HEMOSOL DEFAULTS ON INTEREST PAYMENT

Hemosol Corp. (HML.TO: Quote, Profile, Research) has defaulted on an interest payment under a credit facility, the Canadian biotech firm said on Tuesday. The move comes after the developer of blood-related proteins cut two-thirds of its staff last month to save cash as it seeks a financial lifeline. "Hemosol requires additional capital to continue as a going concern and is in discussions with its secured creditors with respect to its current financial position," the company said in a statement on Tuesday.

Reuters (http://today.reuters.com/investing/financeArticle.aspx?type=bondsNews&storyID=URI:urn:newsml:reuters.com:20051122:MTFH34676_2005-11-22_23-04-05_N22414246:1)