Targeted Genetics Earns AMT Milestone

Targeted Genetics Corp. received an undisclosed milestone payment from Amsterdam Molecular Therapeutics B.V. (AMT) under a licensing agreement that provides AMT with non-exclusive rights to Adeno-Associated Virus type 1 (AAV1), a serotype of AAV with the potential to treat lipoprotein lipase (LPL) deficiency. AMT recently initiated a pre-registration trial for AMT-011, an AAV1-based therapy for LPL deficiency, and anticipates commercialization of the product in 2009. LPL deficiency is a severe and debilitating disease associated with extremely high serum triglyceride concentrations, high morbidity, and increased mortality.

“This milestone payment provides continuing validation of our strategy to leverage our intellectual property as an industry leader in AAV technology,” said H. Stewart Parker, president and chief executive officer of Targeted Genetics. “As AMT advances its LPL development programs, we will realize value through potential future milestones and royalties on product sales. This strategy provides us with incremental revenue from our broad and deep patent estate, even as we stay focused on our core product development programs in inflammatory arthritis, AIDS prophylaxis, congestive heart failure and Huntington’s disease.”

As announced in December 2006, the U.S. patents issued to the University of Pennsylvania and exclusively licensed to Targeted Genetics, provides AMT with the rights to use AAV1 in the development and commercialization of therapeutic products for treating type I and type V LPL deficiencies.