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&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&lt;b&gt;&lt;font style="FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt; FONT-WEIGHT: bold;" size="2"&gt;1. Organization and Basis of Presentation&lt;/font&gt;&lt;/b&gt;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&amp;#160;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&lt;font style="FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt;" size="2"&gt;KYTHERA Biopharmaceuticals,&amp;#160;Inc. (&amp;#8220;KYTHERA&amp;#8221; or the &amp;#8220;Company&amp;#8221;) is a clinical-stage biopharmaceutical company focused on the discovery, development and commercialization of novel prescription products for the aesthetic medicine market. The Company&amp;#8217;s objective is to develop first-in-class, prescription aesthetic products using an approach that relies on the scientific rigor of biotechnology to address unmet needs in the rapidly-growing market for aesthetic medicine. The Company&amp;#8217;s initial focus is on the facial aesthetics market, which comprises the majority of the aesthetics medicine market. The Company&amp;#8217;s product candidate, ATX-101, is a potential first-in-class, injectable drug currently in Phase III clinical development for the reduction of submental fat, which commonly presents as an undesirable &amp;#8220;double chin.&amp;#8221;&lt;/font&gt;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&amp;#160;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&lt;font style="FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt;" size="2"&gt;KYTHERA was originally incorporated in Delaware in June&amp;#160;2004 under the name Dermion,&amp;#160;Inc. It commenced operations in August&amp;#160;2005 and its name was changed to AESTHERx,&amp;#160;Inc. In July&amp;#160;2006, the Company changed its name to KYTHERA Biopharmaceuticals,&amp;#160;Inc.&lt;/font&gt;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&amp;#160;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&lt;font style="FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt;" size="2"&gt;Since commencement of operations in August&amp;#160;2005, the Company has devoted substantially all its efforts to the development of ATX-101, recruiting personnel and raising capital. In 2010, the Company entered into a License Agreement with Bayer Consumer Care AG and a Services, Research, Development and Collaboration Agreement with Bayer&amp;#8217;s Affiliate,&amp;#160;Intendis GmbH, collectively referred to as the collaboration arrangement with Bayer. Bayer Consumer Care AG and Intendis GmbH are referred to jointly as Bayer.&lt;/font&gt;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&amp;#160;&lt;/p&gt;
&lt;p style="MARGIN: 0in 0in 0pt;"&gt;&lt;font style="FONT-FAMILY: Times New Roman; FONT-SIZE: 10pt;" size="2"&gt;The information included in this quarterly report on Form&amp;#160;10-Q should be read in conjunction with the financial statements and notes thereto contained in the Company&amp;#8217;s Annual Report on Form&amp;#160;10-K filed with the SEC for the year ended December&amp;#160;31, 2012 and in the Company&amp;#8217;s Quarterly Report on Form&amp;#160;10-Q for the period ended March&amp;#160;31, 2013.&lt;/font&gt;&lt;/p&gt;
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