SAN DIEGO, August 24, 1998 -- Judgment has been entered in favor of Gen-Probe Incorporated in a second lawsuit challenging ownership of U.S. Patent Nos. 4,851,330 and 5,288,611, which cover Gen-Probe's pioneering technologies for detecting disease-causing organisms using genetic probes targeting ribosomal RNA. In the lawsuit, filed in 1993, the Center for Neurologic Study ("CNS") alleged that Dr. David Kohne, the inventor, had made his discovery while employed by CNS.

Seven of eight claims asserted by CNS against Gen-Probe were dismissed before trial. In a special trial on the statute of limitations in December 1997, a jury found that CNS had waited too long to file one of its claims against Dr. Kohne. On July 17, 1998, Superior Court Judge David Danielsen applied the jury's verdict to bar CNS's only remaining claim against Gen-Probe and judgment was entered on August 20, 1998 in favor of Gen-Probe and Dr. Kohne.

The CNS lawsuit was the second case challenging ownership of the patents. The prior case, brought by the University of California ("UC"), was resolved in Gen-Probe's favor by a jury trial in June 1996. Both the CNS and UC claims were financed by Amoco Technology Company, which hoped to obtain rights in the patents. Gen-Probe has filed a separate malicious prosecution lawsuit against Amoco Corporation and Amoco Technology Company seeking to recover the expense of defending the UC lawsuit. Gen-Probe has also filed a separate suit for patent infringement against Amoco and its former subsidiary Vysis, which went public in February. Vysis had rights to obtain an exclusive license to the patents in the event that CNS prevailed.

Henry L. Nordhoff, President and CEO of Gen-Probe said, "Amoco induced both the University of California and CNS to file these meritless suits, after many years of inaction, by the promise of financial gain at no cost or risk to either plaintiff. The litigation has been expensive and time-consuming. We believe that Amoco was sure that we would settle, to Gen-Probe's economic disadvantage, rather than protect our rights in court. However, we remained confident that we would ultimately prevail."

Gen-Probe is the recognized world leader in the development, manufacture and commercialization of diagnostic products based on its patented genetic probe technologies. The company has received 40 FDA clearances for genetic probe tests to detect a wide range of microorganisms, and is currently completing a $7.7 million contract from the National Heart, Lung and Blood Institute, which is an arm of the National Institutes of Health, to develop a screening program for both hepatitis C (HCV) and human immunodeficiency virus (HIV) using amplification of nucleic acid sequences. The company recently announced a strategic alliance with Chiron Corporation to develop, manufacture and market nucleic acid probe assay systems for blood screening and certain areas of diagnostics.

Gen-Probe is one of the few profitable biotechnology companies and recorded worldwide sales of $93.6 million in 1997. With 519 employees, Gen-Probe is one of the largest biotechnology firms in San Diego.

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