MEMORY PHARMACEUTICALS CORP
EX-10.4: SECOND AMENDMENT TO AMENDED AND RESTATED STRATEGIC ALLIANCE AGREEMENT
<DOCUMENT>
<TYPE>EX-10.4
<SEQUENCE>2
<FILENAME>y38344exv10w4.htm
<DESCRIPTION>EX-10.4: SECOND AMENDMENT TO AMENDED AND RESTATED STRATEGIC ALLIANCE AGREEMENT
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<TITLE>EX-10.4</TITLE>
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<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SECOND AMENDMENT TO<BR>
AMENDED AND RESTATED STRATEGIC ALLIANCE AGREEMENT</B><BR>
<U><B>(NICOTINIC ALPHA-7 PROGRAM)</B></U>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This SECOND AMENDMENT TO AMENDED AND RESTATED STRATEGIC ALLIANCE AGREEMENT (NICOTINIC ALPHA-7
PROGRAM) (this &#147;<U>Amendment</U>&#148;) is executed to be effective this 18<SUP style="font-size: 85%; vertical-align: text-top">th</SUP> day of June,
2007, by and among Memory Pharmaceuticals Corp. (&#147;<U>Memory</U>&#148;), and F. Hoffmann-La Roche Ltd
and Hoffmann-La Roche Inc. (together, &#147;<U>Roche</U>&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, Memory and Roche have previously entered into an Amended and Restated Strategic
Alliance Agreement (Nicotinic Alpha-7 Program) (including its schedules and appendices) dated as of
February&nbsp;27, 2006, as amended on March&nbsp;30, 2007 (the &#147;<U>Agreement</U>&#148;), which sets forth the
parties&#146; rights, duties and obligations under the Agreement; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;WHEREAS, the parties wish to amend the Agreement and agree to the other provisions as set
forth herein.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, in consideration of the foregoing and for good and valuable consideration, the
receipt and sufficiency which are hereby acknowledged, the parties hereby agree as follows:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The definition of &#147;<U>End of Phase IIa</U>&#148; in Article&nbsp;1 of the Agreement is
hereby amended and restated to read in its entirety as follows:</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 6%">&#147;<U>End of Phase IIa</U>&#148; means the date that one Phase IIa
clinical trial has been completed.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">2.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The definition of &#147;<U>License Exercise Period</U>&#148; in Article&nbsp;1 of the
Agreement is hereby amended and restated to read in its entirety as follows:</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 6%">&#147;License Exercise Period&#148; means, with respect to Compound 3454, the
sixty (60)&nbsp;day period immediately following the later of (a)&nbsp;the End
of Phase IIa, or (b)&nbsp;the date of delivery by Memory to Roche of the
data and reports specified in Schedule&nbsp;1 as Requirements at End of
Phase IIa under either the heading Clinical Data Package Requirement
(Neurology) or Clinical Data Package (Psychiatry).
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 0%">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3. The following definition is hereby added to Article&nbsp;1 of the Agreement:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 6%">&#147;<U>CIAS Tria</U>l&#148; means a Phase IIa trial aimed at treating
cognitive impairment associated with schizophrenia, which Phase IIa
trial (a)&nbsp;tests multiple doses of Compound 3454, (b)&nbsp;is
placebo-controlled and double-blinded, (c)&nbsp;requires dosing per
patient based on a treatment plan with a period of at a minimum of
<B>&#091;*&#093; </B>weeks in duration, (d)&nbsp;includes a minimum of <B>&#091;*&#093; </B>patients
randomized <B>&#091;</B>*<B>&#093;</B>, (e)&nbsp;has as its primary outcome an assessment of
cognition <B>&#091;*&#093;</B>, (f)
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 6%">uses secondary outcome measures in two areas: general
psychopathology (positive and negative symptoms of schizophrenia;
depression) and social competence, and (g)&nbsp;includes smokers and
non-smokers.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">4.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Notwithstanding anything contained in the Agreement to the contrary (including,
without limitation, Section&nbsp;9.1 thereof), Memory and Roche hereby agree that Memory
shall initiate and pay the costs associated with the CIAS Trial.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="3%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">5.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Section&nbsp;4.4 of the Agreement is hereby amended and restated to read in its
entirety as follows:</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 6%">Roche shall pay to Memory the payments set forth on Exhibits B, C
and D hereto upon the occurrence of each of the Events listed on
such Exhibits.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">6.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Exhibit&nbsp;B to the Agreement is hereby amended and restated to read in its
entirety as set forth on Exhibit&nbsp;B attached hereto.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">7.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Schedule&nbsp;1 to the Agreement is hereby amended and restated to read in its
entirety as set forth on Schedule&nbsp;1 attached hereto.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">8.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Section&nbsp;16.4(a) of the Agreement is hereby amended and restated to read in its
entirety as follows:</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 6%">Roche shall have the unilateral right to elect not to maintain its
rights to obtain a License with respect to 3454 Products and,
following the exercise by Roche of such right, not to maintain such
License rights, upon the occurrence of each of the four Events, if
applicable, described in Section 1(a) and Section 1(b) of Exhibit&nbsp;B
hereto with respect to such Compound 3454. Roche may exercise such
right by giving written notice thereof to Memory within sixty (60)
days after the occurrence of the applicable Event. If Roche
exercises such right, then Roche shall not have any obligation to
make the payment to Memory related to such Event, Roche shall not
have the right to obtain or continue to maintain, as the case may
be, a License with respect to Compound 3454 or any 3454 Products,
this Agreement shall terminate with respect to all Indications of
Compound 3454 and 3454 Products, and Roche shall have no further
obligation to make any payments pursuant to Section&nbsp;4.4 and Article
5 hereof relating to Compound 3454 or 3454 Products, except to the
extent such payment obligations accrued and was not paid by Roche
prior to the occurrence of the applicable Event.
</DIV>
 <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
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<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">9.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Notwithstanding anything contained herein to the contrary, this Amendment and
all the terms and conditions set forth herein are contingent upon and shall come into
full force and effect only upon the execution and delivery by the parties of an Amended
and Restated Collaboration and License Agreement, which amends and restates the
Collaboration and License Agreement dated <BR>July&nbsp;29, 2002, as amended, among the parties,
upon terms mutually agreed upon by the parties.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">10.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>This Amendment, along with the Agreement, shall constitute the entire agreement
between the Parties with respect to the subject matter of the Agreement. All other
terms of the Agreement shall remain in full force and effect. To the extent that there
are any inconsistencies between the terms of the Agreement and the terms of this
Amendment, the terms of this Amendment shall prevail in effect. This Amendment may be
executed by facsimile and in any number of counterparts, each of which shall be deemed
an original but all of such together shall constitute one and the same instrument.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;Signature block on the next page&#093;

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
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<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, the parties have executed this Second Amendment to be effective as of the
day and year first above written.
</DIV>
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    <TD width="40%">&nbsp;</TD>
    <TD width="10%">&nbsp;</TD>
    <TD width="40%">&nbsp;</TD>
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    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>MEMORY PHARMACEUTICALS CORP.</B>
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>HOFFMANN-LA ROCHE INC.</B></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">By: /s/ James R. Sulat
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By: /s/ Warwick S. Bedwell</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:20px; text-indent:-20px; border-top: 1px solid #000000">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:20px; text-indent:-20px; border-top: 1px solid #000000">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:20px; text-indent:-0px">Name: James R. Sulat
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name: Warwick S. Bedwell</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:20px; text-indent:-0px">Title: President and CEO
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title: Vice President</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>

<TD align="left" valign="top">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Global Head of Business Development</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>F. HOFFMANN-LA ROCHE LTD</B></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By: /s/ Stefan Arnold</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:20px; text-indent:-20px; border-top: 1px solid #000000">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name: Stefan Arnold</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title: Legal Counsel</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By: /s/ Robin Breckenridge</TD>
</TR>
<TR style="font-size: 1px">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD valign="top"><DIV style="margin-left:20px; text-indent:-20px; border-top: 1px solid #000000">&nbsp;</DIV></TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name: Robin Breckenridge</TD>
</TR>
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</TABLE>
</DIV>


 <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
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<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><U><B>Exhibit&nbsp;B</B></U>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>(Amended and Restated Exhibit&nbsp;B)</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Payments With Respect to 3454 Products</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">1.&nbsp;<U>Payments to Maintain Roche License Rights with respect to 3454 Products</U>.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Neurological Indications</U>. Roche shall pay to Memory, in order to
maintain its license rights with respect to 3454 Products pursuant to Section&nbsp;4.4 of
the Agreement and the other provisions of the Agreement with respect to such 3454
Products, the following non-refundable and non-creditable payments upon the first
occurrence of the following Events for such any such 3454 Product.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="80%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Event</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Payment (mio US$)</B></TD>
</TR>

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<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>&#091;*&#093; </B>(or foreign equivalent) for a Neurological
Indication and delivery of the data and reports
specified in Schedule&nbsp;1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>&#091;*&#093; </B>(or foreign equivalent) for a Neurological
Indication and delivery of the data and reports
specified in Schedule&nbsp;1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>&#091;*&#093;</B><SUP style="font-size: 85%; vertical-align: text-top">1</SUP></TD>
</TR>
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</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Psychiatric Indications</U>. Roche shall pay to Memory, in order to
maintain its license rights with respect to 3454 Products pursuant to Section&nbsp;4.4 of
this Agreement and the other provisions of the Agreement with respect to such 3454
Products, the following non-refundable and non-creditable payments upon the first
occurrence of the following Events for any such 3454 Product.</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="80%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="20%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Event</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Payment (mio US$)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>&#091;*&#093; </B>(or foreign equivalent) for a Psychiatric Indication
and delivery of the data and reports specified in
Schedule&nbsp;1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>&#091;*&#093; </B>(or foreign equivalent) for a Psychiatric Indication
and delivery of the data and reports specified in
Schedule&nbsp;1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
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</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">1</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>If any 3454 Product is for a Neurological
indication other than Alzheimer&#146;s Disease, then the payment shall be <B>&#091;*&#093;</B>
dollars <B>(</B>$<B>&#091;*&#093;).</B></TD>
</TR>

</TABLE>
 <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">Exhibit B &#150; Page 1</DIV>
 <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">







<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Each payment in Section 1(a) and 1(b) shall be due and payable by Roche within sixty
(60)&nbsp;days after occurrence of the applicable Event. Roche will make each of such
payments only once.<SUP style="font-size: 85%; vertical-align: text-top">2</SUP>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">For the avoidance of doubt, the Parties confirm and agree that no amount payable
under Section&nbsp;4.4 of the Agreement or this Exhibit&nbsp;B or any of the other Exhibits
thereto shall reduce any royalties payable under Article&nbsp;5 of the Agreement or any
of the other Exhibits thereto.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">2. <U>Development Event Based Payments</U>.
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(a)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Neurological Indications</U>. Roche shall pay to Memory with respect to
any 3454 Product the following non-refundable and non-creditable payments upon the
first occurrence of the following Events for such 3454 Product:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Event</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Payment (mio US$)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>(or a foreign equivalent) for a Neurological
Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>for a Neurological Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>for a Neurological Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(b)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Psychiatric Indications</U>. Roche shall pay to Memory with respect to any
3454 Product the following non-refundable and non-creditable payments upon the first
occurrence of the following Events for such 3454 Product:</TD>
</TR>

</TABLE>
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Event</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Payment (mio US$)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>(or foreign equivalent) for a Psychiatric Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>for a Psychiatric Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>for a Psychiatric Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="1%" nowrap align="left">(c)</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>Other Indications</U>. Roche shall pay to Memory the following
non-refundable, non-creditable payments upon the first occurrence of the following
Events for a 3454 Product:</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">2</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>By way of example, upon the occurrence of the
<B>&#091;*&#093; </B>(or a foreign equivalent) for a Neurological Indication and delivery of the
data and reports specified in Schedule&nbsp;1, Roche shall pay to Memory (subject to
footnote 1 of this Exhibit&nbsp;B) <B>&#091;*&#093; </B>dollars ($<B>&#091;*&#093;</B>). Upon a subsequent occurrence
of <B>&#091;*&#093; </B>(or foreign equivalent) for a Psychiatric Indication and delivery of the
data and reports specified in Schedule&nbsp;1, Roche shall pay to Memory <B>&#091;*&#093; </B>dollars
($<B>&#091;*&#093;</B>).</TD>
</TR>

</TABLE>

  <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">Exhibit B &#150; Page 2</DIV>
 <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">





<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Event</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Payment (mio US$)</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>(or foreign equivalent) for an Other Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>for an Other Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>&#091;*&#093; </B>for an Other Indication</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>&#091;*&#093;</B></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">Each payment in Section&nbsp;2(a), 2(b) and 2(c) shall be due and payable by Roche within
sixty (60)&nbsp;days after occurrence of the applicable Event. Roche will make each of
such payments only once.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 4%">For the avoidance of doubt, the Parties confirm and agree that no amount payable
under Section&nbsp;4.4 of the Agreement or this Exhibit&nbsp;B or any of the other Exhibits
thereto shall reduce any royalties payable under Article&nbsp;5 of the Agreement or any
of the other Exhibits thereto.
</DIV>

  <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">Exhibit B &#150; Page 3</DIV>
 <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><U><B>Schedule&nbsp;1</B></U>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>(Amended and Restated Schedule&nbsp;1)</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Schedule&nbsp;1</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>Compound 3454 Data and Reports</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>&#091;*&#093;</B>

</DIV>

  <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">SCHEDULE 1 &#150; Page 1
</DIV>
 <DIV align="Center" style="font-size: 10pt; margin-top: 6pt">&#091;*&#093; CONFIDENTIAL TREATMENT IS REQUESTED</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio --><!-- /Folio -->
</DIV>

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</HTML>
</TEXT>
</DOCUMENT>
