exhibit 10. 56 portions of this document have been redacted. redacted sections marked with “ * * * * *. ” collaboration and license agreement this collaboration and license agreement ( the “ agreement ” ) between avi biopharma, inc. of one s. w. columbia, suite 1105, portland or 97258 ( “ avi ” ) and ercole biotech, inc., of 79 tw alexander dr., bldg 4401, suite 200, research triangle park, nc 27709 ( “ ercole ” ) is entered into and made effective this 19th day of december 2006 ( the “ effective date ” ). overview collaboration and cross licenses avi owns or controls certain patents related to morpholino chemistry ( the “ avi patents ” ), including those licensed under that certain agreement between avi and anti - gene development group effective may 19, 1993 and amended march, 2000 ( the “ agdg agreement ” ). ercole controls certain patents ( the “ isis splicing patents ”, as identified on exhibit 5 ) related to rna splicing licensed under that certain collaboration and license agreement between ercole and isis pharmaceuticals effective may 16, 2003 ( the “ isis cla ” ). ercole controls certain patents ( the “ ercole splicing patents ” ) related to rna splicing licensed under that certain license agreement between ercole and the university of north carolina at chapel hill effective october 15, 2001 ( the “ unc license ” ). the parties wish to collaborate in the areas of drug discovery and medicinal chemistry, as further described below and in the research plan. each party will choose a fixed pool of exclusive gene targets for their research and development efforts and will receive an exclusive license to practice under specified patents owned or controlled by the other party to discover and develop products that modify such exclusive gene targets ( either “ ercole - avi exclusive products ” or “ avi exclusive products, ” each as further defined below ). in exchange for these exclusive licenses and the contribution of each party to the other party ’ s efforts to develop splicing modulators, each party will pay royalties and milestones on the development and sale of products. ercole and avi will design and identify morpholino and morpholino peptide conjugate splice switching oligomers that modulate the splicing of ercole -