Sangamo BioSciences, Inc. announced today that it has been awarded a Phase II Small Business Innovation Research (SBIR) Grant from the United States Department of Agriculture. This grant will support continued research in Sangamo's expanding plant agriculture program using engineered zinc finger DNA binding proteins to genetically modify plants to produce novel transgenic crops.

The Company has developed a broad technology platform capable of controlling gene expression
through the use of engineered zinc finger DNA binding proteins (ZFPs). ZFPs are a class of transcription factors that can be designed to bind to any desired DNA sequence. Sangamo engineers ZFPs linked with either gene repressors or activators to create transcription factors that can be used to up- or down-regulate the expression of target genes of interest. In collaboration with the University of Kentucky, the Company is investigating the use of ZFPs to modify the expression of genes in soybean and Arabidopsis model systems. By controlling plant genes, Sangamo is able to accelerate the discovery and functional analysis of new gene traits and create novel transgenic plants with enhanced nutritional and performance characteristics.

"Sangamo has developed a broad based technology platform that has unique advantages in plant
biotechnology,'' said Peter Bluford, Vice President, Corporate Development. "With the additional
research funding provided by this SBIR grant, we expect to demonstrate the commercial potential of ZFPs for producing novel transgenic plants. We are pleased to be able to continue this important work with Dr. David Hildebrand at the University of Kentucky.''

Sangamo's technology platform enables the rational design and rapid generation of highly specific ZFP transcription factors that can selectively recognize and regulate any target gene or DNA sequence. These engineered ZFPs are being used to accelerate the functional analysis of newly discovered genes and the validation of gene targets by companies worldwide. Sangamo has ongoing research collaborations with Pfizer, SmithKline Beecham, Millennium Pharmaceuticals, AstraZeneca, Bayer Corporation, GlaxoWellcome, DuPont Pharmaceuticals, Japan Tobacco, Hoffmann-La Roche, Schering AG, and Genset SA.

Sangamo BioSciences, a privately held biotechnology company, is developing its ZFP technology
platform for human therapeutic, plant agriculture, functional genomics, and clinical diagnostic product applications. Universal Gene Regulation embodies the application of ZFPs to the development of pharmaceutical products that act through the selective and highly specific regulation of genes implicated in human disease. In addition, plants can be genetically modified with engineered ZFPs, giving rise to novel transgenic crops with desirable agronomic traits. Sangamo and its corporate partners are using the Company's Universal GeneTools to accelerate the discovery, functional analysis and validation of commercially relevant gene targets in human cells, plants or disease-related pathogens. Finally, Sangamo's Universal Gene Identification is being developed to exploit opportunities in the emerging field of clinical gene diagnostics.

Company news release
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