E InvestmentBank

Wedbush does and seeks to do business with companies covered in its research reports. Thus, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision.

The analysts certify that the views expressed in this report accurately reflect their personal opinion and that the analysts have not and will not, directly or indirectly, receive compensation or other payments in connection with specific recommendations or views contained in this report.

OUTPERFORM – 50% (9% of this rating category were investment banking clients within the last 12 months).
NEUTRAL – 37% (2% of this rating category were investment banking clients within the last 12 months).
UNDERPERFORM – 13% (0% of this rating category were investment banking clients within the last 12 months).

The Distribution of Ratings is required by FINRA rules; however, WS' stock ratings of Outperform, Neutral, and Underperform most closely conform to Buy, Hold, and Sell, respectively. Please note, however, the definitions are not the same as WS' stock ratings are on a relative basis.

The analysts responsible for preparing research reports do not receive compensation based on specific investment banking activity. The analysts receive compensation that is based upon various factors including WS' total revenues, a portion of which are generated by WS' investment banking activities.

WS makes a market in the securities mentioned herein.

WS managed a public offering of securities for Chelsea Therapeutics (CHTP), Dynavax (DVAX), Image Sensing Systems (ISNS), Lime Energy (LIME), and Omeros (OMER) within the last 12 months.

WS co-managed a public offering of securities for Clinical Data (CLDA), Delcath Systems (DCTH), Heartware (HTWR), Ironwood Pharmaceuticals (IRWD), Map Pharmaceuticals (MAPP), Medivation (MDVN), Nexxus Lighting (NEXS), Rockwell Medical (RMTI), Savient Pharmaceuticals (SVNT), Xoma (XOMA) and ZymoGenetics (ZGEN) within the last 12 months.

WS has received compensation for investment banking services from Chelsea Therapeutics (CHTP), Clinical Data (CLDA), CombinatoRx (CRXX), Delcath Systems (DCTH), Dynavax (DVAX), Heartware (HTWR), Image Sensing Systems (ISNS), Ironwood Pharmaceuticals (IRWD), Lime Energy (LIME), Map Pharmaceuticals (MAPP), Medivation (MDVN), Nexxus Lighting (NEXS), Omeros (OMER), Rockwell Medical (RMTI), Savient Pharmaceuticals (SVNT), Sport Chalet (SPCHA, SPCHB), Telecommunications Systems (TSYS), World Heart (WHRT), Xoma (XOMA) and ZymoGenetics (ZGEN) within the last 12 months.

WS provided investment banking services to Chelsea Therapeutics (CHTP), Clinical Data (CLDA), CombinatoRx (CRXX), Delcath Systems (DCTH), Dynavax (DVAX), Heartware (HTWR), Image Sensing Systems (ISNS), Ironwood Pharmaceuticals (IRWD), Lime Energy (LIME), Map Pharmaceuticals (MAPP), Medivation (MDVN), Nexxus Lighting (NEXS), Omeros (OMER), Rockwell Medical (RMTI), Savient Pharmaceuticals (SVNT), Telecommunications Systems (TSYS), World Heart (WHRT), Xoma (XOMA) and ZymoGenetics (ZGEN) within the last 12 months.

WS is acting as financial advisor to Chelsea Therapeutics (CHTP), Dynavax (DVAX) and Sport Chalet (SPCHA, SPCHB).

WS expects to receive compensation for investment banking services from Chelsea Therapeutics (CHTP) and Dynavax (DVAX) within the next 3 months.

WS provided non-investment banking securities-related services to CDC Corp. (CHINA), Dynavax (DVAX), Herbalife (HLF), PCTEL (PCTI), Polycom (PLCM), Sybase (SY), and Virco Manufacturing (VIRC), within the past 12 months.

WS has received compensation for products and services other than investment banking services from CDC Corp. (CHINA), Dynavax (DVAX), Herbalife (HLF), PCTEL (PCTI), Polycom (PLCM), Sybase (SY), and Virco Manufacturing (VIRC), within the past 12 months.

Patrick Wang, the analyst providing research coverage of Intel (INTC) and Texas Instruments (TXN), maintains a long position in the common stocks.

Betsy Van Hees, the analyst providing research coverage of Cypress Semiconductor (CY), maintains a long position in the common stock.

Greg Wade, the analyst providing research coverage of Adolor (ADLR), BioMimetic (BMTI), Cubist (CBST), CombinatoRx (CRXX), OncoGenex Pharmaceuticals (OGXI) and ZymoGenetics (ZGEN), maintains long positions in the common stocks.

Jeremiah Shepard, the associate providing research coverage of Ironwood Pharmaceuticals (IRWD) and Xenoport (XNPT) maintains a long position in the common stocks.

WS or one of its affiliates beneficially own 1% or more of the common equity securities in Sport Chalet (SPCHA, SPCHB), Phoenix Footwear Group (PXG), Virco Manufacturing (VIRC), and Willdan Group (WLDN).

* WS changed its rating system from (Strong Buy/Buy/Hold/Sell) to (Outperform/ Neutral/Underperform) on July 14, 2009.

Please access the attached hyperlink for WS' Coverage Universe: http://www.wedbush.com/inside/CapitalMarkets/CoverageList.asp

Applicable disclosure information is also available upon request by contacting Ellen Kang in the Research Department at (213) 688-4529, by email to ellen.kang@wedbush.com, or the Business Conduct Department at (213) 688-8090. You may also submit a written request to the following: Business Conduct Department, 1000 Wilshire Blvd., Los Angeles, CA 90017.

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The information herein is based on sources that we consider reliable, but its accuracy is not guaranteed. The information contained herein is not a representation by this corporation, nor is any recommendation made herein based on any privileged information. This information is not intended to be nor should it be relied upon as a complete record or analysis; neither is it an offer nor a solicitation of an offer to sell or buy any security mentioned herein. This firm, Wedbush Securities, its officers, employees, and members of their families, or any one or more of them, and its discretionary and advisory accounts, may have a position in any security discussed herein or in related securities and may make, from time to time, purchases or sales thereof in the open market or otherwise. The information and expressions of opinion contained herein are subject to change without further notice. The herein mentioned securities may be sold to or bought from customers on a principal basis by this firm. Additional information with respect to the information contained herein may be obtained upon request.