months ended
March 31, 2007, one licensing partner, Merck, accounted for approximately 78%
of our consolidated revenue.&#160; During the
three months ended March 31, 2006, Merck accounted for approximately 60% of our
consolidated revenue.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">If We Cannot Maintain Our
Existing Corporate and Academic Arrangements and Enter into New Arrangements,
We May Be Unable to Develop Products Effectively, or at All.&#160; </font></i></b>Our strategy for the
research, development and commercialization of our product candidates may
result in us entering into contractual arrangements with corporate
collaborators, academic institutions and others. We have entered into sponsored
research, license and/or collaborative arrangements with several entities,
including Merck, Wyeth, Vical, Valentis, the U.S. Navy, Chiron and the
University of South Florida, as well as numerous other institutions that
conduct clinical trials work or perform pre-clinical research for us. Our success
depends upon our collaborative partners performing their responsibilities under
these arrangements and complying with the regulations and requirements
governing clinical trials. We cannot control the amount and timing of resources
our collaborative partners devote to our research and testing programs or
product candidates, or their compliance </p>


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<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">with
regulatory requirements which can vary because of factors unrelated to such
programs or product candidates. These relationships may in some cases be
terminated at the discretion of our collaborative partners with only limited
notice to us.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Merck can terminate its May&nbsp;2004 license and
collaboration agreement with us at any time in its sole discretion, without
cause, by giving ninety days&#146; advance notice to us. If this agreement is
terminated by Merck at any time during the first two years of the collaboration
term, then Merck shall continue, for a six-month period beginning on the date
of such termination, to make payments previously approved by the project&#146;s joint
collaboration committee in relation to scientists and outside contractors
engaged by us in connection with the agreement.&#160;
During the three months ended March 31, 2007, Merck accounted for
approximately 78% of our consolidated revenue.&#160;
During the three months ended March 31, 2006, Merck accounted for
approximately 60% of our consolidated revenue.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We may not be able to maintain our existing
arrangements, enter into new arrangements or negotiate current or new
arrangements on acceptable terms, if at all.&#160;
Some of our collaborative partners may also be researching competing
technologies independently from us to treat the diseases targeted by our
collaborative programs.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Changes in Foreign Exchange Rates
May&nbsp;Affect Our Future Operating Results</font></i>.</b>&#160; In January&nbsp;2005, we acquired Inovio AS,
a Norwegian company.&#160; During the three
months ended March 31, 2007, Inovio AS contributed approximately $2,309 to our
revenue, which amounted to approximately 0.5% of our total revenue.&#160; <font style="letter-spacing:-.1pt;">Inovio AS
conducts its operations primarily in foreign currencies, including the Euro,
Norwegian Kroner and Swedish Krona.&#160; In
September&nbsp;2006, we established Inovio Asia Pte. Ltd., a company
incorporated in the Republic of Singapore, which conducts its operations
primarily in Singapore dollars.&#160; Fluctuation
in the values of these foreign currencies relative to the U.S. dollar will
affect our financial results which are reported in U.S. dollars and will cause
U.S. dollar translation of such currencies to vary from one period to another.&#160; We cannot predict the scope of any
fluctuations in the values of these foreign currencies relative to the U.S.
dollar nor the effect of exchange rate fluctuations upon our future operating
results.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Sales of Substantial Amounts of
Our Shares, or Even the Availability of Our Shares for Sale, in the Open Market
Could Cause the Market Price of our Shares to Decline</font></i></b>.&#160; Under our registration statement that the
Securities and Exchange Commission, or the SEC, declared effective on
May&nbsp;25, 2006, we have registered with the SEC an aggregate of $75,000,000
of our equity securities that we may issue from time to time, in one or more
offerings at prices and on terms that we will determine at the time of each
offering. Under that so-called &#147;shelf&#148; registration statement, we have registered
multiple kinds of our equity securities, including our common stock, preferred
stock, warrants and a combination of these securities, or units. Through
March&nbsp;31, 2007, we have &#147;taken-down&#148; from our shelf registration
statement, issued and sold, an aggregate of 4,690,006 shares of our common
stock valued at $11,345,706 and warrants to purchase up to 1,425,919 shares of
our common stock valued at $4,092,388 and, if those warrants are fully
exercised at their exercise price of $2.87, we will have issued an additional
1,425,919 shares of our common stock under that shelf registration statement.
In other words, the shares of common stock we have sold in offerings from our
shelf registration statement represent approximately 15% of the value of the
aggregate equity securities from our shelf registration statement at
March&nbsp;31, 2007 (20% if the warrants we have sold from our shelf
registration statement are fully exercised).</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition to the shares and warrants we have issued
from our shelf registration statement, we have also issued 2,201,644 shares of
our common stock and 938,475 warrants to purchase up to 938,475 shares of our
common stock in other recent offerings.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Sales of substantial amounts of our stock at any one
time or from time to time by the investors to whom we have issued them, or even
the availability of these shares for sale, could cause the market price of our
common stock to decline.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Will Have a Need
For Significant Funds In The Future And There Is No Guarantee That We Will Be
Able To Obtain The Funds We Need. </font></i></b>Developing a new
medical device and conducting clinical trials is expensive. Our product
development efforts may not lead to commercial products, either because our
product candidates fail to be found safe or effective in clinical trials or
because we lack the necessary financial or other resources or relationships to
pursue our programs through commercialization. Our capital and future revenue
may not be sufficient to support the expenses of our operations, the
development of a commercial infrastructure and the conduct of our clinical
trials and pre-clinical research.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Our plans for continuing clinical trials, conducting
research, furthering development and, eventually, marketing our human-use
equipment will involve substantial costs. The extent of our costs will depend
on many factors, including some of the following:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
progress and breadth of pre-clinical testing and the size or complexity of our
clinical trials and drug delivery programs, all of which directly influence
cost;</p>


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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Higher
then expected costs involved in complying with the regulatory process to get
our human-use products approved, including the number, size, and timing of
necessary clinical trials and costs associated with the current assembly and
review of existing clinical and pre-clinical information;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Higher
then expected costs involved in patenting our technologies and defending them
and pursuing our intellectual property strategy;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Changes
in our existing research and development relationships and our ability to enter
into new agreements;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Changes
in or terminations of our existing collaboration and licensing arrangements;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Faster
than expected rate of progress and changes in the scope and the cost of our
research and development and clinical trial activities;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>An
increase or decrease in the amount and timing of milestone payments we receive
from collaborators;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Higher
than expected costs of preparing an application for FDA approval of our
MedPulser&#174; Electroporation Therapy System;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Higher
than expected costs of developing the processes and systems to support FDA
approval of our MedPulser&#174;&nbsp;Electroporation Therapy System;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>An
increase in our timetable and costs for the development of marketing operations
and other activities related to the commercialization of our
MedPulser&#174;&nbsp;Electroporation Therapy System and our other product
candidates;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>A
change in the degree of success in our Phase III clinical trial of our
MedPulser&#174;&nbsp;Electroporation Therapy System and in our other clinical
trials;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Higher
then expected costs to further develop and scale up our manufacturing
capability of our human-use equipment; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Competition
for our products and our ability, and that of our partners, to commercialize
our products.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We plan to fund operations by several means. We will
attempt to enter into contracts with partners that will fund either general
operating expenses or specific programs or projects. Some funding also may be
received through government grants. However, we may not be able to enter into
any such contracts or may not receive such grants or, if we do, our partners
and the grants may not provide enough funding to meet our needs.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In the past, we have raised funds through the public
and private sale of our stock, and we are likely to do this in the future. Sale
of our stock to new private or public investors usually results in existing
stockholders becoming &#147;diluted.&#148; The greater the number of shares sold, the
greater the dilution. A high degree of dilution can make it difficult for the
price of our stock to increase, among other things. Dilution also weakens a
stockholder&#146;s voting power.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We cannot assure you that we will be able to raise
additional capital to fund operations, or that we will be able to raise
additional capital under terms that are favorable to us.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">If We Are Unable To
Develop Commercially Successful Products, Including Our Medpulser</font></i></b><i><font style="font-style:italic;">&#174;</font><b>&nbsp;Electroporation Therapy System, In Various
Markets For Multiple Indications, Particularly For The Treatment Of Head And
Neck Cancer, Our Business Will Be Harmed And We May&nbsp;Be Forced To Curtail
Or Cease Operations.&#160; </b></i>Our
ability to achieve and sustain operating profitability depends on our ability
to successfully commercialize our MedPulser<i>&#174;</i>&nbsp;Electroporation Therapy System in
Europe and in the US for use in treating solid tumors, particularly for the
treatment of head and neck cancer, and other indications. This will depend in
large part on our ability to commence, execute and complete clinical programs
and obtain regulatory approvals for our MedPulser<i>&#174;</i>&nbsp;Electroporation Therapy System.
While we have received various regulatory approvals which apply to Europe for
our MedPulser<i>&#174;</i>&nbsp;Electroporation
Therapy System for use in treating solid tumors, the products related to such
regulatory approval have not yet been commercialized. The FDA has been notified
that most of our study population will be from non-English speaking sites in
Eastern Europe whose outcome data may be considered to be unlike the United
States, Canada and Western Europe. Further clinical trials are still necessary
before we can </p>


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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">seek
regulatory approval to sell our products in the United States for treating
solid tumors. We cannot assure you we will receive approval for our MedPulser</font><i>&#174;</i>&nbsp;Electroporation
Therapy System for the treatment of head and neck cancer or other types of
cancer or indications in the United States or in other countries or, if
approved, that we will achieve a significant level of sales. If we fail to
commercialize our products, we may be forced to curtail or cease operations.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have commenced additional clinical studies in
different indications, such as breast cancer, and are also in the pre-clinical
stages of research and development with other new product candidates using our
electroporation technology. These new indications and product candidates will
require significant costs to advance through the development stages. If such
product candidates are advanced through clinical trials, the results of such
trials may not gain FDA approval. Even if approved, our products may not be
commercially successful.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We cannot assure you that we will successfully develop
any products. If we fail to develop or successfully commercialize any products,
we may be forced to curtail or cease operations. Additionally, much of the
commercialization efforts for our products must be carried forward by a
licensing partner. We may not be able to obtain such a partner.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">The Market For Our
Stock Is Volatile, Which Could Adversely Affect An Investment In Our Stock.</font></i>&#160; </b>Our share price and volume are highly
volatile. This is not unusual for biomedical companies of our size, age, and
with a discrete market niche. It also is common for the trading volume and
price of biotechnology stocks to be unrelated to a company&#146;s operations, i.e.
to go up or down on positive or no news. Our stock has exhibited this type of
behavior in the past, and may well exhibit it in the future. The historically
low trading volume of our stock, in relation to many other biomedical companies
of our size, makes it more likely that a severe fluctuation in volume, either
up or down, will affect the stock price.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Some factors that we would expect to depress the price
of our stock include:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Adverse
clinical trial results;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Our
inability to obtain additional capital;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Announcement
that the FDA denied our request to approve our human-use product for
commercialization in the United States, or similar denial by other regulatory
bodies which make independent decisions outside the United States (to date, the
EU is the only foreign jurisdiction in which we have sought approval for
commercialization);</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Announcement
of legal actions brought by or filed against us for patent or other matters,
especially if we receive negative rulings or outcomes in such actions;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Cancellation
of corporate partnerships or other material agreements;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Public
concern as to the safety or efficacy of our human-use products including public
perceptions regarding gene therapy in general;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Stockholders&#146;
decisions, for whatever reasons, to sell large amounts of our stock;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Adverse
research and development results;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Declining
working capital to fund operations, or other signs of apparent financial
uncertainty;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Significant
advances made by competitors that adversely affect our potential market
position; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
loss of key personnel and the inability to attract and retain additional
highly-skilled personnel.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Additionally, our clinical trials are open-ended and,
therefore, there is the possibility that information regarding the success (or
setbacks) of our clinical trials maybe be obtained by the public prior to a
formal announcement by us. These factors, as well as the other factors
described in this prospectus, could significantly affect the price of our
stock.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">If We Do Not Have
Enough Capital To Fund Operations, Then We Will Have To Cut Costs. </font></i></b>If
we are unable to raise additional funds under acceptable terms, then we will
have to take measures to cut costs, such as:</p>


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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Delay,
scale back or discontinue one or more of our oncology or gene delivery programs
or other aspects of operations, including laying off some personnel or stopping
or delaying clinical trials;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Sell
or license some of our technologies that we would not otherwise give up if we
were in a better financial position;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Sell
or license some of our technologies under terms that are less favorable than
they otherwise might have been if we were in a better financial position; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Consider
merging with another company or positioning ourselves to be acquired by another
company.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If it became necessary to take one or more of the
above-listed actions, then we may receive a lower valuation, which could impact
our stock price. Further, the effects on our operations, financial performance
and stock price may be significant if we do not or cannot take one or more of
the above-listed actions in a timely manner when needed.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Pre-Clinical And Clinical Trials Of Human-Use Equipment Are
Unpredictable. If We Experience Unsuccessful Trial Results, Our Business Will
Suffer.</font></i></b> Before any of our human-use equipment can be
sold, the FDA or applicable foreign regulatory authorities must determine that
the equipment meets specified criteria for use in the indications for which
approval is requested, including obtaining appropriate regulatory approvals.
Satisfaction of regulatory requirements typically takes many years, and
involves compliance with requirements covering research and development,
testing, manufacturing, quality control, labeling and promotion of drugs for
human use. To obtain regulatory approvals, we must, among other requirements,
complete clinical trials demonstrating that our product candidates are safe and
effective for a particular cancer type or other disease. Regulatory approval of
a new drug is never guaranteed. The FDA will make this determination based on
the results from our pre-clinical testing and clinical trials and has
substantial discretion in the approval process. Despite the time and experience
exerted, failure can occur at any stage, and we could encounter problems
causing us to abandon clinical trials.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have completed Phase II clinical trials and are
conducting two Phase III clinical trials of our lead product candidate, the
MedPulser</font>&#174;&nbsp;Electroporation
Therapy System, for the treatment of recurrent and second primary head and neck
cancers. In addition, we are conducting two Phase IV (or Pre-Marketing)
clinical trials of our MedPulser&#174;&nbsp;Electroporation
Therapy System for the treatment of new and recurrent head and neck cancers and
new and recurrent primary skin cancers, and have started a Phase I clinical
trial of our MedPulser&#174;&nbsp;Electroporation
Therapy System for the treatment of breast cancer. Current or future clinical
trials may demonstrate the MedPulser&#174;&nbsp;Electroporation
Therapy System is neither safe nor effective.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Any delays or difficulties we encounter in our
pre-clinical research and clinical trials, in particular the Phase III clinical
trials of our MedPulser</font>&#174;&nbsp;Electroporation
Therapy System for the treatment of recurrent head and neck cancer, may delay
or preclude regulatory approval. Our product development costs will increase if
we experience delays in testing or regulatory approvals or if we need to
perform more extensive or larger clinical trials than planned. Any such events
could also delay or preclude the commercialization of our MedPulser&#174;&nbsp;Electroporation Therapy System
or any other product candidates.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Clinical trials are unpredictable, especially
human-use trials. Results achieved in early stage clinical trials may not be
repeated in later stage trials, or in trials with more patients. When early
positive results were not repeated in later stage trials, pharmaceutical and
biotechnology companies have suffered significant setbacks. Not only are
commercialization timelines pushed back, but some companies, particularly
smaller biotechnology companies with limited cash reserves, have discontinued
business after releasing news of unsuccessful clinical trial results.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We cannot be certain the results we observed in our
pre-clinical testing will be confirmed in clinical trials or the results of any
of our clinical trials will support FDA approval. If we experience unexpected,
inconsistent or disappointing results in connection with a clinical or
pre-clinical trial our business will suffer.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have five ongoing clinical studies in patients with
head and neck, cutaneous/subcutaneous, and breast cancer. In each study,
patients are potentially at a high risk of morbidity complications and
mortality due to the nature and late stage of their disease. The following
serious adverse events (SAEs) that were related to treatment with bleomycin and
the MedPulser</font>&#174; Electroporation
Therapy System have been reported: sudden death (suspected heart attack),
sudden death (suspected internal bleeding), sudden death (unknown cause),
hemorrhage, obstruction of the airway (pharynx/nasopharynx), edema, pain,
weight loss (anorexia) and carotid artery injury. The safety issues will have
to be well-managed as bleeding is a potential SAE that can occur anytime until
the wound is healed. Because our studies are controlled and ongoing, we cannot
assure you that these or other SAEs will not delay or prevent approval of our
product by the FDA.</p>


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<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition, any of our clinical trials for our
treatment may be delayed or halted at any time for various reasons, including:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
electroporation-mediated delivery of drugs or other agents may be found to be
ineffective or be considered to cause harmful side effects, including death;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Our
clinical trials may take longer than anticipated for any of a number of
reasons, including a scarcity of subjects that meet the physiological or pathological
criteria for entry into the study and a scarcity of subjects that are willing
to participate through the end of the trial, or follow-up visits;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
reported clinical data may change over time as a result of the continuing
evaluation of patients or the current assembly and review of existing clinical
and pre-clinical information;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Data
from various sites participating in the clinical trials may be incomplete or
unreliable, which could result in the need to repeat the trial or abandon the
project; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Pre-clinical
and clinical data can be interpreted in many different ways, and the FDA and
other regulatory authorities may interpret our data differently than we do,
which could halt or delay our clinical trials or prevent regulatory approval.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If any of the above events arise during our clinical
trials or data review, then we would expect this to have a serious negative
impact on our company and your investment.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Despite the FDA&#146;s designation of our MedPulser</font>&#174;&nbsp;Electroporation Therapy System
as a Fast Track product, such FDA designation is independent of the FDA&#146;s
Priority Review and Accelerated Approval designations and we may encounter
delays in the regulatory approval process due to additional information
requirements from the FDA, unintentional omissions from our PMA for our
MedPulser&#174;&nbsp;Electroporation
Therapy System, or other delays in the FDA&#146;s review process. We may encounter
delays or rejections in the regulatory approval process because of additional
government regulation from future legislation or administrative action or
changes in FDA policy during the period of product development, clinical trials
and FDA regulatory review.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">A majority of our operating expenses relate to our
clinical trials. A delay in our clinical trials, for whatever reason, will
probably require us to spend additional funds to keep our product(s) moving
through the regulatory process. If we do not have or cannot raise additional
funds, then the testing of our human-use products could be discontinued. In the
event our clinical trials are not successful, we will have to determine whether
to continue to fund our programs to address the deficiencies, or whether to
abandon our clinical development programs for our products in tested
indications. Loss of our human-use product line would be a significant setback
for our company.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Because there are so many variables inherent in
clinical trials, we cannot predict whether any of our future regulatory
applications to conduct clinical trials will be approved by the FDA or other
regulatory authorities, whether our clinical trials will commence or proceed as
planned, and whether the trials will ultimately be deemed to be successful. To
date, our experience has been that submission and approval of clinical
protocols has taken longer than desired or expected.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Our Business Is
Highly Dependent On Receiving Approvals From Various United States And
International Government Agencies And Will Be Dramatically Affected If Approval
To Manufacture And Sell Our Human-Use Equipment Is Not Granted Or Is Not
Granted In A Timely Manner. </font></i></b>The production and marketing
of our human-use equipment and the ongoing research, development, pre-clinical
testing, and clinical trial activities are subject to extensive regulation.
Numerous governmental agencies in the U.S. and internationally, including the
FDA, must review our applications and decide whether to grant regulatory
approval. All of our human-use equipment must go through an approval process,
in some instances for each indication for which we want to label it for use
(such as use for dermatology, use for transfer of a certain gene to a certain
tissue, or use for administering a certain drug to a certain tumor type in a
patient having certain characteristics). These regulatory processes are
extensive and involve substantial costs and time.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have limited experience in, and limited resources
available for regulatory activities. Failure to comply with applicable
regulations can, among other things, result in non-approval, suspensions of
regulatory approvals, fines, product seizures and recalls, operating
restrictions, injunctions and criminal prosecution.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Any of the following events can occur and, if any did
occur, any one could have a material adverse effect on our business, financial
conditions and results of operations:</font></p>


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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>As
mentioned earlier, clinical trials may not yield sufficiently conclusive
results for regulatory agencies to approve the use of our products;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>There
can be delays, sometimes long, in obtaining approval for our human-use devices,
and indeed, we have experienced such delays in obtaining FDA approval of our
clinical protocols;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
rules&nbsp;and regulations governing human-use equipment such as ours can
change during the review process, which can result in the need to spend time
and money for further testing or review;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>If
approval for commercialization is granted, it is possible the authorized use
will be more limited than we believe is necessary for commercial success, or
that approval may be conditioned on completion of further clinical trials or other
activities; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="1" face="Symbol" style="font-size:8.5pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Once
granted, approval can be withdrawn, or limited, if previously unknown problems
arise with our human-use product or data arising from its use.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Could Be
Substantially Damaged If Physicians And Hospitals Performing Our Clinical
Trials Do Not Adhere To Protocols Or Promises Made In Clinical Trial
Agreements.</font></i>  </b>We work and have worked with a number of
hospitals to perform clinical trials, primarily in the field of oncology. We
depend on these hospitals to recruit patients for our trials, to perform the
trials according to our protocols, and to report the results in a thorough,
accurate and consistent manner. Although we have agreements with these
hospitals which govern what each party is to do with respect to each protocol,
patient safety, and avoidance of conflict of interest, there are risks that the
terms of the contracts will not be followed, such as the following:</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Possible
Deviations from Protocol. </font></u>The hospitals or the physicians
working at the hospitals may not perform the trials correctly. Deviations from
our protocol may make the clinical data not useful and the trial could become
essentially worthless.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Potential
for Conflict of Interest</font></u><i>. </i>Physicians
working on protocols may have an improper economic interest in our company, or other
conflict of interest. When a physician has a personal stake in the success of
the trial, such as when a physician owns stock, or rights to purchase stock of
the trial sponsor, it can create suspicion that the trial results were
improperly influenced by the physician&#146;s interest in economic gain. Not only
can this put the clinical trial results at risk, but it can also cause serious
damage to a company&#146;s reputation.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Patient
Safety and Consent Issues. </font></u>Physicians and hospitals may fail
to secure formal written consent as instructed or report adverse effects that
arise during the trial in the proper manner, which could put patients at
unnecessary risk. Physicians and hospital staff may fail to observe proper
safety measures such as the mishandling of used medical needles, which may
result in the transmission of infectious and deadly diseases, such as HIV. This
increases our liability, affects the data, and can damage our reputation.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If any of these events were to occur, then it could
have a material adverse effect on our ability to receive regulatory
authorization to sell our human-use equipment, and on our reputation. Negative
events that arise in the performance of clinical trials sponsored by
biotechnology companies with our size and limited cash reserves have resulted
in companies going out of business. While these risks are always present, to
date, our contracted physicians and clinics have been successful in collecting
significant data regarding the clinical protocols under which they have
operated, and we are unaware of any conflicts of interest or improprieties
regarding our protocols.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Even If Our
Products Are Approved By Regulatory Authorities, If We Fail To Comply With
On-Going Regulatory Requirements, Or If We Experience Unanticipated Problems
With Our Products, These Products Could Be Subject To Restrictions Or
Withdrawal From The Market. </font></i></b>Any product for which we
obtain marketing approval, along with the manufacturing processes,
post-approval clinical data and promotional activities for such product, will
be subject to continual review and periodic inspections by the FDA and other
regulatory bodies. Even if regulatory approval of a product is granted, the
approval may be subject to limitations on the indicated uses for which the
product may be marketed or to certain requirements resulting in costly
post-marketing testing and surveillance to monitor the safety or efficacy of
the product. Later discovery of previously unknown problems with our products,
including unanticipated adverse events of unanticipated severity or frequency
regarding manufacturer or manufacturing processes or failing to comply with
regulatory requirements, may result in restrictions on such products or
manufacturing processes, withdrawal of the products from the market, voluntary or
mandatory recall, fines, suspension of regulatory approvals, product seizures
or detention, injunctions or the imposition of civil or criminal penalties.</p>


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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Failure To Comply
With Foreign Regulatory Requirements Governing Human Clinical Trials And
Marketing Approval For Our Human-Use Equipment Could Prevent Us From Selling
Our Products In Foreign Markets, Which May&nbsp;Adversely Affect Our Operating
Results And Financial Conditions.</font></i></b> For the purposes of
marketing our MedPulser&#174;<i>&nbsp;</i>Electroporation Therapy System
outside the United States, the requirements governing the conduct of clinical
trials, product licensing, pricing and reimbursement vary greatly from country
to country and may require additional testing. The time required to obtain
approvals outside the United States may differ from that required to obtain FDA
approval. We may not obtain foreign regulatory approval on a timely basis, if
at all. Approval by the FDA does not ensure approval by regulatory authorities
in other countries, and approval by one foreign regulatory authority does not
ensure approval by regulatory authorities in other countries or by the FDA.
Failure to comply with these regulatory requirements or to obtain required
approvals could impair our ability to develop these markets and could have a
material adverse effect on our results of operations and financial condition.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Our Ability To
Achieve Significant Revenues From Sales Or Leases Of Human-Use Products Will
Depend On Establishing Effective Sales, Marketing And Distribution Capabilities
Or Relationships And We Currently Lack Substantial Experience In These Areas. </font></i></b>To
market our products, we will need to develop sales, marketing and distribution
capabilities. In order to develop or otherwise obtain these capabilities, we
may have to enter into marketing, distribution or other similar arrangements
with third parties in order to sell, market and distribute our products
successfully. To the extent that we enter into any such arrangements with third
parties, our product revenue is likely to be lower than if we marketed and sold
our products directly, and our revenues will depend upon the efforts of these
third parties.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have limited experience in sales, marketing and
distribution of clinical and human-use products and we currently have no sales,
marketing or distribution capability. If we decide to market and sell our
human-use products directly, we must develop a marketing and sales capability.
This would involve substantial costs, training and time. We may be unable to
develop sufficient sales, marketing and distribution capabilities to
commercialize our products successfully. Regardless of whether we elect to use
third parties or seek to develop our own marketing capability, we may not be
able to successfully commercialize any product.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Rely On
Collaborative And Licensing Relationships To Fund A Portion Of Our Research And
Development Expenses. If We Are Unable To Maintain Or Expand Existing Relationships,
Or Initiate New Relationships, We Will Have To Defer Or Curtail Research And
Development Activities In One Or More Areas.&#160;
</font></i></b>Our partners and collaborators fund a portion of
our research and development expenses and assist us in the research and development
of our human-use equipment. These collaborations and partnerships help pay the
salaries and other overhead expenses related to research. In the past, we have
encountered operational difficulties after the termination of an agreement by a
former partner. Because this partnership was terminated, we did not receive
significant milestone payments which we had expected and were forced to delay
some clinical trials as well as some product development.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Our clinical trials to date have used our equipment together
with the anti-cancer drug bleomycin. We do not currently intend to package
bleomycin together with the equipment for sale, but if it should be necessary
or desirable to do this, we would need a reliable source of the drug. At this
time we do not have a reliable long-term source of bleomycin for inclusion with
equipment or alone. If it becomes necessary or desirable to include bleomycin
in our package, we would have to form a relationship with another provider of
this generic drug before any product could be launched.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We also rely on scientific collaborators at companies
and universities to further expand our research and to test our equipment. In
most cases, we lend our equipment to a collaborator, teach him or her how to
use it, and together design experiments to test the equipment in one of the
collaborator&#146;s fields of expertise. We aim to secure agreements that restrict
collaborators&#146; rights to use the equipment outside of the agreed upon research,
and outline the rights each of us will have in any results or inventions
arising from the work.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Nevertheless, there is always potential that:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Our
equipment will be used in ways we did not authorize, which can lead to
liability and unwanted competition;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>We
may determine that our technology has been improperly assigned to us or a
collaborator may claim rights to certain of our technology, which may require
us to pay license fees or milestone payments and, if commercial sales of the
underlying product are achieved, royalties;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>We
may lose rights to inventions made by our collaborators in the field of our
business, which can lead to expensive legal fights and unwanted competition;</p>


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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Our
collaborators may not keep our confidential information to themselves, which
can lead to loss of our right to seek patent protection and loss of trade
secrets, and expensive legal fights; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Collaborative
associations can damage a company&#146;s reputation if they fail and thus, by
association or otherwise, the scientific or medical community may develop a
negative view of us.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We cannot guarantee that any of the results from these
collaborations will be successful. We also cannot be sure that we will be able
to continue to collaborate with individuals and institutions that will further
develop our products, or that we will be able to do so under terms that are not
overly restrictive. If we are not able to maintain or develop new collaborative
relationships, it is likely that our research pace will slow down and that it
will take longer to identify and commercialize new products, or new indications
for our existing products.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Rely Heavily On
Our Patents And Proprietary Rights To Attract Partnerships And Maintain Market
Position. </font></i></b>The strength of our patent portfolio is an
important factor that will influence our success. Patents give the patent
holder the right to prevent others from using its patented technology. If
someone infringes upon the patented material of a patent holder, the patent
holder has the right to initiate legal proceedings against that person to
protect its patented material. These proceedings, however, can be lengthy and
costly. We perform an ongoing review of our patent portfolio to confirm that
our key technologies are adequately protected. If we determine that any of our
patents require either additional disclosures or revisions to existing
information, we may ask that such patents be reexamined or reissued, as
applicable, by the United States Patent and Trademark Office.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The patenting process, enforcement of issued patents,
and defense against claims of infringement are inherently risky. Because we
rely heavily on patent protection, we face the following significant risks:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Possibility
of Inadequate Patent Protection for Product<i>.</i></font></u><i>  </i>The United States Patent and Trademark
Office or foreign patent offices may not grant patents of meaningful scope
based on the applications we have already filed and those we intend to
file.&#160; If we do not have patents that
adequately protect our human-use equipment and indications for its use, then we
will not be competitive.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Potential
That Important Patents Will Be Judged Invalid</font></u><i>. </i>Some of the issued patents we now own or
license may be determined to be invalid. If we have to defend the validity of
any of our patents, the costs of such defense could be substantial, and there
is no guarantee of a successful outcome. In the event an important patent
related to our drug delivery technology is found to be invalid, we may lose
competitive position and may not be able to receive royalties for products
covered in part or whole by that patent under license agreements.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Danger
of Being Charged With Infringement</font></u><i>. </i>Although we are not currently aware of any parties
intending to pursue infringement claims against us, there is the possibility
that we may use a patented technology owned by another person and/or be charged
with infringement. Defending or indemnifying a third party against a charge of
infringement can involve lengthy and costly legal actions, and there can be no
guarantee of a successful outcome. Biotechnology companies comparable to us in
size and financial position have discontinued business after fighting and
losing infringement battles. If we or our partners were prevented from using or
selling our human-use equipment, then our business would be materially
adversely affected.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Freedom
to Operate Issues</font></u><i>. </i>We
are aware that patents related to electrically-assisted drug delivery have been
granted to, and patent applications have been filed by our potential
competitors. We or our partners have received licenses from some of these
patents, and will consider receiving additional licenses in the future.
Nevertheless, the competitive nature of our field of business and the fact that
others have sought patent protection for technologies similar to ours make
these potential issues significant.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition to patents, we also rely on trade secrets
and proprietary know-how. We try to protect this information with appropriate
confidentiality and inventions agreements with our employees, scientific
advisors, consultants, and collaborators. We cannot be sure that these
agreements will not be breached, that we will be able to protect ourselves if
they are breached, or that our trade secrets will not otherwise become known or
be independently discovered by competitors. If any of these events occurs, then
we face the potential of losing control over valuable company information,
which could negatively affect our competitive position.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">If We Are Not
Successful In Developing Our Current Products, Our Business Model
May&nbsp;Change As Our Priorities And Opportunities Change And Our Business
May&nbsp;Never Develop To Be Profitable Or Sustainable. </font></i></b>There
are many products and programs that seem promising to us which we could pursue.
However, with limited resources, we may decide to change priorities and shift
programs away from those that we have been pursuing for the purpose of
exploiting our </p>


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<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">core
technology of electroporation. The choices we make will be dependent upon
numerous factors, for which we cannot predict. We cannot be sure that our
business model, as it currently exists or as it may evolve, will enable us to
become profitable or to sustain operations.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Serious And
Unexpected Side Effects Attributable To Gene Therapy May&nbsp;Result In
Governmental Authorities Imposing Additional Regulatory Requirements Or A
Negative Public Perception Of Our Products. </font></i></b>The MedPulser&#174;<i>&nbsp;</i>DNA
Delivery System and any of our other Gene Therapy or DNA Vaccine product
candidates under development could be broadly described as gene therapies. A
number of clinical trials are being conducted by other pharmaceutical companies
involving gene therapy, including compounds similar to, or competitive with,
our product candidates. The announcement of adverse results from these clinical
trials, such as serious unwanted and unexpected side effects attributable to treatment,
or any response by the FDA to such clinical trials, may impede the progress of
our clinical trials, delay or prevent us from obtaining regulatory approval, or
negatively influence public perception of our product candidates, which could
harm our business and results of operations and reduce the value of our stock.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The U.S. Senate has held hearings concerning the
adequacy of regulatory oversight of gene therapy clinical trials, as well as
the adequacy of research subject education and protection in clinical research
in general, and to determine whether additional legislation is required to
protect volunteers and patients who participate in such clinical trials. The
Recombinant DNA Advisory Committee, or RAC, which acts as an advisory body to
the National Institutes of Health, has expanded its public role in evaluating
important public and ethical issues in gene therapy clinical trials.
Implementation of any additional review and reporting procedures or other
additional regulatory measures could increase the costs of or prolong our
product development efforts or clinical trials.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">As of March 31, 2007, to our knowledge, there have not
been any serious adverse events in any gene therapy clinical trials in which
our technology was used. In the future, if one or a series of serious adverse
events were to occur during a gene therapy clinical trial in which our
technology was used, we would report all such events to the FDA and other
regulatory agencies as required by law. Such serious adverse events, whether
treatment-related or not, could result in negative public perception of our
treatments and require additional regulatory review or other measures, which
could increase the cost of or prolong our gene therapy clinical trials or
require us to halt our clinical trials altogether.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The FDA has not approved any gene therapy product or
gene-induced product for sale in the United States. The commercial success of
our products will depend in part on public acceptance of the use of gene
therapy products or gene-induced products, which are a new type of disease
treatment for the prevention or treatment of human diseases. Public attitudes
may be influenced by claims that gene therapy products or gene-induced products
are unsafe, and these treatment methodologies may not gain the acceptance of
the public or the medical community. Negative public reaction to gene therapy
products or gene-induced products could also result in greater government
regulation and stricter clinical trial oversight.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Cannot Predict
The Safety Profile Of The Use Of Our Medpulser</font></i></b>&#174;<i>&nbsp;<b>Electroporation Therapy System When Used In
Combination With Other Therapies. </b></i>Our current trials
involve the use of our MedPulser&#174;<i>&nbsp;</i>Electroporation Therapy System in
combination with bleomycin, an anti-cancer drug. While the data we have
evaluated to date suggest the MedPulser&#174;<i>&nbsp;</i>Electroporation Therapy System does
not increase the adverse effects of other therapies, we cannot predict if this
outcome will continue to be true or whether possible adverse side effects
directly attributable to other drugs will compromise the safety profile of our
MedPulser&#174;<i>&nbsp;</i>Electroporation Therapy System when
used in certain combination therapies or if used off-label with other drugs by
physicians.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">There Is A
Possibility That Our Technology Will Become Obsolete Or Lose Its Competitive
Advantage.</font></i></b> The drug delivery business is very
competitive, fast moving and intense, and expected to be increasingly so in the
future. Other companies and research institutions are developing drug delivery
systems that, if not similar in type to our systems, are designed to address
the same patient or subject population. Therefore, we cannot promise that our
products will be the best, the safest, the first to market, or the most
economical to make or use. If competitors&#146; products are better than ours, for
whatever reason, then we could become less profitable from product sales and
our products could become obsolete.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">There are many reasons why a competitor might be more
successful than us, including:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Financial
Resources</font></u><i>. </i>Some
competitors have greater financial resources and can afford more technical and
developmental setbacks than we can.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Greater
Experience</font></u><i>. </i>Some
competitors have been in the biomedical business longer than we have. They have
greater experience than us in critical areas like clinical testing, obtaining
regulatory approval and sales and marketing. This experience or their name
recognition may give them a competitive advantage over us.</p>


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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Superior
Patent Position</font></u><i>. </i>Some
competitors may have better patent protection over their technology than we
have or will have in order to protect our technology. If we cannot use our
patents to prevent others from copying our technology or developing similar
technology, or if we cannot obtain a critical license to another&#146;s patent that
we need to manufacture and use our equipment, then we would expect our
competitive position to weaken.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Faster
to Market</font></u><i>. </i>Some
companies with competitive technologies may move through stages of development,
approval, and marketing faster than us. If a competitor receives FDA approval
before us, then it will be authorized to sell its products before we can sell
ours. Because the first company &#147;to market&#148; often has a significant advantage
over others, a second place position could result in less than anticipated
sales.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 36.0pt;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Reimbursement
Allowed</font></u><i>. </i>In the
U.S., third party payers, such as Medicare, may reimburse physicians and
hospitals for competitors&#146; products but not for our own human-use products.
This would significantly affect our ability to sell our human-use products in
the U.S. and would have a negative impact on revenue and our business as a
whole. Outside of the U.S., reimbursement and funding policies vary widely.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Any Acquisition We
Might Make May&nbsp;Be Costly And Difficult To Integrate, May&nbsp;Divert Management
Resources Or Dilute Stockholder Value.</font></i></b> We have considered
and made strategic acquisitions in the past, including the acquisition of
Inovio AS, and in the future, may acquire or invest in complementary companies,
products or technologies. As part of our business strategy, we may acquire
assets or businesses principally relating to or complementary to our current
operations, and we have in the past evaluated and discussed such opportunities
with interested parties. Any acquisitions we undertake will be accompanied by
issues commonly encountered in business acquisitions, which could adversely
affect us, including:</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Potential
exposure to unknown liabilities of acquired companies;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
difficulty and expense of assimilating the operations and personnel of acquired
businesses;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Diversion
of management time and attention, and other resources;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Loss
of key employees and customers as a result of changes in management;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Incurrence
of amortization expenses related to intangible assets or large impairment charges
such as the charges in excess of $3.3 million we incurred in our 2005 results
of operations related to the write-off of in-process research and development
that we acquired in our acquisition of Inovio AS;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Increased
legal, accounting and other administrative costs associated with negotiation,
documentation and reporting any such acquisition; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Possible
dilution to our stockholders.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition, geography and/or language barriers may
make the integration of businesses more difficult. We may not be successful in
overcoming these risks or any other problems encountered in connection with any
of our acquisitions.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Economic,
Political, Military Or Other Events In The United States Or In Other Countries
Could Interfere With Our Success Or Operations And Harm Our Business. </font></i></b>The
September&nbsp;11, 2001 terrorist attacks disrupted commerce throughout the
United States and other parts of the world. The continued threat of similar
attacks throughout the world and the military action taken by the United States
and other nations in Iraq or other countries may cause significant disruption
to commerce throughout the world. To the extent that such disruptions further
slow down the global economy, our business and results of operations could be
materially adversely affected. We are unable to predict whether the threat of
new attacks or the responses thereto will result in any long-term commercial
disruptions or if such activities or responses will have a long-term material
adverse effect on our business, results of operations or financial condition.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt .0001pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Our Dependence Upon Non-Marketed Products, Our Lack Of
Experience In Manufacturing And Marketing Human-Use Products, And Our
Continuing Deficit May&nbsp;Result In Even Further Fluctuations In Our Trading</font></i></b>
<b><i style="font-weight:bold;">Volume And Share Price.</i></b>
Successful approval, marketing, and sales of our human-use equipment are
critical to the financial future of our company. Our human-use products are not
yet approved for sale in the United States and other jurisdictions and we may
never obtain these approvals. Even if we do obtain approvals to sell our
human-use products in the United States, these sales may not be as large or as
timely as we expect. These uncertainties may cause our operating results to
fluctuate dramatically in the next several years. We believe that
quarter-to-quarter or annual comparisons of our operating results are not a
good</p>


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<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">indicator
of our future performance. Nevertheless, these fluctuations may cause us to
perform below the expectations of public market analysts and investors. If this
happens, the price of our common shares would likely decline.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Have The
Potential for Product Liability Issues With Human-Use Equipment. </font></i></b>The
testing, marketing and sale of human-use products expose us to significant and
unpredictable risks of equipment product liability claims. These claims may
arise from patients, clinical trial volunteers, consumers, physicians,
hospitals, companies, institutions, researchers or others using, selling, or
buying our equipment. Product liability risks are inherent in our business and
will exist even after the products are approved for sale. If and when our
human-use equipment is commercialized, we run the risk that use (or misuse) of
the equipment will result in personal injury. The chance of such an occurrence
will increase after a product type is on the market.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We have obtained liability insurance in connection
with our ongoing business and products, and we may purchase additional policies
if such policies are determined by management to be necessary. However, our
existing insurance and the insurance we purchase may not provide adequate
coverage in the event a claim is made and we may be required to pay claims
directly. If we did have to make payment against a claim, it would impact our
financial ability to perform the research, development, and sales activities
that we have planned.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If and when our human-use equipment is commercialized,
there is always the risk of product defects. Product defects can lead to loss
of future sales, decrease in market acceptance, damage to our brand or
reputation, product returns and warranty costs, and even product withdrawal
from the market. These events can occur whether the defect resides in a
component we purchased from a third party or whether it was due to our design
and/or manufacturer. We expect that our sales agreements will contain
provisions designed to limit our exposure to product liability claims. However,
we do not know whether these limitations will be enforceable in the countries
in which the sale is made. Any product liability or other claim brought against
us, if successful and of sufficient magnitude, could negatively impact our
financial performance.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We Cannot Be
Certain That We Will Be Able To Manufacture Our Human-Use Equipment In
Sufficient Volumes At Commercially Reasonable Costs.</font></i></b><i>  </i>Our manufacturing facilities for
human-use products will be subject to quality systems regulations,
international quality standards and other regulatory requirements, including
pre-approval inspection for our human-use equipment and periodic post-approval
inspections for all human-use products. While we have undergone and passed a
quality systems audit from an international body, we have never undergone a
quality systems inspection by the FDA. We may not be able to pass an FDA
inspection when it occurs. If our facilities are found not to be compliant with
FDA standards in sufficient time, prior to a launch of our product in the
United States, then it will result in a delay or termination of our ability to
produce our human-use equipment in our facility. Any delay in production will
have a negative effect on our business. While there are no target dates set
forth for launch of our products in the United States, we plan on launching
these products once we successfully perform a Phase III clinical study, obtain
the requisite regulatory approval, and engage a partner who has the financial
resources and marketing capacity to bring our products to market.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Our products must be manufactured in sufficient
commercial quantities, in compliance with regulatory requirements, and at an
acceptable cost to be attractive to purchasers. We rely on third parties to
manufacture and assemble most aspects of our equipment, and thus cannot
directly control the quality, timing or quantities of equipment manufactured or
assembled at any given time.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Disruption of the manufacture of our products, for
whatever reason, could delay or interrupt our ability to manufacture or deliver
our products to customers in a timely basis. This would be expected to affect
revenue and may affect our long-term reputation, as well. In the event we
provide product of inferior quality, we run the risk of product liability
claims and warranty obligations, which will negatively affect our financial
performance.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">If We Lose Key
Personnel Or Are Unable To Attract And Retain Additional, Highly Skilled
Personnel Required To Develop Our Products Or Obtain New Collaborations, Our
Business May&nbsp;Suffer.</font></i></b> We depend, to a significant
extent, on the efforts of our key employees, including senior management and
senior scientific, clinical, regulatory and other personnel. The development of
new therapeutic products requires expertise from a number of different
disciplines, some of which is not widely available. We depend upon our
scientific staff to discover new product candidates and to develop and conduct
pre-clinical studies of those new potential products. Our clinical and
regulatory staff is responsible for the design and execution of clinical trials
in accordance with FDA requirements and for the advancement of our product
candidates toward FDA approval. Our manufacturing staff is responsible for
designing and conducting our manufacturing processes in accordance with the FDA&#146;s
Quality System Regulations. The quality and reputation of our scientific,
clinical, regulatory and manufacturing staff, especially the senior staff, and
their success in performing their responsibilities, are significant factors in
attracting potential funding sources and collaborators. In addition, our Chief
Executive Officer and Chief Financial Officer and other executive officers are
involved in a broad range of critical activities, including providing strategic
and operational guidance. The loss of these individuals, or our inability to
retain or recruit other key management and scientific, clinical,</p>


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<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">regulatory,
manufacturing and other personnel, may delay or prevent us from achieving our
business objectives. We face intense competition for personnel from other
companies, universities, public and private research institutions, government entities
and other organizations.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">We May&nbsp;Not
Meet Environmental Guidelines And As A Result Could Be Subject To Civil And
Criminal Penalties. </font></i></b>Like all companies in our industry,
we are subject to a variety of governmental regulations relating to the use,
storage, discharge and disposal of hazardous substances. Our safety procedures
for handling, storage and disposal of such materials are designed to comply
with applicable laws and regulations. While we believe we are currently in
compliance with all material applicable environmental regulations, if we are
found to not comply with environmental regulations, or if we are involved with
contamination or injury from these materials, then we may be subject to civil
and criminal penalties. This would have a negative impact on our reputation and
finances, and could result in a slowdown or even complete cessation of our
business.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Our Facilities Are
Located Near Known Earthquake Fault Zones, And The Occurrence Of An Earthquake
Or Other Catastrophic Disaster Could Cause Damage To Our Facilities And
Equipment. </font></i></b>Our facilities are located near known
earthquake fault zones and are vulnerable to damage from earthquakes. We are
also vulnerable to damage from other types of disasters, including fire,
floods, power loss, communications failures and similar events. If any disaster
were to occur, our ability to operate our business at our facilities would be
seriously impaired. In addition, the unique nature of our research activities
could cause significant delays in our programs and make it difficult for us to
recover from a disaster. The insurance we maintain may not be adequate to cover
our losses resulting from disasters or other business interruptions.
Accordingly, an earthquake or other disaster could materially and adversely harm
our ability to conduct business.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Legislation
Requiring Companies To Evaluate Internal Controls Under Section&nbsp;404 Of The
Sarbanes-Oxley Act Of 2002 Has Increased Our Expenses And Could Result In
Events That Adversely Affect Our Stock Price.</font></i></b> As directed
by Section&nbsp;404 of the Sarbanes-Oxley Act of 2002 (Section&nbsp;404), the
Securities and Exchange Commission adopted rules&nbsp;requiring public
companies to include a report of management on our internal control over
financial reporting in our annual reports on Form 10-K that contains an
assessment by management of the effectiveness of our internal control over
financial reporting. In addition, our independent registered public accounting
firm must attest to and report on management&#146;s assessment of the effectiveness of
our internal control over financial reporting. This requirement first applied
to our 2004 Annual Report on Form 10-K.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">How companies are implementing these new requirements
including internal control reforms, if any, to comply with Section&nbsp;404&#146;s
requirements, and how independent auditors are applying these new requirements
and testing companies&#146; internal controls, is an evolving process and remains
subject to uncertainty. The requirements of Section&nbsp;404 are ongoing and
apply to future years. We expect that our internal controls will continue to
evolve as our business activities change. During the course of management&#146;s and
our independent registered public accounting firm&#146;s review of our internal
control over financial reporting as of December 31, 2006, we did not identify
any significant control deficiencies that arose to the level of material
weaknesses, as defined by the Public Company Accounting Oversight Board
(PCAOB). Although we will continue to diligently and vigorously review our
internal control over financial reporting, in order to ensure compliance with
the Section 404 requirements, any control system, regardless of how well
designed, operated and evaluated, can provide only reasonable, not absolute,
assurance that its objectives will be met.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If, during any year, our independent registered public
accounting firm is not satisfied with our internal control over financial
reporting or the level at which this control is documented, designed, operated,
tested or assessed, or if the independent registered public accounting firm
interprets the requirements, rules&nbsp;or regulations differently than we do,
then our independent registered public accounting firm may decline to attest to
management&#146;s assessment or may issue a report that is qualified. This could result
in an adverse reaction in the financial marketplace due to a loss of investor
confidence in the reliability of our financial statements, which ultimately
could negatively impact the market price of our stock.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><b><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;font-weight:bold;">Anti-Takeover
Provisions In Our Charter Documents, Our Stockholder Rights Agreement And
Delaware Law May Prevent Or Delay Removal Of Incumbent Management Or A Change
Of Control.</font></i></b> Anti-takeover provisions of our Certificate
of Incorporation, as amended, our Amended and Restated Stockholders Rights
Agreement and Delaware law may have the effect of deterring or delaying
attempts by our stockholders to remove or replace management, engage in proxy
contests and effect changes in control. The provisions of our charter documents
include the ability of our board of directors to issue shares of preferred
stock without approval of all our stockholders upon the terms and conditions
and with the rights, privileges and preferences as our board of directors may
determine.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Rights issued pursuant to our Amended and Restated
Stockholder Rights Agreement will become exercisable, subject to certain
exceptions, after a person or group announces acquisition of 20% or more of our
common stock or</font></p>


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<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">announces
commencement of a tender or exchange offer the consummation of which would
result in ownership by the person or group of 20% or more of our common stock.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition, as a Delaware corporation, we are subject
to Delaware law, including Section 203 of the Delaware General Corporation Law.
In general, Section 203 prohibits a Delaware corporation from engaging in any
business combination with any interested stockholder for a period of three
years following the date that the stockholder became an interested stockholder
unless certain specific requirements are met as set forth in Section 203.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">These provisions, alone or together, could have the
effect of deterring or delaying changes in incumbent management, proxy contests
or changes in control.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">ADDITIONAL
OR UPDATED RISK FACTORS</font></b><a name="AdditionalOrUpdatedRiskFactors_020924"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Prior to making an investment decision with respect to
the common stock offered hereby, prospective investors should also carefully
consider any specific factors set forth under a caption &#147;risk factors&#148; in any
applicable prospectus supplement, together with all of the other information
appearing in this prospectus or the prospectus supplement or incorporated by
reference into this prospectus.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">USE OF
PROCEEDS</font></b><a name="UseOfProceeds_020927"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We will not receive any proceeds from the sale by any
selling stockholder of the shares of our common stock offered by this
prospectus.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SELLING STOCKHOLDERS</font></b><a name="SellingStockholders_020927"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Up to 165,000 shares of our common stock are being
offered by this prospectus, all of which are being registered for the accounts
of the selling stockholders, including:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>75,000
shares of restricted Common Stock issued on May 4, 2007 to Avtar Dhillon, the
Company&#146;s President and Chief Executive Officer, pursuant to the Plan prior to
the date of this prospectus as bonus compensation for services rendered to the
Company in 2006;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>45,000
shares of restricted Common Stock issued on May 4, 2007 to Iacob Mathiesen, a
non-executive employee pursuant to the Plan prior to the date of this
prospectus, as bonus compensation for services rendered to the Company in 2006;
and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>45,000
shares of restricted Common Stock issued on May 4, 2007 to Iacob Mathiesen
pursuant to the Plan prior to the date of this prospectus, vesting as of
December 1, 2009, contingent upon Mr. Mathiesen&#146;s continued employment by the
Company at that time.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Each of the transactions by which the selling
stockholders acquired their securities from us was exempt under the
registration provisions of the Securities Act of 1933, as amended, and pursuant
to the 2007 Plan.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The shares of common stock referred to above are being
registered to permit public sales of the shares, and the selling stockholders
may offer the shares for resale from time to time pursuant to this
prospectus.&nbsp; The selling stockholders may also sell, transfer or otherwise
dispose of all or a portion of their shares in transactions exempt from the
registration requirements of the Securities Act or pursuant to another
effective registration statement covering those shares. We may from time to
time include additional selling stockholders in supplements or amendments to
this prospectus.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The table below sets forth certain information
regarding the selling stockholders and the shares of our common stock offered
by them in this prospectus. The selling stockholders have not had a material
relationship with us within the past three years other than as our employees as
described in the footnotes to the table below.&#160;
To our knowledge, subject to community property laws where applicable,
each person named in the table has sole voting and investment power with
respect to the shares of common stock set forth opposite such person&#146;s name.</font></p>


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<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Beneficial ownership is determined in accordance with
the rules of the Securities and Exchange Commission, or SEC.&#160; In computing the number of shares
beneficially owned by a selling stockholder and the percentage of ownership of
that selling stockholder, shares of common stock underlying shares of our
convertible preferred stock, options or warrants held by that selling
stockholder that are convertible or exercisable, as the case may be, within
60&nbsp;days of May 4, 2007 are included.&#160;
Those shares, however, are not deemed outstanding for the purpose of
computing the percentage ownership of any other selling stockholder.&#160; Each selling stockholder&#146;s percentage of
ownership of our outstanding shares in the table below is based upon 38,824,568
shares of common stock outstanding as of May 4, 2007.</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="35%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:35.9%;">
  <p align="left" style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:left;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Selling&nbsp;Stockholder&nbsp;(1)</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Number&nbsp;of&nbsp;Shares<br>
  of&nbsp;common&nbsp;stock<br>
  beneficially&nbsp;owned</font></b></p>
  </td>
  <td width="3%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:3.56%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Number&nbsp;of&nbsp;Shares<br>
  which&nbsp;May&nbsp;Be<br>
  Offered&nbsp;(2)</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Number&nbsp;of<br>
  Shares&nbsp;to&nbsp;be<br>
  Owned&nbsp;After<br>
  Offering&nbsp;(3)</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:center;"><b><font size="1" face="Times New Roman"><font style="font-size:8.0pt;">Percentage&nbsp;of<br>
  Common<br>
  Stock<br>
  Beneficially<br>
  Owned&nbsp;After<br>
  </font>Offering</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr bgcolor="#CCEEFF" style="page-break-inside:avoid;">
  <td width="35%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:35.9%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-indent:0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Avtar Dhillon, M.D.</font></p>
  <p style="margin:0pt 0pt .0001pt 20.0pt;page-break-after:avoid;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President and Chief Executive Officer</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">914,172</font></p>
  </td>
  <td width="3%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:3.56%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(4)</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">75,000</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(6)</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">839,172</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2.12</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">%</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="35%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:35.9%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-indent:0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Iacob Mathiesen</font></p>
  <p style="margin:0pt 0pt .0001pt 20.0pt;page-break-after:avoid;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Employee of the Company</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">298,629</font></p>
  </td>
  <td width="3%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:3.56%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(5)</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">90,000</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(7)</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">208,629</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">*</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr bgcolor="#CCEEFF" style="page-break-inside:avoid;">
  <td width="35%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:35.9%;">
  <p style="margin:0pt 0pt .0001pt 10.0pt;page-break-after:avoid;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="3%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:3.56%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;page-break-after:avoid;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="35%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:35.9%;">
  <p style="margin:0pt 0pt .0001pt 10.0pt;text-indent:-10.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Total</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="3%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:3.56%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">165,000</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.58%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="12%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:12.7%;">
  <p style="margin:0pt 0pt .0001pt;text-align:right;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>

<div style="margin:0pt 0pt .0001pt;"><hr size="1" width="160" noshade color="black" align="left" style="width:120.0pt;"></div>

<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">* less than one percent</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 27.0pt;text-indent:-27.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(1)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>This
table is based upon information provided by the selling stockholders.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 27.0pt;text-indent:-27.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(2)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Includes
shares granted under the 2007 Omnibus Incentive Plan on or before the date of
this prospectus.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 27.0pt;text-indent:-27.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(3)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Represents
the amount of shares that will be held by the selling stockholders after
completion of this offering based on the assumptions that (a) all shares
registered for sale by the registration statement of which this prospectus is
part will be sold and (b) that no other shares of our common stock beneficially
owned by the selling stockholders are acquired or are sold prior to completion
of this offering by the selling stockholders.&#160;
However, the selling stockholders may sell all, some or none of the shares
offered pursuant to this prospectus and may sell other shares of our common
stock that they may own pursuant to another registration statement under the
Securities Act of 1933 or sell some or all of their shares pursuant to an
exemption from the registration provisions of the Securities Act, including
under Rule 144.&#160; To our knowledge there
are currently no agreements, arrangements or understanding with respect to the
sale of any of the shares that may be held by the selling stockholders after
completion of this offering or otherwise.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 27.0pt;text-indent:-27.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(4)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Includes
2,941 shares underlying Series C Preferred Stock and 1,029 shares underlying
warrants that are convertible or exercisable, respectively, within 60 days of
May 4, 2007, 774,996 shares of common stock issuable pursuant to options
exercisable within 60 days of May 4, 2007, and 75,000 shares of restricted
common stock granted pursuant to our 2007 Omnibus Incentive Plan prior to the
date of this prospectus, of which 18,750 have vested or will vest within 60
days of May 4, 2007.&#160; We have been
advised that the selling stockholder is not a broker-dealer or an affiliate
broker-dealer.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 27.0pt;text-indent:-27.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(5)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Includes
21,250 shares underlying options that are convertible or exercisable within 60
days of May 4, 2007, and 90,000 shares of restricted common stock granted
pursuant to our 2007 Omnibus Incentive Plan prior to the date of this
prospectus, of which 45,000 shares have vested.&#160;
We have been advised that the selling stockholder is not a broker-dealer
or an affiliate broker-dealer.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 27.0pt;text-indent:-27.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(6)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Includes
75,000 shares of restricted common stock granted pursuant to the 2007 Omnibus
Incentive Plan prior to the date of this prospectus, of which 18,750 are
vested; the remainder vest 18,750 on each anniversary date until 2010.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 27.0pt;text-indent:-27.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(7)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Includes
90,000 restricted shares of common stock granted pursuant to the 2007 Omnibus
Incentive Plan prior to the date of this prospectus, of which 45,000 are
vested; the remainder vest on December 1, 2009, contingent on Mr. Mathiesen&#146;s
continued employment by the Company on that date.</p>


 <p style="font-size:10.0pt;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">18</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="margin:0pt 0pt 12.0pt 22.5pt;text-align:center;text-indent:-22.5pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PLAN OF DISTRIBUTION</font></b><a name="PlanOfDistribution_021056"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We are registering the shares of common stock on
behalf of the selling stockholders. Sales of shares may be made by selling
stockholders, including their respective donees, transferees, pledgees or other
successors-in-interest directly to purchasers or to or through underwriters,
broker-dealers or through agents. Sales may be made from time to time on the
American Stock Exchange, any other exchange upon which our shares may trade in
the future, in the over-the-counter market or otherwise, at market prices
prevailing at the time of sale, at prices related to market prices, or at
negotiated or fixed prices. The shares may be sold by one or more of, or a
combination of, the following:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 39.6pt;text-indent:-19.8pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>A block trade
in which the broker-dealer so engaged will attempt to sell the shares as agent
but may position and resell a portion of the block as principal to facilitate
the transaction (including crosses in which the same broker acts as agent for
both sides of the transaction);</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 39.6pt;text-indent:-19.8pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Purchases
by a broker-dealer as principal and resale by such broker-dealer, including
resales for its account, pursuant to this prospectus;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 39.6pt;text-indent:-19.8pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Ordinary
brokerage transactions and transactions in which the broker solicits purchases;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 39.6pt;text-indent:-19.8pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Through
options, swaps or derivatives;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 39.6pt;text-indent:-19.8pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>In
privately negotiated transactions;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 39.6pt;text-indent:-19.8pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>In making
short sales or in transactions to cover short sales; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 39.6pt;text-indent:-19.8pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Put or call
option transactions relating to the shares.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The selling stockholders may effect these transactions
by selling shares directly to purchasers or to or through broker-dealers, which
may act as agents or principals.&#160; These
broker-dealers may receive compensation in the form of discounts, concessions
or commissions from the selling stockholders and/or the purchasers of shares
for whom such broker-dealers may act as agents or to whom they sell as
principals, or both (which compensation as to a particular broker-dealer might
be in excess of customary commissions).&#160;
The selling stockholders have advised us that they have not entered into
any agreements, understandings or arrangements with any underwriters or
broker-dealers regarding the sale of their securities.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The selling stockholders may enter into hedging
transactions with broker-dealers or other financial institutions.&#160; In connection with those transactions, the
broker-dealers or other financial institutions may engage in short sales of the
shares or of securities convertible into or exchangeable for the shares in the
course of hedging positions they assume with the selling stockholders.&#160; The selling stockholders may also enter into
options or other transactions with broker-dealers or other financial
institutions which require the delivery of shares offered by this prospectus to
those broker-dealers or other financial institutions. The broker-dealer or
other financial institution may then resell the shares pursuant to this
prospectus (as amended or supplemented, if required by applicable law, to
reflect those transactions).</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The selling stockholders and any broker-dealers that
act in connection with the sale of shares may be deemed to be &#147;underwriters&#148;
within the meaning of Section&nbsp;2(11) of the Securities Act of 1933, and any
commissions received by broker-dealers or any profit on the resale of the
shares sold by them while acting as principals may be deemed to be underwriting
discounts or commissions under the Securities Act.&#160; The selling stockholders may agree to
indemnify any agent, dealer or broker-dealer that participates in transactions
involving sales of the shares against liabilities, including liabilities
arising under the Securities Act.&#160; We
have agreed to indemnify each of the selling stockholders and each selling
stockholder has agreed, severally and not jointly, to indemnify us against some
liabilities in connection with the offering of the shares, including
liabilities arising under the Securities Act.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The selling stockholders will be subject to the
prospectus delivery requirements of the Securities Act.&#160; We have informed the selling stockholders
that the anti-manipulative provisions of Regulation&nbsp;M promulgated under
the Securities Exchange Act of 1934 may apply to their sales in the market.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Selling stockholders also may resell all or a portion
of the shares in open market transactions in reliance upon Rule&nbsp;144 under
the Securities Act, provided they meet the criteria and conform to the
requirements of Rule&nbsp;144.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:39.6pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Upon being notified by a selling stockholder that a
material arrangement has been entered into with a broker-dealer for the sale of
shares through a block trade, special offering, exchange distribution or
secondary distribution or a purchase by</font></p>


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<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">a
broker or dealer, we will file&nbsp;a supplement to this prospectus, if
required pursuant to Rule&nbsp;424(b) under the Securities Act, disclosing:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
name of each such selling stockholder and of the participating
broker-dealer(s);</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
number of shares involved;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
initial price at which the shares were sold;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
commissions paid or discounts or concessions allowed to the broker-dealer(s),
where applicable;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>That
such broker-dealer(s) did not conduct any investigation to verify the
information set out or incorporated by reference in this prospectus; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Other
facts material to the transactions.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">In addition, if required under applicable law or the
rules or regulations of the Commission, we will file&nbsp;a supplement to this
prospectus when a selling stockholder notifies us that a donee or pledgee
intends to sell more than 500 shares of common stock.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We are paying all expenses and fees in connection with
the registration of the shares. The selling stockholders will bear all
brokerage or underwriting discounts or commissions paid to broker-dealers in
connection with the sale of the shares.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">LEGAL
MATTERS</font></b><a name="LegalMatters_021100"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The validity of the issuance of the shares offered by
this prospectus will be passed upon for us by Kirkpatrick &amp; Lockhart
Preston Gates Ellis LLP, Los Angeles, California.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">EXPERTS</font></b><a name="Experts_021101"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The consolidated financial statements of Inovio
Biomedical Corporation incorporated by reference in Inovio Biomedical
Corporation&#146;s Annual Report (Form 10-K) for the year ended December 31, 2006,
and Inovio Biomedical Corporation management&#146;s assessment of the effectiveness
of internal control over financial reporting as of December 31, 2006 included
therein, have been audited by Ernst &amp; Young LLP, independent registered
public accounting firm, as set forth in their reports thereon, included
therein, and incorporated herein by reference. Such consolidated financial
statements and management&#146;s assessment are incorporated herein by reference in
reliance upon such reports given on the authority of such firm as experts in
accounting and auditing.</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><strong><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">DISCLOSURE OF
COMMISSION POSITION ON</font></b></strong><a name="DisclosureOfCommissionPositionOn_021107"></a></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><strong><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">INDEMNIFICATION FOR SECURITIES ACT LIABILITIES</font></b></strong></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Insofar as
indemnification for liabilities arising under the Securities Act of 1933, as
amended, may be permitted to our directors, officers or persons controlling us,
we have been advised that it is the SEC&#146;s opinion that such indemnification is
against public policy as expressed in the Securities Act of 1933, as amended,
and is, therefore, unenforceable.</font></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">WHERE
YOU CAN FIND MORE INFORMATION</font></b><a name="WhereYouCanFindMoreInformation_021108"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We file annual, quarterly and special reports, along
with other information with the SEC.&#160; You
may read and copy any document we file at the public reference facilities
maintained by the SEC at 100 F Street, N.E., Washington, D.C. 20549.&nbsp;
Please call the SEC at 1-800-SEC-0330 for further information on the public
reference rooms.&nbsp; Our common stock is traded on The American Stock
Exchange.&nbsp; You may inspect reports and other information concerning us at
the offices of the American Stock Exchange, Inc., 86 Trinity Place, New York,
New York 10006.&nbsp; These filings and other information may also be inspected
without charge at a Web site maintained by the SEC.&nbsp; The address of the
site is http://www.sec.gov.</font></p>


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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INCORPORATION
OF CERTAIN DOCUMENTS BY REFERENCE</font></b><a name="IncorporationOfCertainDocumentsBy_021113"></a></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">This prospectus is part of a registration statement
filed with the SEC.&nbsp; The SEC allows us to &#147;incorporate by reference&#148; into
this prospectus the information that we file with them, which means that we can
disclose important information to you by referring you to those
documents.&nbsp; The information incorporated by reference is considered to be
part of this prospectus, and information that we file later with the SEC will
automatically update and supersede this information.&nbsp; The following
documents were filed with the SEC pursuant to the Exchange Act and are
incorporated by reference and made a part of this prospectus:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our
Annual Report on Form&nbsp;10-K for the year ended December&nbsp;31, 2006 filed
with the SEC on March 16, 2007;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our
Quarterly Report on Form&nbsp;10-Q for the quarter ended March 31, 2007, filed
with the SEC on May 9, 2007;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our
Current Reports on Form&nbsp;8-K filed with the SEC on March 16, 2007 and April
3, 2007;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>our
definitive proxy statement filed with the SEC on April 3, 2007; and</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 72.0pt;text-indent:-36.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>the
description of our capital stock contained in our registration statement on
Form&nbsp;8-A filed with the SEC on December&nbsp;4, 1998, including any
amendment or report filed for the purpose of updating such description.</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The documents listed above and all documents that we
file with the SEC under Sections&nbsp;13(a), 13(c), 14 or 15(d) of the
Securities Exchange Act of 1934 subsequent to the date of this initial
registration statement and prior to effectiveness of this registration
statement, or prior to the filing of a post-effective amendment that indicates
that all securities offered herein have been sold or which deregisters all
securities remaining unsold, shall be deemed to be incorporated by reference
into this prospectus and to be a part hereto from the date of filing such
documents.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Any statement contained in a document that is
incorporated by reference will be modified or superseded for all purposes to
the extent that a statement contained in this prospectus, or in any other
document that is subsequently filed with the SEC and incorporated by reference,
modifies or is contrary to that previous statement.&nbsp; Any statement so
modified or superseded will not be deemed a part of this prospectus except as
so modified and superseded.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">We will provide without charge to each person to whom
this prospectus is delivered, upon oral or written request, a copy of any or
all of the foregoing documents incorporated herein by reference (other than
exhibits to such documents unless such exhibits are specifically incorporated
by reference into the information that this prospectus incorporates). Written
or telephone requests should be directed to Shareholder Relations at Inovio
Biomedical Corporation, 11494 Sorrento Valley Road, San Diego, CA 92121-1318,
telephone number (858)&nbsp;597-6006.&#160;
Our website address is www.inovio.com.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">You should rely only on the information contained or
incorporated by reference in this prospectus or any prospectus
supplement.&nbsp; We have not authorized anyone else to provide you with
different or additional information.&nbsp; The selling stockholders will not
make an offer of these shares in any state where the offer is not
permitted.&nbsp; You should not assume that the information in this prospectus
or any supplement is accurate as of any date other than the date of those
documents.</font></p>


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<p style="margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Prospective purchasers may rely only on the information
contained in this prospectus.&#160; Neither
Inovio Biomedical Corporation nor the selling shareholders have authorized
anyone to provide prospective purchasers with information different from that
contained or incorporated by reference in this prospectus.&#160; This prospectus is not an offer to sell nor
is it seeking an offer to buy the shares of common stock being offered hereby
in any jurisdiction where the offer or sale is not permitted.&#160; The information contained in this prospectus
is correct only as of the date of this prospectus, regardless of the time of
the delivery of this prospectus or any sale of common stock.</font></b></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">165,000 shares of Common Stock</font></b></p>

<div style="line-height:9.0pt;margin:0pt 0pt 12.0pt;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">REOFFER PROSPECUTS</font></b></p>

<div style="line-height:9.0pt;margin:0pt 0pt 12.0pt;text-align:center;"><hr size="1" width="160" noshade color="black" align="center" style="width:120.0pt;"></div>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">May 15, 2007</font></b></p>

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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PART II</font></b></p>

<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INFORMATION REQUIRED IN THE
REGISTRATION STATEMENT</font></b></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 16.0pt;text-indent:-16.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 3.</font></b><b><font size="4" style="font-size:14.0pt;font-weight:bold;">&#160; </font>Incorporation of Documents by
Reference.</b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The following documents filed by the Registrant with
the Securities and Exchange Commission (the &#147;Commission&#148;) pursuant to the
Securities Exchange Act of 1934, as amended (the &#147;Exchange Act&#148;), are
incorporated by reference into this Registration Statement:</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a) the Registrant&#146;s Quarterly Report on Form 10-Q for
the three months ended March 31, 2007 filed with the Commission on May 9, 2007;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b) the Registrant&#146;s Annual Report on Form 10-K for
the year ended December 31, 2006 filed with the Commission on March 16, 2007;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c) the Registrant&#146;s Proxy Statement on Schedule 14A
filed with the Commission on April 3, 2007;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d) the Registrant&#146;s Current Reports on Form 8-K filed
with the Commission on March 16, 2007 and April 3, 2007;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-autospace:none;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(e) the description of the Registrant&#146;s common stock
contained in Registrant&#146;s Registration Statement on Form 8-A, as filed with the
Commission on December 4, 1998 under the Exchange Act, including any amendment
or report filed for the purpose of updating such description; and</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(f) all documents subsequently filed by the Registrant
with the Commission pursuant to Sections 13(a), 13(c), 14 and 15(d) under the
Securities Exchange Act of 1934, as amended (the &#147;Exchange Act&#148;) after the date
of this Registration Statement, but prior to the filing of a post-effective
amendment to this Registration Statement that indicates that all securities
offered hereby have been sold or that deregisters all securities then remaining
unsold, shall be deemed to be incorporated by reference in this Registration
Statement. Each document incorporated by reference into this Registration
Statement shall be deemed to be a part of this Registration Statement from the
date of filing of such document with the Commission until the information
contained therein is superseded or updated by any subsequently filed document
which is incorporated by reference into this Registration Statement or by any
document which constitutes part of the prospectus relating to the Plan meeting
the requirements of Section 10(a) of the Securities Act.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 16.0pt;text-indent:-16.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 4.</font></b><b><font size="4" style="font-size:14.0pt;font-weight:bold;">&#160; </font>Description of Securities.</b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Not
applicable.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 16.0pt;text-indent:-16.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 5.</font></b><b><font size="4" style="font-size:14.0pt;font-weight:bold;">&#160; </font>Interests of Named Experts and
Counsel.</b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">None.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 16.0pt;text-indent:-16.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 6.</font></b><b><font size="4" style="font-size:14.0pt;font-weight:bold;">&#160; </font>Indemnification of Directors and
Officers.</b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Under Section 145 of the Delaware General Corporation
Law (the &#147;DGCL&#148;), a corporation has the power to indemnify its directors and
officers under certain prescribed circumstances and, subject to certain
limitations, against certain costs and expenses, including attorneys&#146; fees,
judgments, fines and amounts paid in settlement, actually and reasonably
incurred in connection with any threatened, pending or completed action, suit
or proceeding, whether criminal, civil, administrative or investigative, to
which any of them is a party by reason of his being a director or officer of
the corporation if it is determined that he acted in accordance with the
applicable standard of conduct set forth in such statutory provision. The
Registrant&#146;s Certificate of Incorporation provides that, pursuant to the DGCL,
its directors shall not be liable for monetary damages for breach of the
directors&#146; fiduciary duty of care to us and our stockholders. This provision in
the Certificate of Incorporation does not eliminate the duty of care, and in
appropriate circumstances equitable remedies such as injunctive or other forms
of non-monetary relief will remain available under Delaware law. In addition,
each director will continue to be subject to liability for breach of the
director&#146;s duty of loyalty to the Registrant of its stockholders, for acts or
omissions not in good faith or involving intentional misconduct or knowing
violations of the law, for actions leading to improper personal benefit to the
director, and for payment of dividends or approval of stock repurchases or
redemptions that are unlawful under Delaware law. The provision also does not
affect a director&#146;s responsibilities under any other law, such as the federal
securities laws or state or federal environmental laws.</font></p>


 <p style="font-size:10.0pt;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">II-</font><font face="Times New Roman">1</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 7 of the Registrant&#146;s Bylaws provides that the
Registrant will indemnify, to the fullest extent authorized by the DGCL, each
person who was or is made a party or is threatened to be made a party to or is
involved in any action, suit or proceeding, whether civil, criminal,
administrative or investigative, by reason of the fact that he or she is or was
a director or officer of the Registrant, whether the basis of such proceeding
is alleged action in an official capacity as a director or officer or in any
other capacity while serving as a director or officer against all expenses,
liability and loss reasonably incurred or suffered by such person in connection
therewith. The Registrant also has directors&#146; and officers&#146; liability
insurance.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 16.0pt;text-indent:-16.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 7.</font></b><b><font size="4" style="font-size:14.0pt;font-weight:bold;">&#160; </font>Exemption from Registration
Claimed.</b></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The securities that are to be reoffered or resold
pursuant to this registration statement were issued pursuant to the 2007
Omnibus Incentive Plan in transactions that were exempt from registration pursuant
to Section 4(2) of the Securities Act of 1933.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 16.0pt;text-indent:-16.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 8.</font></b><b><font size="4" style="font-size:14.0pt;font-weight:bold;">&#160; </font>Exhibits.</b></p>

<table border="0" cellspacing="0" cellpadding="0" style="border-collapse:collapse;font-family:Times New Roman;margin-left:36.0pt;">
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p align="left" style="font-size:8.0pt;font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:left;"><!-- SET mrlHTMLTableLeft --><!-- SET mrlNoTableShading -->No.</p>
  </td>
  <td width="17" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="573" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Description</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.1</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Certificate of Incorporation (incorporated by
  reference to Exhibit 3.1 of the Registrant&#146;s Registration Statement on Form
  S-3 (File No. 333-108752) filed on September 12, 2003)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.2</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Certificate of Amendment to Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  September 10, 2004 (incorporated by reference to Exhibit 3.1 of the
  Registrant&#146;s Current Report on Form 8-K filed September&nbsp;16, 2004)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.3</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Certificate of Amendment of the Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  March 31, 2005 (incorporated by reference to Exhibit 3.1 of the Registrant&#146;s
  Current Report on Form 8-K filed on April 4, 2005)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.4</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Amended and Restated Bylaws (incorporated by
  reference to Exhibit 3.2 of the Registrant&#146;s Form 10-Q filed on November 13,
  2002)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.5</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Amended and Restated Bylaws, as amended through
  August 12, 2005 (incorporated by reference to Exhibit 3.2 of the Current
  Report on Form 8-K filed on August 17, 2005)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.1</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Amended and Restated Stockholders Rights Agreement
  dated June 20, 1997 by and between the Registrant and Computershare Trust
  Company of Canada, as amended on March 25, 2003 (incorporated by reference to
  Exhibit A to the Registrant&#146;s Definitive Proxy Statement filed on April 28,
  2003).</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.2</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Inovio Biomedical Corporation 2007 Omnibus Stock
  Incentive Plan</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.3</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Form of Restricted Stock Award Grants under the 2007
  Omnibus Stock Incentive Plan</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.4</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Form of Incentive and Non-Qualified Stock Option
  Grants under the 2007 Omnibus Stock Incentive Plan</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5.1</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Opinion of Kirkpatrick &amp; Lockhart Preston Gates
  Ellis LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.1</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Kirkpatrick &amp; Lockhart Preston Gates
  Ellis LLP (included in Exhibit 5.1)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.2</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Independent Registered Public Accounting
  Firm</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="37" valign="top" style="padding:0pt .7pt 0pt 0pt;width:27.45pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">24.1</font></p>
  </td>
  <td width="17" valign="top" style="padding:0pt .7pt 0pt 0pt;width:12.4pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="573" valign="top" style="padding:0pt .7pt 0pt 0pt;width:429.5pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Power of Attorney (included on signature page)</font></p>
  </td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>


 <p style="font-size:10.0pt;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">II-</font><font face="Times New Roman">2</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt 16.0pt;text-indent:-16.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 9.</font></b><b><font size="4" style="font-size:14.0pt;font-weight:bold;">&#160; </font>Undertakings.</b></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)</font><font size="4" style="font-size:14.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>The undersigned registrant
hereby undertakes:</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:72.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(1)</font><font size="4" style="font-size:14.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>To file, during any period
in which offers or sales are being made, a post-effective amendment to this
Registration Statement;</p>

<p style="margin:0pt 0pt 12.0pt;text-indent:108.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(i) To include any
prospectus required by Section 10(a)(3) of the Securities Act;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:108.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(ii) To reflect in
the prospectus any facts or events arising after the effective date of this
Registration Statement (or the most recent post-effective amendment thereof)
which, individually or in the aggregate, represent a fundamental change in the
information set forth in this registration statement;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:108.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii) To include
any material information with respect to the plan of distribution not
previously disclosed in this Registration Statement or any material change to
such information in this Registration Statement;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">provided, however,
that paragraphs (a)(1)(i) and (a)(1)(ii) do not apply if the information
required to be included in a post-effective amendment by those paragraphs is
contained in periodic reports filed with or furnished to the Commission by the
Registrant pursuant to Section 13 or 15(d) of the Exchange Act that are
incorporated by reference in this Registration Statement.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:72.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(2)</font><font size="4" style="font-size:14.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>That, for the purpose of
determining any liability under the Securities Act, each such post-effective amendment
shall be deemed to be a new registration statement relating to the securities
offered therein, and the offering of such securities at that time shall be
deemed to be the initial bona fide offering thereof.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:72.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(3)</font><font size="4" style="font-size:14.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>To remove from registration
by means of a post-effective amendment any of the securities being registered
which remain unsold at the termination of the offering.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)</font><font size="4" style="font-size:14.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>The undersigned registrant
hereby undertakes that, for purposes of determining any liability under the
Securities Act, each filing of the registrant&#146;s annual report pursuant to
Section 13(a) or Section 15(d) of the Exchange Act that is incorporated by
reference in this Registration Statement shall be deemed to be a new
registration statement relating to the securities offered herein, and the
offering of such securities at that time shall be deemed to be the initial bona
fide offering thereof.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(h)</font><font size="4" style="font-size:14.0pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>Insofar as indemnification
for liabilities arising under the Securities Act may be permitted to directors,
officers and controlling persons of the Registrant pursuant to the foregoing
provisions, or otherwise, the Registrant has been advised that in the opinion
of the Commission such indemnification is against public policy as expressed in
the Securities Act and is, therefore, unenforceable. In the event that a claim
for indemnification against such liabilities (other than the payment by the
Registrant of expenses incurred or paid by a director, officer or controlling
person of the Registrant in the successful defense of any action, suit or
proceeding) is asserted by such director, officer or controlling person in
connection with the securities being registered, the Registrant will, unless in
the opinion of its counsel the matter has been settled by controlling
precedent, submit to a court of appropriate jurisdiction the question whether
such indemnification by it is against public policy as expressed in the
Securities Act and will be governed by the final adjudication of such issue.</p>


 <p style="font-size:10.0pt;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">II-</font><font face="Times New Roman">3</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="margin:0pt 0pt 12.0pt;text-align:center;text-indent:36.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SIGNATURES</font></b></p>

<p style="margin:0pt 0pt 12.0pt;text-autospace:none;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Pursuant to the
requirements of the Securities Act of 1933, the Registrant certifies that it
has reasonable grounds to believe that it meets all of the requirements for
filing on Form S-8 and has duly caused this Registration Statement to be signed
on its behalf by the undersigned, thereunto duly authorized, in the City of San
Diego, State of California on this 14th day of May, 2007.</font></p>

<table border="0" cellspacing="0" cellpadding="0" style="border-collapse:collapse;font-family:Times New Roman;">
 <tr style="page-break-inside:avoid;">
  <td width="306" valign="top" style="padding:0pt .7pt 0pt 0pt;width:229.8pt;">
  <p style="font-size:10.0pt;margin:0pt 0pt .0001pt;"><!-- SET mrlHTMLTableLeft --><!-- SET mrlNoTableShading --></p>
  </td>
  <td width="365" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:274.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">INOVIO BIOMEDICAL CORPORATION</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="352" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:263.8pt;">
  <p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="24" valign="top" style="padding:0pt .7pt 0pt 0pt;width:18.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="174" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:130.45pt;">
  <p style="margin:0pt 0pt .0001pt 20.0pt;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Avtar
  Dhillon M.D.</font></p>
  </td>
  <td width="154" valign="top" style="padding:0pt .7pt 0pt 0pt;width:115.35pt;">
  <p style="margin:0pt 0pt .0001pt 20.0pt;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="24" valign="top" style="padding:0pt .7pt 0pt 0pt;width:18.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="328" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:245.8pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Avtar Dhillon, M.D.</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="24" valign="top" style="padding:0pt .7pt 0pt 0pt;width:18.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="328" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:245.8pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President and Chief Executive Officer</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="352" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:263.8pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="352" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:263.8pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="24" valign="top" style="padding:0pt .7pt 0pt 0pt;width:18.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="174" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:130.45pt;">
  <p style="margin:0pt 0pt .0001pt 20.0pt;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Peter D.
  Kies</font></p>
  </td>
  <td width="154" valign="top" style="padding:0pt .7pt 0pt 0pt;width:115.35pt;">
  <p style="margin:0pt 0pt .0001pt 20.0pt;text-indent:-10.0pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="24" valign="top" style="padding:0pt .7pt 0pt 0pt;width:18.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="328" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:245.8pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Peter D. Kies</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="320" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:240.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="24" valign="top" style="padding:0pt .7pt 0pt 0pt;width:18.0pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="328" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:245.8pt;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chief Financial Officer</font></p>
  </td>
 </tr>
 <tr height="0">
  <td width="306" style="border:none;"></td>
  <td width="14" style="border:none;"></td>
  <td width="24" style="border:none;"></td>
  <td width="174" style="border:none;"></td>
  <td width="154" style="border:none;"></td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>

<p style="margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">POWER OF ATTORNEY</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature
appears below constitutes and appoints Avtar Dhillon, M.D., as his or her true
and lawful attorney-in-fact and agent, with full power of substitution for him
or her in any and all capacities, to sign any and all amendments (including
post-effective amendments) to this Registration Statement, and to file the
same, with all exhibits thereto, and other documents in connection therewith,
with the Securities and Exchange Commission, granting unto said
attorneys-in-fact and agents, and each of them, full power and authority to do
and perform each and every act and thing requisite and necessary to be done in
connection therewith, as fully to all intents and purposes as he might or could
do in person, hereby ratifying and confirming all that said attorneys-in-fact
and agents, or any of them, or their or his substitute or substitutes, may
lawfully do or cause to be done by virtue hereof.</font></p>

<p style="margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Pursuant to the requirements of the Securities Exchange Act of 1933, as
amended, this Registration Statement has been signed by the following persons
on behalf of the issuer in the capacities and on the dates indicated.</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p align="left" style="font-size:8.0pt;font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:left;"><!-- SET mrlNoTableShading -->Signature</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="42%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Capacity</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="20%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Date</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="27%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:27.26%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Avtar
  Dhillon, M.D.</font></p>
  </td>
  <td width="5%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.84%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President and Chief Executive Officer,</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">May 14, 2007</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Avtar Dhillon,
  M.D.,</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="27%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:27.26%;">
  <p style="font-size:10.0pt;margin:0pt 0pt .0001pt;"><!-- SET mrlNoTableShading -->/s/ James L. Heppell</p>
  </td>
  <td width="5%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.84%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chairman of the Board and a Director</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">May 14, 2007</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">James L. Heppell</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="27%" colspan="2" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:27.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Riaz Bandali</font></p>
  </td>
  <td width="5%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.72%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">May 14, 2007</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Riaz Bandali</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="27%" colspan="3" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:27.48%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Simon X.
  Benito</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.6%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">May 14, 2007</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Simon X. Benito</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="27%" colspan="2" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:27.38%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Tazdin
  Esmail</font></p>
  </td>
  <td width="5%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.72%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">May 14, 2007</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Tazdin Esmail</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="27%" colspan="3" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:27.48%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Robert W.
  Rieder</font></p>
  </td>
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.6%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Director</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">May 14, 2007</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="33%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:33.08%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Robert W. Rieder</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.14%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="42%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.12%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="20%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:20.16%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr height="0">
  <td width="204" style="border:none;"></td>
  <td width="1" style="border:none;"></td>
  <td width="1" style="border:none;"></td>
  <td width="42" style="border:none;"></td>
  <td width="16" style="border:none;"></td>
  <td width="315" style="border:none;"></td>
  <td width="19" style="border:none;"></td>
  <td width="151" style="border:none;"></td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>


 <p style="font-size:10.0pt;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">II-</font><font face="Times New Roman">4</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="margin:0pt 12.0pt 12.0pt 0pt;text-align:center;"><b><u><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">EXHIBITS
INDEX</font></u></b></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p align="left" style="font-size:8.0pt;font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:left;"><!-- SET mrlNoTableShading -->No.</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="91%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Description</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Certificate of Incorporation (incorporated by
  reference to Exhibit 3.1 of the Registrant&#146;s Registration Statement on Form
  S-3 (File No. 333-108752) filed on September 12, 2003)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.2</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Certificate of Amendment to Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  September 10, 2004 (incorporated by reference to Exhibit 3.1 of the
  Registrant&#146;s Current Report on Form 8-K filed September&nbsp;16, 2004)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.3</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Certificate of Amendment of the Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  March 31, 2005 (incorporated by reference to Exhibit 3.1 of the Registrant&#146;s
  Current Report on Form 8-K filed on April 4, 2005)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.4</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Amended and Restated Bylaws (incorporated by
  reference to Exhibit 3.2 of the Registrant&#146;s Form 10-Q filed on November 13,
  2002)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.5</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Amended and Restated Bylaws, as amended through
  August 12, 2005 (incorporated by reference to Exhibit 3.2 of the Current
  Report on Form 8-K filed on August 17, 2005)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Amended and Restated Stockholders Rights Agreement
  dated June 20, 1997 by and between the Registrant and Computershare Trust
  Company of Canada, as amended on March 25, 2003 (incorporated by reference to
  Exhibit A to the Registrant&#146;s Definitive Proxy Statement filed on April 28,
  2003).</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.2</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Inovio Biomedical Corporation 2007 Omnibus Stock
  Incentive Plan</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.3</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Form of Restricted Stock Award Grants under the 2007
  Omnibus Stock Incentive Plan</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.4</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Form of Incentive and Non-Qualified Stock Option
  Grants under the 2007 Omnibus Stock Incentive Plan</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Opinion of Kirkpatrick &amp; Lockhart Preston Gates
  Ellis LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Kirkpatrick &amp; Lockhart Preston Gates
  Ellis LLP (included in Exhibit 5.1)</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">23.2</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Consent of Independent Registered Public Accounting
  Firm</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="5%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:5.94%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">24.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.74%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.32%;">
  <p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Power of Attorney (included on signature page)</font></p>
  </td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>


 <p style="font-size:10.0pt;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">II-</font><font face="Times New Roman">5</font></p>
</div><br><hr size="3" width="100%" noshade color="#010101" align="center">

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[{"type": "S-8", "sequence": "1", "filename": "a07-14196_1s8.htm", "description": "S-8", "secsgml_size_bytes": 321796}]
{"company-data": {"conformed-name": "INOVIO BIOMEDICAL CORP", "cik": "0001055726", "assigned-sic": "3841", "irs-number": "330024450", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "S-8", "act": "33", "file-number": "333-142938", "film-number": "07847742"}, "business-address": {"street1": "11494 SORRENTO VALLEY ROAD", "city": "SAN DIEGO", "state": "CA", "zip": "92121-1318", "phone": "858 597-6006"}, "mail-address": {"street1": "11494 SORRENTO VALLEY ROAD", "city": "SAN DIEGO", "state": "CA", "zip": "92121-1318"}, "former-company": [{"former-conformed-name": "GENETRONICS BIOMEDICAL CORP", "date-changed": "20011116"}, {"former-conformed-name": "GENETRONICS BIOMEDICAL LTD", "date-changed": "19980213"}]}
As Filed with the Securities and Exchange Commission on May 14, 2007
Registration No. 333-
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM S-8
REGISTRATION STATEMENT UNDER THE
SECURITIES ACT OF 1933
INOVIO
BIOMEDICAL CORPORATION
(Exact
Name of Registrant as Specified in its Charter)
Delaware
33-0969592
(State or other
  jurisdiction of incorporation or
organization)
(I.R.S. Employer
  Identification No.)
11494
Sorrento Valley Road
San
Diego, California 92121-1318
(858)
597-6006
(Address of Principal
Executive Offices and Zip Code)
INOVIO BIOMEDICAL CORPORATION 2007 OMNIBUS INCENTIVE PLAN
(Full Title of the Plans)
Avtar Dhillon, M.D.
Chief Executive Officer and President
11494 Sorrento Valley Road
San Diego, California 92121
Telephone (858) 597-6006
Facsimile (858) 597-0451
(Name, address, including
zip code, and telephone number, including area code, of agent for service)
Copies to
Mark A. Klein, Esq.
Shoshannah D. Katz, Esq.
Kirkpatrick & Lockhart Preston Gates Ellis LLP
10100 Santa Monica Blvd., 7th Floor
Los Angeles, CA 
90067
Telephone (310) 552-5000
Facsimile (310)
552-5001
CALCULATION OF REGISTRATION FEE
Title of securities to be registered
Amount to be
registered (1)
Proposed
maximum offering
price
per share(2)
Proposed
maximum
aggregate offering
price
Amount of
registration fee
Common Stock, par value
  $0.001 per share (3)
629,006
$
3.795
$
2,387,078
$
73.28
Common Stock, par value
  $0.001 per share (3)
120,994
(4)
$
3.795
$
459,172
$
14.10
$
87.38
(5)
(1)  This
Registration Statement also registers additional securities to be offered or
issued upon adjustments or changes made to registered securities by reason of
any stock splits, stock dividends or similar transactions as permitted by Rule
416(a) and Rule 416(b) under the Securities Act of 1933, as amended (the "Securities
Act").
(2)  Estimated
solely for the purpose of calculating the registration fee pursuant to Rule
457(c) and (h).  The fee is calculated on
the basis of the average of the high and low prices for the Registrant's Common
Stock reported on the American Stock Exchange on May 3, 2007 for the restricted
stock grants made effective as of May 4, 2007, and the average of the high and
low prices for the Registrant's Common Stock reported on the American Stock
Exchange on May 10, 2007 for those awards not yet granted.
(3)  Each share
of common stock issuable pursuant to the Plan includes an associated right to
purchase common stock in accordance with registrant's Amended and Restated
Shareholder Rights Agreement.
(4)  In accordance
with Instruction E of Form S-8, in addition to the 629,006 new shares of the
Registrant's common stock being registered hereunder, the Registrant hereby
carries forward, and this Registration Statement shall be deemed to apply to
120,994 shares of the Registrant's common stock previously registered, but not
used, under a Registration Statement on Form S-8 (File No. 333-136126) filed by
the Registrant on July 28, 2006 (the "2000 Amended Plan Registration Statement")
registering shares of the Registrant's common stock to be offered under the
Registrant's Amended 2000 Stock Option Plan. 
In conjunction with the filing of this Registration Statement, the
Registrant is filing a Post-Effective Amendment to the 2000 Amended Plan
Registration Statement acknowledging the transfer of shares to this
Registration Statement.
(5)  Aggregate
registration fees of $220.46 were paid in connection with the shares of the
Registrant's common stock registered under the 2000 Amended Plan Registration
Statement on July 28, 2006, of which $26.28 is applied hereto.  See footnote 4.  As a result, the total registration fee due
and payable with this registration statement is $61.10.
EXPLANATORY NOTE
Inovio Biomedical
Corporation (the "Company") has prepared this Registration Statement in
accordance with the requirements of Form S-8 under the Securities Act of 1933,
as amended (the "1933 Act"), to register shares of its Common Stock that may be
issued pursuant to awards granted under the Inovio Biomedical Corporation 2007
Omnibus Incentive Plan (the "2007 Plan"). 
This registration statement also includes a reoffer prospectus.  The Reoffer Prospectus may be utilized for
reofferings and resales on a continuous or a delayed basis in the future of up
to 165,000 shares of Common Stock that constitute "restricted securities" which
were granted to the selling stockholders under the 2007 Plan prior to the
filing of this registration statement.  The reoffer prospectus does not contain all of
the information included in the registration statement, certain items of which
are contained in exhibits to the registration statement as permitted by the
rules and regulations of the Securities and Exchange Commission.  Statements contained in this reoffer
prospectus as to the contents of any agreement, instrument or other document
referred to are not necessarily complete. 
With respect to each such agreement, instrument or other document filed
as an exhibit to the registration statement, we refer you to the exhibit for a
more complete description of the matter involved, and each such statement shall
be deemed qualified in its entirety by this reference.
PART I
INFORMATION REQUIRED IN THE SECTION
10(a) PROSPECTUS
The documents containing
information specified in Part I of Form S-8 are being separately provided to
Inovio
Biomedical Corporation's (the "Registrant")
employees, officers, directors, consultants and advisors as specified by Rule
428(b)(1) of the Securities Act of 1933, as amended.
INOVIO
BIOMEDICAL CORPORATION
165,000
SHARES OF COMMON STOCK
REOFFER
PROSPECTUS
This prospectus relates to 165,000 shares of common
stock of Inovio Biomedical Corporation that may be sold from time to time by
the selling stockholders named in this prospectus beginning on page 17.  We originally issued the shares in connection
with grants made under our 2007 Omnibus Incentive Plan.  The selling stockholders may offer their
shares through public or private transactions, on or off the American Stock
Exchange, at prevailing market prices, or at privately negotiated prices.  For details of how the selling stockholders
may offer their Inovio common stock, please see the section of this
prospectus called "Plan of Distribution" beginning on page 20.  We will not receive any proceeds from the
sales of shares by the selling stockholders.
Our common stock is traded on the American Stock
Exchange under the symbol "INO."  On May
10, 2007, the last reported sale price for our common stock on the American
Stock Exchange was $3.75 per share.
The
securities offered by this prospectus involve a high degree of risk.  See "Risk Factors" beginning on page 4.
Neither the Securities and Exchange Commission nor any state
securities commission has approved or disapproved of these securities or
determined if this prospectus is truthful or complete.  Any representation to the contrary is a
criminal offense.
This prospectus is dated May 14, 2007
Table of Contents
Disclosure Regarding
  Forward-Looking Statements
Prospectus Summary
Risk Factors
Additional or Updated Risk Factors
Use of Proceeds
Selling
  Stockholders
Plan
  of Distribution
Legal Matters
Experts
Disclosure of Commission Position on Indemnification
  for Securities Act Liabilities
Where You Can Find More Information
Incorporation
  of Certain Documents by Reference
You should rely only on the information contained or incorporated
by reference in this prospectus or any prospectus supplement.  We have not authorized anyone to provide you
with information different from that contained or incorporated by reference
into this prospectus.  No dealer,
salesperson or other person is authorized to give any information or to
represent anything not contained in this prospectus.  You must not rely on any unauthorized
information or representation.  You should assume that the information contained
in this prospectus or any prospectus supplement is accurate only as of the date
on the front of the document and that any information contained in any document
we have incorporated by reference is accurate only as of the date of the
document incorporated by reference, regardless of the time of delivery of this
prospectus or any prospectus supplement or any sale of a security.  These
documents are not an offer to sell or a solicitation of an offer to buy these
shares of common stock in any circumstances under which the offer or solicitation
is unlawful.
1
DISCLOSURE
REGARDING FORWARD-LOOKING STATEMENTS
This prospectus and the documents and information
incorporated by reference in this prospectus, such as under the heading "About
Inovio" in this prospectus and from Item 1. "Business" and Item 7. "Management's
Discussion and Analysis of Financial Condition and Results of Operations" in
our Annual Report on Form 10-K for the year ended December 31, 2006,
and Item 2. "Management's Discussion and Analysis of Financial Condition and
Results of Operations" in our Quarterly Reports on Form 10-Q for the quarter
ended March 31, 2007, include "forward-looking statements" within the meaning
of section 27A of the Securities Act of 1933, as amended and section 21E
of the Securities Exchange Act of 1934, as amended.  Forward-looking
statements include the information concerning our possible or assumed future
operating results, business strategies, financing plans, competitive position,
industry environment, the anticipated impact on our business and financial
results of recent and future acquisitions, the effects of competition, our
ability to produce new products in a cost-effective manner and estimates
relating to our industry.  Forward-looking statements may be identified by
the use of words like "believes," "intends," "expects," "may," "will," "should"
or "anticipates," or the negative equivalents of those words or comparable
terminology, and by discussions of strategies that involve risks and
uncertainties.
Actual results may differ materially from those
expressed or implied by forward-looking statements for a number of reasons,
including those appearing elsewhere in this prospectus under the heading "Risk
Factors."  In addition, we base forward-looking statements on assumptions
about future events, which may not prove to be accurate.  In light of
these risks, uncertainties and assumptions, you should be aware that the
forward-looking events described in this prospectus and the documents
incorporated by reference in this prospectus may not occur.
2
PROSPECTUS SUMMARY
This summary highlights
information contained elsewhere in this reoffer prospectus.  This summary is not complete and may not
contain all of the information that you should consider before investing in the
securities.
We have filed a registration
statement on Form S-8 with the Securities and Exchange Commission registering
the shares of common stock the selling stockholders are offering by this
prospectus.  This prospectus does not
include all of the information contained in the registration statement and its
exhibits.  We have included all material
terms of the registration statement and the related exhibits that are referred
to in this prospectus.  You should refer
to the registration statement and its exhibits for additional information.
ABOUT INOVIO
We are a San Diego-based biomedical company focused on
commercializing our Selective Electrochemical Tumor Ablation (SECTA) therapy
and development of multiple DNA-based immunotherapies using our delivery
platform for gene-based treatments.
SECTA is our local ablation therapy for solid tumors
designed to selectively kill cancerous cells and minimize cosmetic or
functional impacts to predominantly healthy tissue typically treated around a
tumor. Our SECTA therapy is in Phase III clinical trials in the United States and
Europe for the treatment of recurrent head and neck cancer; and in Phase I/II
clinical trials for the treatment of recurrent breast cancer. In addition, we
are conducting pre-marketing studies for head and neck and skin cancers to
support the commercialization of our SECTA system in Europe. Prior to
commercial sales of our SECTA system in the European Union (EU), we were
required to, and already have obtained, a CE Mark which is recognized
internationally as a symbol of quality and compliance. Completion of the
European pre-marketing studies will provide pharmacoeconomic data which we can
use to seek reimbursement, as well as provide additional efficacy and safety
data and local experience with physicians who are considered thought leaders in
Europe. This pre-marketing data is a vital component for the European
commercial launch of our SECTA system and will represent an important milestone
for us.
In addition, as part of our MedPulser® product line we
have been developing devices for the delivery of DNA for vaccinations and gene
therapy. The flagship of our development efforts involve licensing agreements
with Merck & Co., Inc., Wyeth Pharmaceuticals and Vical, Inc., in which
these companies are supporting the development and registration of their therapies
using our devices. In November 2006, we executed a licensing agreement with VGX
Pharmaceuticals (VGX) for a worldwide non-exclusive license to our DNA
Electroporation Delivery Technology for intratumoral delivery of a proprietary
gene to control the growth of melanoma and other cancers using an HIV sequence.
We also have a collaborative commercialization agreement with Tripep AS to
co-develop a Hepatitis C therapeutic vaccine (HCV). Other activities include
Phase I trials at the H. Lee Moffitt Cancer Center and at the University of
Southampton. As a result of our partnerships in this area, our DNA
Electroporation Delivery Technology is currently being evaluated in four
DNA-based immunotherapies in Phase I clinical studies, and in multiple
pre-clinical studies.
We are developing human therapeutic applications of
electroporation, which uses brief and controlled electrical pulses to increase
both cellular uptake of a useful biopharmaceutical and, in the case of
gene-based treatments, levels of gene expression.
We have an extensive patent portfolio encompassing
electroporation, covering a range of apparatus, methodologies, conditions, and
applications including oncology, gene delivery, vascular, transdermal and ex
vivo.
Our principal executive offices are located at 11494
Sorrento Valley Road, San Diego, California 92121-1318, and our telephone
number is (858) 597-6006. Our website address is www.inovio.com.  Our
American Stock Exchange ticker symbol is "INO."
3
RISK FACTORS
You should carefully consider and
evaluate all of the information in this Reoffer Prospectus in combination with
the more detailed description of our business in our annual report on Form 10-K
for the year ended December 31, 2006, which we filed with the Securities and
Exchange Commission on March 16, 2007, and in our quarterly report on Form 10-Q
for the three months ended March 31, 2007 we filed with the Securities and
Exchange Commission on May 9, 2007, for a more complete understanding of the
risks associated with an investment in our securities.  The following risk factors are not the only
risks that could potentially face our company. 
Additional issues not now known to us or that we may currently deem immaterial
may also impair our ability to commercialize our technology and the therapies
we believe are derivable therefrom resulting in our business outlook being
compromised and the trading price of our common stock declining.
We Have a History of Losses, We
Expect to Continue to Incur Losses and We May Not Achieve or Maintain Profitability.
As of March 31, 2007, we had an
accumulated deficit of $132,840,637. We have operated at a loss since 1994, and
we expect this to continue for some time. The amount of the accumulated deficit
will continue to increase, as it will be expensive to continue clinical,
research and development efforts. If these activities are successful and if we
receive approval from the FDA to market equipment, then even more funding will
be required to market and sell the equipment. The outcome of these matters cannot
be predicted at this time. We are evaluating potential partnerships as an
additional way to fund operations, but there is no assurance we will be able to
secure partnerships that will provide the required funding, if at all. We will
continue to rely on outside sources of financing to meet our capital needs
beyond next year.
Further, there can be no assurance, assuming we
successfully raise additional funds, that we will achieve positive cash flow.
If we are not able to secure additional funding, we will be required to further
scale back our research and development programs, preclinical studies and
clinical trials, general, and administrative activities and may not be able to
continue in business. Including the cash proceeds received from financings, various
licensing payments, the exercise of employee stock options and investor
warrants, we believe we have sufficient funds to fund operations through the
beginning of the third quarter of 2008.
Our Ability to Utilize Our Net
Operating Losses and Certain Other Tax Attributes May Be Limited.
As disclosed in our annual report on Form
10-K for the 2006 fiscal year, we have significant net operating loss (NOL)
carryforwards for both federal and state income tax purposes. We also have
federal research tax carryforwards which begin to expire at the end of 2007
unless previously utilized.  Under
Section 382 of the Internal Revenue Code, if a corporation undergoes an "ownership
change," the corporation's ability to use its pre-change NOLs, research tax
credit carryforwards and other pre-change tax attributes to offset its
post-change income may be limited. An ownership change is generally defined as
a greater than 50% change in its equity ownership by value over a three-year
period. We believe that there are built-in gains inherent in the value of our
assets that, when recognized, may increase this annual limitation during the
five-year period from the date of an ownership change. We are currently
assessing the extent of these built-in gains. Any limitation on our net
operating loss carryforwards that could be used to offset post-ownership change
in taxable income would adversely affect our liquidity and cash flow, as and
when we become profitable.
A Small Number of Licensing
Partners Account for a Substantial Portion of Our Revenue in Each Period and
Our Results of Operations and Financial
Condition Could Suffer if We Lose
These Licensing Partners or Fail to Add Additional Licensing Partners in the
Future
.
We derive a significant portion of
our revenue from a limited number of licensing partners in each period.
Accordingly, if we fail to sign additional future contracts with major
licensing partners, if a licensing contract is delayed or deferred, or if an
existing licensing contract expires or is cancelled and we fail to replace the
contract with new business, our revenue could be adversely affected. Until
commercialization of our Medpulser®
Electroporation Therapy System, we expect
that a limited number of licensing partners will continue to account for a
substantial portion of our revenue in each quarter in the foreseeable
future.  During the three months ended
March 31, 2007, one licensing partner, Merck, accounted for approximately 78%
of our consolidated revenue.  During the
three months ended March 31, 2006, Merck accounted for approximately 60% of our
consolidated revenue.
If We Cannot Maintain Our
Existing Corporate and Academic Arrangements and Enter into New Arrangements,
We May Be Unable to Develop Products Effectively, or at All.
Our strategy for the
research, development and commercialization of our product candidates may
result in us entering into contractual arrangements with corporate
collaborators, academic institutions and others. We have entered into sponsored
research, license and/or collaborative arrangements with several entities,
including Merck, Wyeth, Vical, Valentis, the U.S. Navy, Chiron and the
University of South Florida, as well as numerous other institutions that
conduct clinical trials work or perform pre-clinical research for us. Our success
depends upon our collaborative partners performing their responsibilities under
these arrangements and complying with the regulations and requirements
governing clinical trials. We cannot control the amount and timing of resources
our collaborative partners devote to our research and testing programs or
product candidates, or their compliance
4
with
regulatory requirements which can vary because of factors unrelated to such
programs or product candidates. These relationships may in some cases be
terminated at the discretion of our collaborative partners with only limited
notice to us.
Merck can terminate its May 2004 license and
collaboration agreement with us at any time in its sole discretion, without
cause, by giving ninety days' advance notice to us. If this agreement is
terminated by Merck at any time during the first two years of the collaboration
term, then Merck shall continue, for a six-month period beginning on the date
of such termination, to make payments previously approved by the project's joint
collaboration committee in relation to scientists and outside contractors
engaged by us in connection with the agreement. 
During the three months ended March 31, 2007, Merck accounted for
approximately 78% of our consolidated revenue. 
During the three months ended March 31, 2006, Merck accounted for
approximately 60% of our consolidated revenue.
We may not be able to maintain our existing
arrangements, enter into new arrangements or negotiate current or new
arrangements on acceptable terms, if at all. 
Some of our collaborative partners may also be researching competing
technologies independently from us to treat the diseases targeted by our
collaborative programs.
Changes in Foreign Exchange Rates
May Affect Our Future Operating Results
.
In January 2005, we acquired Inovio AS,
a Norwegian company.  During the three
months ended March 31, 2007, Inovio AS contributed approximately $2,309 to our
revenue, which amounted to approximately 0.5% of our total revenue.
Inovio AS
conducts its operations primarily in foreign currencies, including the Euro,
Norwegian Kroner and Swedish Krona.  In
September 2006, we established Inovio Asia Pte. Ltd., a company
incorporated in the Republic of Singapore, which conducts its operations
primarily in Singapore dollars.  Fluctuation
in the values of these foreign currencies relative to the U.S. dollar will
affect our financial results which are reported in U.S. dollars and will cause
U.S. dollar translation of such currencies to vary from one period to another.  We cannot predict the scope of any
fluctuations in the values of these foreign currencies relative to the U.S.
dollar nor the effect of exchange rate fluctuations upon our future operating
results.
Sales of Substantial Amounts of
Our Shares, or Even the Availability of Our Shares for Sale, in the Open Market
Could Cause the Market Price of our Shares to Decline
.  Under our registration statement that the
Securities and Exchange Commission, or the SEC, declared effective on
May 25, 2006, we have registered with the SEC an aggregate of $75,000,000
of our equity securities that we may issue from time to time, in one or more
offerings at prices and on terms that we will determine at the time of each
offering. Under that so-called "shelf" registration statement, we have registered
multiple kinds of our equity securities, including our common stock, preferred
stock, warrants and a combination of these securities, or units. Through
March 31, 2007, we have "taken-down" from our shelf registration
statement, issued and sold, an aggregate of 4,690,006 shares of our common
stock valued at $11,345,706 and warrants to purchase up to 1,425,919 shares of
our common stock valued at $4,092,388 and, if those warrants are fully
exercised at their exercise price of $2.87, we will have issued an additional
1,425,919 shares of our common stock under that shelf registration statement.
In other words, the shares of common stock we have sold in offerings from our
shelf registration statement represent approximately 15% of the value of the
aggregate equity securities from our shelf registration statement at
March 31, 2007 (20% if the warrants we have sold from our shelf
registration statement are fully exercised).
In addition to the shares and warrants we have issued
from our shelf registration statement, we have also issued 2,201,644 shares of
our common stock and 938,475 warrants to purchase up to 938,475 shares of our
common stock in other recent offerings.
Sales of substantial amounts of our stock at any one
time or from time to time by the investors to whom we have issued them, or even
the availability of these shares for sale, could cause the market price of our
common stock to decline.
We Will Have a Need
For Significant Funds In The Future And There Is No Guarantee That We Will Be
Able To Obtain The Funds We Need.
Developing a new
medical device and conducting clinical trials is expensive. Our product
development efforts may not lead to commercial products, either because our
product candidates fail to be found safe or effective in clinical trials or
because we lack the necessary financial or other resources or relationships to
pursue our programs through commercialization. Our capital and future revenue
may not be sufficient to support the expenses of our operations, the
development of a commercial infrastructure and the conduct of our clinical
trials and pre-clinical research.
Our plans for continuing clinical trials, conducting
research, furthering development and, eventually, marketing our human-use
equipment will involve substantial costs. The extent of our costs will depend
on many factors, including some of the following:
·
The
progress and breadth of pre-clinical testing and the size or complexity of our
clinical trials and drug delivery programs, all of which directly influence
cost;
5
·
Higher
then expected costs involved in complying with the regulatory process to get
our human-use products approved, including the number, size, and timing of
necessary clinical trials and costs associated with the current assembly and
review of existing clinical and pre-clinical information;
·
Higher
then expected costs involved in patenting our technologies and defending them
and pursuing our intellectual property strategy;
·
Changes
in our existing research and development relationships and our ability to enter
into new agreements;
·
Changes
in or terminations of our existing collaboration and licensing arrangements;
·
Faster
than expected rate of progress and changes in the scope and the cost of our
research and development and clinical trial activities;
·
An
increase or decrease in the amount and timing of milestone payments we receive
from collaborators;
·
Higher
than expected costs of preparing an application for FDA approval of our
MedPulser® Electroporation Therapy System;
·
Higher
than expected costs of developing the processes and systems to support FDA
approval of our MedPulser® Electroporation Therapy System;
·
An
increase in our timetable and costs for the development of marketing operations
and other activities related to the commercialization of our
MedPulser® Electroporation Therapy System and our other product
candidates;
·
A
change in the degree of success in our Phase III clinical trial of our
MedPulser® Electroporation Therapy System and in our other clinical
trials;
·
Higher
then expected costs to further develop and scale up our manufacturing
capability of our human-use equipment; and
·
Competition
for our products and our ability, and that of our partners, to commercialize
our products.
We plan to fund operations by several means. We will
attempt to enter into contracts with partners that will fund either general
operating expenses or specific programs or projects. Some funding also may be
received through government grants. However, we may not be able to enter into
any such contracts or may not receive such grants or, if we do, our partners
and the grants may not provide enough funding to meet our needs.
In the past, we have raised funds through the public
and private sale of our stock, and we are likely to do this in the future. Sale
of our stock to new private or public investors usually results in existing
stockholders becoming "diluted." The greater the number of shares sold, the
greater the dilution. A high degree of dilution can make it difficult for the
price of our stock to increase, among other things. Dilution also weakens a
stockholder's voting power.
We cannot assure you that we will be able to raise
additional capital to fund operations, or that we will be able to raise
additional capital under terms that are favorable to us.
If We Are Unable To
Develop Commercially Successful Products, Including Our Medpulser
®
Electroporation Therapy System, In Various
Markets For Multiple Indications, Particularly For The Treatment Of Head And
Neck Cancer, Our Business Will Be Harmed And We May Be Forced To Curtail
Or Cease Operations.
Our
ability to achieve and sustain operating profitability depends on our ability
to successfully commercialize our MedPulser
®
Electroporation Therapy System in
Europe and in the US for use in treating solid tumors, particularly for the
treatment of head and neck cancer, and other indications. This will depend in
large part on our ability to commence, execute and complete clinical programs
and obtain regulatory approvals for our MedPulser
®
Electroporation Therapy System.
While we have received various regulatory approvals which apply to Europe for
our MedPulser
®
Electroporation
Therapy System for use in treating solid tumors, the products related to such
regulatory approval have not yet been commercialized. The FDA has been notified
that most of our study population will be from non-English speaking sites in
Eastern Europe whose outcome data may be considered to be unlike the United
States, Canada and Western Europe. Further clinical trials are still necessary
before we can
6
seek
regulatory approval to sell our products in the United States for treating
solid tumors. We cannot assure you we will receive approval for our MedPulser
®
Electroporation
Therapy System for the treatment of head and neck cancer or other types of
cancer or indications in the United States or in other countries or, if
approved, that we will achieve a significant level of sales. If we fail to
commercialize our products, we may be forced to curtail or cease operations.
We have commenced additional clinical studies in
different indications, such as breast cancer, and are also in the pre-clinical
stages of research and development with other new product candidates using our
electroporation technology. These new indications and product candidates will
require significant costs to advance through the development stages. If such
product candidates are advanced through clinical trials, the results of such
trials may not gain FDA approval. Even if approved, our products may not be
commercially successful.
We cannot assure you that we will successfully develop
any products. If we fail to develop or successfully commercialize any products,
we may be forced to curtail or cease operations. Additionally, much of the
commercialization efforts for our products must be carried forward by a
licensing partner. We may not be able to obtain such a partner.
The Market For Our
Stock Is Volatile, Which Could Adversely Affect An Investment In Our Stock.
Our share price and volume are highly
volatile. This is not unusual for biomedical companies of our size, age, and
with a discrete market niche. It also is common for the trading volume and
price of biotechnology stocks to be unrelated to a company's operations, i.e.
to go up or down on positive or no news. Our stock has exhibited this type of
behavior in the past, and may well exhibit it in the future. The historically
low trading volume of our stock, in relation to many other biomedical companies
of our size, makes it more likely that a severe fluctuation in volume, either
up or down, will affect the stock price.
Some factors that we would expect to depress the price
of our stock include:
·
Adverse
clinical trial results;
·
Our
inability to obtain additional capital;
·
Announcement
that the FDA denied our request to approve our human-use product for
commercialization in the United States, or similar denial by other regulatory
bodies which make independent decisions outside the United States (to date, the
EU is the only foreign jurisdiction in which we have sought approval for
commercialization);
·
Announcement
of legal actions brought by or filed against us for patent or other matters,
especially if we receive negative rulings or outcomes in such actions;
·
Cancellation
of corporate partnerships or other material agreements;
·
Public
concern as to the safety or efficacy of our human-use products including public
perceptions regarding gene therapy in general;
·
Stockholders'
decisions, for whatever reasons, to sell large amounts of our stock;
·
Adverse
research and development results;
·
Declining
working capital to fund operations, or other signs of apparent financial
uncertainty;
·
Significant
advances made by competitors that adversely affect our potential market
position; and
·
The
loss of key personnel and the inability to attract and retain additional
highly-skilled personnel.
Additionally, our clinical trials are open-ended and,
therefore, there is the possibility that information regarding the success (or
setbacks) of our clinical trials maybe be obtained by the public prior to a
formal announcement by us. These factors, as well as the other factors
described in this prospectus, could significantly affect the price of our
stock.
If We Do Not Have
Enough Capital To Fund Operations, Then We Will Have To Cut Costs.
If
we are unable to raise additional funds under acceptable terms, then we will
have to take measures to cut costs, such as:
7
·
Delay,
scale back or discontinue one or more of our oncology or gene delivery programs
or other aspects of operations, including laying off some personnel or stopping
or delaying clinical trials;
·
Sell
or license some of our technologies that we would not otherwise give up if we
were in a better financial position;
·
Sell
or license some of our technologies under terms that are less favorable than
they otherwise might have been if we were in a better financial position; and
·
Consider
merging with another company or positioning ourselves to be acquired by another
company.
If it became necessary to take one or more of the
above-listed actions, then we may receive a lower valuation, which could impact
our stock price. Further, the effects on our operations, financial performance
and stock price may be significant if we do not or cannot take one or more of
the above-listed actions in a timely manner when needed.
Pre-Clinical And Clinical Trials Of Human-Use Equipment Are
Unpredictable. If We Experience Unsuccessful Trial Results, Our Business Will
Suffer.
Before any of our human-use equipment can be
sold, the FDA or applicable foreign regulatory authorities must determine that
the equipment meets specified criteria for use in the indications for which
approval is requested, including obtaining appropriate regulatory approvals.
Satisfaction of regulatory requirements typically takes many years, and
involves compliance with requirements covering research and development,
testing, manufacturing, quality control, labeling and promotion of drugs for
human use. To obtain regulatory approvals, we must, among other requirements,
complete clinical trials demonstrating that our product candidates are safe and
effective for a particular cancer type or other disease. Regulatory approval of
a new drug is never guaranteed. The FDA will make this determination based on
the results from our pre-clinical testing and clinical trials and has
substantial discretion in the approval process. Despite the time and experience
exerted, failure can occur at any stage, and we could encounter problems
causing us to abandon clinical trials.
We have completed Phase II clinical trials and are
conducting two Phase III clinical trials of our lead product candidate, the
MedPulser
® Electroporation
Therapy System, for the treatment of recurrent and second primary head and neck
cancers. In addition, we are conducting two Phase IV (or Pre-Marketing)
clinical trials of our MedPulser® Electroporation
Therapy System for the treatment of new and recurrent head and neck cancers and
new and recurrent primary skin cancers, and have started a Phase I clinical
trial of our MedPulser® Electroporation
Therapy System for the treatment of breast cancer. Current or future clinical
trials may demonstrate the MedPulser® Electroporation
Therapy System is neither safe nor effective.
Any delays or difficulties we encounter in our
pre-clinical research and clinical trials, in particular the Phase III clinical
trials of our MedPulser
® Electroporation
Therapy System for the treatment of recurrent head and neck cancer, may delay
or preclude regulatory approval. Our product development costs will increase if
we experience delays in testing or regulatory approvals or if we need to
perform more extensive or larger clinical trials than planned. Any such events
could also delay or preclude the commercialization of our MedPulser® Electroporation Therapy System
or any other product candidates.
Clinical trials are unpredictable, especially
human-use trials. Results achieved in early stage clinical trials may not be
repeated in later stage trials, or in trials with more patients. When early
positive results were not repeated in later stage trials, pharmaceutical and
biotechnology companies have suffered significant setbacks. Not only are
commercialization timelines pushed back, but some companies, particularly
smaller biotechnology companies with limited cash reserves, have discontinued
business after releasing news of unsuccessful clinical trial results.
We cannot be certain the results we observed in our
pre-clinical testing will be confirmed in clinical trials or the results of any
of our clinical trials will support FDA approval. If we experience unexpected,
inconsistent or disappointing results in connection with a clinical or
pre-clinical trial our business will suffer.
We have five ongoing clinical studies in patients with
head and neck, cutaneous/subcutaneous, and breast cancer. In each study,
patients are potentially at a high risk of morbidity complications and
mortality due to the nature and late stage of their disease. The following
serious adverse events (SAEs) that were related to treatment with bleomycin and
the MedPulser
® Electroporation
Therapy System have been reported: sudden death (suspected heart attack),
sudden death (suspected internal bleeding), sudden death (unknown cause),
hemorrhage, obstruction of the airway (pharynx/nasopharynx), edema, pain,
weight loss (anorexia) and carotid artery injury. The safety issues will have
to be well-managed as bleeding is a potential SAE that can occur anytime until
the wound is healed. Because our studies are controlled and ongoing, we cannot
assure you that these or other SAEs will not delay or prevent approval of our
product by the FDA.
8
In addition, any of our clinical trials for our
treatment may be delayed or halted at any time for various reasons, including:
·
The
electroporation-mediated delivery of drugs or other agents may be found to be
ineffective or be considered to cause harmful side effects, including death;
·
Our
clinical trials may take longer than anticipated for any of a number of
reasons, including a scarcity of subjects that meet the physiological or pathological
criteria for entry into the study and a scarcity of subjects that are willing
to participate through the end of the trial, or follow-up visits;
·
The
reported clinical data may change over time as a result of the continuing
evaluation of patients or the current assembly and review of existing clinical
and pre-clinical information;
·
Data
from various sites participating in the clinical trials may be incomplete or
unreliable, which could result in the need to repeat the trial or abandon the
project; and
·
Pre-clinical
and clinical data can be interpreted in many different ways, and the FDA and
other regulatory authorities may interpret our data differently than we do,
which could halt or delay our clinical trials or prevent regulatory approval.
If any of the above events arise during our clinical
trials or data review, then we would expect this to have a serious negative
impact on our company and your investment.
Despite the FDA's designation of our MedPulser
® Electroporation Therapy System
as a Fast Track product, such FDA designation is independent of the FDA's
Priority Review and Accelerated Approval designations and we may encounter
delays in the regulatory approval process due to additional information
requirements from the FDA, unintentional omissions from our PMA for our
MedPulser® Electroporation
Therapy System, or other delays in the FDA's review process. We may encounter
delays or rejections in the regulatory approval process because of additional
government regulation from future legislation or administrative action or
changes in FDA policy during the period of product development, clinical trials
and FDA regulatory review.
A majority of our operating expenses relate to our
clinical trials. A delay in our clinical trials, for whatever reason, will
probably require us to spend additional funds to keep our product(s) moving
through the regulatory process. If we do not have or cannot raise additional
funds, then the testing of our human-use products could be discontinued. In the
event our clinical trials are not successful, we will have to determine whether
to continue to fund our programs to address the deficiencies, or whether to
abandon our clinical development programs for our products in tested
indications. Loss of our human-use product line would be a significant setback
for our company.
Because there are so many variables inherent in
clinical trials, we cannot predict whether any of our future regulatory
applications to conduct clinical trials will be approved by the FDA or other
regulatory authorities, whether our clinical trials will commence or proceed as
planned, and whether the trials will ultimately be deemed to be successful. To
date, our experience has been that submission and approval of clinical
protocols has taken longer than desired or expected.
Our Business Is
Highly Dependent On Receiving Approvals From Various United States And
International Government Agencies And Will Be Dramatically Affected If Approval
To Manufacture And Sell Our Human-Use Equipment Is Not Granted Or Is Not
Granted In A Timely Manner.
The production and marketing
of our human-use equipment and the ongoing research, development, pre-clinical
testing, and clinical trial activities are subject to extensive regulation.
Numerous governmental agencies in the U.S. and internationally, including the
FDA, must review our applications and decide whether to grant regulatory
approval. All of our human-use equipment must go through an approval process,
in some instances for each indication for which we want to label it for use
(such as use for dermatology, use for transfer of a certain gene to a certain
tissue, or use for administering a certain drug to a certain tumor type in a
patient having certain characteristics). These regulatory processes are
extensive and involve substantial costs and time.
We have limited experience in, and limited resources
available for regulatory activities. Failure to comply with applicable
regulations can, among other things, result in non-approval, suspensions of
regulatory approvals, fines, product seizures and recalls, operating
restrictions, injunctions and criminal prosecution.
Any of the following events can occur and, if any did
occur, any one could have a material adverse effect on our business, financial
conditions and results of operations:
9
·
As
mentioned earlier, clinical trials may not yield sufficiently conclusive
results for regulatory agencies to approve the use of our products;
·
There
can be delays, sometimes long, in obtaining approval for our human-use devices,
and indeed, we have experienced such delays in obtaining FDA approval of our
clinical protocols;
·
The
rules and regulations governing human-use equipment such as ours can
change during the review process, which can result in the need to spend time
and money for further testing or review;
·
If
approval for commercialization is granted, it is possible the authorized use
will be more limited than we believe is necessary for commercial success, or
that approval may be conditioned on completion of further clinical trials or other
activities; and
·
Once
granted, approval can be withdrawn, or limited, if previously unknown problems
arise with our human-use product or data arising from its use.
We Could Be
Substantially Damaged If Physicians And Hospitals Performing Our Clinical
Trials Do Not Adhere To Protocols Or Promises Made In Clinical Trial
Agreements.
We work and have worked with a number of
hospitals to perform clinical trials, primarily in the field of oncology. We
depend on these hospitals to recruit patients for our trials, to perform the
trials according to our protocols, and to report the results in a thorough,
accurate and consistent manner. Although we have agreements with these
hospitals which govern what each party is to do with respect to each protocol,
patient safety, and avoidance of conflict of interest, there are risks that the
terms of the contracts will not be followed, such as the following:
Possible
Deviations from Protocol.
The hospitals or the physicians
working at the hospitals may not perform the trials correctly. Deviations from
our protocol may make the clinical data not useful and the trial could become
essentially worthless.
Potential
for Conflict of Interest
.
Physicians
working on protocols may have an improper economic interest in our company, or other
conflict of interest. When a physician has a personal stake in the success of
the trial, such as when a physician owns stock, or rights to purchase stock of
the trial sponsor, it can create suspicion that the trial results were
improperly influenced by the physician's interest in economic gain. Not only
can this put the clinical trial results at risk, but it can also cause serious
damage to a company's reputation.
Patient
Safety and Consent Issues.
Physicians and hospitals may fail
to secure formal written consent as instructed or report adverse effects that
arise during the trial in the proper manner, which could put patients at
unnecessary risk. Physicians and hospital staff may fail to observe proper
safety measures such as the mishandling of used medical needles, which may
result in the transmission of infectious and deadly diseases, such as HIV. This
increases our liability, affects the data, and can damage our reputation.
If any of these events were to occur, then it could
have a material adverse effect on our ability to receive regulatory
authorization to sell our human-use equipment, and on our reputation. Negative
events that arise in the performance of clinical trials sponsored by
biotechnology companies with our size and limited cash reserves have resulted
in companies going out of business. While these risks are always present, to
date, our contracted physicians and clinics have been successful in collecting
significant data regarding the clinical protocols under which they have
operated, and we are unaware of any conflicts of interest or improprieties
regarding our protocols.
Even If Our
Products Are Approved By Regulatory Authorities, If We Fail To Comply With
On-Going Regulatory Requirements, Or If We Experience Unanticipated Problems
With Our Products, These Products Could Be Subject To Restrictions Or
Withdrawal From The Market.
Any product for which we
obtain marketing approval, along with the manufacturing processes,
post-approval clinical data and promotional activities for such product, will
be subject to continual review and periodic inspections by the FDA and other
regulatory bodies. Even if regulatory approval of a product is granted, the
approval may be subject to limitations on the indicated uses for which the
product may be marketed or to certain requirements resulting in costly
post-marketing testing and surveillance to monitor the safety or efficacy of
the product. Later discovery of previously unknown problems with our products,
including unanticipated adverse events of unanticipated severity or frequency
regarding manufacturer or manufacturing processes or failing to comply with
regulatory requirements, may result in restrictions on such products or
manufacturing processes, withdrawal of the products from the market, voluntary or
mandatory recall, fines, suspension of regulatory approvals, product seizures
or detention, injunctions or the imposition of civil or criminal penalties.
10
Failure To Comply
With Foreign Regulatory Requirements Governing Human Clinical Trials And
Marketing Approval For Our Human-Use Equipment Could Prevent Us From Selling
Our Products In Foreign Markets, Which May Adversely Affect Our Operating
Results And Financial Conditions.
For the purposes of
marketing our MedPulser®
Electroporation Therapy System
outside the United States, the requirements governing the conduct of clinical
trials, product licensing, pricing and reimbursement vary greatly from country
to country and may require additional testing. The time required to obtain
approvals outside the United States may differ from that required to obtain FDA
approval. We may not obtain foreign regulatory approval on a timely basis, if
at all. Approval by the FDA does not ensure approval by regulatory authorities
in other countries, and approval by one foreign regulatory authority does not
ensure approval by regulatory authorities in other countries or by the FDA.
Failure to comply with these regulatory requirements or to obtain required
approvals could impair our ability to develop these markets and could have a
material adverse effect on our results of operations and financial condition.
Our Ability To
Achieve Significant Revenues From Sales Or Leases Of Human-Use Products Will
Depend On Establishing Effective Sales, Marketing And Distribution Capabilities
Or Relationships And We Currently Lack Substantial Experience In These Areas.
To
market our products, we will need to develop sales, marketing and distribution
capabilities. In order to develop or otherwise obtain these capabilities, we
may have to enter into marketing, distribution or other similar arrangements
with third parties in order to sell, market and distribute our products
successfully. To the extent that we enter into any such arrangements with third
parties, our product revenue is likely to be lower than if we marketed and sold
our products directly, and our revenues will depend upon the efforts of these
third parties.
We have limited experience in sales, marketing and
distribution of clinical and human-use products and we currently have no sales,
marketing or distribution capability. If we decide to market and sell our
human-use products directly, we must develop a marketing and sales capability.
This would involve substantial costs, training and time. We may be unable to
develop sufficient sales, marketing and distribution capabilities to
commercialize our products successfully. Regardless of whether we elect to use
third parties or seek to develop our own marketing capability, we may not be
able to successfully commercialize any product.
We Rely On
Collaborative And Licensing Relationships To Fund A Portion Of Our Research And
Development Expenses. If We Are Unable To Maintain Or Expand Existing Relationships,
Or Initiate New Relationships, We Will Have To Defer Or Curtail Research And
Development Activities In One Or More Areas.
Our partners and collaborators fund a portion of
our research and development expenses and assist us in the research and development
of our human-use equipment. These collaborations and partnerships help pay the
salaries and other overhead expenses related to research. In the past, we have
encountered operational difficulties after the termination of an agreement by a
former partner. Because this partnership was terminated, we did not receive
significant milestone payments which we had expected and were forced to delay
some clinical trials as well as some product development.
Our clinical trials to date have used our equipment together
with the anti-cancer drug bleomycin. We do not currently intend to package
bleomycin together with the equipment for sale, but if it should be necessary
or desirable to do this, we would need a reliable source of the drug. At this
time we do not have a reliable long-term source of bleomycin for inclusion with
equipment or alone. If it becomes necessary or desirable to include bleomycin
in our package, we would have to form a relationship with another provider of
this generic drug before any product could be launched.
We also rely on scientific collaborators at companies
and universities to further expand our research and to test our equipment. In
most cases, we lend our equipment to a collaborator, teach him or her how to
use it, and together design experiments to test the equipment in one of the
collaborator's fields of expertise. We aim to secure agreements that restrict
collaborators' rights to use the equipment outside of the agreed upon research,
and outline the rights each of us will have in any results or inventions
arising from the work.
Nevertheless, there is always potential that:
·
Our
equipment will be used in ways we did not authorize, which can lead to
liability and unwanted competition;
·
We
may determine that our technology has been improperly assigned to us or a
collaborator may claim rights to certain of our technology, which may require
us to pay license fees or milestone payments and, if commercial sales of the
underlying product are achieved, royalties;
·
We
may lose rights to inventions made by our collaborators in the field of our
business, which can lead to expensive legal fights and unwanted competition;
11
·
Our
collaborators may not keep our confidential information to themselves, which
can lead to loss of our right to seek patent protection and loss of trade
secrets, and expensive legal fights; and
·
Collaborative
associations can damage a company's reputation if they fail and thus, by
association or otherwise, the scientific or medical community may develop a
negative view of us.
We cannot guarantee that any of the results from these
collaborations will be successful. We also cannot be sure that we will be able
to continue to collaborate with individuals and institutions that will further
develop our products, or that we will be able to do so under terms that are not
overly restrictive. If we are not able to maintain or develop new collaborative
relationships, it is likely that our research pace will slow down and that it
will take longer to identify and commercialize new products, or new indications
for our existing products.
We Rely Heavily On
Our Patents And Proprietary Rights To Attract Partnerships And Maintain Market
Position.
The strength of our patent portfolio is an
important factor that will influence our success. Patents give the patent
holder the right to prevent others from using its patented technology. If
someone infringes upon the patented material of a patent holder, the patent
holder has the right to initiate legal proceedings against that person to
protect its patented material. These proceedings, however, can be lengthy and
costly. We perform an ongoing review of our patent portfolio to confirm that
our key technologies are adequately protected. If we determine that any of our
patents require either additional disclosures or revisions to existing
information, we may ask that such patents be reexamined or reissued, as
applicable, by the United States Patent and Trademark Office.
The patenting process, enforcement of issued patents,
and defense against claims of infringement are inherently risky. Because we
rely heavily on patent protection, we face the following significant risks:
Possibility
of Inadequate Patent Protection for Product
.
The United States Patent and Trademark
Office or foreign patent offices may not grant patents of meaningful scope
based on the applications we have already filed and those we intend to
file.  If we do not have patents that
adequately protect our human-use equipment and indications for its use, then we
will not be competitive.
Potential
That Important Patents Will Be Judged Invalid
.
Some of the issued patents we now own or
license may be determined to be invalid. If we have to defend the validity of
any of our patents, the costs of such defense could be substantial, and there
is no guarantee of a successful outcome. In the event an important patent
related to our drug delivery technology is found to be invalid, we may lose
competitive position and may not be able to receive royalties for products
covered in part or whole by that patent under license agreements.
Danger
of Being Charged With Infringement
.
Although we are not currently aware of any parties
intending to pursue infringement claims against us, there is the possibility
that we may use a patented technology owned by another person and/or be charged
with infringement. Defending or indemnifying a third party against a charge of
infringement can involve lengthy and costly legal actions, and there can be no
guarantee of a successful outcome. Biotechnology companies comparable to us in
size and financial position have discontinued business after fighting and
losing infringement battles. If we or our partners were prevented from using or
selling our human-use equipment, then our business would be materially
adversely affected.
Freedom
to Operate Issues
.
We
are aware that patents related to electrically-assisted drug delivery have been
granted to, and patent applications have been filed by our potential
competitors. We or our partners have received licenses from some of these
patents, and will consider receiving additional licenses in the future.
Nevertheless, the competitive nature of our field of business and the fact that
others have sought patent protection for technologies similar to ours make
these potential issues significant.
In addition to patents, we also rely on trade secrets
and proprietary know-how. We try to protect this information with appropriate
confidentiality and inventions agreements with our employees, scientific
advisors, consultants, and collaborators. We cannot be sure that these
agreements will not be breached, that we will be able to protect ourselves if
they are breached, or that our trade secrets will not otherwise become known or
be independently discovered by competitors. If any of these events occurs, then
we face the potential of losing control over valuable company information,
which could negatively affect our competitive position.
If We Are Not
Successful In Developing Our Current Products, Our Business Model
May Change As Our Priorities And Opportunities Change And Our Business
May Never Develop To Be Profitable Or Sustainable.
There
are many products and programs that seem promising to us which we could pursue.
However, with limited resources, we may decide to change priorities and shift
programs away from those that we have been pursuing for the purpose of
exploiting our
12
core
technology of electroporation. The choices we make will be dependent upon
numerous factors, for which we cannot predict. We cannot be sure that our
business model, as it currently exists or as it may evolve, will enable us to
become profitable or to sustain operations.
Serious And
Unexpected Side Effects Attributable To Gene Therapy May Result In
Governmental Authorities Imposing Additional Regulatory Requirements Or A
Negative Public Perception Of Our Products.
The MedPulser®
DNA
Delivery System and any of our other Gene Therapy or DNA Vaccine product
candidates under development could be broadly described as gene therapies. A
number of clinical trials are being conducted by other pharmaceutical companies
involving gene therapy, including compounds similar to, or competitive with,
our product candidates. The announcement of adverse results from these clinical
trials, such as serious unwanted and unexpected side effects attributable to treatment,
or any response by the FDA to such clinical trials, may impede the progress of
our clinical trials, delay or prevent us from obtaining regulatory approval, or
negatively influence public perception of our product candidates, which could
harm our business and results of operations and reduce the value of our stock.
The U.S. Senate has held hearings concerning the
adequacy of regulatory oversight of gene therapy clinical trials, as well as
the adequacy of research subject education and protection in clinical research
in general, and to determine whether additional legislation is required to
protect volunteers and patients who participate in such clinical trials. The
Recombinant DNA Advisory Committee, or RAC, which acts as an advisory body to
the National Institutes of Health, has expanded its public role in evaluating
important public and ethical issues in gene therapy clinical trials.
Implementation of any additional review and reporting procedures or other
additional regulatory measures could increase the costs of or prolong our
product development efforts or clinical trials.
As of March 31, 2007, to our knowledge, there have not
been any serious adverse events in any gene therapy clinical trials in which
our technology was used. In the future, if one or a series of serious adverse
events were to occur during a gene therapy clinical trial in which our
technology was used, we would report all such events to the FDA and other
regulatory agencies as required by law. Such serious adverse events, whether
treatment-related or not, could result in negative public perception of our
treatments and require additional regulatory review or other measures, which
could increase the cost of or prolong our gene therapy clinical trials or
require us to halt our clinical trials altogether.
The FDA has not approved any gene therapy product or
gene-induced product for sale in the United States. The commercial success of
our products will depend in part on public acceptance of the use of gene
therapy products or gene-induced products, which are a new type of disease
treatment for the prevention or treatment of human diseases. Public attitudes
may be influenced by claims that gene therapy products or gene-induced products
are unsafe, and these treatment methodologies may not gain the acceptance of
the public or the medical community. Negative public reaction to gene therapy
products or gene-induced products could also result in greater government
regulation and stricter clinical trial oversight.
We Cannot Predict
The Safety Profile Of The Use Of Our Medpulser
®
Electroporation Therapy System When Used In
Combination With Other Therapies.
Our current trials
involve the use of our MedPulser®
Electroporation Therapy System in
combination with bleomycin, an anti-cancer drug. While the data we have
evaluated to date suggest the MedPulser®
Electroporation Therapy System does
not increase the adverse effects of other therapies, we cannot predict if this
outcome will continue to be true or whether possible adverse side effects
directly attributable to other drugs will compromise the safety profile of our
MedPulser®
Electroporation Therapy System when
used in certain combination therapies or if used off-label with other drugs by
physicians.
There Is A
Possibility That Our Technology Will Become Obsolete Or Lose Its Competitive
Advantage.
The drug delivery business is very
competitive, fast moving and intense, and expected to be increasingly so in the
future. Other companies and research institutions are developing drug delivery
systems that, if not similar in type to our systems, are designed to address
the same patient or subject population. Therefore, we cannot promise that our
products will be the best, the safest, the first to market, or the most
economical to make or use. If competitors' products are better than ours, for
whatever reason, then we could become less profitable from product sales and
our products could become obsolete.
There are many reasons why a competitor might be more
successful than us, including:
Financial
Resources
.
Some
competitors have greater financial resources and can afford more technical and
developmental setbacks than we can.
Greater
Experience
.
Some
competitors have been in the biomedical business longer than we have. They have
greater experience than us in critical areas like clinical testing, obtaining
regulatory approval and sales and marketing. This experience or their name
recognition may give them a competitive advantage over us.
13
Superior
Patent Position
.
Some
competitors may have better patent protection over their technology than we
have or will have in order to protect our technology. If we cannot use our
patents to prevent others from copying our technology or developing similar
technology, or if we cannot obtain a critical license to another's patent that
we need to manufacture and use our equipment, then we would expect our
competitive position to weaken.
Faster
to Market
.
Some
companies with competitive technologies may move through stages of development,
approval, and marketing faster than us. If a competitor receives FDA approval
before us, then it will be authorized to sell its products before we can sell
ours. Because the first company "to market" often has a significant advantage
over others, a second place position could result in less than anticipated
sales.
Reimbursement
Allowed
.
In the
U.S., third party payers, such as Medicare, may reimburse physicians and
hospitals for competitors' products but not for our own human-use products.
This would significantly affect our ability to sell our human-use products in
the U.S. and would have a negative impact on revenue and our business as a
whole. Outside of the U.S., reimbursement and funding policies vary widely.
Any Acquisition We
Might Make May Be Costly And Difficult To Integrate, May Divert Management
Resources Or Dilute Stockholder Value.
We have considered
and made strategic acquisitions in the past, including the acquisition of
Inovio AS, and in the future, may acquire or invest in complementary companies,
products or technologies. As part of our business strategy, we may acquire
assets or businesses principally relating to or complementary to our current
operations, and we have in the past evaluated and discussed such opportunities
with interested parties. Any acquisitions we undertake will be accompanied by
issues commonly encountered in business acquisitions, which could adversely
affect us, including:
·
Potential
exposure to unknown liabilities of acquired companies;
·
The
difficulty and expense of assimilating the operations and personnel of acquired
businesses;
·
Diversion
of management time and attention, and other resources;
·
Loss
of key employees and customers as a result of changes in management;
·
Incurrence
of amortization expenses related to intangible assets or large impairment charges
such as the charges in excess of $3.3 million we incurred in our 2005 results
of operations related to the write-off of in-process research and development
that we acquired in our acquisition of Inovio AS;
·
Increased
legal, accounting and other administrative costs associated with negotiation,
documentation and reporting any such acquisition; and
·
Possible
dilution to our stockholders.
In addition, geography and/or language barriers may
make the integration of businesses more difficult. We may not be successful in
overcoming these risks or any other problems encountered in connection with any
of our acquisitions.
Economic,
Political, Military Or Other Events In The United States Or In Other Countries
Could Interfere With Our Success Or Operations And Harm Our Business.
The
September 11, 2001 terrorist attacks disrupted commerce throughout the
United States and other parts of the world. The continued threat of similar
attacks throughout the world and the military action taken by the United States
and other nations in Iraq or other countries may cause significant disruption
to commerce throughout the world. To the extent that such disruptions further
slow down the global economy, our business and results of operations could be
materially adversely affected. We are unable to predict whether the threat of
new attacks or the responses thereto will result in any long-term commercial
disruptions or if such activities or responses will have a long-term material
adverse effect on our business, results of operations or financial condition.
Our Dependence Upon Non-Marketed Products, Our Lack Of
Experience In Manufacturing And Marketing Human-Use Products, And Our
Continuing Deficit May Result In Even Further Fluctuations In Our Trading
Volume And Share Price.
Successful approval, marketing, and sales of our human-use equipment are
critical to the financial future of our company. Our human-use products are not
yet approved for sale in the United States and other jurisdictions and we may
never obtain these approvals. Even if we do obtain approvals to sell our
human-use products in the United States, these sales may not be as large or as
timely as we expect. These uncertainties may cause our operating results to
fluctuate dramatically in the next several years. We believe that
quarter-to-quarter or annual comparisons of our operating results are not a
good
14
indicator
of our future performance. Nevertheless, these fluctuations may cause us to
perform below the expectations of public market analysts and investors. If this
happens, the price of our common shares would likely decline.
We Have The
Potential for Product Liability Issues With Human-Use Equipment.
The
testing, marketing and sale of human-use products expose us to significant and
unpredictable risks of equipment product liability claims. These claims may
arise from patients, clinical trial volunteers, consumers, physicians,
hospitals, companies, institutions, researchers or others using, selling, or
buying our equipment. Product liability risks are inherent in our business and
will exist even after the products are approved for sale. If and when our
human-use equipment is commercialized, we run the risk that use (or misuse) of
the equipment will result in personal injury. The chance of such an occurrence
will increase after a product type is on the market.
We have obtained liability insurance in connection
with our ongoing business and products, and we may purchase additional policies
if such policies are determined by management to be necessary. However, our
existing insurance and the insurance we purchase may not provide adequate
coverage in the event a claim is made and we may be required to pay claims
directly. If we did have to make payment against a claim, it would impact our
financial ability to perform the research, development, and sales activities
that we have planned.
If and when our human-use equipment is commercialized,
there is always the risk of product defects. Product defects can lead to loss
of future sales, decrease in market acceptance, damage to our brand or
reputation, product returns and warranty costs, and even product withdrawal
from the market. These events can occur whether the defect resides in a
component we purchased from a third party or whether it was due to our design
and/or manufacturer. We expect that our sales agreements will contain
provisions designed to limit our exposure to product liability claims. However,
we do not know whether these limitations will be enforceable in the countries
in which the sale is made. Any product liability or other claim brought against
us, if successful and of sufficient magnitude, could negatively impact our
financial performance.
We Cannot Be
Certain That We Will Be Able To Manufacture Our Human-Use Equipment In
Sufficient Volumes At Commercially Reasonable Costs.
Our manufacturing facilities for
human-use products will be subject to quality systems regulations,
international quality standards and other regulatory requirements, including
pre-approval inspection for our human-use equipment and periodic post-approval
inspections for all human-use products. While we have undergone and passed a
quality systems audit from an international body, we have never undergone a
quality systems inspection by the FDA. We may not be able to pass an FDA
inspection when it occurs. If our facilities are found not to be compliant with
FDA standards in sufficient time, prior to a launch of our product in the
United States, then it will result in a delay or termination of our ability to
produce our human-use equipment in our facility. Any delay in production will
have a negative effect on our business. While there are no target dates set
forth for launch of our products in the United States, we plan on launching
these products once we successfully perform a Phase III clinical study, obtain
the requisite regulatory approval, and engage a partner who has the financial
resources and marketing capacity to bring our products to market.
Our products must be manufactured in sufficient
commercial quantities, in compliance with regulatory requirements, and at an
acceptable cost to be attractive to purchasers. We rely on third parties to
manufacture and assemble most aspects of our equipment, and thus cannot
directly control the quality, timing or quantities of equipment manufactured or
assembled at any given time.
Disruption of the manufacture of our products, for
whatever reason, could delay or interrupt our ability to manufacture or deliver
our products to customers in a timely basis. This would be expected to affect
revenue and may affect our long-term reputation, as well. In the event we
provide product of inferior quality, we run the risk of product liability
claims and warranty obligations, which will negatively affect our financial
performance.
If We Lose Key
Personnel Or Are Unable To Attract And Retain Additional, Highly Skilled
Personnel Required To Develop Our Products Or Obtain New Collaborations, Our
Business May Suffer.
We depend, to a significant
extent, on the efforts of our key employees, including senior management and
senior scientific, clinical, regulatory and other personnel. The development of
new therapeutic products requires expertise from a number of different
disciplines, some of which is not widely available. We depend upon our
scientific staff to discover new product candidates and to develop and conduct
pre-clinical studies of those new potential products. Our clinical and
regulatory staff is responsible for the design and execution of clinical trials
in accordance with FDA requirements and for the advancement of our product
candidates toward FDA approval. Our manufacturing staff is responsible for
designing and conducting our manufacturing processes in accordance with the FDA's
Quality System Regulations. The quality and reputation of our scientific,
clinical, regulatory and manufacturing staff, especially the senior staff, and
their success in performing their responsibilities, are significant factors in
attracting potential funding sources and collaborators. In addition, our Chief
Executive Officer and Chief Financial Officer and other executive officers are
involved in a broad range of critical activities, including providing strategic
and operational guidance. The loss of these individuals, or our inability to
retain or recruit other key management and scientific, clinical,
15
regulatory,
manufacturing and other personnel, may delay or prevent us from achieving our
business objectives. We face intense competition for personnel from other
companies, universities, public and private research institutions, government entities
and other organizations.
We May Not
Meet Environmental Guidelines And As A Result Could Be Subject To Civil And
Criminal Penalties.
Like all companies in our industry,
we are subject to a variety of governmental regulations relating to the use,
storage, discharge and disposal of hazardous substances. Our safety procedures
for handling, storage and disposal of such materials are designed to comply
with applicable laws and regulations. While we believe we are currently in
compliance with all material applicable environmental regulations, if we are
found to not comply with environmental regulations, or if we are involved with
contamination or injury from these materials, then we may be subject to civil
and criminal penalties. This would have a negative impact on our reputation and
finances, and could result in a slowdown or even complete cessation of our
business.
Our Facilities Are
Located Near Known Earthquake Fault Zones, And The Occurrence Of An Earthquake
Or Other Catastrophic Disaster Could Cause Damage To Our Facilities And
Equipment.
Our facilities are located near known
earthquake fault zones and are vulnerable to damage from earthquakes. We are
also vulnerable to damage from other types of disasters, including fire,
floods, power loss, communications failures and similar events. If any disaster
were to occur, our ability to operate our business at our facilities would be
seriously impaired. In addition, the unique nature of our research activities
could cause significant delays in our programs and make it difficult for us to
recover from a disaster. The insurance we maintain may not be adequate to cover
our losses resulting from disasters or other business interruptions.
Accordingly, an earthquake or other disaster could materially and adversely harm
our ability to conduct business.
Legislation
Requiring Companies To Evaluate Internal Controls Under Section 404 Of The
Sarbanes-Oxley Act Of 2002 Has Increased Our Expenses And Could Result In
Events That Adversely Affect Our Stock Price.
As directed
by Section 404 of the Sarbanes-Oxley Act of 2002 (Section 404), the
Securities and Exchange Commission adopted rules requiring public
companies to include a report of management on our internal control over
financial reporting in our annual reports on Form 10-K that contains an
assessment by management of the effectiveness of our internal control over
financial reporting. In addition, our independent registered public accounting
firm must attest to and report on management's assessment of the effectiveness of
our internal control over financial reporting. This requirement first applied
to our 2004 Annual Report on Form 10-K.
How companies are implementing these new requirements
including internal control reforms, if any, to comply with Section 404's
requirements, and how independent auditors are applying these new requirements
and testing companies' internal controls, is an evolving process and remains
subject to uncertainty. The requirements of Section 404 are ongoing and
apply to future years. We expect that our internal controls will continue to
evolve as our business activities change. During the course of management's and
our independent registered public accounting firm's review of our internal
control over financial reporting as of December 31, 2006, we did not identify
any significant control deficiencies that arose to the level of material
weaknesses, as defined by the Public Company Accounting Oversight Board
(PCAOB). Although we will continue to diligently and vigorously review our
internal control over financial reporting, in order to ensure compliance with
the Section 404 requirements, any control system, regardless of how well
designed, operated and evaluated, can provide only reasonable, not absolute,
assurance that its objectives will be met.
If, during any year, our independent registered public
accounting firm is not satisfied with our internal control over financial
reporting or the level at which this control is documented, designed, operated,
tested or assessed, or if the independent registered public accounting firm
interprets the requirements, rules or regulations differently than we do,
then our independent registered public accounting firm may decline to attest to
management's assessment or may issue a report that is qualified. This could result
in an adverse reaction in the financial marketplace due to a loss of investor
confidence in the reliability of our financial statements, which ultimately
could negatively impact the market price of our stock.
Anti-Takeover
Provisions In Our Charter Documents, Our Stockholder Rights Agreement And
Delaware Law May Prevent Or Delay Removal Of Incumbent Management Or A Change
Of Control.
Anti-takeover provisions of our Certificate
of Incorporation, as amended, our Amended and Restated Stockholders Rights
Agreement and Delaware law may have the effect of deterring or delaying
attempts by our stockholders to remove or replace management, engage in proxy
contests and effect changes in control. The provisions of our charter documents
include the ability of our board of directors to issue shares of preferred
stock without approval of all our stockholders upon the terms and conditions
and with the rights, privileges and preferences as our board of directors may
determine.
The Rights issued pursuant to our Amended and Restated
Stockholder Rights Agreement will become exercisable, subject to certain
exceptions, after a person or group announces acquisition of 20% or more of our
common stock or
16
announces
commencement of a tender or exchange offer the consummation of which would
result in ownership by the person or group of 20% or more of our common stock.
In addition, as a Delaware corporation, we are subject
to Delaware law, including Section 203 of the Delaware General Corporation Law.
In general, Section 203 prohibits a Delaware corporation from engaging in any
business combination with any interested stockholder for a period of three
years following the date that the stockholder became an interested stockholder
unless certain specific requirements are met as set forth in Section 203.
These provisions, alone or together, could have the
effect of deterring or delaying changes in incumbent management, proxy contests
or changes in control.
ADDITIONAL
OR UPDATED RISK FACTORS
Prior to making an investment decision with respect to
the common stock offered hereby, prospective investors should also carefully
consider any specific factors set forth under a caption "risk factors" in any
applicable prospectus supplement, together with all of the other information
appearing in this prospectus or the prospectus supplement or incorporated by
reference into this prospectus.
USE OF
PROCEEDS
We will not receive any proceeds from the sale by any
selling stockholder of the shares of our common stock offered by this
prospectus.
SELLING STOCKHOLDERS
Up to 165,000 shares of our common stock are being
offered by this prospectus, all of which are being registered for the accounts
of the selling stockholders, including:
·
75,000
shares of restricted Common Stock issued on May 4, 2007 to Avtar Dhillon, the
Company's President and Chief Executive Officer, pursuant to the Plan prior to
the date of this prospectus as bonus compensation for services rendered to the
Company in 2006;
·
45,000
shares of restricted Common Stock issued on May 4, 2007 to Iacob Mathiesen, a
non-executive employee pursuant to the Plan prior to the date of this
prospectus, as bonus compensation for services rendered to the Company in 2006;
and
·
45,000
shares of restricted Common Stock issued on May 4, 2007 to Iacob Mathiesen
pursuant to the Plan prior to the date of this prospectus, vesting as of
December 1, 2009, contingent upon Mr. Mathiesen's continued employment by the
Company at that time.
Each of the transactions by which the selling
stockholders acquired their securities from us was exempt under the
registration provisions of the Securities Act of 1933, as amended, and pursuant
to the 2007 Plan.
The shares of common stock referred to above are being
registered to permit public sales of the shares, and the selling stockholders
may offer the shares for resale from time to time pursuant to this
prospectus.  The selling stockholders may also sell, transfer or otherwise
dispose of all or a portion of their shares in transactions exempt from the
registration requirements of the Securities Act or pursuant to another
effective registration statement covering those shares. We may from time to
time include additional selling stockholders in supplements or amendments to
this prospectus.
The table below sets forth certain information
regarding the selling stockholders and the shares of our common stock offered
by them in this prospectus. The selling stockholders have not had a material
relationship with us within the past three years other than as our employees as
described in the footnotes to the table below. 
To our knowledge, subject to community property laws where applicable,
each person named in the table has sole voting and investment power with
respect to the shares of common stock set forth opposite such person's name.
17
Beneficial ownership is determined in accordance with
the rules of the Securities and Exchange Commission, or SEC.  In computing the number of shares
beneficially owned by a selling stockholder and the percentage of ownership of
that selling stockholder, shares of common stock underlying shares of our
convertible preferred stock, options or warrants held by that selling
stockholder that are convertible or exercisable, as the case may be, within
60 days of May 4, 2007 are included. 
Those shares, however, are not deemed outstanding for the purpose of
computing the percentage ownership of any other selling stockholder.  Each selling stockholder's percentage of
ownership of our outstanding shares in the table below is based upon 38,824,568
shares of common stock outstanding as of May 4, 2007.
Selling Stockholder (1)
Number of Shares
of common stock
beneficially owned
Number of Shares
which May Be
Offered (2)
Number of
Shares to be
Owned After
Offering (3)
Percentage of
Common
Stock
Beneficially
Owned After
Offering
Avtar Dhillon, M.D.
President and Chief Executive Officer
914,172
(4)
75,000
(6)
839,172
2.12
%
Iacob Mathiesen
Employee of the Company
298,629
(5)
90,000
(7)
208,629
*
Total
165,000
* less than one percent
(1)
This
table is based upon information provided by the selling stockholders.
(2)
Includes
shares granted under the 2007 Omnibus Incentive Plan on or before the date of
this prospectus.
(3)
Represents
the amount of shares that will be held by the selling stockholders after
completion of this offering based on the assumptions that (a) all shares
registered for sale by the registration statement of which this prospectus is
part will be sold and (b) that no other shares of our common stock beneficially
owned by the selling stockholders are acquired or are sold prior to completion
of this offering by the selling stockholders. 
However, the selling stockholders may sell all, some or none of the shares
offered pursuant to this prospectus and may sell other shares of our common
stock that they may own pursuant to another registration statement under the
Securities Act of 1933 or sell some or all of their shares pursuant to an
exemption from the registration provisions of the Securities Act, including
under Rule 144.  To our knowledge there
are currently no agreements, arrangements or understanding with respect to the
sale of any of the shares that may be held by the selling stockholders after
completion of this offering or otherwise.
(4)
Includes
2,941 shares underlying Series C Preferred Stock and 1,029 shares underlying
warrants that are convertible or exercisable, respectively, within 60 days of
May 4, 2007, 774,996 shares of common stock issuable pursuant to options
exercisable within 60 days of May 4, 2007, and 75,000 shares of restricted
common stock granted pursuant to our 2007 Omnibus Incentive Plan prior to the
date of this prospectus, of which 18,750 have vested or will vest within 60
days of May 4, 2007.  We have been
advised that the selling stockholder is not a broker-dealer or an affiliate
broker-dealer.
(5)
Includes
21,250 shares underlying options that are convertible or exercisable within 60
days of May 4, 2007, and 90,000 shares of restricted common stock granted
pursuant to our 2007 Omnibus Incentive Plan prior to the date of this
prospectus, of which 45,000 shares have vested. 
We have been advised that the selling stockholder is not a broker-dealer
or an affiliate broker-dealer.
(6)
Includes
75,000 shares of restricted common stock granted pursuant to the 2007 Omnibus
Incentive Plan prior to the date of this prospectus, of which 18,750 are
vested; the remainder vest 18,750 on each anniversary date until 2010.
(7)
Includes
90,000 restricted shares of common stock granted pursuant to the 2007 Omnibus
Incentive Plan prior to the date of this prospectus, of which 45,000 are
vested; the remainder vest on December 1, 2009, contingent on Mr. Mathiesen's
continued employment by the Company on that date.
18
PLAN OF DISTRIBUTION
We are registering the shares of common stock on
behalf of the selling stockholders. Sales of shares may be made by selling
stockholders, including their respective donees, transferees, pledgees or other
successors-in-interest directly to purchasers or to or through underwriters,
broker-dealers or through agents. Sales may be made from time to time on the
American Stock Exchange, any other exchange upon which our shares may trade in
the future, in the over-the-counter market or otherwise, at market prices
prevailing at the time of sale, at prices related to market prices, or at
negotiated or fixed prices. The shares may be sold by one or more of, or a
combination of, the following:
·
A block trade
in which the broker-dealer so engaged will attempt to sell the shares as agent
but may position and resell a portion of the block as principal to facilitate
the transaction (including crosses in which the same broker acts as agent for
both sides of the transaction);
·
Purchases
by a broker-dealer as principal and resale by such broker-dealer, including
resales for its account, pursuant to this prospectus;
·
Ordinary
brokerage transactions and transactions in which the broker solicits purchases;
·
Through
options, swaps or derivatives;
·
In
privately negotiated transactions;
·
In making
short sales or in transactions to cover short sales; and
·
Put or call
option transactions relating to the shares.
The selling stockholders may effect these transactions
by selling shares directly to purchasers or to or through broker-dealers, which
may act as agents or principals.  These
broker-dealers may receive compensation in the form of discounts, concessions
or commissions from the selling stockholders and/or the purchasers of shares
for whom such broker-dealers may act as agents or to whom they sell as
principals, or both (which compensation as to a particular broker-dealer might
be in excess of customary commissions). 
The selling stockholders have advised us that they have not entered into
any agreements, understandings or arrangements with any underwriters or
broker-dealers regarding the sale of their securities.
The selling stockholders may enter into hedging
transactions with broker-dealers or other financial institutions.  In connection with those transactions, the
broker-dealers or other financial institutions may engage in short sales of the
shares or of securities convertible into or exchangeable for the shares in the
course of hedging positions they assume with the selling stockholders.  The selling stockholders may also enter into
options or other transactions with broker-dealers or other financial
institutions which require the delivery of shares offered by this prospectus to
those broker-dealers or other financial institutions. The broker-dealer or
other financial institution may then resell the shares pursuant to this
prospectus (as amended or supplemented, if required by applicable law, to
reflect those transactions).
The selling stockholders and any broker-dealers that
act in connection with the sale of shares may be deemed to be "underwriters"
within the meaning of Section 2(11) of the Securities Act of 1933, and any
commissions received by broker-dealers or any profit on the resale of the
shares sold by them while acting as principals may be deemed to be underwriting
discounts or commissions under the Securities Act.  The selling stockholders may agree to
indemnify any agent, dealer or broker-dealer that participates in transactions
involving sales of the shares against liabilities, including liabilities
arising under the Securities Act.  We
have agreed to indemnify each of the selling stockholders and each selling
stockholder has agreed, severally and not jointly, to indemnify us against some
liabilities in connection with the offering of the shares, including
liabilities arising under the Securities Act.
The selling stockholders will be subject to the
prospectus delivery requirements of the Securities Act.  We have informed the selling stockholders
that the anti-manipulative provisions of Regulation M promulgated under
the Securities Exchange Act of 1934 may apply to their sales in the market.
Selling stockholders also may resell all or a portion
of the shares in open market transactions in reliance upon Rule 144 under
the Securities Act, provided they meet the criteria and conform to the
requirements of Rule 144.
Upon being notified by a selling stockholder that a
material arrangement has been entered into with a broker-dealer for the sale of
shares through a block trade, special offering, exchange distribution or
secondary distribution or a purchase by
19
a
broker or dealer, we will file a supplement to this prospectus, if
required pursuant to Rule 424(b) under the Securities Act, disclosing:
·
The
name of each such selling stockholder and of the participating
broker-dealer(s);
·
The
number of shares involved;
·
The
initial price at which the shares were sold;
·
The
commissions paid or discounts or concessions allowed to the broker-dealer(s),
where applicable;
·
That
such broker-dealer(s) did not conduct any investigation to verify the
information set out or incorporated by reference in this prospectus; and
·
Other
facts material to the transactions.
In addition, if required under applicable law or the
rules or regulations of the Commission, we will file a supplement to this
prospectus when a selling stockholder notifies us that a donee or pledgee
intends to sell more than 500 shares of common stock.
We are paying all expenses and fees in connection with
the registration of the shares. The selling stockholders will bear all
brokerage or underwriting discounts or commissions paid to broker-dealers in
connection with the sale of the shares.
LEGAL
MATTERS
The validity of the issuance of the shares offered by
this prospectus will be passed upon for us by Kirkpatrick & Lockhart
Preston Gates Ellis LLP, Los Angeles, California.
EXPERTS
The consolidated financial statements of Inovio
Biomedical Corporation incorporated by reference in Inovio Biomedical
Corporation's Annual Report (Form 10-K) for the year ended December 31, 2006,
and Inovio Biomedical Corporation management's assessment of the effectiveness
of internal control over financial reporting as of December 31, 2006 included
therein, have been audited by Ernst & Young LLP, independent registered
public accounting firm, as set forth in their reports thereon, included
therein, and incorporated herein by reference. Such consolidated financial
statements and management's assessment are incorporated herein by reference in
reliance upon such reports given on the authority of such firm as experts in
accounting and auditing.
DISCLOSURE OF
COMMISSION POSITION ON
INDEMNIFICATION FOR SECURITIES ACT LIABILITIES
Insofar as
indemnification for liabilities arising under the Securities Act of 1933, as
amended, may be permitted to our directors, officers or persons controlling us,
we have been advised that it is the SEC's opinion that such indemnification is
against public policy as expressed in the Securities Act of 1933, as amended,
and is, therefore, unenforceable.
WHERE
YOU CAN FIND MORE INFORMATION
We file annual, quarterly and special reports, along
with other information with the SEC.  You
may read and copy any document we file at the public reference facilities
maintained by the SEC at 100 F Street, N.E., Washington, D.C. 20549. 
Please call the SEC at 1-800-SEC-0330 for further information on the public
reference rooms.  Our common stock is traded on The American Stock
Exchange.  You may inspect reports and other information concerning us at
the offices of the American Stock Exchange, Inc., 86 Trinity Place, New York,
New York 10006.  These filings and other information may also be inspected
without charge at a Web site maintained by the SEC.  The address of the
site is http://www.sec.gov.
20
INCORPORATION
OF CERTAIN DOCUMENTS BY REFERENCE
This prospectus is part of a registration statement
filed with the SEC.  The SEC allows us to "incorporate by reference" into
this prospectus the information that we file with them, which means that we can
disclose important information to you by referring you to those
documents.  The information incorporated by reference is considered to be
part of this prospectus, and information that we file later with the SEC will
automatically update and supersede this information.  The following
documents were filed with the SEC pursuant to the Exchange Act and are
incorporated by reference and made a part of this prospectus:
·
our
Annual Report on Form 10-K for the year ended December 31, 2006 filed
with the SEC on March 16, 2007;
·
our
Quarterly Report on Form 10-Q for the quarter ended March 31, 2007, filed
with the SEC on May 9, 2007;
·
our
Current Reports on Form 8-K filed with the SEC on March 16, 2007 and April
3, 2007;
·
our
definitive proxy statement filed with the SEC on April 3, 2007; and
·
the
description of our capital stock contained in our registration statement on
Form 8-A filed with the SEC on December 4, 1998, including any
amendment or report filed for the purpose of updating such description.
The documents listed above and all documents that we
file with the SEC under Sections 13(a), 13(c), 14 or 15(d) of the
Securities Exchange Act of 1934 subsequent to the date of this initial
registration statement and prior to effectiveness of this registration
statement, or prior to the filing of a post-effective amendment that indicates
that all securities offered herein have been sold or which deregisters all
securities remaining unsold, shall be deemed to be incorporated by reference
into this prospectus and to be a part hereto from the date of filing such
documents.
Any statement contained in a document that is
incorporated by reference will be modified or superseded for all purposes to
the extent that a statement contained in this prospectus, or in any other
document that is subsequently filed with the SEC and incorporated by reference,
modifies or is contrary to that previous statement.  Any statement so
modified or superseded will not be deemed a part of this prospectus except as
so modified and superseded.
We will provide without charge to each person to whom
this prospectus is delivered, upon oral or written request, a copy of any or
all of the foregoing documents incorporated herein by reference (other than
exhibits to such documents unless such exhibits are specifically incorporated
by reference into the information that this prospectus incorporates). Written
or telephone requests should be directed to Shareholder Relations at Inovio
Biomedical Corporation, 11494 Sorrento Valley Road, San Diego, CA 92121-1318,
telephone number (858) 597-6006. 
Our website address is www.inovio.com.
You should rely only on the information contained or
incorporated by reference in this prospectus or any prospectus
supplement.  We have not authorized anyone else to provide you with
different or additional information.  The selling stockholders will not
make an offer of these shares in any state where the offer is not
permitted.  You should not assume that the information in this prospectus
or any supplement is accurate as of any date other than the date of those
documents.
21
Prospective purchasers may rely only on the information
contained in this prospectus.  Neither
Inovio Biomedical Corporation nor the selling shareholders have authorized
anyone to provide prospective purchasers with information different from that
contained or incorporated by reference in this prospectus.  This prospectus is not an offer to sell nor
is it seeking an offer to buy the shares of common stock being offered hereby
in any jurisdiction where the offer or sale is not permitted.  The information contained in this prospectus
is correct only as of the date of this prospectus, regardless of the time of
the delivery of this prospectus or any sale of common stock.
165,000 shares of Common Stock
REOFFER PROSPECUTS
May 15, 2007
PART II
INFORMATION REQUIRED IN THE
REGISTRATION STATEMENT
Item 3.
Incorporation of Documents by
Reference.
The following documents filed by the Registrant with
the Securities and Exchange Commission (the "Commission") pursuant to the
Securities Exchange Act of 1934, as amended (the "Exchange Act"), are
incorporated by reference into this Registration Statement:
(a) the Registrant's Quarterly Report on Form 10-Q for
the three months ended March 31, 2007 filed with the Commission on May 9, 2007;
(b) the Registrant's Annual Report on Form 10-K for
the year ended December 31, 2006 filed with the Commission on March 16, 2007;
(c) the Registrant's Proxy Statement on Schedule 14A
filed with the Commission on April 3, 2007;
(d) the Registrant's Current Reports on Form 8-K filed
with the Commission on March 16, 2007 and April 3, 2007;
(e) the description of the Registrant's common stock
contained in Registrant's Registration Statement on Form 8-A, as filed with the
Commission on December 4, 1998 under the Exchange Act, including any amendment
or report filed for the purpose of updating such description; and
(f) all documents subsequently filed by the Registrant
with the Commission pursuant to Sections 13(a), 13(c), 14 and 15(d) under the
Securities Exchange Act of 1934, as amended (the "Exchange Act") after the date
of this Registration Statement, but prior to the filing of a post-effective
amendment to this Registration Statement that indicates that all securities
offered hereby have been sold or that deregisters all securities then remaining
unsold, shall be deemed to be incorporated by reference in this Registration
Statement. Each document incorporated by reference into this Registration
Statement shall be deemed to be a part of this Registration Statement from the
date of filing of such document with the Commission until the information
contained therein is superseded or updated by any subsequently filed document
which is incorporated by reference into this Registration Statement or by any
document which constitutes part of the prospectus relating to the Plan meeting
the requirements of Section 10(a) of the Securities Act.
Item 4.
Description of Securities.
Not
applicable.
Item 5.
Interests of Named Experts and
Counsel.
None.
Item 6.
Indemnification of Directors and
Officers.
Under Section 145 of the Delaware General Corporation
Law (the "DGCL"), a corporation has the power to indemnify its directors and
officers under certain prescribed circumstances and, subject to certain
limitations, against certain costs and expenses, including attorneys' fees,
judgments, fines and amounts paid in settlement, actually and reasonably
incurred in connection with any threatened, pending or completed action, suit
or proceeding, whether criminal, civil, administrative or investigative, to
which any of them is a party by reason of his being a director or officer of
the corporation if it is determined that he acted in accordance with the
applicable standard of conduct set forth in such statutory provision. The
Registrant's Certificate of Incorporation provides that, pursuant to the DGCL,
its directors shall not be liable for monetary damages for breach of the
directors' fiduciary duty of care to us and our stockholders. This provision in
the Certificate of Incorporation does not eliminate the duty of care, and in
appropriate circumstances equitable remedies such as injunctive or other forms
of non-monetary relief will remain available under Delaware law. In addition,
each director will continue to be subject to liability for breach of the
director's duty of loyalty to the Registrant of its stockholders, for acts or
omissions not in good faith or involving intentional misconduct or knowing
violations of the law, for actions leading to improper personal benefit to the
director, and for payment of dividends or approval of stock repurchases or
redemptions that are unlawful under Delaware law. The provision also does not
affect a director's responsibilities under any other law, such as the federal
securities laws or state or federal environmental laws.
II-
1
Section 7 of the Registrant's Bylaws provides that the
Registrant will indemnify, to the fullest extent authorized by the DGCL, each
person who was or is made a party or is threatened to be made a party to or is
involved in any action, suit or proceeding, whether civil, criminal,
administrative or investigative, by reason of the fact that he or she is or was
a director or officer of the Registrant, whether the basis of such proceeding
is alleged action in an official capacity as a director or officer or in any
other capacity while serving as a director or officer against all expenses,
liability and loss reasonably incurred or suffered by such person in connection
therewith. The Registrant also has directors' and officers' liability
insurance.
Item 7.
Exemption from Registration
Claimed.
The securities that are to be reoffered or resold
pursuant to this registration statement were issued pursuant to the 2007
Omnibus Incentive Plan in transactions that were exempt from registration pursuant
to Section 4(2) of the Securities Act of 1933.
Item 8.
Exhibits.
No.
Description
3.1
Certificate of Incorporation (incorporated by
  reference to Exhibit 3.1 of the Registrant's Registration Statement on Form
  S-3 (File No. 333-108752) filed on September 12, 2003)
3.2
Certificate of Amendment to Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  September 10, 2004 (incorporated by reference to Exhibit 3.1 of the
  Registrant's Current Report on Form 8-K filed September 16, 2004)
3.3
Certificate of Amendment of the Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  March 31, 2005 (incorporated by reference to Exhibit 3.1 of the Registrant's
  Current Report on Form 8-K filed on April 4, 2005)
3.4
Amended and Restated Bylaws (incorporated by
  reference to Exhibit 3.2 of the Registrant's Form 10-Q filed on November 13,
  2002)
3.5
Amended and Restated Bylaws, as amended through
  August 12, 2005 (incorporated by reference to Exhibit 3.2 of the Current
  Report on Form 8-K filed on August 17, 2005)
4.1
Amended and Restated Stockholders Rights Agreement
  dated June 20, 1997 by and between the Registrant and Computershare Trust
  Company of Canada, as amended on March 25, 2003 (incorporated by reference to
  Exhibit A to the Registrant's Definitive Proxy Statement filed on April 28,
  2003).
4.2
Inovio Biomedical Corporation 2007 Omnibus Stock
  Incentive Plan
4.3
Form of Restricted Stock Award Grants under the 2007
  Omnibus Stock Incentive Plan
4.4
Form of Incentive and Non-Qualified Stock Option
  Grants under the 2007 Omnibus Stock Incentive Plan
5.1
Opinion of Kirkpatrick & Lockhart Preston Gates
  Ellis LLP
23.1
Consent of Kirkpatrick & Lockhart Preston Gates
  Ellis LLP (included in Exhibit 5.1)
23.2
Consent of Independent Registered Public Accounting
  Firm
24.1
Power of Attorney (included on signature page)
II-
2
Item 9.
Undertakings.
(a)
The undersigned registrant
hereby undertakes:
(1)
To file, during any period
in which offers or sales are being made, a post-effective amendment to this
Registration Statement;
(i) To include any
prospectus required by Section 10(a)(3) of the Securities Act;
(ii) To reflect in
the prospectus any facts or events arising after the effective date of this
Registration Statement (or the most recent post-effective amendment thereof)
which, individually or in the aggregate, represent a fundamental change in the
information set forth in this registration statement;
(iii) To include
any material information with respect to the plan of distribution not
previously disclosed in this Registration Statement or any material change to
such information in this Registration Statement;
provided, however,
that paragraphs (a)(1)(i) and (a)(1)(ii) do not apply if the information
required to be included in a post-effective amendment by those paragraphs is
contained in periodic reports filed with or furnished to the Commission by the
Registrant pursuant to Section 13 or 15(d) of the Exchange Act that are
incorporated by reference in this Registration Statement.
(2)
That, for the purpose of
determining any liability under the Securities Act, each such post-effective amendment
shall be deemed to be a new registration statement relating to the securities
offered therein, and the offering of such securities at that time shall be
deemed to be the initial bona fide offering thereof.
(3)
To remove from registration
by means of a post-effective amendment any of the securities being registered
which remain unsold at the termination of the offering.
(b)
The undersigned registrant
hereby undertakes that, for purposes of determining any liability under the
Securities Act, each filing of the registrant's annual report pursuant to
Section 13(a) or Section 15(d) of the Exchange Act that is incorporated by
reference in this Registration Statement shall be deemed to be a new
registration statement relating to the securities offered herein, and the
offering of such securities at that time shall be deemed to be the initial bona
fide offering thereof.
(h)
Insofar as indemnification
for liabilities arising under the Securities Act may be permitted to directors,
officers and controlling persons of the Registrant pursuant to the foregoing
provisions, or otherwise, the Registrant has been advised that in the opinion
of the Commission such indemnification is against public policy as expressed in
the Securities Act and is, therefore, unenforceable. In the event that a claim
for indemnification against such liabilities (other than the payment by the
Registrant of expenses incurred or paid by a director, officer or controlling
person of the Registrant in the successful defense of any action, suit or
proceeding) is asserted by such director, officer or controlling person in
connection with the securities being registered, the Registrant will, unless in
the opinion of its counsel the matter has been settled by controlling
precedent, submit to a court of appropriate jurisdiction the question whether
such indemnification by it is against public policy as expressed in the
Securities Act and will be governed by the final adjudication of such issue.
II-
3
SIGNATURES
Pursuant to the
requirements of the Securities Act of 1933, the Registrant certifies that it
has reasonable grounds to believe that it meets all of the requirements for
filing on Form S-8 and has duly caused this Registration Statement to be signed
on its behalf by the undersigned, thereunto duly authorized, in the City of San
Diego, State of California on this 14th day of May, 2007.
INOVIO BIOMEDICAL CORPORATION
By:
/s/ Avtar
  Dhillon M.D.
Avtar Dhillon, M.D.
President and Chief Executive Officer
By:
/s/ Peter D.
  Kies
Peter D. Kies
Chief Financial Officer
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that each person whose signature
appears below constitutes and appoints Avtar Dhillon, M.D., as his or her true
and lawful attorney-in-fact and agent, with full power of substitution for him
or her in any and all capacities, to sign any and all amendments (including
post-effective amendments) to this Registration Statement, and to file the
same, with all exhibits thereto, and other documents in connection therewith,
with the Securities and Exchange Commission, granting unto said
attorneys-in-fact and agents, and each of them, full power and authority to do
and perform each and every act and thing requisite and necessary to be done in
connection therewith, as fully to all intents and purposes as he might or could
do in person, hereby ratifying and confirming all that said attorneys-in-fact
and agents, or any of them, or their or his substitute or substitutes, may
lawfully do or cause to be done by virtue hereof.
Pursuant to the requirements of the Securities Exchange Act of 1933, as
amended, this Registration Statement has been signed by the following persons
on behalf of the issuer in the capacities and on the dates indicated.
Signature
Capacity
Date
/s/ Avtar
  Dhillon, M.D.
President and Chief Executive Officer,
May 14, 2007
Avtar Dhillon,
  M.D.,
Director
/s/ James L. Heppell
Chairman of the Board and a Director
May 14, 2007
James L. Heppell
/s/ Riaz Bandali
Director
May 14, 2007
Riaz Bandali
/s/ Simon X.
  Benito
Director
May 14, 2007
Simon X. Benito
/s/ Tazdin
  Esmail
Director
May 14, 2007
Tazdin Esmail
/s/ Robert W.
  Rieder
Director
May 14, 2007
Robert W. Rieder
II-
4
EXHIBITS
INDEX
No.
Description
3.1
Certificate of Incorporation (incorporated by
  reference to Exhibit 3.1 of the Registrant's Registration Statement on Form
  S-3 (File No. 333-108752) filed on September 12, 2003)
3.2
Certificate of Amendment to Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  September 10, 2004 (incorporated by reference to Exhibit 3.1 of the
  Registrant's Current Report on Form 8-K filed September 16, 2004)
3.3
Certificate of Amendment of the Amended and Restated
  Certificate of Incorporation as filed with the Delaware Secretary of State on
  March 31, 2005 (incorporated by reference to Exhibit 3.1 of the Registrant's
  Current Report on Form 8-K filed on April 4, 2005)
3.4
Amended and Restated Bylaws (incorporated by
  reference to Exhibit 3.2 of the Registrant's Form 10-Q filed on November 13,
  2002)
3.5
Amended and Restated Bylaws, as amended through
  August 12, 2005 (incorporated by reference to Exhibit 3.2 of the Current
  Report on Form 8-K filed on August 17, 2005)
4.1
Amended and Restated Stockholders Rights Agreement
  dated June 20, 1997 by and between the Registrant and Computershare Trust
  Company of Canada, as amended on March 25, 2003 (incorporated by reference to
  Exhibit A to the Registrant's Definitive Proxy Statement filed on April 28,
  2003).
4.2
Inovio Biomedical Corporation 2007 Omnibus Stock
  Incentive Plan
4.3
Form of Restricted Stock Award Grants under the 2007
  Omnibus Stock Incentive Plan
4.4
Form of Incentive and Non-Qualified Stock Option
  Grants under the 2007 Omnibus Stock Incentive Plan
5.1
Opinion of Kirkpatrick & Lockhart Preston Gates
  Ellis LLP
23.1
Consent of Kirkpatrick & Lockhart Preston Gates
  Ellis LLP (included in Exhibit 5.1)
23.2
Consent of Independent Registered Public Accounting
  Firm
24.1
Power of Attorney (included on signature page)
II-
5