1003 Hamilton Avenue Menlo Park, CA 94025
Phone: 650-752-0200 www.deltagen.com

William Matthews, president and CEO NASDAQ:DGEN

Overview

Deltagen provides data to pharmaceutical and biotechnology companies on the function, role and disease relevance of mammalian genes. Its technology platform is a fully integrated system to validate drug targets and its approach moves from gene identification to the determination of gene function in knockout mouse models to identify the in vivo mammalian function of genes. Deltagen also is applying its target validation technologies to identify, discover and isolate novel secreted proteins that have therapeutic potential either as protein drug candidates or as antibody targets.

DeltaBase is the company’s proprietary database designed to provide access to target validation information on genes selected for their relevance to the drug discovery process. Beyond DeltaBase, Deltagen offers DeltaSelect, a program in which partners can participate in the development of new technologies that identify the functional role of genes. It also has Delta-GT, a technology that simultaneously identifies and determines the function of proteins secreted in a mammalian organism.

In July 2001 Deltagen acquired Deltagen Proteomics Inc. (previously Arcaris Inc.), a wholly owned subsidiary in Salt Lake City, to expand research into functional proteomics. Another wholly owned subsidiary, Deltagen Europe SA, established in September 2001 a new research and development center in Strasbourg, France.

In March 2001, Deltagen became a founding member in an international functional genomics consortium with the Centre for Modeling Human Disease, based at the Samuel Lunenfeld Research Institute of Mount Sinai Hospital in Toronto. Using the mouse genome, the research goal is to generate data, resources and technologies for genome-wide functional analysis and to establish phenotyping tools to exploit the mouse as a model for understanding and affecting human biology and disease.

Partners

DeltaBase subscribers include GlaxoSmithKline plc, Pfizer Inc., Lexicon Genetics Inc. and Vertex Pharmaceuticals Inc.

Secreted proteins: Eli Lilly and Co. and Hyseq Inc.

Corporate collaborations: Merck & Co. Inc.; Mt. Sinai Hospital, Toronto; Pfizer Inc.; Roche Bioscience Inc.; and Schering-Plough Research Institute.

In-licensing agreements: the University of Kentucky, the Salk Institute, the University of Edinburgh, Affymetrix Inc. and DuPont.