X0303 4 2010-06-18 0 0001013238 ARADIGM CORP ARDM 0001457518 First Eagle Value in Biotechnology Master Fund, Ltd. C/O FIRST EAGLE INV. MGMT., GEN. COUNSEL 1345 AVENUE OF THE AMERICAS NEW YORK NY 10105 0 0 1 1 See Remarks. 0001459708 21 APRIL FUND LTD Citco Fund Services (Cayman Islands) Ltd Regatta Office Park West Bay Road GRAND CAYMAN E9 KY1-1205 CAYMAN ISLANDS 0 0 1 1 See Remarks. 0001459688 21 APRIL FUND LP C/O FIRST EAGLE INV. MGMT., GEN. COUNSEL 1345 AVENUE OF THE AMERICAS, 44TH FLOOR NEW YORK NY 10105 0 0 1 1 See Remarks. 0001459975 DEF Associates N.V. C/O CITCO FUND SERVICES (CURACAO) N.V. KAYA FLAMBOYAN 9, P.O. BOX 812 CURACAO P8 00000 NETHERLANDS ANTILLES 0 0 1 1 See Remarks. Common Stock 2010-06-18 4 P 0 19433408 0.1184 A 56517670 I See remarks, note (1). Common Stock Warrants (Right to Buy) 0.1184 2010-06-21 4 P 0 4215239 0.1184 A Common Stock 4215239 4215239 I See Remarks, note (2). See Remarks, note (1). See Remarks, note (2). (1) Consists of 9,716,704 shares purchased by First Eagle Value in Biotechnology Master Fund, Ltd. ("FEVIBMF"), 1,526,911 shares purchased by 21 April Fund, L.P. ("21 April LP"), 5,413,592 shares purchased by 21 April Fund, Ltd. ("21 April Ltd.") and 2,776,201 shares purchased by DEF Associates N.V. ("DEF Associates" and together with FEVIBMF, 21 April LP and 21 April Ltd., the "Funds"). The Funds may be deemed to be members of a Section 13(d) group owning more than 10% of the issuer's outstanding common stock. Each of the Funds disclaims Section 16 beneficial ownership of the reported securities and this report shall not be deemed an admission that any such Fund is the beneficial owner of such securities, except to the extent of its pecuniary interest therein. (2) Consists of 2,107,620 warrants purchased by FEVIBMF, 331,197 warrants purchased by 21 April LP, 1,174,245 warrants purchased by 21 April Ltd. and 602,177 warrants purchased by DEF Associates. The warrants are exercisable upon shareholder approval, which is expected to occur within 60 days from the transaction date. The warrants expire upon the earlier of 10 business days after shareholder approval or September 19, 2010. The Funds may be deemed to be members of a Section 13(d) group owning more than 10% of the issuer's outstanding common stock. Each of the Funds disclaims Section 16 beneficial ownership of the reported securities and this report shall not be deemed an admission that any such Fund is the beneficial owner of such securities, except to the extent of its pecuniary interest therein. Dan DeClue 2010-06-22 Dan DeClue 2010-06-22 Dan DeClue 2010-06-22 Dan DeClue 2010-06-22