PRESS RELEASE - December 10, 2002

Lynx and Molecular Engines Laboratories Announce Publication of Results from Gene Expression Analyses in Biological Models for Tumor Reversion :

CONTACT:

Molecular Engines Laboratories SA
Robert AMSON
Tel: 33 1 44 64 04 64 Fax: 33 1 44 64 04 65
Email: ramson@molecular-engines.com

HAYWARD, CALIFORNIA, and PARIS, FRANCE - December 10, 2002
Lynx Therapeutics, Inc. (Nasdaq: LYNX) and Molecular Engines Laboratories S.A. (MEL) Paris, France, announced today the publication of a comprehensive study led by scientists at MEL on tumor reversion and the genes associated with this process. The article, which appeared in the November 12, 2002 issue of the Proceedings of the National Academy of Sciences (PNAS), USA, discloses key genes that allow a cancer cell to quit its malignant state and lose its aggressive phenotype. The article describes some of the fundamental advances made by Drs. Adam Telerman and Robert Amson, founders and chief scientists of MEL, in understanding the process of tumor reversion. Lynx’s MPSS™ and Megasort™ gene expression profiling technologies were used to identify the genes associated with tumor reversion from human leukemia and breast cancer cell lines.

The study was conducted under the research collaboration between Lynx and MEL to identify differentially expressed genes associated with tumor reversion through the application of Lynx’s technologies for massively parallel DNA sequencing and differential gene expression analysis, which were initially conceived by Dr. Sydney Brenner, a recipient of The Nobel Prize in Physiology or Medicine for 2002. The two companies believe elucidation of these differentially expressed genes could lead to the development of research, diagnostic and therapeutic products or services in the cancer field. Under the terms of the agreement, Lynx receives payments from MEL for genomic discovery services performed by Lynx. Lynx will receive royalty payments from the commercialization of any products or services stemming from the scientific results of the research program.

We are starting to have better insight into tumor reversion at the molecular level and into some of the genes that play a key role in this process,” said Drs. Telerman and Amson of MEL. “We are pursuing our research and drug development programs and intend to continue our fruitful collaboration with Lynx.”

"We believe that MEL’s use of MPSS™ in its tumor reversion model is an extremely powerful approach to finding new routes to treat cancer,” said Dr. Thomas Vasicek, Lynx’s Vice President, Business Development. “Comprehensive expression profiling with MPSS™ in the context of these significant tumor reversion models may create tremendous opportunities to break new ground in cancer research.”

Tumor reversion occurs rarely, when some cancer cells lose their malignant potential. The new biological models developed by MEL, involving leukemia and breast cancer, allow MEL to isolate and analyze this rare event at the molecular level. While conventional anti-cancer approaches focus on targeting malignant cells for destruction, MEL's tumor reversion method seeks to “reprogram” cancerous cells towards a suppressed-malignant state. Tumor reversion offers a new strategy in cancer intervention. The understanding of the genetic and molecular components underlying tumor reversion should provide unexpected insights into developing a new generation of therapeutic agents.

About MEL
MEL is a private biotechnology company whose purpose is to develop novel therapeutics for cancer. The strategy of MEL, as conceived by Drs. Adam Telerman and Robert Amson, is to characterize most of the genes associated with tumor reversion and to understand their mechanisms in order to induce the reversion of malignant cells to suppressed-malignant cells. For more than twenty years, numerous academic institutions and a plethora of pharmaceutical companies have been working intensively in trying to understand how normal cells become malignant. The team at MEL is taking a novel approach toward cancer research by focusing instead on how malignant cells revert to suppressed-malignant cells. For more information, visit MEL’s web site at www.molecular-engines.com.

About Lynx
Lynx is a leader in the development and application of novel genomics analysis solutions for the discovery of gene sequence and expression information important to the pharmaceutical, biotechnology and agricultural industries. These solutions are based on Megaclone™ and MPSS™, Lynx's unique and proprietary cloning and sequencing technologies. Megaclone™ transforms a sample containing millions of DNA molecules into one made up of millions of micro-beads, each of which carries approximately 100,000 copies of one of the DNA molecules in the sample. MPSS™ rapidly identifies the DNA sequence of the molecules on each bead in a parallel process. In the context of expression profiling, Megaclone™ and MPSS™ together are used to essentially clone and sequence a portion of each mRNA expressed in a sample of cells or tissue. These technologies provide comprehensive and quantitative digital gene expression data important to modern systems biology research. Lynx is also developing a proteomics technology, Protein ProFiler™, an automated 2-D gel electrophoresis system, which is expected to permit high-resolution analysis of complex mixtures of proteins from cells or tissues. For more information, visit Lynx's web site at www.lynxgen.com

This press release contains "forward-looking" statements, including statements related to the identification of differentially expressed genes and the potential success of collaboration arrangements, the addition of new collaborations and agreements, Lynx’s performance of its genomics discovery services for current and future customers and collaborators and the expansion of Lynx’s commercial applications of its technologies. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Words such as "believes," "anticipates," "plans," "predicts," "expects," "hopes," "estimates," "intends," "will," "continue," "may," "potential," "should," "confident" and similar expressions are intended to identify forward-looking statements. There are a number of important factors that could cause the results of Lynx to differ materially from those indicated by these forward-looking statements, including, among others, risks detailed from time to time in Lynx's SEC reports, including its Annual Report on Form 10-K for the year ended December 31, 2001. Lynx does not undertake any obligation to update forward-looking statements.