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J. Mark Braughler Joins Rheogene Inc. As Vice President Of Therapeutics

Will Lead RheoGene's Office of Clinical Applications in Pittsburgh

NORRISTOWN, Pa., May 25, 2004 RheoGene Inc. is pleased to announce that J. Mark Braughler, Ph.D., has joined its executive management team as vice president of therapeutics. Dr. Braughler will head RheoGene's Clinical Applications office and laboratory in Pittsburgh, where he will direct RheoGene's preclinical and clinical development programs and oversee RheoGene's academic and institutional research collaborations.

Dr. Braughler comes to RheoGene from Paradigm Genetics, Inc. (Research Triangle Park, N.C.) where he was vice president of business development - healthcare. Dr. Braughler joined Paradigm Genetics following its acquisition of TissueInformatics Inc. (Pittsburgh, Pa.), where he had served as senior vice president of business development and acting COO.

During his tenure at TissueInformatics, he established and guided research and commercial programs in the development of automated pathology software as well as drug target discovery in diabetes, obesity and aging that yielded a number of novel drug targets and several products. Prior to joining TissueInformatics, Dr. Braughler was CEO and President of Argonex Inc. (Charlottesville, Va.) where he was instrumental in the formation of RHeoGene LLC, a joint venture between Rohm and Haas Co. and Argonex Inc. that operated between 1999 and 2002, and was the predecessor company of RheoGene Inc. Prior to joining Argonex, he held several management positions at Pharmacia & Upjohn, including vice president of business development.

"Mark represents an important and valuable addition to the RheoGene team as we transition from a platform tools company to a broad-based human therapeutics company," stated Tom Tillett, president and CEO of RheoGene. "Mark brings not only pharmaceutical drug discovery and development expertise to RheoGene, but also extensive biotechnology business experience that will be critical to helping us translate the competitive advantages of our RheoSwitch technology into successful therapies for cell- and gene-based medicines."

Establishing a clinical laboratory in Pittsburgh will enable the company to work closely with its collaborators to more rapidly advance products based on its proprietary RheoSwitch and RheoPlex inducible gene regulation technology into preclinical and clinical testing.

"I am very pleased to be joining RheoGene and to have the opportunity to be affiliated with such a talented group of scientists and leaders," said Dr. Braughler. "RheoGene's breakthrough technology platform, comprehensive patent estate and impressive research progress over the past several years position the company for rapid progress in the therapeutic marketplace. The company's affiliation with the University of Pittsburgh Medical Center (UPMC) and my role in strengthening RheoGene's presence in Pittsburgh represents an excellent opportunity to continue to establish a successful biotechnology presence in the area with a national and international reach."

RheoGene has established a number of cell and gene therapy collaborations with researchers and clinicians at UPMC's McGowan Institute for Regenerative Medicine, the University of Pittsburgh Cancer Institute and the University of Pittsburgh. Overall, RheoGene has initiated over 20 therapeutic and disease collaborations at UPMC and other leading institutions in the areas of cancer, regenerative medicine, CNS and cardiovascular disorders and infectious diseases.

About RheoGene Inc.
RheoGene Inc. is the source of advanced products, applications and technologies that regulate gene expression for the development of safe and effective therapeutics. RheoGene delivers customized inducible gene expression products for pharmaceutical discovery, human therapeutics, biotherapeutics production and agriculture. RheoGene Inc. is a wholly owned subsidiary of RheoGene Holdings Inc., a wholly owned affiliate of the University of Pittsburgh Medical Center. The company's operations are located in Norristown, Pa. For more information, visit http://www.rheogene.com.

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