Transgenomic awarded $1,070,453 grant under Patient Protection and Affordable Care Act

Nov 12 2010

Transgenomic, Inc. (OTC Bulletin Board: TBIO) today announced that it has been awarded a research and development grant totaling $1,070,453.32 from the U.S. government under HR: 3590 – Patient Protection and Affordable Care Act (the "Act") in immediately available funds. This is among the largest awards for any one company under the Act. Four of the Company's R&D programs received the highest maximum allowable award of $244,479.25 each, including COLD-PCR, the company's ultra-high mutation detection technology, Surveyor SCAN kit development for key cancer pathway gene mutations and mtDNA Damage Assays.

Under the Act, $1 billion was earmarked for qualifying therapeutic discovery projects that treat areas of unmet medical need or prevent, detect or treat chronic or acute diseases and conditions, and/or reduce the long-term growth of healthcare costs in the United States.  In addition, allocation of the credit took into consideration which projects show the greatest potential to create and sustain high-quality, high-paying U.S. jobs and to advance U.S. competitiveness in life, biological and medical sciences.  Applicants were required to submit detailed information demonstrating that their research conformed to the parameters of the Act, along with a summary of qualifying expenditures that formed the basis for the award.  The award of $1,070,453 represents a pro rata reduction applied to all applicants, as the program was significantly over-subscribed.

Craig Tuttle, president and chief executive officer of Transgenomic said, "We were particularly pleased that our work with COLD-PCR, an extremely sensitive method for detecting genetic mutations with, was recognized as being worthy of this development award as we see significant promise in applying COLD-PCR to the early detection of circulating DNA mutations in cancer and other diseases. In addition, the fact that five of our programs received awards demonstrates the breadth of our research and development pursuits."

SOURCE Transgenomic, Inc.