DURECT Corporation has refined and focused its clinical development strategy for DUR-928, the lead product candidate in its Epigenetic Regulator Program, to prioritize indications with unmet medical needs where The company expects to be able to generate near-term data with the potential to create significant commercial and partnering value. The new DUR-928 clinical development strategy is: Accelerate DUR-928 clinical trial in non-alcoholic steatohepatitis patients. DURECT previously announced that it would be initiating a new clinical trial of orally-administered DUR-928 in NASH patients in the first half of 2019, and is now updating that guidance to indicate that the company expects to begin enrolling patients in First Quarter 2019. This will be an open-label, Phase 1b study conducted in the U.S. to evaluate safety, pharmacokinetics and signals of biological activity of DUR-928 in patients with NASH. Patients will be administered DUR-928 orally for 28 consecutive days. Further details on the trial design will be provided later in First Quarter 2019. DURECT expects to announce initial data in the second half of 2019. Complete the Phase 2a proof-of-concept trial with topical DUR-928 in patients with mild to moderate plaque psoriasis as planned. The company reiterates its prior guidance that the psoriasis trial is on track to begin dosing this quarter with top line data expected in the second half of 2019. Continue and then transition the ongoing DUR-928 alcoholic hepatitis (AH) Phase 2a trial to Dr. Craig McClain at the University of Louisville. Since the company's announcement of the initiation of dosing in Part B (severe AH patients) in November 2018, two severe AH patients have been treated at the 30 mg I.V. dose of DUR-928. Upon completing the 30 mg dose group in Part B, the company plan to transition the study to Dr. McClain, who was recently awarded an NIH grant to study DUR-928 in AH patients. After the transition, the trial will be funded via grants and conducted by Dr. McClain. Discontinue the primary sclerosing colangitis trial. Given that the Company's efforts have not resulted in an increase in the inherently slow enrollment rates commonly seen for this indication, the Company has decided to discontinue its PSC study in order to focus more of its resources on NASH and psoriasis.