Genzyme Molecular Oncology Reports First Quarter Financial Results.

FRAMINGHAM, Mass., April 19 /PRNewswire/ --

Genzyme Molecular Oncology (Nasdaq: GZMO) today reported that total revenues for the first quarter of 2000 were $2.6 million, as compared to $1.6 million in the first quarter of 1999. This revenue includes a product development milestone payment from Schering-Plough Corporation and SAGE(TM) revenues recognized in the first quarter.

Genzyme Molecular Oncology licensed its rights to the p53 gene to Schering-Plough for use in gene therapy in October 1998. Under the terms of this agreement, Genzyme Molecular Oncology could receive more than $30 million in additional milestone payments as well as royalties on the commercialization of a p53 gene therapy product. The first quarter milestone was triggered by Schering-Plough advancing the p53 tumor suppressor gene in ovarian cancer clinical trials.

Net loss for the quarter was $5.1 million, or $0.37 per share, compared to a net loss of $7.1 million, or $0.56 per share, for the first quarter of 1999.

Expenditures on research and development for the first quarter of 2000 were $4.1 million, a slight increase from $3.9 million in the first quarter of 1999.

"We are very excited about the progress of our immunotherapy program as we expect to initiate five new immunotherapy clinical trials in 2000," said Gail Maderis, president, Genzyme Molecular Oncology. "We anticipate increases in…