Dow AgroSciences LLC and Sangamo BioSciences, Inc. Announce the Achievement of Key Milestones in Plant Agriculture Collaboration

INDIANAPOLIS, Ind. and RICHMOND, Calif., June 19 /PRNewswire-FirstCall/ -- Dow AgroSciences LLC and Sangamo BioSciences, Inc. today announced the successful completion of research milestones as part of their joint Research and Commercial License Agreement. These milestones represent the successful application of Sangamo's zinc finger DNA-binding protein (ZFP) technology to the generation of specific traits in two major crop species -- maize and canola.

"Our collaboration with Sangamo has been extremely positive, and we continue to be very excited by the precision and promise of this technology," said Dan Kittle, vice president, Research and Development for Dow AgroSciences. "These milestones demonstrate the ability of ZFP Nucleases (ZFNs(TM)) to act precisely at their intended target in canola and corn, crops of commercial importance, not model systems, and represent the first demonstration of the precise placement of a gene of interest into a specific native gene in maize. This is a development that has potentially significant impact on the cost and timelines of generating crop products with new and improved traits. In addition, Sangamo's technology holds the potential to enable gene editing of native traits and up- and down-regulation of genes to influence metabolic profiles of plants. Everything that we have seen and everything that we have done only reinforces our enthusiasm and commitment to this technology."

"Our ZFP technology can be used to specifically regulate and modify genes," said Philip Gregory, D. Phil., Sangamo's vice president of research. "We have already demonstrated the utility of our ZFN 'genome editing' technology in human cells. Moreover, this technology has the unique advantage of generating the desired trait outcomes without needing to be permanently present in the modified cells. In applying engineered ZFNs to crop plants, Dow AgroSciences scientists have built upon our experience in developing ZFP technology for human therapeutics and accomplished a series of 'scientific firsts.'"

These milestones include the first demonstration of ZFN-mediated targeted integration of DNA into a native gene in maize and the first demonstration of targeting a native gene in canola with ZFNs.

Sangamo scientists recently published data [in Proceedings of the National Academy (PNAS (2007) 104: 3055)] demonstrating the introduction of a "gene-sized fragment" of DNA into a specific location in the human genome via ZFN-mediated targeted gene addition. Dow AgroSciences scientists have similarly used Sangamo-designed ZFNs to successfully target native genes in crops with extraordinary molecular precision.

"Dow AgroSciences has had the foresight to recognize the power of our ZFP technology and the expertise to implement it successfully into its precision trait development program," said Edward Lanphier, Sangamo's president and chief executive officer. "In our research partnership we are rapidly developing innovative applications in plant biotechnology."

The three-year agreement initiated October 2005, provides Dow AgroSciences with access to Sangamo's proprietary ZFP technology for the development of products in plants and plant cell cultures. During the initial three-year research term, Dow AgroSciences has the option to obtain a commercial license to sell products incorporating or derived from plant cells generated using Sangamo's ZFP technology, including agricultural crops, industrial products and plant-derived biopharmaceuticals.

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 transcription factors (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.

About Dow AgroSciences LLC

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 http://www.dowagro.com for more information.

About Sangamo BioSciences, Inc.

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 program is currently in Phase 2 clinical trials for evaluation of safety and clinical effect in patients with diabetic neuropathy. Phase 1 clinical trials are ongoing to evaluate a ZFP Therapeutic for peripheral artery disease. Other therapeutic development programs are focused on cancer and HIV/AIDS, neuropathic pain, nerve regeneration, ischemic heart disease 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. 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. Sangamo has also established several Enabling Technology Agreements with companies to apply its ZFP Technology to enhance the production of protein pharmaceuticals. For more information about Sangamo, visit the company's web site at http://www.sangamo.com.

This press release may contain forward-looking statements based on Dow AgroSciences LLC and Sangamo BioScience, Inc.'s current expectations. These forward-looking statements include, without limitation, references to the achievement of additional milestones under the Research and Commercial License Agreement and the application of Sangamo's ZFP TFs and ZFNs in plant agriculture. Actual results may differ materially from these forward-looking statements due to a number of factors, including technological challenges, Dow AgroSciences ability to develop commercially viable products and technological developments by our competitors. See the company's SEC filings, and in particular, the risk factors described in the company's Annual Report on Form 10-K and its most recent 10-Q. Dow AgroSciences and Sangamo BioSciences, Inc. assume no obligation to update the forward-looking information contained in this press release.

(TM) Trademark of Sangamo Biosciences, Inc.

Sangamo BioSciences, Inc.

CONTACT: Robyn Heine of Dow AgroSciences LLC, +1-317-337-4807,Rheine@dow.com; or Elizabeth Wolffe, Ph.D., of Sangamo BioSciences, Inc.,+1-510-970-6000, ext. 271, ewolffe@sangamo.com; or Justin Jackson of BurnsMcClellan, Inc., +1-212-213-0006, jjackson@burnsmc.com, for SangamoBioSciences, Inc.

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