On November 4, 2013 the Board of Directors of the Company authorized the execution of a binding letter of intent with JPL, LLC, a Delaware limited liability company ("JPL"). In accordance with the terms and provisions of the Letter of Intent: (i) The Company shall grant to JPL for the territory of Connecticut (the "Territory") the right to use and distribute certain therapeutic programs and products including the Naltrexone implant (the "Products"); (ii) JPL shall pay to the Company a one time, up-front royalty fee; and (iii) JPL shall further pay to the Company an on-going royalty relating to the Naltrexone implant in an amount still to be determined.

The Company entered into the Letter of Intent for the purpose of securing a binding understanding between the Company and JPL and to further serve as a basis for negotiating a further written agreement. It is intended to specify some of the proposed terms and conditions of the agreement between the Company and JPL.