Takara Bio Inc. (President and CEO: Ikunoshin Kato, Ph.D.) and the Mie University (President: Nagayasu Toyoda) have entered into an agreement to establish an endowed chair in order to promote clinical development of T-cell receptor (TCR) gene therapy targeting lung, esophageal head and neck cancers and other refractory cancers.
In this TCR gene therapy, after the patient's peripheral blood lymphocytes (PBL) or tumor-infiltrating lymphocytes (TIL) are collected, T-cell receptor genes which specifically recognize cancer antigens expressing on the surface of patient's tumor cells are transduced to the lymphocytes using RetroNectin^®. Then, the gene transduced lymphocytes are reinfused into the patients after culturing on a large scale. The gene transduced lymphocytes express the T-cell receptors(TCR) on the surface and those receptors recognize the antigens expressed on the surface of tumor cells. Therefore, the gene transduced lymphocytes are specifically capable of identifying tumor cells and eliminating them. In order to modify the patient's lymphocytes, Takara Bio will install a cell processing center in the Mie University Hospital.
Clinical trials using this new TCR gene therapy are being conducted targeting metastatic malignant melanoma by a group headed by Dr. Steven A. Rosenberg in National Cancer Institure in the U.S.A. In these clinical trials, Takara Bio's RetroNectin method is also used.

TCR gene therapy requires close collaboration between medical group and genetic engineering research group. Since Professor Hiroshi Shiku in Mie University School of Medicine, who is leading the clinical trial, is a foremost scientist in the field of cancer immunotherapy in Japan, and Takara Bio holds cutting-edge genetic engineering capability which is applicable to gene therapy, this collaboration is expected to make great strides forward in the fields of intractable diseases.

<Outline of Sponsored Program>
(1) Name: Gene & Immunocyte Therapy
(2) Time Frame: April 2005 to March 2010.
(3) Takara Sponsored Grant: 300 million yen (60 million yen×5 years)

About Takara Bio Inc.
Takara Bio Inc. is an innovative biotechnology company based in Shiga, Japan. As a world leader in biotechnology research and development, Takara Bio was the first company to market PCR technology in Japan and is also the developer of the RetroNectin^® reagent, which is a world-standard in gene therapy protocols. In addition to providing research reagents and equipment to the life science research market, Takara Bio has active research and product development activities in the fields of gene and cell-based therapy, and agricultural biotechnology; and is committed preventing disease and improving the quality of life for all people through the use of biotechnology. Through strategic alliances with other industry leaders, the Company aims to extend its reach around the world. More information is available at http://www.takara-bio.com.

For more information:
Corporate Communications
Takara Bio Inc.
E-mail: bio-ir@takara-bio.co.jp

This article is translated from press release in Japanese for your convenience.

Forward-Looking Statements
Statements in this news release, other than those based on historical fact, concerning the current plans, prospects, strategies and expectations of the Company and its Group represent forecasts of future results. While such statements are based on the conclusions of management according to information available at the time of writing, they reflect many assumptions and opinions derived from information that includes major risks and uncertainties. Actual results may vary significantly from these forecasts due to various factors. Factors that could influence actual results include, but are not limited to, economic conditions, especially trends in consumer spending, as well as exchange rate fluctuations, changes in laws and government systems, pressure from competitors' prices and product strategies, decline in selling power of the Company's existing and new products, disruptions to production, violations of our intellectual property rights, rapid advances in technology and unfavorable verdicts in major litigation.