X0202 4 2006-12-21 0001355015 Sirion Holdings, Inc. NONE 0001376439 Avalon Ventures VI LP 888 PROSPECT STREET SUITE 320 LA JOLLA CA 92037 0 0 1 0 Common Stock 2006-12-21 4 J 0 38517 A 1059467 D The shares of Common Stock listed in Table I were acquired by the reporting person as contingent consideration in exchange for stock of Sytera, Inc. ("Sytera") pursuant to the merger of Sytera into Sirion Therapeutics, Inc., a wholly owned subsidiary of the issuer ("Sirion Therapeutics"), as a result of the occurrence of events with respect to the development of the proprietary drug compound designated ST-602, which Sirion Therapeutics acquired as a result of the merger. In connection with the issuer's acquisition of Sirion Therapeutics, the issuer assumed Sirion Therapeutics' obligations to pay the contingent consideration owed to the former stockholders of Sytera as a result of the merger. The reporting person may receive an indeterminate number of additional shares of Common Stock as additional contingent consideration pursuant to the merger based on the occurrence, if any, of additional events with respect to the development and commercialization of ST-602. See Footnote 1. Avalon Ventures VI, L.P. By: Avalon Ventures GP, LLC Its: General Partner By:/s/ Kevin J. Kinsella, Managing Member 2006-12-26