US Government Grants Patent To Bavarian Nordic On MVA-BN

COPENHAGEN, Denmark and WASHINGTON, July 19 /PRNewswire/ -- Bavarian Nordic A/S announced today that the United States Patent and Trademark Office (USPTO) has issued a patent to the company on its proprietary MVA-BN(R) technology. The patent grants exclusive rights to Bavarian Nordic upon issuance (of U.S. Patent 6,761,893) and claims MVA-BN(R) and derivatives thereof.

Safety in humans continues to be the overriding challenge in vaccine development and production. The USPTO's patent grant to the MVA-BN(R) virus which is non-replicative in humans acknowledges the novelty and utility of such a virus exhibiting the demonstrated excellent safety profile of the MVA- BN(R) technology and other claimed MVA viruses exhibiting similar characteristics.

In addition to covering the MVA-BN(R) virus itself, the patent includes the use of MVA-BN(R) as a smallpox vaccine (IMVAMUNE(TM) -- Bavarian Nordic's smallpox vaccine), and extends to the use of MVA-BN(R) as a vector technology for developing recombinant vaccines against viral infectious diseases such as HIV, Dengue Fever, Japanese Encephalitis, etc.

Furthermore, the patent covers the use of the MVA-BN(R) technology in generating immunity in healthy and immune compromised subjects and inducing immunity through priming and boosting vaccination schedules.

Peter Wulff, President and CEO said, "This patent confirms what we have been saying for years that MVA-BN(R) is a unique invention, a safe smallpox vaccine, and safe and effective technology platform for the development of new and improved vaccines. In addition, due to our in-depth knowledge, expertise and testing of MVA-BN(R), we know that not all MVAs are equally safe and effective. Therefore, with the issuance of this broad patent to the MVA-BN(R) virus and its like acting derivatives, it will be difficult for others to develop and produce a safe and effective MVA-based vaccine without a license under this patent."

MVA-BN(R) and US Development Programme for a Safe Smallpox Vaccine

Bavarian Nordic's ability to secure intellectual property exclusivity for MVA-BN(R) represents the completion of another critical step by the company to perform at and above the level required by the US government in the MVA smallpox vaccine development programme. Before RFP2 is awarded under the US Government's Request for Proposal (RFP) process, companies offering involvement in the programme must prove their "freedom to operate" or demonstrate that they do not infringe others and/or third-parties' rights. With this milestone achieved, Bavarian Nordic are unique in their ability to affirmatively demonstrate their "freedom to operate."

This announcement comes on the heels of last week's announcement of an international collaboration with GlaxoSmithKline (GSK) on the production and marketing of Bavarian Nordic's smallpox vaccine IMVAMUNE(TM).

"Safe Harbour" statement under the Private Securities Litigation Reform Act of 1995:

Except for the historical information contained herein, this release contains "forward-looking statements" within the meaning of the Private Securities Reform Act of 1995. No "forward-looking statement" can be guaranteed, and actual results may differ materially from those projected. Bavarian Nordic undertakes no obligation to publicly update any "forward- looking statement", whether as a result of new information, future events, or otherwise. Additional information regarding risks and uncertainties is set forth in the current Annual Report and in Bavarian Nordic's periodic reports, if any, which we incorporate by reference.

For more information please visit http://www.bavarian-nordic.com/.

Website: http://www.bavarian-nordic.com

CONTACT: Kevin Walker, +1-202-775-1401, for Bavarian Nordic A/S