Myriad Genetics is Awarded U.S. Patent for Gene Mutation Detection by Mass Spectrometry

Salt Lake City, UT
February 18, 1999

Myriad Genetics, Inc. (Nasdaq: MYGN) has been awarded patent number 5,869,242, entitled, "Mass Spectrometry to Assess DNA Sequence Polymorphisms," by the U.S. Patent and Trademark Office, the Company announced today. The patent covers the use of the mass spectrometer to detect mutations or other polymorphisms in nucleic acid samples. The detection of mutations or polymorphisms in DNA forms the basis for understanding the cause of disease, which is fundamental to development of new therapeutic and diagnostic products.

The mass spectrometer uses the ratio of molecular mass to charge of various molecules to identify them. Nucleic acids are made up of four different base molecules, each with a different mass to charge ratio. By totaling the number of each of the four molecules in a sample and comparing it to a known standard, one can determine whether differences, or polymorphisms, exist in the sample.

The patented technology could eventually be used to replace the current industry standards of mutation detection by probe hybridization or by DNA sequencing using automated gel electrophoresis instruments. Mass spectrometry may prove useful in developing cheaper, more efficient, less resource-intensive  DNA diagnostic tests for potential application in diseases such as cancer, cardiovascular disease and other major disorders. Mass spectrometry and arrays of DNA on silicon wafers, or "DNA chips", are the technologies most frequently identified as replacement technologies for current mutation detection methods.

"This exciting technology paves the way to development of more highly automated analytical methods with resulting reductions in reagent and labor costs," said Gregory Critchfield, M.D. President of Myriad Genetic Laboratories, Inc., Myriad's genetic testing subsidiary. "Myriad's patented technology has the potential to provide a rapid diagnostic test at significantly reduced cost compared with current methods. Mass spectrometry could one day provide the technological basis for a population-wide screen for common disease-causing gene mutations."

Myriad Genetic Laboratories currently operates one of the world's highest-throughput commercial DNA diagnostic sequencing facilities. The Company continuously evaluates new technologies to assess their potential for improving the analytical process or the test results. If a promising new technology meets Myriad's stringent standards for quality and reliability, it will be integrated into the laboratory process to provide the highest quality data conceivable.

Ten U.S. patents have been issued in the past year to Myriad Genetics covering gene discoveries and technical inventions relating to gene and drug discovery technologies.

Myriad Genetics, Inc., based in Salt Lake City, is a genomics company focused on the discovery and commercialization of genes involved in major common diseases including cancer, cardiovascular disease and central nervous system disorders. Myriad Genetics licenses non-exclusive access to its ProNet® technology to pharmaceutical companies for use in identifying novel proteins and their biochemical pathways which may lead to the development of new therapeutics. The Company has established collaborations with Bayer, Monsanto, Novartis, Schering AG and Schering-Plough.

The discussion in this news release includes forward-looking statements based on management's current expectations. Factors that could cause future results to differ materially from such expectations include: the timely implementation by the Company of its plan to prepare its computer systems for the year 2000, the cost to the Company of such implementation, and the timely conversion by other parties on which the Company's business relies; intense competition related to the discovery of disease-related genes; the Company's limited marketing and sales experience and the risk that tests which the Company develops may not be able to be marketed at acceptable prices or receive commercial acceptance in the Company's target markets; uncertainty as to whether there will exist adequate reimbursement for the Company's service from the government, private healthcare insurers and third-party payers; and uncertainties as to the extent of future government regulation of the Company's business, and uncertainties as to whether the Company and its collaborators will be successful in developing, and obtaining regulatory approval for, and commercial acceptance of, therapeutics based on the discovery of disease-related genes and proteins.