1

January 2009

(NASDAQ: AUXL)

Exhibit 99.1

2

Safe Harbor Statement

We

will

make

various

remarks

during

this

presentation

that

constitute

“forward-looking

statements”

for

purposes

of

the

safe

harbor

provisions

under

The

Private

Securities

Litigation

Reform

Act

of

1995,

including

statements

regarding

the

pricing,

time

to

market,

size

of

market,

growth

potential

and

therapeutic

benefits

of

the

Company’s

product

candidates,

including

those

for

the

treatment

of

Dupuytren’s

contracture,

Peyronie’s

disease,

and

Frozen

Shoulder

syndrome;

interpretation

of

market

research

data;

competition

within

certain

markets

relevant

to

the

Company’s

product

candidates;

interpretation

of

clinical

results,

including

the

efficacy

and

tolerability

of

the

Company’s

product

candidates;

the

timing

of

the

commencement

and

completion

of

clinical

trials

and

the

timing

of

reporting

of

results

therefrom;

the

timing

of

the

filing

of

the

Biologics

License

Application

for

approval

of

XIAFLEX™

(clostridial

collagenase

for

injection

–

formerly

referred

to

as

AA4500)

for

the

treatment

of

Dupuytren’s

contracture,

timing

of

FDA’s

decision

on

priority

review

and

the

approval

of

the

BLA;

the

timing

of

the

availability

of

safety

data

from

the

clinical

trials

for

XIAFLEX;

the

timing

of

the

completion

of

enrollment

in

the

phase

IIb

trial

for

XIAFLEX

for

the

treatment

of

Peyronie’s

disease

and

the

release

of

results

therefrom;

the

timing

of

the

launch

of

XIAFLEX

for

the

treatment

of

Dupuytren’s

contracture

in

the

U.S.;

the

timing

of

the

initiation

of

phase

III

for

XIAFLEX

for

the

treatment

of

Peyronie’s

disease;

the

Company’s

ability

to

manufacture

XIAFLEX

at

the

Company’s

Horsham

facility

in

sufficient

quantities

to

meet

several

years

of

global

launch

expectations

given

annual

capacity

at

current

yields;

the

timing

of

the

filing

by

Pfizer

of

the

Marketing

Authorization

Application

for

XIAFLEX

for

the

treatment

of

Dupuytren’s

contracture

in

the

European

Union;

competitive

developments

affecting

the

Company’s

products

and

product

candidates,

including

generic

competition;

the

success

of

the

Company’s

development

activities;

future

Testim

market

share,

prescriptions

and

sales

growth

and

factors

that

may

drive

such

growth;

size

and

growth

potential

of

the

testosterone

replacement

therapy

market

and

the

gel

segment

thereof

and

factors

that

may

drive

such

growth;

the

protection

for

Testim

afforded

by

U.S.

Patent

No.

7,320,968,

and

its

listing

in

the

Orange

Book,

the

value

of

extending

patent

protection

for

Testim

through

January

2025,

the

value

and

likelihood

that

patents

will

be

granted

from

the

continuation

and

divisional

applications

filed

by

CPEX

Pharmaceuticals,

Inc.;

the

economic

benefit

of

the

agreement

with

Ferring

Pharmaceuticals;

the

impact

of

the

filing

by

Upsher-Smith

Laboratories,

Inc.

of

an

ANDA

for

a

testosterone

gel;

the

Company’s

development

and

operational

goals

and

strategic

priorities

for

fiscal

2009;

the

ability

to

fund

future

operations;

and

the

Company’s

expected

financial

performance

during

2008

and

financial

milestones

that

it

may

achieve

for

2008,

including

2008

net

revenues,

research

and

development

spending,

selling,

general

and

administrative

expenses,

stock-based

compensation

expenses,

and

net

loss.

All

remarks

other

than

statements

of

historical

facts

made

during

this

presentation,

including

but

not

limited

to,

statements

regarding

future

expectations,

plans

and

prospects

for

the

Company,

statements

regarding

forward-looking

financial

information

and

other

statements

containing

the

words

“believe,”

“may,”

“could,”

“will,”

“estimate,”

“continue,”

“anticipate,”

“intend,”

“should,”

“plan,”

“expect,”

and

similar

expressions,

as

they

relate

to

the

Company,

constitute

forward-looking

statements.

Actual

results

may

differ

materially

from

those

reflected

in

these

forward-looking

statements

due

to

various

factors,

including

general

financial,

economic,

regulatory

and

political

conditions

affecting

the

biotechnology

and

pharmaceutical

industries

and

those

discussed

in

the

Company’s

Annual

Report

on

Form

10-K

for

the

year

ended

December

31,

2007

and

the

Company’s

Quarterly

Report

on

Form

10-Q

for

the

period

ended

September

30,

2008

under

the

heading

“Risk

Factors”,

which

are

on

file

with

the

Securities

and

Exchange

Commission

(the

“SEC”)

and

may

be

accessed

electronically

by

means

of

the

SEC’s

home

page

on

the

Internet

at

http://www.sec.gov

or

by

means

of

the

Company’s

home

page

on

the

Internet

at

http://www.auxilium.com

under

the

heading

“Investor

Relations

-

SEC

Filings.”

There

may

be

additional

risks

that

the

Company

does

not

presently

know

or

that

the

Company

currently

believes

are

immaterial

which

could

also

cause

actual

results

to

differ

from

those

contained

in

the

forward-looking

statements.

Given

these

risks

and

uncertainties,

any

or

all

of

these

forward-looking

statements

may

prove

to

be

incorrect.

Therefore,

you

should

not

rely

on

any

such

factors

or

forward-looking

statements.

In

addition,

forward-looking

statements

provide

the

Company’s

expectations,

plans

or

forecasts

of

future

events

and

views

as

of

the

date

of

this

presentation.

The

Company

anticipates

that

subsequent

events

and

developments

will

cause

the

Company’s

assessments

to

change.

However,

while

the

Company

may

elect

to

update

these

forward-looking

statements

at

some

point

in

the

future,

the

Company

specifically

disclaims

any

obligation

to

do

so.

These

forward-looking

statements

should

not

be

relied

upon

as

representing

the

Company’s

assessments

as

of

any

date

subsequent

to

the

date

of

this

presentation..

3

Focused on Sustainable Long-term Growth

Testim

XIAFLEX Dupuytren’s

XIAFLEX Peyronie’s

XIAFLEX New Indications

XIAFLEX New Territories

4

•

File BLA for Dupuytren's Contracture    

(early 2009)

•

Decision from FDA on priority review

(60 days post-BLA filing)

•

Dupuytren's Contracture safety data

available (post-BLA filing)

•

Complete enrollment

in

Peyronie’s Phase IIb

(1Q09)

•

Top-line results of

Peyronie's Phase IIb

Study (4Q09)

•

FDA Approval In Dupuytren’s   

Contracture (early 2010)

•

U.S. Dupuytren’s Contracture

Launch (2010)

•

Pfizer files MAA for Dupuytren’s 

Contracture in EU (2010)

•

Initiation of Peyronie's

Phase III Studies (2010)

Timing

Dupuytren’s

Peyronie’s

Anticipated XIAFLEX Events

2009

2010

5

Pipeline Continues to Advance

Note:  Seeking partners for Transmucosal film product candidates

PRODUCT

LATE RESEARCH      PRE-CLINICAL           PHASE I           PHASE II           PHASE III              MARKET  

TESTIM

®

GEL

XIAFLEX™

XIAFLEX™

XIAFLEX™

Transmucosal Film AA4010

Transmucosal Film

Transmucosal Film

Hypogonadism

Dupuytren’s Contracture

Peyronie’s Disease

Frozen Shoulder Syndrome

Overactive Bladder

Pain

Hormone & Urology

6

Strong Strategic Partner for XIAFLEX in EU

Validates Market Potential

•

Compelling economics for Auxilium:

•

Up-front payment of $75 million

•

$150 million tied to regulatory milestones

•

$260 million based on sales milestones

•

Increasing tiered royalties based on sales

of XIAFLEX in Pfizer’s territories

•

Primarily responsible for the global

development of XIAFLEX, including all

clinical & commercial manufacturing

and supply.

•

Exclusive rights to commercialize

XIAFLEX for Dupuytren’s contracture

and Peyronie’s disease

>

27 member countries of European Union

(EU) and 19 other European and

Eurasian countries

•

Primarily responsible for:

•

EU regulatory activities

•

All commercialization activities

•

Phase IV clinical development

•

First EU only partnership

7

XIAFLEX

Driver of Long-Term Growth

XIAFLEX product and packaging have not been approved by the FDA

8

XIAFLEX –

Unique, Late-Stage, Blockbuster

Opportunity

•

Potential to be the only effective non-surgical treatment for two high unmet needs:

–

Dupuytren’s contracture

–

Peyronie’s disease

•

Well-characterized mode of action

•

State of the art biological manufacturing facility

•

Worldwide rights generate and support growth

–

Build company in North America

–

Partnered with Pfizer in EU for Dupuytren’s and Peyronie’s

–

Opportunity to add additional indications

–

Rights for other territories or indications could generate additional cash

•

We believe there are at least 450,000 potential patients annually in U.S. and

EU for Dupuytren’s & Peyronie’s indications or > $1 Billion opportunity,

based on market research and analysis

9

Dupuytren’s Contracture is Debilitating for

Patients

•

Excessive collagen deposition in fascia of hand

•

Nodules represent early, active form

•

Cords develop over time, are palpable, and result in

contractures

•

Quality of life and daily activities can be significantly

affected

•

Surgery may be reserved for advanced disease due

to unpredictable results, complications, long recovery

and recurrence/additional surgeries

10

Current Treatment Options Require Invasive

Surgery with Significant Recuperation or

Are Unapproved and Ineffective

•

Surgery

•

Non-surgical options

>

Splinting

>

Physical therapy

>

Corticosteroids

•

Needle

fasciotomy/

aponeurotomy

•

Amputation

11

XIAFLEX Offers an Improved Mechanism of

Action

•

Clostridial collagenase is faster and more potent than human collagenase

–

Activity of XIAFLEX further enhanced by optimizing the ratio of collagenases

in the product

End products

Fast cleavage

Human collagenase

Human collagenase

(MMP)

(MMP)

Slow cleavage

XIAFLEX

XIAFLEX

End products

12

Thoroughly Researched Dupuytren’s Clinical

Program for XIAFLEX

Study Name

Country

Design

Treated

Patients (N)

DUPY-202

U.S.

DB

73

DUPY-303

U.S.

DB

35

DUPY-851/852

U.S.

DB

5

DUPY-853

U.S.

DB

17

U.S.

OL

CORD II

AUS

DB & OL

63

JOINT I

U.S.

OL

195

JOINT II

AUS/ EU

OL

379

Pharmacokinetics

U.S.

16

1082

CORD I

299

13

CORD I -

Largest Double-blind, Placebo-

controlled Trial in Dupuytren’s Contracture

•

Primary endpoint is reduction in contracture to within

0

–

5

o

of

normal

>

randomized in 2:1 ratio of active to placebo

>

enrolled a 2:1 ratio of MP:PIP

>

enrolled 1:1 ratio of less severe to more severe joints

•

Secondary endpoints to measure clinical improvement

and time to success

>

50%

improvement

in

contracture

>

change in primary joint degree of contracture

•

3 month and 12 month safety profile

•

Database is locked

14

CORD I -

1°

and 2°

Endpoint Outcomes

Should Compare Favorably To Surgery

60%

50%

40%

30%

20%

10%

0%

79.3% reduction in contracture

for XIAFLEX patients vs. 8.6%reduction

for placebo patients (p<0.001)

Baseline

Last

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

* P < 0.001 Comparison of XIAFLEX vs. Placebo

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

% of Patients Achieving Less

Than or Equal to 5 degrees

Contractures Post Treatment

XIAFLEX

(N=203)

Placebo

(N=103)

XIAFLEX

(N=203)

Placebo

(N=103)

XIAFLEX

(N=203)

Placebo

(N=103)

% of Patients Achieving At Least

50% reduction in Contracture

Post-treatment

15

XIAFLEX Phase III AE and SAE Rates Should

Compare Favorably To Surgical Complications

•

Common adverse events and rates were consistent with prior XIAFLEX trials

Serious Adverse Events

Number

Rate/Inj.

Tendon / Ligament:

Confirmed Tendon Rupture

3

0.12%

Ligament Injury

1  

0.04%

Total Tendon / Ligament

4

0.15%

Deep Vein Thrombosis

1

0.04%

Dupuytren’s Disease

1

0.04%

Complex Regional Pain Syndrome

1  

0.04%

Total

7  

0.27%

Note:  > 2,600 injections in approximately 1000 patients from CORD,  JOINT and PK studies as of October 29, 2008.

16

XIAFLEX Offers a Non-Invasive

Treatment for Dupuytren’s Contracture

17

Dupuytren’s Key Clinical Takeaways

•

Efficacy should compare favorably to surgery

–

Primary

endpoint

of

5°

reached

with

statistical

significance in multiple studies

–

Secondary endpoints support commercial uptake

•

Less severe contractures responded better than more

severe contractures

•

MP joints responded better than PIP joints

•

Safety profile should compare favorably to surgery

–

No systemic exposure and no systemic allergic reactions

18

XIAFLEX I.P. Position for Dupuytren’s Contracture

•

U.S. Orphan Drug  granted on May 23, 1996 provides exclusivity for 7

years post-approval

•

Market Exclusivity expected in EU for 10 years post-approval

>

Data protection granted for 8 years

•

Method of Use Patent in U.S. through 2014

•

Use Patent in France, UK, Sweden through 2018

>

Pending in Germany and Denmark

•

Highly Purified Collagenase product and manufacturing

patent filed (if issued, expected expiry 2027)

19

XIAFLEX Supply Chain

•

API produced in Horsham, PA

–

2°-

8°C storage expected at launch

–

Annual capacity at current yield should be sufficient for several

years of global launch expectations

–

1 manufacturing train in use and validated; capacity

to expand for future demand

•

Fill and Lyophilization: Hollister-Stier; WA

–

FDA and EMEA-approved facility

–

Supplies U.S. and EU markets with injectable forms

20

Dupuytren’s Contracture –an Unmet Medical Need

1

Tubiana

2006.

2

Hueston

1963

3

Skoog

1948

4

Mikkelsen

1976

•

Disease prevalence is estimated at 3%-6% of adult Caucasian

population,

or

13.5

to

27

Million,

in

U.S.

and

EU,

but

occurs

in

all

populations

•

Higher

prevalence

in

patients

of

northern-European

descent

•

Hereditary

component

in

approximately

40%

of

patients

2

•

On average, patients have 2.2 affected joints at the time of

diagnosis, and about half of patients have bilateral disease

•

Recurrence

rate

in

surgical

patients

>

30% in 2 years

>

55% in 10 years

•

We believe Dupuytren’s contracture is under-diagnosed

and under-treated

1

1

3

4

21

Extensive Market Research Performed

with Dupuytren’s Surgeons

•

Multiple prevalence data sets proved to be highly variable in numbers

of patients

•

Two rounds of quantitative primary research have been

commissioned by Auxilium on XIAFLEX for Dupuytren’s contracture

•

A combined 571 Orthopedic Surgeons have been interviewed

to estimate market size (401 in U.S.;  170 in Europe) and 391

have given feedback on potential usage of XIAFLEX (221 U.S.;

170 Europe)

•

Second study (n=444 total & 340 in depth) was designed to provide

95% confidence level and 7.5% margin of error

22

Source: 2006 Auxilium research and analysis

Annually, >240,000 Dupuytren’s Candidates

Could Exist between U.S. & EU

23

Commercial Target for Launch of XIAFLEX

in Dupuytren’s Contracture

Not Seeking Treatment

12.5-26 Million pts

Medical and

Surgical Treatment

395,000 pts

Watchful Waiting

635,000 pts

Stage I

Stage II

Stage III

24

Sustainable Blockbuster Market for

Dupuytren’s Contracture Anticipated

•

High disease prevalence

–

Based on literature, ~ 13.5M to 27M patients in U.S. and EU,

however only  ~1M patients annually seeking treatment in

U.S. and EU

•

Sustainable patient pool

–

New patients within an ageing population

•

Average of 2.2 joints affected at time of diagnosis

•

~ 50% of patients have bilateral disease

–

Disease progression to additional joints

–

High recurrence rate

•

No

non-invasive

competition

-

pricing

expected

to

be

comparable to surgery

•

Market development represents upside

25

1

Smith BH. Am J Clin Pathol. 1966;45:670-678.

2

Somers KD, Dawson DM. J Urol. 1997;157:311-315.

Peyronie’s Disease is a Devastating Disorder

•

Scarring phenomenon affecting the tunica

albuginea

1

•

Plaques show excessive collagen deposition

2

•

Potential Symptoms

>

Pain with erection, penile curvature/

deviation, penile shortening, indentations,

and/or erectile dysfunction

>

May experience difficulty with sexual

intercourse, loss of self-esteem,

and depression

•

There are no approved therapies for

the treatment of Peyronie’s disease

26

Peyronie’s Disease -

an Unmet Medical Need

1

Schwarzer

U,

The

prevalence

of

Peyronie’s

disease:

Results

of

a

large

survey.

BJU

Int

2001;88:727-30;

Mulhall

et

al:

J

Urology

2004:171:

2350

-

2353;Rhoden

et

al:

Int

J.

Impot

Res

2001

:13

:

291

-

293;

La

Pera

et

al

:

EUR

Urology

2001:

40

:525

-

530.

2

Smith BH. Am J Clin Pathol. 1966;45:670-678.

3

Lindsay MB, J Urol.

1991;146:1007-1009.

4

Nyberg L, J Urol.128: 48, 1982

•

Prevalence of Peyronie’s disease is estimated at 1 in 20 adult men

1

>

Actual prevalence may be higher, based on autopsies

2

•

Prevalence rate increases with age

>

The

average

age

of

disease

onset

is

53

years

3

•

High association with other diseases such as:

>

Diabetes, erectile dysfunction (ED), Dupuytren’s

contracture, plantar fascial contracture,

tympanosclerosis,

gout,

and

Paget’s

disease

4

•

We believe Peyronie’s disease is under-diagnosed and under-treated

27

Current Surgical Options-

Treatment of Last

Resort

•

The goal of surgery is simply to make the two sides of the penis

equal in size through reduction of the longer side

•

Post-surgically, graft or prosthetic may be required

•

Cost of surgery in U.S. is ~$10-12K

•

Patients are highly motivated to attempt other treatments first

28

Unapproved Treatments for Peyronie’s Disease

Have Been Used With Little Reported Success

•

Verapamil

•

Vitamin E

•

Colchicine

•

Potassium aminobenzoate (Potaba)

•

Tamoxifen

•

Interferon alpha-2a

•

Corticosteroids

•

Energy transfer treatment including extracorporeal

shock wave therapy (ESWT), laser and ultrasound

therapy, and orthovoltage radiation

29

Promising

Phase

II

Data

with

25%

Reduction

in the Angle of Deviation for Most Patients

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%

30

Peyronie’s Phase IIb Study Enrollment

Expected to Complete in 1Q09

•

Study designed to assess the safety and efficacy with XIAFLEX.

–

XIAFLEX will be administered two times a week every

six weeks for up to three treatment cycles (2 x 3)

–

~120 patients

–

12 U.S. sites

•

Patients must be able to maintain a rigid erection and have a penile

contracture between 30 and 90 degrees.

–

Stratification occurs by the degree of penile curvature

(i.e. 30°

to 60º

versus > 60º).

•

Patients will be monitored for 36 weeks following first injection.

•

Top-line results expected in 4Q09.

31

Peyronie’s Phase IIb Study Design

120

15

no

Placebo

D

45

no

XIAFLEX

C

15

yes

Placebo

B

45

yes

XIAFLEX

A

Targeted Number

of Patients 

Plaque Modeling

Study Drug

Arm

•

Patients will be randomized in a 3:1 ratio of XIAFLEX to placebo

and

a 1:1 ratio to receive penile plaque modeling or no modeling.

32

Peyronie’s Phase IIb Trial Utilizes a Novel

Patient Reported Outcome (PRO)

•

Study is designed to validate Auxilium’s proprietary Peyronie’s Patient

Reported Outcome (PRO) questionnaire.

•

PRO

will

measure

four

domains

of

patients’

sexual

quality

of

life,

over

a 36 week period:

–

penile pain

–

Peyronie’s disease bother

–

intercourse discomfort

–

intercourse constraint

•

PRO likely to be used as a primary efficacy endpoint in Phase III

clinical trials.

33

Extensive Market Research Performed

with Peyronie’s

Surgeons

•

Two rounds of quantitative primary research have been

commissioned by Auxilium on XIAFLEX for Peyronie’s

disease

•

A combined 575 Urologists have been interviewed to

estimate market size (415 in U.S.; 160 in Europe)

and 383 have given feedback on potential usage of

XIAFLEX (223 U.S.; 160 Europe)

•

Second study (n=472 total & 333 in depth) was designed to

provide

95%

confidence

level

and

7.5%

margin

of

error

34

Annually,

>210,000

Peyronie’s

Candidates

Could

Exist

between

U.S.

and

Europe

Source: 2006 Auxilium research and analysis

35

XIAFLEX I.P. Position for Peyronie’s Disease

•

U.S. Orphan Drug granted on March 12, 1996 provides exclusivity for

7 years post-approval

•

Market Exclusivity in EU could be extended to 11 years on

approval of additional indication

•

Method of Use Patent in U.S. through 2019

•

Use Patent Granted in France, UK, and Ireland (expiry 2020)

>

Pending in Germany, Denmark, and Norway

•

Highly Purified Collagenase product and manufacturing patent filed

(if issued, expected expiry 2027)

36

Testim

®

1% Testosterone Gel:

Near-Term Growth Driver

37

Testim

®

Remains the Fastest Growing

Testosterone Replacement Therapy Gel

*Mulligan T. et al. Int J. Clin Pract

2006

•

Proprietary, topical 1% testosterone gel

>

Once-a-day application

>

Favorable clinical and commercial profile

•

Recent study indicates 39% of U.S. males over

45 yrs are hypogonadal*

>

We estimate that <10% of affected population

receives treatment

•

We believe diagnosis is increasing through

education and awareness

38

Patient Results Were Proven in Clinical Studies

Note:

Adjusted

geometric

means

(CV

b

%)

of

a

single-dose

(50

mg

testosterone),

randomized,

complete crossover study of 29 hypogonadal men.

Total Testosterone

2,000

3,000

4,000

5,000

6,000

Mean AUC

0-24

(ng*h/dL)

Testim

AndroGel

Free Testosterone

0

50

100

150

200

250

Mean AUC

0-24

(ng*h/dL)

Testim

AndroGel

•

16 clinical studies involving approx. 1,800 patients

>

largest placebo-controlled study ever conducted

•

Clinical

trial

of

Testim

vs.

AndroGel

>

Testim provides 30% higher testosterone absorption (p<0.001)

®

®

39

Gels

Continue

to

Drive

Significant

Growth

in

TRT Marketplace

($ in millions)

Source: IMS data

Gel

Patch

Oral

Injectables

$35

$117

$200

$287

$340

$383

$449

0

100

200

300

400

500

600

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

$459

$399

$302

$210

$77

$59

$49

$499

$118

$568

Gel Segment Growth ($)

Gel Segment Growth ($)

Nov 2008 L12M: 

Nov 2008 L12M: 

22.9%

2007

700

$685

$563

40

Testim

®

®

Quarterly Net Revenues and Scripts

($ in millions)

Continuing Track Record of Consistent

Revenue Growth

Q3 2008 Net

Revenues

Y/Y Growth:

+24.2%

Q3 2008 TRX

Y/Y Growth:

+24.7%

Source: Auxilium and IMS data

$26M

$42.8M

$68.9M

$95.7M

$90.6M YTD

41

Testim Patent Coverage

*Note: The referenced Testim patents are owned by CPEX Pharmaceuticals, Inc.

U.S.

•

U.S. Patent # 7,320,968* covering method of use claims for Testim issued

January 22, 2008; expires 2025

•

Divisional application and continuations filed with U.S. PTO in late 2007

with a plan to protect additional inventions and seek additional

claims

•

Upsher-Smith Laboratories, Inc. filed an ANDA with paragraph IV

certification referring to the ’968 patent; AUXL filed lawsuit under

Hatch-Waxman on Dec. 4, 2008; 30 month stay expires June 2011

ROW

•

Patent issued in Canada; expires 2023

•

Patent issued in Europe; expires 2023

•

Patents granted and applications pending in numerous countries worldwide

42

2008

Q3 ’08      9M’

08

Guidance

Revenues

$32.6

$90.6

$120-125

R&D Expense

$13.3

$39.9

$52-56

SG&A Expense

$21.9

$65.1

$88-92

Net Loss

($10.1)

($34.1)        ($44-48)

Stock –

Based

Comp Expense

$3.2

$8.1

$9-11

Cash & Cash Equivalents

$46.4*

Q3 ‘08 Financial Results and

2008 Guidance ($ Millions)

Currently approximately 41.6 million shares issued & outstanding. Additional 6.4 million shares subject to issuance from stock options & warrants

*Prior to receipt of $75M upfront from Pfizer in 4Q08

43

Strategic Priorities in 2009

•

File the XIAFLEX BLA for Dupuytren’s contracture, which we expect

to achieve in early 2009;

•

Continue our pre-launch commercialization efforts for an anticipated

U.S. launch of XIAFLEX in early 2010;

•

Complete enrollment in the Peyronie’s disease Phase IIb trial, which

we expect will be completed in 1Q09, and release top-line data,

which we believe will occur in 4Q09;

•

Work diligently with Pfizer to prepare for a 2010 EU filing for

XIAFLEX in Dupuytren's contracture;

•

Vigorously defend Testim IP and continue to support the brand.

44

Focused on Sustainable Long-term Growth

Testim

XIAFLEX Dupuytren’s

XIAFLEX Peyronie’s

XIAFLEX New Indications

XIAFLEX New Territories

45

January 2009

(NASDAQ: AUXL)