NOTE 7 - CORPORATE RESTRUCTRING

On May 24, 2022, the Company announced a corporate restructuring (the “Corporate Restructuring”), intended to extend the Company’s capital resources, while prioritizing the Company’s ongoing cystic fibrosis program and delaying the Company’s atopic dermatitis program. The Corporate Restructuring included a reduction of 36 full-time employees, two consultants and 9 part-time employees, or 42% of the Company’s employees as of such date. The Company incurred a one-time employee benefits and severance cost of approximately $214 in operating expenses in the second quarter of 2022. The related accrual is recorded in other accounts payable on the condensed balance sheet as of June 30, 2022. Non-cash stock-based compensation credits related to the forfeiture of stock options of approximately $0.4 million are included in operating expenses in the condensed statements of operations for the three and six months ended June 30, 2022.