Successful application of Sangamo's ZFN technology in plants

Dow AgroSciences LLC and Sangamo BioSciences, Inc. (Nasdaq: SGMO) today announced the successful completion of multiple research milestones as part of their Research and Commercial License Agreement initiated October 2005.

"We are delighted with the overall progress of the collaboration. The successful completion of these milestones demonstrates that Sangamo's ZFP Nuclease (ZFN(TM)) platform is proving to be as robust and powerful as expected, and we look forward to the successful achievement of additional milestones," said Dan Kittle, Ph.D., Vice President of Research and Development for Dow AgroSciences. "Our recent work at Dow AgroSciences employing ZFNs in plant systems confirms our conviction that the ZFP platform has the potential to truly transform the field of plant genetics."

The three-year agreement provides Dow AgroSciences with access to Sangamo's proprietary zinc finger DNA-binding protein (ZFP) technology for the development of products in plants and plant cell cultures.

"Our ZFP technology can be used to both regulate and modify genes. Because ZFPs function at the DNA level, a molecule common to essentially every organism, our ZFP platform offers great versatility enabling us to address virtually any gene target in any species," said Philip Gregory, D. Phil., Sangamo's vice president of research. "Investments globally in plant genomics continue to uncover an increasing number of genes with the potential to substantially improve crop quality, expand crop uses and improve agronomic performance. All of these genes are potential targets for our ZFP technology, and it is therefore particularly exciting for all of us to have already achieved significant milestones validating the applications of our nuclease technology in plant agriculture. ZFNs provide the ability to make specific modifications to genes, to rapidly and reliably knock out specific genes and to insert genes reproducibly into specific target sites. Combined with the ZFP TF(TM) technology for the up or down-regulation of specific genes in plants, these capabilities hold the potential to revolutionize both the rate of development and the quality of plant products in applications in many different areas of plant agriculture."

"Dow AgroSciences has a strong tradition of innovation and early adoption of new technologies and is recognized as a world leader in innovative plant biotechnology," said Edward Lanphier, Sangamo's president and chief executive officer. "Coupled with Sangamo's expertise in the design and engineering of ZFPs, our combined forces have helped achieve an early competitive advantage for Dow AgroSciences that has the potential to maximize the commercial applications of this technology across the plant and agriculture fields. Because we are developing therapeutics, the application of ZFP TFs and ZFNs in plant agriculture tends to be overlooked. But this is a strategic collaboration for us and one that may realize significant financial return, and I am pleased that the Dow AgroSciences and Sangamo are working so well together as evidenced by the achievement of these early milestones."

ZFPs are the dominant class of naturally occurring transcription factors in organisms from yeast to humans. Transcription factors, which are found in the nucleus of every cell, bind to DNA to regulate gene expression. The ability to selectively control specific genes is emerging as a critical tool in modern biotechnology. Though there are many kinds of transcription factors, only ZFPs are amenable to engineering and precise targeting to a particular gene or genes of interest. By engineering ZFPs that recognize a specific DNA sequence Sangamo scientists have created ZFP TFs(TM) that can control gene expression and consequently, cell function. For example, Sangamo has demonstrated that plant oils can be improved using ZFP TFs.

Sangamo has also developed sequence-specific ZFNs(TM) for precision gene modification and targeted gene insertion. These technologies have the potential to play a major role in bringing new discoveries in genomics forward to the marketplace. The use of Sangamo's ZFP technology to enable the efficient and reproducible generation of combinations or stacks of multiple traits and the insertion of new traits could address increasing demand.

Dow AgroSciences LLC, based in Indianapolis, Indiana, USA, is a top tier agricultural company providing innovative crop protection, seeds, and biotechnology solutions to serve the world's growing population. A wholly owned subsidiary of The Dow Chemical Company, global sales for Dow AgroSciences are $3.4 billion. Visit www.dowagro.com for more information.

Sangamo BioSciences, Inc. is focused on the research and development of novel DNA-binding proteins for therapeutic gene regulation and modification. The most advanced ZFP Therapeutic(TM) development programs are currently in Phase 1 clinical trials for evaluation of safety in patients with diabetic neuropathy and peripheral artery disease. Other therapeutic development programs are focused on ischemic heart disease, neuropathic pain, cancer and infectious and monogenic diseases. Sangamo's core competencies enable the engineering of a class of DNA-binding proteins known as zinc finger DNA- binding proteins (ZFPs). By engineering ZFPs that recognize a specific DNA sequence Sangamo has created ZFP transcription factors (ZFP TF(TM)) that can control gene expression and, consequently, cell function. Sangamo is also developing sequence-specific ZFP Nucleases (ZFN(TM)) for therapeutic gene modification as a treatment for a variety of monogenic diseases, such as X- linked SCID and hemophilia, and for infectious diseases, such as HIV. Sangamo has established several Enabling Technology Agreements with companies to apply its ZFP Technology to enhance the production of protein pharmaceuticals. A portion of Sangamo's research in plant agriculture is supported by an Advanced Technology Program (ATP) grant awarded by the National Institute of Standards and Technology. For more information about Sangamo, visit the company's web site at www.sangamo.com.