Transgene: Cash Position and Net Cash Expenditures as of March 31, 2005 STRASBOURG, France, April 13 /PRNewswire-FirstCall/ -- Transgene (Nasdaq: TRGNY; Eurolist Paris: FR0005175080) today announced its cash position and net cash expenditures at and for the three months ending March 31, 2005 (unaudited figures, US GAAP). Net cash expenditures amounted to euro 4.6 million (US$ 6.0 million) for the first quarter of 2005. Net cash expenditures for the first quarter of 2004 amounted to euro 5.3 million (US$ 6.9 million). Cash and cash equivalents totaled euro 10 million (US$ 13 million) at March 31, 2005. We believe that, based on our current cost estimates for our on-going operations, including clinical development plans, research and development activities, operating revenues and anticipated capital expenditures, our cash position at March 31, 2005, will be sufficient to meet our expected financial requirements through September 2005. In December 2004, Transgene's principal shareholder informed the Board of Directors of its commitment to cover Transgene's cash needs until the end of 2005 unless another financing option is adopted during this timeframe. First quarter 2005 highlights: * New Strategic focus both in cancer and infectious diseases; * MVA-Muc1-IL2 therapeutic vaccine meets the primary endpoint in Phase II trial for the treatment of non-small cell lung cancer. Data from the clinical testing of our MVA-Muc1-IL2 vaccine in non-small cell lung and prostate cancers has been accepted for presentation at the 2005 Annual Meeting of the American Society of Clinical Oncology which will take place in Orlando, Florida, May 13-17, 2005. Transgene, based in Strasbourg, France, is a biopharmaceutical company dedicated to the discovery and development of therapeutic vaccines and immunotherapy products for the treatment of cancer and infectious diseases. Transgene has a broad portfolio of products in clinical development. This press release contains forward-looking statements regarding Transgene's anticipated financial requirements and expenditures. These statements are based on Transgene's current expectations, beliefs, estimates, forecasts and assumptions and are not guarantees of Transgene's future liquidity and ability to continue operations. Accordingly, actual outcomes and results may differ materially from what is expressed. Important factors which may affect Transgene's future financial requirements and expenditures include the following: regulatory approvals for product development and testing may be suspended or delayed, causing additional expenses to continue testing or obtain testing rights; proceedings to obtain patents and litigation of third party infringement claims are expensive and could exceed anticipated budgets; rights to proprietary genes and other technologies to further develop our business may be more costly than anticipated; we may incur significant costs in connection with our product liability exposure; we may incur unanticipated costs in connection with our use and handling of hazardous material; and other important factors described in Transgene's Annual Report on Form 20-F for the most recent fiscal year filed with the U.S. Securities and Exchange Commission, including those factors described in the section entitled "Risk Factors." In addition, the statement made by the Company's principal shareholder to the Board of Directors in December 2004 is not a guaranty by the Company that it will have sufficient funds to maintain on-going operations. Note: The official financial information of Transgene is stated in Euros. The financial information expressed in US$ is translated solely for the convenience of the reader at euro 1.00 = $1.2964, the rate of the Central European Bank on March 31, 2005. DATASOURCE: Transgene CONTACT: Philippe Poncet, Chief Financial Officer of Transgene, +33-3-88-27-91-21; or Michael Long of Cohn & Wolfe, +1-415-365-8523; or Tiphaine Hecketsweiler of Image 7, +33-1-53-70-74-70 Web site: http://www.transgene.fr/

Copyright