Filed pursuant to
                                                   Rule 424(b)(3)
                                                   Commission File No. 333-67906

                    PROSPECTUS SUPPLEMENT DATED JUNE 10, 2002
                     (TO PROSPECTUS DATED NOVEMBER 9, 2001)

                                  $175,000,000

                             CELL THERAPEUTICS, INC.

             5.75% Convertible Subordinated Notes due June 15, 2008
           and the common stock issuable upon conversion of the notes

     This Prospectus Supplement supplements the Prospectus dated November 9,
2001 (the "Prospectus") of Cell Therapeutics, Inc. ("CTI") relating to the
public offering, which is not being underwritten, and sale by certain
noteholders of CTI or by pledgees, donees, transferees or other successors in
interest that receive such notes as a gift, partnership distribution or other
non-sale related transfer (the "Selling Securityholders") of up to $175,000,000
of 5.75% convertible subordinated notes of CTI (the "Notes"). This Prospectus
Supplement should be read in conjunction with the Prospectus, and this
Prospectus Supplement is qualified by reference to the Prospectus except to the
extent that information herein contained supersedes the information contained in
the Prospectus. Capitalized terms used in this Prospectus Supplement and not
otherwise defined herein have the meanings specified in the Prospectus.


                             SELLING SECURITYHOLDER

     Recently, Zurich Institutional Benchmarks Master Fund Ltd. acquired Notes,
which it intends to sell under the Prospectus. The following table provides
certain information with respect to the amount of Notes beneficially owned by
Zurich Institutional Benchmarks Master Fund Ltd., the percentage of outstanding
Notes and CTI common stock this represents, and the amount of Notes to be
registered for sale hereby. The table of Selling Securityholders in the
Prospectus is hereby amended to add the following:



                                           Principal Amount at
                                            Maturity of Notes      Percentage of     Number of Shares        Percentage of
                                           Beneficially Owned          Notes         of Common Stock          Common Stock
    Name of Selling Securityholder          that may be sold        Outstanding     that may be sold(1)    Outstanding (2)(3)
--------------------------------------    ---------------------    -------------    -------------------    ------------------
                                                                                               
Zurich Institutional Benchmarks Master
Fund Ltd. ............................         $1,340,000                *                39,411                   *

--------------------------
 *   Less than 1%.

(1)  Assumes conversion of all of the holder's notes at a conversion price of
     approximately $34.00 per share of common stock. However, this conversion
     price will be subject to adjustment as described in the Prospectus under
     "Description of Notes--Conversion Rights." As a result, the amount of
     common stock issuable upon conversion of the notes may increase or decrease
     in the future.

(2)  Calculated based on Rule 13d-3(d)(1)(i) of the Exchange Act using
     35,101,654 shares of common stock outstanding as of March 31, 2002.

(3)  Assumes that any other holders of notes, or any future transferees,
     pledgees, donees or successors of or from any such other holders of notes,
     do not beneficially own any common stock other than the common stock
     issuable upon conversion of the notes at the initial conversion rate.