X0202 4 2004-10-29 0 0001130166 XCYTE THERAPIES INC XCYT 0001161740 ARCH V ENTREPRENEURS FUND LP 8725 W. HIGGINS, SUITE 290 CHICAGO IL 60631 0 0 1 0 6% Convertible Exchangeable Preferred Stock 2004-10-29 4 P 0 1339 10 A Common 5698 D 6% Convertible Exchangeable Preferred Stock 2004-10-29 4 P 0 198661 10 A Common 845362 I Footnote The amount reported in Column 9 represents 198,661 shares of 6% Convertible Exchangeable Preferred Stock purchased by ARCH Venture Fund V, L.P, with effect given to the conversion described in the footnote below. Such amount is subject to change based on the potential adjustments to the conversion price described in the footnote below. ARCH Venture Fund V, L.P. is an affiliated entity of the reporting person, and disclaims beneficial ownership of such securities except to the extent of their pecuniary interest therein, and this report shall not be deemed an admission that the reporting person is the beneficial owner thereof. These securities are preferred stock of Xcyte Therapies and do not have an expiration date. Each share of 6% Convertible Exchangeable Preferred Stock can be converted by its holder into approximately 4.2553 shares of Xcyte's common stock based on an initial conversion price of $2.35, subject to certain adjustments. Xcyte may automatically convert the convertible preferred stock into common stock if the closing price of the common stock has exceeded $3.53 for at least 20 trading days during any 30-day trading period, ending within five trading days prior to notice of automatic conversion. ARCH V Entrepreneurs Fund, L.P., BY: ARCH Venture Partners V, L.P., Its: General Partner, BY: ARCH Venture Partners V, LLC, Its: General Partner, BY: Keith Crandell, Managing Director, /s/Keith Crandell 2004-11-02