CuraGen Corporation, an integrated genomics-based product discovery and development company, today reported financial results for the three months ended March 31, 1999.

During the first quarter of 1999, total revenue generated from strategic collaborations and grants
increased 34% to $2,671,943, as compared with $1,989,572 for the same period in 1998. The
Company reported a 1999 first quarter net loss attributable to common stockholders of
$7,206,927 or $0.54 per common share, as compared to a net loss attributable to common
stockholders of $3,675,948 or $0.40 per common share for the quarter ended March 31, 1998.
The increase in revenue was primarily derived from revenues realized as a result of CuraGen's
collaboration with Glaxo Wellcome and increased revenues from Pioneer Hi-Bred International.

"CuraGen's first quarter results are in line with management's strategy of continuing to invest in
programs and technologies that will propel the Company further in its progression toward
becoming a commercially successful genomics- based drug company,'' commented Jonathan M.
Rothberg, Ph.D., Founder, Chairman and CEO of CuraGen Corporation. "The Company is
achieving rapid growth by continuing to meet its partners' expectations, and by providing the
pharmacogenomics expertise required to attract new pharmaceutical collaborators,'' added Dr.
Rothberg.

CuraGen established a second major pharmaceutical partnership during the first quarter of 1999,
by entering into collaboration with Hoffmann-La Roche, and CuraGen is scheduled to begin
recognizing revenues from this agreement in the second quarter of 1999. As of March 31, 1999,
the Company had approximately $70 million in available capital, consisting of approximately $34
million in cash and cash equivalents, and up to $36 million in the form of convertible debt,
potentially available under collaborative agreements through the year 2002.

CuraGen's First Quarter Highlights:

- CuraGen was awarded a patent on its GeneCalling(TM) gene expression technology. GeneCalling performs a vital role in pharmacogenomics by helping to identify why some drugs are successful, and why other drugs fail. Using GeneCalling, greater than 90% of the differences in gene activity can be detected in humans, animals, plants, and pathogens. This technology is believed to be the most accurate and versatile in the industry today.

- CuraGen, F. Hoffmann-La Roche LTD., Hoffmann-La Roche, Inc., and Roche Vitamins, Inc. entered into a pharmacogenomics and product discovery collaboration for the purposes of evaluating existing candidates, discovering new drug targets, and developing drugs and diagnostic tests for improving human and animal health.

- The Company expanded the capacity of its research facilities to provide room for its growing internal discovery and development programs. CuraGen also significantly increased its bioinformatics capacities and equipment, and invested in the expansion of its gene expression, gene sequencing, and cSNP discovery and interaction efforts.

- During the first quarter of 1999, CuraGen continued to enhance its intellectual property portfolio by applying for patent protection on discoveries resulting from internal drug programs, and for recent advancements in the Company's suite of genomics technologies.

- CuraGen expanded its scientific advisory board to include Richard A. Flavell, Ph.D. Dr. Flavell is the Chairman and Professor of Immunobiogy at Yale University and a former President and Chief Scientific Officer of Biogen, Inc. He is providing guidance to researchers focussing on the Company's proprietary internal drug programs.

CuraGen Corporation is revolutionizing the discovery and development of life science products
through the systematic application of genomics. CuraGen's fully integrated, Internet-based
genomics technologies, processes, and information systems are designed to rapidly generate
comprehensive information about gene expression, biological pathways, and potential products
that affect these pathways. CuraGen's research collaborators include Biogen, Genentech, Glaxo
Wellcome, Hoffmann-La Roche, and Pioneer Hi-Bred International. The Company employs over 300 people and is headquartered in New Haven, CT, with additional facilities in Branford, CT,
and Alachua, FL.

Company news release
N1771