Dynavax Reports Fourth Quarter and Year End 2011 Financial Results

BERKELEY, CA--(Marketwire - Mar 6, 2012) - Dynavax Technologies Corporation (NASDAQ: DVAX) today reported financial results for the fourth quarter and year ended December 31, 2011.

Dynavax reported $114 million in cash, cash equivalents and marketable securities, cumulatively referred to as total cash, at December 31, 2011. This compared to $72.2 million at December 31, 2010. Total cash at the end of 2011 included $64.5 million in net proceeds from a public offering completed in November 2011. Subsequent to the year end, the Company received $8.6 million in milestone payments from its collaboration partners, GlaxoSmithKline and AstraZeneca.

Total revenues were $11.4 million for the fourth quarter 2011, compared to $1.8 million for the fourth quarter 2010. Total revenues were $21.6 million for the year ended December 31, 2011, compared to $24.0 million for the same period of 2010. The increase in total revenues for the fourth quarter resulted from milestones achieved under the Company's partnered development programs. The decline in total revenues for the year was primarily due to the recognition during 2010 of deferred revenue.

Total operating expenses were $16.2 million for the fourth quarter 2011, compared to $17.4 million for the fourth quarter 2010. Total operating expenses were $69.2 million for the year ended December 31, 2011, compared to $71.5 million for the same period of 2010. The decrease in total operating expenses for the fourth quarter and full year was primarily related to lower clinical trial expenses for HEPLISAV™ following the completion of a pivotal phase 3 study.

About HEPLISAV

HEPLISAV is an investigational adult hepatitis B vaccine. In Phase 3 trials, HEPLISAV demonstrated higher and earlier protection with fewer doses than currently licensed vaccines. Dynavax has worldwide commercial rights to HEPLISAV. HEPLISAV combines hepatitis B surface antigen with a proprietary Toll-like Receptor 9 agonist to enhance the immune response.

About Dynavax

Dynavax Technologies Corporation, a clinical-stage biopharmaceutical company, discovers and develops novel products to prevent and treat infectious and inflammatory diseases. The Company's lead product candidate is HEPLISAV, a Phase 3 investigational adult hepatitis B vaccine designed to provide higher and earlier protection with fewer doses than currently licensed vaccines. For more information visit www.dynavax.com.

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DYNAVAX TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
			Three Months Ended December 31,								Years Ended December 31,
			2011				2010				2011				2010
Revenues:
	Collaboration revenue		$	10,092			$	371			$	17,190			$	19,535
	Grant revenue			673				1,243				3,110				3,940
	Service and license revenue			662				152				1,314				475
Total revenues				11,427				1,766				21,614				23,950
Operating expenses:
	Research and development			11,616				12,951				51,322				53,680
	General and administrative			4,545				4,185				17,570				16,879
	Amortization of intangible assets			-				245				299				980
Total operating expenses				16,161				17,381				69,191				71,539
Loss from operations				(4,734	)			(15,615	)			(47,577	)			(47,589	)
Interest income				29				32				103				85
Interest expense				(495	)			(425	)			(1,957	)			(1,654	)
Other income (expense)				933				886				834				(8,150	)
Net loss			$	(4,267	)		$	(15,122	)		$	(48,597	)		$	(57,308	)
Basic and diluted net loss per share			$	(0.03	)		$	(0.14	)		$	(0.39	)		$	(0.69	)
Shares used to compute basic and diluted net loss per share				142,482				106,035				125,101				82,463

DYNAVAX TECHNOLOGIES CORPORATION
SELECTED CONSOLIDATED BALANCE SHEET DATA
(In thousands)
(Unaudited)
			December 31,			December 31,
			2011			2010
Assets
	Cash, cash equivalents and marketable securities		$	113,961		$	72,154
	Property and equipment, net			6,163			6,404
	Goodwill			2,312			2,312
	Other intangible assets, net			-			299
	Other assets			11,666			3,080
Total assets			$	134,102		$	84,249
Liabilities and stockholders'equity
	Accounts payable		$	2,040		$	2,329
	Accrued and other liabilities			8,776			10,943
	Current portion of deferred revenue			4,210			1,429
	Noncurrent portion of deferred revenue			6,386			5,655
	Note payable to Holdings			12,810			10,939
	Long-term contingent liability to Holdings			-			843
	Stockholders' equity			99,880			52,111
Total liabilities and stockholders' equity			$	134,102		$	84,249