<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>7
<FILENAME>s815712.txt
<DESCRIPTION>EXHIBIT 17
<TEXT>


                                                                  EXHIBIT 17

         SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN
         REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
         OR ANY OTHER SECURITIES LAWS, AND SUCH SECURITIES MAY
         NOT BE SOLD, PLEDGED, HYPOTHECATED OR OTHERWISE
         TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION UNDER
         SAID ACT AND LAWS OR AN EXEMPTION THEREFROM.


                            SIGA TECHNOLOGIES, INC.

                         COMMON STOCK PURCHASE WARRANT

                  1. Issuance; Certain Definitions.

                     1.1 In consideration of good and valuable consideration,
the receipt of which is hereby acknowledged by SIGA TECHNOLOGIES, INC., a
Delaware corporation (the "Company"), Todd J. Slotkin, or his registered
assigns, is hereby granted the right to purchase at any time until 5:00 P.M.,
New York City time, on the Expiration Date, 15,625 fully paid and
nonassessable shares of Common Stock, at an initial exercise price per share
(the "Exercise Price") of $2.00 per share, subject to adjustment as set forth
herein. The shares of Common Stock issued upon exercise of this Warrant, as
adjusted from time to time pursuant to Section 6 hereof, are referred to as
"Warrant Shares." This Warrant is being issued pursuant to the terms and
conditions of the Purchase Agreement.

                     1.2 As used in this Warrant, the following terms have the
respective meanings set forth below:

         "Affiliate" means, with respect to any specified Person, (i) any
other Person 50% or more of whose Outstanding voting securities are directly
or indirectly owned, controlled or held with the power to vote by such
specified Person or (ii) any other Person directly or indirectly controlling,
controlled by or under direct or indirect common control with such specified
Person. For purposes of this definition, the term "control" means the
possession, directly or indirectly, of the power to direct or cause the
direction of the management or policies of a Person by virtue of ownership of
voting securities, by contract or otherwise.

         "Appraisal Procedure" means the following procedure to determine the
fair market value, as to any security, for purposes of the definition of "Fair
Market Value" or the fair market value, as to any other property (in either
case, the "Valuation Amount"). The Valuation Amount shall be determined in good
faith jointly by the Board of Directors and the Holder; provided, however, that
if such parties are not able to agree on the Valuation Amount within a
reasonable period of time (not to exceed 20 Business Days) the Valuation Amount
shall be determined by an investment banking firm of national reputation, which
firm shall be reasonably acceptable to the Board of Directors and the Holder.
If the Board of Directors and the Holder are unable to agree upon an acceptable
investment banking firm within 10 days after the date either party proposed
that one be selected, the investment banking firm will be selected by an
arbitrator located in New York City, New York, selected by the

<PAGE>

American Arbitration Association (or if such organization ceases to
exist, the arbitrator shall be chosen by a court of competent jurisdiction).
The arbitrator shall select the investment banking firm (within 10 days of his
appointment) from a list, jointly prepared by the Board of Directors and the
Holder, of not more than six investment banking firms of national reputation in
the United States, of which no more than three may be named by the Board of
Directors and no more than three may be named by the Holder. The arbitrator may
consider, within the 10-day period allotted, arguments from the parties
regarding which investment banking firm to choose, but the selection by the
arbitrator shall be made in its sole discretion from the list of six. The Board
of Directors and the Holder shall submit their respective valuations and other
relevant data to the investment banking firm, and the investment banking firm
shall, within 30 days of its appointment, make its own determination of the
Valuation Amount. The determination of the final Valuation Amount by such
investment banking firm shall be final and binding upon the parties. The
Company shall pay all of the fees and expenses of the investment banking firm
and arbitrator (if any) used to determine the Valuation Amount. If required by
any such investment banking firm or arbitrator, the Company shall execute a
retainer and engagement letter containing reasonable terms and conditions,
including, without limitation, customary provisions concerning the rights of
indemnification and contribution by the Company in favor of such investment
banking firm or arbitrator and its officers, directors, partners, employees,
agents and Affiliates.

         "Board of Directors" means the board of directors of the Company.

         "Business Day" means any day that is not a Saturday or Sunday or a
day on which banks are required or permitted to be closed in the State of New
York.

         "Common Stock" means the Common Stock of the Company, par value
$0.0001 per share, as constituted on the Original Issue Date, and any capital
stock into which such Common Stock may thereafter be changed, and shall also
include (i) capital stock of the Company of any other class (regardless of how
denominated) issued to the holders of shares of any Common Stock upon any
reclassification thereof which is not preferred as to dividends or liquidation
over any other class of stock of the Company and which is not subject to
redemption and (ii) shares of common stock of any successor or acquiring
corporation received by or distributed to the holders of Common Stock of the
Company in the circumstances contemplated by Section 6.5 hereof.

         "Company" has the meaning assigned to it in Section 1.1 hereof.

         "Designated Office" has the meaning assigned to it in Section 11.2
hereof.

         "Excluded Stock" has the meaning assigned to it in Section 6.10
hereof.

         "Exercise Date" has the meaning assigned to it Section 2.1(a) hereof.

         "Exercise Price" means, in respect of a share of Common Stock at any
date herein specified, the initial Exercise Price set forth in Section 1.1
hereof, as adjusted from time to time pursuant to Section 6 hereof.

         "Expiration Date" means October 14, 2010.


                                       2
<PAGE>

         "Fair Market Value" means, as to any security, the Twenty Day Average
of the average closing prices of such security's sales on all domestic
securities exchanges on which such security may at the time be listed, or, if
there have been no sales on any such exchange on any day, the average of the
highest bid and lowest asked prices on all such exchanges at the end of such
day, or, if on any day such security is not so listed, the average of the
representative bid and asked prices quoted on The Nasdaq SmallCap Market as of
4:00 P.M., New York City time, on such day, or, if on any day such security is
not quoted on The Nasdaq SmallCap Market, the average of the highest bid and
lowest asked prices on such day in the domestic over-the-counter market as
reported by the National Quotation Bureau, Incorporated, or any similar or
successor organization (and in each such case excluding any trades that are
not bona fide, arm's length transactions). If at any time such security is not
listed on any domestic securities exchange or quoted on The Nasdaq National
Market or the domestic over-the-counter market, the "Fair Market Value" of
such security shall be the fair market value thereof as determined in
accordance with the Appraisal Procedure, using any appropriate valuation
method, assuming an arms-length sale to an independent party.

         "Form of Assignment" has the meaning assigned to it in Section 4.1
hereof.

         "Governmental Entity" means any national, federal, state, municipal,
local, territorial, foreign or other government or any department, commission,
board, bureau, agency, regulatory authority or instrumentality thereof, or any
court, judicial, administrative or arbitral body or public or private
tribunal.

         "Holder" means (a) with respect to this Warrant, the Person in whose
name the Warrant set forth herein is registered on the books of the Company
maintained for such purpose and (b) with respect to any other Warrant or
Warrant Shares, the Person in whose name such Warrant or Warrant Shares is
registered on the books of the Company maintained for such purpose.

         "Lien" means any mortgage or deed of trust, pledge, hypothecation,
assignment, deposit arrangement, lien, charge, claim, security interest,
easement or encumbrance, or preference, priority or other security agreement
or preferential arrangement of any kind or nature whatsoever (including,
without limitation, any lease or title retention agreement, any financing
lease having substantially the same economic effect as any of the foregoing,
and the filing of, or agreement to give, any financing statement perfecting a
security interest under the Uniform Commercial Code or comparable law of any
jurisdiction).

         "Notice of Exercise" has the meaning assigned to it in Section 2.1(a)
hereof.

         "Original Issue Date" means October 14, 2003.

         "Original Warrants" means the Warrants originally issued by the
Company on October 14, 2003, pursuant to the Purchase Agreement.

         "Outstanding" means, (a) when used with reference to Common Stock, at
any date as of which the number of shares thereof is to be determined, all
issued shares of Common Stock, except shares then owned or held by or for the
account of the Company or any Subsidiary, and shall include all shares
issuable in respect of Outstanding scrip or any


                                       3
<PAGE>

certificates representing fractional interests in shares of Common Stock and
(b) when used with reference to Warrants, at any date as of which the number
thereof is to be determined, all issued Warrants.

         "Permitted Transferee" means (i) any Affiliate of the Holder,
including, without limitation, directors, executives and officers of the
Holder, (ii) any member of the family of any Affiliate of the Holder,
including any such Person's spouse and descendants and any trust, partnership,
corporation, limited liability company or other entity for the benefit of such
spouse and/or descendants to whom or which any of the Securities have been
transferred by any such Person for estate or tax planning purposes, (iii) any
charity or foundation to which the Securities have been transferred by the
Holder or any Person or entity described in clause (i) or (ii) above for
estate or tax planning or charitable purposes, or (iv) the beneficiary of any
bona fide pledge by the Holder of any of the Securities.

         "Person" means any individual, sole proprietorship, partnership,
limited liability company, joint venture, trust, incorporated organization,
association, corporation, institution, Governmental Entity or any other
entity.

         "Purchase Agreement" means the Securities Purchase Agreement by and
between the Company and MacAndrews & Forbes Holdings Inc., dated August 13,
2003.

         "Registration Rights Agreement" means the Registration Rights
Agreement by and between the Company and MacAndrews & Forbes Holdings Inc.,
dated August 13, 2003.

         "Reserved Spin Off Securities" has the meaning assigned to it in
Section 6.2 hereof.

         "SEC" means the U.S. Securities and Exchange Commission or any other
federal agency then administering the Securities Act and other federal
securities laws.

         "Securities Act" means the Securities Act of 1933, as amended, and
the rules and regulations of the SEC thereunder, all as the same shall be in
effect at the time.

         "Spin Off Securities" has the meaning assigned to it in Section 6.2
hereof.

         "Subsidiary" means, with respect to any Person, any corporation,
association trust, limited liability company, partnership, joint venture or
other business association or entity (i) at least 50% of the Outstanding
voting securities of which are at the time owned or controlled directly or
indirectly by such Person or (ii) with respect to which the Company possesses,
directly or indirectly, the power to direct or cause the direction of the
affairs or management of such Person.

         "Transfer" means any disposition of any Warrant or Warrant Shares or
of any interest therein, which would constitute a "sale" thereof within the
meaning of the Securities Act.

         "Twenty Day Average" means, with respect to any prices and in
connection with the calculation of Fair Market Value, the average of such
prices over the 20 Business Days ending on the Business Day immediately prior
to the day as of which Fair Market Value is being determined.


                                       4
<PAGE>

         "Warrant Price" means an amount equal to (i) the number of Warrant
Shares being purchased upon exercise of this Warrant pursuant to Sections 1
and 2 hereof, multiplied by (ii) the Exercise Price.

         "Warrant Shares" has the meaning assigned to it in Section 1.1
hereof.

         "Warrants" means the Original Warrants and all Warrants issued upon
transfer, division or combination of, or in substitution for, the Original
Warrants, or any other such Warrant subsequently issued to the Holder. All
Warrants shall at all times be identical as to terms and conditions, except as
to the Warrant Shares for which they may be exercised and their date of
issuance.

                  2. Exercise of Warrants.

                     2.1 Manner of Exercise.

                     (a) This Warrant is exercisable in whole or in part at
any time and from time to time on any Business Day from and after the Original
Issue Date and at any time until 5:00 P.M., New York time, on the Expiration
Date. Such exercise shall be effectuated by submitting to the Company at its
Designated Office (i) a completed and duly executed written notice of the
Holder's election to exercise this Warrant (a "Notice of Exercise")
(substantially in the form attached to this Warrant as Annex A) indicating the
Warrant Shares then being purchased pursuant to such exercise, together with
this Warrant and (ii) payment to the Company of the Warrant Price. The date on
which such delivery and payment shall have taken place being sometimes
referred to as the "Exercise Date."

                     (b) Upon receipt by the Company of such Notice of
Exercise, surrender of this Warrant and payment of the Warrant Price (in
accordance with Section 2.1(c) hereof), the Holder shall be entitled to
receive as promptly as practicable, and in any event within five Business Days
thereafter, a certificate or certificates for Warrant Shares so purchased in
such denomination or denominations as the exercising Holder shall reasonably
request in the Notice of Exercise, registered in the name of the Holder or,
subject to Section 4 hereof, such other name as shall be designated in the
Notice of Exercise, together with cash in lieu of any fraction of a share, as
provided in Section 2.3 hereof. If this Warrant shall have been exercised in
part, the Company shall, at the time of delivery of the certificate or
certificates representing the Warrant Shares being issued, deliver to the
Holder a new Warrant evidencing the rights of the Holder to purchase the
remaining Warrant Shares underlying this Warrant. Such new Warrant shall in
all other respects be identical to this Warrant. This Warrant shall be deemed
to have been exercised and such certificate or certificates of Warrant Shares
shall be deemed to have been issued, and the Holder or any other Person so
designated to be named therein shall be deemed to have become a holder of
record of such Warrant Shares for all purposes, as of the Exercise Date.

                     (c) Payment of the Warrant Price shall be made at the
option of the Holder by one or more of the following methods: (i) by delivery
of a certified or official bank check or by wire transfer of immediately
available funds in the amount of such Warrant Price payable to the order of
the Company, (ii) by instructing the Company to withhold a number


                                       5
<PAGE>

of Warrant Shares then issuable upon exercise of this Warrant with an aggregate
Fair Market Value equal to such Warrant Price, (iii) by surrendering to the
Company shares of Common Stock previously acquired by the Holder with an
aggregate Fair Market Value equal to such Warrant Price, or (iv) any
combination of the foregoing. In the event of any withholding of Warrant Shares
or surrender of Common Stock pursuant to clause (ii), (iii) or (iv) above where
the number of shares whose Fair Market Value is equal to the Warrant Price is
not a whole number, the number of shares withheld by or surrendered to the
Company shall be rounded up to the nearest whole share and the Company shall
make a cash payment to the Holder based on the incremental fraction of a share
being so withheld by or surrendered to the Company in an amount determined in
accordance with Section 2.3 hereof.

                     2.2 Payment of Taxes. All Warrant Shares issuable upon
the exercise of this Warrant pursuant to the terms hereof shall be validly
issued, fully paid and nonassessable, issued without violation of any
preemptive or similar rights of any stockholder of the Company and free and
clear of all Liens. The Company shall pay all expenses in connection with, and
all taxes and other governmental charges that may be imposed with respect to,
the issue or delivery thereof. The Company shall not, however, be required to
pay any tax or governmental charge which may be issuable upon exercise of this
Warrant payable in respect of any Transfer involved in the issue and delivery
of Warrant Shares in a name other than that of the holder of the Warrants to
be exercised, and no such issue or delivery shall be made unless and until the
Person requesting such issue has paid to the Company the amount of any such
tax, or has established to the satisfaction of the Company that such tax has
been paid.

                     2.3 Fractional Shares. The Company shall not be required
to issue a fractional share of Common Stock upon exercise of any Warrant. As
to any fraction of a share that the Holder of one or more Warrants, the rights
under which are exercised in the same transaction, would otherwise be entitled
to purchase upon such exercise, the Company shall pay to such Holder an amount
in cash equal to such fraction multiplied by the Fair Market Value of one
share of Common Stock on the Exercise Date.

                  3. Reservation and Authorization of Common Stock. The
Company shall at all times during the term of this Warrant reserve for
issuance upon exercise of the then outstanding balance of this Warrant such
number of shares of its Common Stock as shall be required for issuance of the
Warrant Shares. Before taking any action that would result in an adjustment in
the number of Warrant Shares for which this Warrant is exercisable or in the
Exercise Price, the Company shall obtain all such authorizations or exemptions
thereof, or consents thereto, as may be necessary from any public regulatory
body or bodies having jurisdiction over such action. If any Warrant Shares
required to be reserved for issuance upon exercise of Warrants require
registration or qualification with any Governmental Entity (other than under
the Securities Act or any state securities law) before such shares may be so
issued, the Company will in good faith and as expeditiously as possible and at
its expense endeavor to cause such shares to be duly registered. Before taking
any action that would cause an adjustment reducing the Exercise Price below
the then par value (if any) of the shares of Common Stock deliverable upon
exercise of the Warrant or that would cause the number of Warrant Shares
issuable upon exercise of the Warrant to exceed (when taken together with all
other Outstanding shares of Common Stock) the number Warrant Shares


                                       6
<PAGE>

that the Company is authorized to issue, the Company will take any corporate
action that, in the opinion of its counsel, is necessary in order that the
Company may validly and legally issue the full number of fully paid and
non-assessable shares of Common Stock issuable upon exercise of the Warrant at
such adjusted exercise price.

                  4. Transfer, Assignment, Division, Combination, Mutilation
or Loss of Warrant.

                     4.1 Transfer or Assignment of Warrant. Subject to the
limitations set forth in Section 7 hereof, upon (a) surrender of this Warrant
to the Company at its Designated Office accompanied by a Form of Assignment
annexed hereto as Annex B (each, a "Form of Assignment") duly executed and
funds sufficient to pay any applicable transfer tax, and (b) delivery of an
opinion of counsel to the Holder reasonably satisfactory to the Company to the
effect that, in the opinion of such counsel, the transfer is exempt from the
registration requirements of the Securities Act (provided that no such opinion
shall be required in the event of a Transfer to a Permitted Transferee), the
Company shall, without charge, execute and deliver a new Warrant registered in
the name of the assignee named in the Form of Assignment at the address, and
evidencing the right to purchase the shares of Common Stock, specified in the
Form of Assignment, and the Warrant represented by this Warrant shall promptly
be cancelled.

                     4.2 Mutilation or Loss of Warrant. Upon receipt by the
Company of evidence satisfactory to it of the loss, theft, destruction or
mutilation of this Warrant, and (in the case of loss, theft or destruction)
receipt of reasonably satisfactory indemnification, and (in the case of
mutilation) upon surrender and cancellation of this Warrant, the Company will
execute and deliver a new Warrant of like tenor and date and any such lost,
stolen, destroyed or mutilated Warrant shall thereupon become void.

                     4.3 Division and Combination. Subject to compliance with
the applicable provisions of this Warrant, this Warrant may be divided or
combined with other Warrants upon presentation hereof at the Designated
Office, together with a written notice specifying the names and denominations
in which new Warrants are to be issued, signed by the Holder or its agent or
attorney. Subject to compliance with the applicable provisions of this Warrant
as to any transfer which may be involved in such division or combination, the
Company shall execute and deliver a new Warrant or Warrants in exchange for
the Warrant or Warrants to be divided or combined in accordance with such
notice.

                     4.4 Expenses. The Company shall prepare, issue and
deliver at its own expense any new Warrant or Warrants required to be issued
hereunder.

                     4.5 Maintenance of Books. The Company agrees to maintain,
at the Designated Office, books for the registration and transfer of the
Warrants.

                  5. Rights of the Holder. The Holder shall not, by virtue
hereof, be entitled to any rights of a stockholder in the Company, either at
law or equity, and the rights of the Holder are limited to those expressed in
this Warrant and are not enforceable against the Company except to the extent
set forth herein.


                                       7
<PAGE>

                  6. Protection Against Dilution and Other Adjustments.

                     6.1 Adjustment of Number of Shares Purchasable. Upon any
adjustment of the Exercise Price as provided in Sections 6.3 through 6.6
hereof, the Holders of the Warrants shall thereafter be entitled to purchase
upon the exercise thereof, at the Exercise Price resulting from such
adjustment, the number of shares of Common Stock (calculated to the nearest
1/100th of a share) obtained by multiplying the Exercise Price in effect
immediately prior to such adjustment by the number of shares of Common Stock
issuable on the exercise hereof immediately prior to such adjustment and
dividing the product thereof by the Exercise Price resulting from such
adjustment.

                     6.2 Adjustment Upon Spin Off. If, at any time or from
time to time after the Original Issue Date, the Company shall spin off or
otherwise divest itself of a part of its business or operations or dispose of
all or of a part of its assets in a transaction in which the Company does not
receive compensation for such business, operations or assets, but causes
securities of another entity (the "Spin Off Securities") to be issued to
security holders of the Company, then the Company shall cause (i) to be
reserved a number of Spin Off Securities (the "Reserved Spin Off Securities")
equal to the number of Spin Off Securities that would have been issued to the
Holder had all of the Holder's Outstanding Warrants on the record date for
determining the number of Spin Off Securities to be issued to stockholders of
the Company been exercised as of the close of business on the trading day
immediately before such record date, and (ii) to be issued to the Holder on
the exercise of all or any of the Outstanding Warrants, a number of Reserved
Spin Off Securities equal to (x) the Reserved Spin Off Securities multiplied
by (y) a fraction, the numerator of which shall be the amount of the
Outstanding Warrants then being exercised, and the denominator of which shall
be the amount of the Outstanding Warrants.

                     6.3 Upon Stock Dividends, Subdivisions or Splits. If, at
any time or from time to time after the Original Issue Date, the number of
shares of Common Stock Outstanding is increased by a stock dividend payable in
shares of Common Stock or by a subdivision or split-up of shares of Common
Stock, then, following the record date for the determination of holders of
Common Stock entitled to receive such stock dividend, or to be affected by
such subdivision or split-up, the Exercise Price shall be appropriately
decreased by multiplying the Exercise Price by a fraction, the numerator of
which is the number of shares of Common Stock Outstanding immediately prior
to, and the denominator of which is the number of shares of Common Stock
Outstanding immediately after, such increase in Outstanding shares.

                     6.4 Upon Combinations or Reverse Stock Splits. If, at any
time or from time to time after the Original Issue Date, the number of shares
of Common Stock Outstanding is decreased by a combination or reverse stock
split of the Outstanding shares of Common Stock into a smaller number of
shares of Common Stock, then, following the record date to determine shares
affected by such combination or reverse stock split, the Exercise Price shall
be appropriately increased by multiplying the Exercise Price by a fraction,
the numerator of which is the number of shares of Common Stock Outstanding
immediately prior to, and the denominator of which is the number of shares of
Common Stock Outstanding immediately after, such decrease in Outstanding
shares.

                                       8
<PAGE>

                     6.5 Upon Reclassifications, Reorganizations,
Consolidations or Mergers. If, at any time or from time to time after the
Original Issue Date, there is any capital reorganization of the Company, any
reclassification of the stock of the Company (other than a change in par value
or from par value to no par value or from no par value to par value or as a
result of a stock dividend or subdivision, split-up or combination of shares),
or any consolidation or merger of the Company with or into another Person
(where the Company is not the surviving Person or where there is a change in
or distribution with respect to the Common Stock), each Warrant shall after
such reorganization, reclassification, consolidation, or merger be exercisable
for the kind and number of shares of stock or other securities or property of
the Company or of the successor Person resulting from such consolidation or
surviving such merger, if any, to which the holder of the Warrant Shares
deliverable (immediately prior to the time of such reorganization,
reclassification, consolidation or merger) upon exercise of such Warrant would
have been entitled upon such reorganization, reclassification, consolidation
or merger. The provisions of this clause shall similarly apply to successive
reorganizations, reclassifications, consolidations, or mergers. The Company
shall not effect any such reorganization, reclassification, consolidation or
merger unless, prior to the consummation thereof, the successor Person (if
other than the Company) resulting from such reorganization, reclassification,
consolidation or merger, shall assume, by written instrument, the obligation
to deliver to the Holders of the Warrant such shares of stock, securities or
assets, which, in accordance with the foregoing provisions, such Holders shall
be entitled to receive upon such conversion.

                     6.6 Upon Issuance of Common Stock. If, at any time or
from time to time after the Original Issue Date, the Company shall issue any
shares of Common Stock, options to purchase or rights to subscribe for Common
Stock, securities by their terms convertible into or exchangeable for Common
Stock, or options to purchase or rights to subscribe for such convertible or
exchangeable securities, other than Excluded Stock, without consideration or
for consideration per share less than either (x) the Exercise Price in effect
immediately prior to such issuance or (y) the Fair Market Value per share of
the Common Stock immediately prior to such issuance, then such Exercise Price
shall forthwith be lowered to a price equal to the price obtained by
multiplying:

                     (i) the Exercise Price in effect immediately prior to the
         issuance of such Common Stock, options, rights or securities by

                     (ii) a fraction of which (x) the numerator shall be the
         sum of (A) the number of shares of Common Stock Outstanding on a
         fully-diluted basis immediately prior to such issuance and (B) the
         number of additional shares of Common Stock which the aggregate
         consideration for the number of shares of Common Stock so offered
         would purchase at the greater of the Exercise Price in effect
         immediately prior to such issuance or the Fair Market Value per share
         of Common Stock and (y) the denominator shall be the number of shares
         of Common Stock Outstanding on a fully-diluted basis immediately
         after such issuance.


                                       9
<PAGE>

                     6.7 Provisions Applicable to Adjustments. For purposes of
any adjustment of the Exercise Price pursuant to Section 6.6 hereof, the
following provisions shall be applicable:

                     (i) In the case of the issuance of Common Stock for cash
         in a public offering or private placement, the consideration shall be
         deemed to be the amount of cash paid therefor before deducting
         therefrom any discounts, commissions or placement fees payable by the
         Company to any underwriter or placement agent in connection with the
         issuance and sale thereof.

                     (ii) In the case of the issuance of Common Stock for a
         consideration in whole or in part other than cash, the consideration
         other than cash shall be deemed to be the Valuation Amount as
         determined in accordance with the Appraisal Procedure.

                     (iii) In the case of the issuance of options to purchase
         or rights to subscribe for Common Stock, securities by their terms
         convertible into or exchangeable for Common Stock, or options to
         purchase or rights to subscribe for such convertible or exchangeable
         securities (except for options to acquire Excluded Stock):

                                    (A) the aggregate maximum number of shares
                  of Common Stock deliverable upon exercise of such options to
                  purchase or rights to subscribe for Common Stock shall be
                  deemed to have been issued at the time such options or
                  rights were issued and for a consideration equal to the
                  consideration (determined in the manner provided in
                  subparagraphs (i) and (ii) above), if any, received by the
                  Company upon the issuance of such options or rights plus the
                  minimum purchase price provided in such options or rights
                  for the Common Stock covered thereby;

                                    (B) the aggregate maximum number of shares
                  of Common Stock deliverable upon conversion of or in
                  exchange for any such convertible or exchangeable securities
                  or upon the exercise of options to purchase or rights to
                  subscribe for such convertible or exchangeable securities
                  and subsequent conversion or exchange thereof shall be
                  deemed to have been issued at the time such securities,
                  options, or rights were issued and for a consideration equal
                  to the consideration received by the Company for any such
                  securities and related options or rights (excluding any cash
                  received on account of accrued interest or accrued
                  dividends), plus the minimum additional consideration, if
                  any, to be received by the Company upon the conversion or
                  exchange of such securities or the exercise of any related
                  options or rights (the consideration in each case to be

                                      10
<PAGE>

                  determined in the manner provided in paragraphs (i) and (ii)
                  above);

                                    (C) on any change in the number of shares
                  or exercise price of Common Stock deliverable upon exercise
                  of any such options or rights or conversions of or exchanges
                  for such securities, other than a change resulting from the
                  anti-dilution provisions thereof, the Exercise Price shall
                  forthwith be readjusted to such Exercise Price as would have
                  been obtained had the adjustment made upon the issuance of
                  such options, rights or securities not converted prior to
                  such change or options or rights related to such securities
                  not converted prior to such change been made upon the basis
                  of such change;

                                    (D) upon the expiration of any options to
                  purchase or rights to subscribe for Common Stock which shall
                  not have been exercised, the Exercise Price computed upon
                  the issuance thereof (or upon the occurrence of a record
                  date with respect thereto), and any subsequent adjustments
                  based thereon, shall, upon such expiration, be recomputed as
                  if the only additional shares of Common Stock issued were
                  the shares of Common Stock, if any, actually issued upon the
                  exercise of such options to purchase or rights to subscribe
                  for Common Stock, and the consideration received therefor
                  was the consideration actually received by the Company for
                  the issue of the options to purchase or rights to subscribe
                  for Common Stock that were exercised, plus the consideration
                  actually received by the Company upon such exercise; and

                                    (E) no further adjustment of the Exercise
                  Price adjusted upon the issuance of any such options,
                  rights, convertible securities or exchangeable securities
                  shall be made as a result of the actual issuance of Common
                  Stock on the exercise of any such rights or options or any
                  conversion or exchange of any such securities.

                     6.8 Deferral in Certain Circumstances. In any case in
which the provisions of this Section 6 shall require that an adjustment shall
become effective immediately after a record date of an event, the Company may
defer until the occurrence of such event (a) issuing to the Holder of any
Warrant exercised after such record date and before the occurrence of such
event the shares of capital stock issuable upon such exercise by reason of the
adjustment required by such event and issuing to such Holder only the shares
of capital stock issuable upon such exercise before giving effect to such
adjustments, and (b) paying to such Holder any amount in cash in lieu of a
fractional share of capital stock pursuant to Section 2.3 above; provided,
however, that the Company shall deliver to such


                                      11
<PAGE>

Holder an appropriate instrument or due bills evidencing such Holder's right to
receive such additional shares or such cash.

                     6.9 Appraisal Procedure. In any case in which the
provisions of this Section 6 shall necessitate that the Appraisal Procedure be
utilized for purposes of determining an adjustment to the Exercise Price, the
Company may defer until the completion of the Appraisal Procedure and the
determination of the adjustment (a) issuing to the Holder of any Warrant
exercised after the date of the event that requires the adjustment and before
completion of the Appraisal Procedure and the determination of the adjustment,
the shares of capital stock issuable upon such exercise by reason of the
adjustment required by such event and issuing to such Holder only the shares
of capital stock issuable upon such exercise before giving effect to such
adjustment and (b) paying to such Holder any amount in cash in lieu of a
fractional share of capital stock pursuant to Section 2.3 above; provided,
however, that the Company shall deliver to such Holder an appropriate
instrument or due bills evidencing such Holder's right to receive such
additional shares or such cash.

                     6.10 Exceptions. This Section 6 shall not apply to (a)
securities offered to the public pursuant to a public offering; (b) securities
issued to employees or directors of the Company pursuant to an employee stock
option plan or stock incentive plan approved by the Board of Directors; or (c)
securities Outstanding as of the date hereof (provided that the terms of such
securities will not be modified in any manner following the date hereof)
(collectively, "Excluded Stock").

                     6.11 Notice of Adjustment of Exercise Price. Whenever the
Exercise Price is adjusted as herein provided:

                     (i) the Company shall compute the adjusted Exercise Price
         in accordance with this Section 6 and shall prepare a certificate
         signed by the treasurer or chief financial officer of the Company
         setting forth the adjusted Exercise Price and showing in reasonable
         detail the facts upon which such adjustment is based, and such
         certificate shall forthwith be filed at each Designated Office; and

                     (ii) a notice stating that the Exercise Price has been
         adjusted and setting forth the adjusted Exercise Price shall
         forthwith be prepared by the Company and mailed to all Holders at
         their last addresses as they shall appear in the warrant register.

                  7. Transfer to Comply with the Securities Act; Registration
Rights.

                     7.1 Transfer. This Warrant has not been registered under
the Securities Act and has been issued to the Holder for investment and not
with a view to the distribution of either the Warrant or the Warrant Shares.
Neither this Warrant nor any of the Warrant Shares or any other security issued
or issuable upon exercise of this Warrant may be sold, transferred, pledged or
hypothecated in the absence of an effective registration statement under the
Securities Act relating to such security or an opinion of counsel satisfactory
to the Company that registration is not required under the Securities Act;


                                      12
<PAGE>

provided, that, no registration statement or opinion of counsel shall be
required in the event of a Transfer to a Permitted Transferee. Each Warrant,
the Warrant Shares and any other security issued or issuable upon exercise of
this Warrant shall contain a legend on the face thereof, in substantially the
following form by which the Holder (and any transferee thereof) shall be bound:

                  THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN
                  REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR
                  ANY OTHER SECURITIES LAWS, AND SUCH SECURITIES MAY NOT BE
                  SOLD, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED IN THE
                  ABSENCE OF SUCH REGISTRATION UNDER SAID ACT AND LAWS OR AN
                  EXEMPTION THEREFROM.

                     7.2 Registration Rights. Reference is made to the
Registration Rights Agreement. The Company's obligations under the
Registration Rights Agreement and the other terms and conditions thereof with
respect to the Warrant Shares, including, but not limited to, the Company's
commitment to file registration statements including the Warrant Shares, to
have the registration of the Warrant Shares completed and effective, and to
maintain such registration, are incorporated herein by reference.

                  8. Notice Of Corporate Actions; Taking Of Record; Transfer
Books.

                     8.1 Notices of Corporate Actions. In case:

                     (a) of the Company granting to all of the holders of its
Common Stock rights or warrants to subscribe for or purchase any shares of
capital stock of any class; or

                     (b) of any reclassification of the Common Stock (other
than a subdivision or combination of the Outstanding shares of Common Stock),
or of any consolidation, merger or share exchange to which the Company is a
party and for which approval of any stockholders of the Company is required,
or of the sale or transfer of all or substantially all of the assets of the
Company; or

                     (c) of the voluntary or involuntary dissolution,
liquidation or winding up of the Company; or

                     (d) of the commencement by the Company or any Subsidiary
of a tender offer for all or a portion of the Outstanding shares of Common
Stock (or the amending of any such tender offer to change the maximum number
of shares being sought or the amount or type of consideration being offered
therefor);

then the Company shall cause to be filed at each office or agency maintained
for such purpose, and shall cause to be mailed to all Holders at their last
addresses as they shall appear in the warrant register, at least 30 days prior
to the applicable record, effective or expiration date hereinafter specified,
a notice stating (x) the date on which a record is to be taken for the


                                      13
<PAGE>

purpose of such dividend, distribution or granting of rights or warrants, or,
if a record is not to be taken, the date as of which the holders of Common
Stock of record who will be entitled to such dividend, distribution, rights or
warrants are to be determined, (y) the date on which such reclassification,
consolidation, merger, share exchange, sale, transfer, dissolution, liquidation
or winding up is expected to become effective, and the date as of which it is
expected that holders of Common Stock of record shall be entitled to exchange
their shares of Common Stock for securities, cash or other property deliverable
upon such reclassification, consolidation, merger, share exchange, sale,
transfer, dissolution, liquidation or winding up, or (z) the date on which such
tender offer commenced, the date on which such tender offer is scheduled to
expire unless extended, the consideration offered and the other material terms
thereof (or the material terms of the amendment thereto). Such notice shall
also set forth such facts with respect thereto as shall be reasonably necessary
to indicate the effect of such action on the Exercise Price and the number and
kind or class of shares or other securities or property which shall be
deliverable or purchasable upon the occurrence of such action or deliverable
upon exercise of the Warrants. Neither the failure to give any such notice nor
any defect therein shall affect the legality or validity of any action
described in clauses (a) through (d) of this Section 8.1.

                     8.2 Taking of Record. In the case of all dividends or
other distributions by the Company to the holders of its Common Stock with
respect to which any provision of hereof refers to the taking of a record of
such holders, the Company will in each such case take such a record and will
take such record as of the close of business on a Business Day.

                     8.3 Closing of Transfer Books. The Company shall not at
any time, except upon dissolution, liquidation or winding up of the Company,
close its stock transfer books or Warrant transfer books so as to result in
preventing or delaying the exercise or transfer of any Warrant.

                  9. Notices. Any notice or other communication required or
permitted hereunder shall be in writing and shall be delivered personally,
telegraphed, telexed, sent by facsimile transmission or sent by certified,
registered or express mail, postage pre-paid. Any such notice shall be deemed
given when so delivered personally, telegraphed, telexed or sent by facsimile
transmission, or, if mailed, two days after the date of deposit in the United
States mails, as follows:

                          (i) if to the Company, to:

                                    SIGA Technologies, Inc.
                                    420 Lexington Avenue, Suite 601
                                    New York, New York 10170
                                    Attention:  Thomas N. Konatich
                                    Telephone No.:  (212) 672-9100
                                    Facsimile No.:  (212) 697-3130


                                      14
<PAGE>

                          with a copy (which shall not constitute notice) to:

                                    Kramer Levin Naftalis & Frankel LLP
                                    919 Third Avenue
                                    New York, New York 10022
                                    Attention:  James A. Grayer, Esq.
                                    Facsimile No.: (212) 715-8000

                          (ii) if to the Holder, to:

                                    Mr. Todd J. Slotkin
                                    MacAndrews & Forbes Holdings Inc.
                                    35 East 62nd Street
                                    New York, New York 10021
                                    Facsimile No.: (212) 572-8435

                          with a copy (which shall not constitute notice) to:

                                    Skadden, Arps, Slate, Meagher & Flom LLP
                                    Four Times Square
                                    New York, New York  10035
                                    Attention:  Franklin M. Gittes, Esq. and
                                                Alan C. Myers, Esq.
                                    Facsimile No.:  (212) 735-2000

Any party may be given notice in accordance with this Section 9, unless such
party designates another address or person for receipt of notice hereunder.

                  10. No Impairment; Regulatory Compliance And Cooperation;
Notice Of Expiration. The Company shall not by any action, including, without
limitation, amending its charter documents or through any reorganization,
reclassification, transfer of assets, consolidation, merger, dissolution,
issue or sale of securities or any other similar voluntary action, avoid or
seek to avoid the observance or performance of any of the terms of this
Warrant, but will at all times in good faith assist in the carrying out of all
such terms and in the taking of all such actions as may be necessary or
appropriate to protect the rights of the Holder against impairment.

                  11. Miscellaneous.

                     11.1 Successors and Assigns. This Warrant shall inure
to the benefit of and be binding upon the successors and assigns of the
Company, the Holder and their respective successors and assigns. The
Holder's rights under this Warrant may be assigned, in whole or in part, to
(a) any Permitted Transferee, and any Permitted Transferee shall be deemed
to be a Holder for all purposes hereunder or (b) any transferee of a
Warrant, or, if applicable, any portion of a Warrant, that represents (x)
the greater of (A) 10% of the Warrant Shares exercisable by such transferor
on the date of such transfer and (B) 34,149 Warrant Shares (subject to
adjustment as set forth herein) or (y) if the transferor shall then


                                      15
<PAGE>

hold Warrants representing less than 34,149 Warrant Shares (subject to
adjustment as set forth herein), all of the Warrants held by such transferor,
and any such transferee shall be deemed to be a Holder for all purposes
hereunder.

                     11.2 Designated Office. As long as any of the Warrants
remain Outstanding, the Company shall maintain an office or agency, which may
be the principal executive offices of the Company (the "Designated Office"),
where the Warrants may be presented for exercise, registration of transfer,
division or combination as provided in this Warrant. Such Designated Office
shall initially be the office of the Company at 420 Lexington Avenue, Suite
601, New York, New York 10170. The Company may from time to time change the
Designated Office to another office of the Company or its agent within the
United States by notice given to all registered Holders at least 10 Business
Days prior to the effective date of such change.

                     11.3 Supplements and Amendments; Whole Agreement. This
Warrant may be amended or supplemented only by an instrument in writing signed
by the parties hereto. This Warrant, the Purchase Agreement and the
Registration Rights Agreement contain the full understanding of the parties
hereto with respect to the subject matter hereof and thereof and there are no
representations, warranties, agreements or understandings other than expressly
contained herein and therein.

                     11.4 Governing Law; Jurisdiction; Waiver Of Jury Trial.
The internal laws, and not the laws of conflicts (other than Section 5-1401 of
the General Obligations Law of the State of New York), of New York shall
govern the enforceability and validity of this Warrant, the construction of
its terms and the interpretation of the rights and duties of the Company. Any
suit, action or proceeding seeking to enforce any provision of, or based on
any matter arising out of or in connection with, this Warrant or the
transactions contemplated hereby may be brought in any federal or state court
located in the County and State of New York, and the Company hereby consents
to the jurisdiction of such courts (and of the appropriate appellate courts
therefrom) in any such suit, action or proceeding and irrevocably waives, to
the fullest extent permitted by law, any objection which it may now or
hereafter have to the laying of the venue of any such suit, action or
proceeding in any such court or that any such suit, action or proceeding which
is brought in any such court has been brought in an inconvenient forum.
Process in any such suit, action or proceeding may be served on the company
anywhere in the world, whether within or without the jurisdiction of any such
court. The Company hereby irrevocably waives any and all right to trial by
jury in any legal proceeding arising out of or related to this Warrant or the
transactions contemplated hereby.

                     11.5 Remedies. Each Holder of Warrants, in addition to
being entitled to exercise its rights granted by law, including recovery of
damages, shall be entitled to specific performance of its rights provided
under this Warrant. The Company agrees that monetary damages would not be
adequate compensation for any loss incurred by reason of a breach by it of the
provisions of this Warrant and shall waive, in an action for specific
performance, the defense that a remedy at law would be adequate.


                                    16
<PAGE>

                     11.6 Limitation of Liability. No provision hereof and no
enumeration herein of the rights or privileges of the Holder hereof, shall
give rise to any liability of such Holder to pay the Exercise Price for any
Warrant Shares other than pursuant to an exercise of this Warrant or any
liability as a stockholder of the Company, whether such liability is asserted
by the Company or by creditors of the Company.

                     11.7 Severability. Wherever possible, each provision of
this Warrant shall be interpreted in such manner as to be effective and valid
under applicable law, but if any provision of this Warrant shall be prohibited
by or invalid under applicable law, such provision shall be ineffective to the
extent of such prohibition or invalidity, without invalidating the remainder
of such provision or the remaining provisions of this Warrant.

                     11.8 Descriptive Headings. Descriptive headings of the
several sections of this Warrant are inserted for convenience only and shall
not control or affect the meaning or construction of any of the provisions
hereof.

                 [Remainder of Page Intentionally Left Blank]




                                    17
<PAGE>



         IN WITNESS WHEREOF, this Warrant has been executed as of the 14th day
of October, 2003.

                                           SIGA TECHNOLOGIES, INC.



                                           By: /s/ Thomas N. Konatich
                                               -----------------------------
                                           Name:  Thomas N. Konatich
                                           Title: Acting Chief Executive Officer


                                              (Title)




<PAGE>


                                    ANNEX A

                         NOTICE OF EXERCISE OF WARRANT

                [To be executed only upon exercise of Warrant]


                  The undersigned hereby irrevocably elects to exercise the
right, represented by the Warrant dated as of October 14, 2003, to purchase
___ shares of common stock, par value $0.0001 per share (the "Warrant
Shares"), of SIGA TECHNOLOGIES, INC. and tenders herewith payment in
accordance with Sections 1 and 2 of such Warrant. The undersigned further
requests, in accordance with Section 2.1(b) of the Warrant, that certificates
for the Warrant Shares hereby purchased (and any securities or other property
issuable upon exercise) be issued in the name of and delivered to
______________ and, if such Warrant Shares are not all of the Warrant Shares
issuable upon exercise of the Warrant, that a new Warrant of like tenor be
issued for the balance of the Warrant Shares.



                                              _______________________________
                                              (Name of Registered Owner)
                                              _______________________________
                                              (Signature of Registered Owner)
                                              _______________________________
                                              (Street Address)
                                              _______________________________
                                              (City)    (State)    (Zip Code)


NOTICE:  The signature on this subscription must correspond with the
         name as written upon the face of the within Warrant in every
         particular, without alteration or enlargement or any change
         whatsoever.




<PAGE>


                                    ANNEX B

                              FORM OF ASSIGNMENT

               (To be executed by the registered holder if such
                   holder desires to transfer the Warrant.)

                  FOR VALUE RECEIVED ____________________________________hereby
sells, assigns and transfers unto______________________________________________
_______________________________________________________________________________
(Please print name and address of transferee)

the Warrants represented by this Warrant, together with all right, title and
interest therein, and does hereby irrevocably constitute and appoint
___________________________ attorney-in-fact, with full power of substitution,
to transfer the within Warrant on the books of SIGA TECHNOLOGIES, INC. to give
effect to the transfer made hereby.

Date:  _____________, ____

                                          _________________________________
                                                    Signature

NOTICE:     The signature on this assignment must correspond with the
            name as written upon the face of the within Warrant in every
            particular, without alteration or enlargement or any change
            whatsoever.








</TEXT>
</DOCUMENT>
