CombiMatrix Completes Milestone in Strategic Alliance with Roche

Business Wire, July 16, 2002

Business Editors & Health/Medical Writers

BIOWIRE2K

Acacia Research Corporation (Nasdaq:ACRI) announced today that its majority owned subsidiary, CombiMatrix, has completed a milestone in its strategic alliance with Roche Applied Science.

CombiMatrix's strategic alliance with Roche includes a collaboration for the development and commercialization of CombiMatrix's DNA microarray technology, enabling flexible and fast custom manufacturing of microarrays by electrochemical oligonucleotide synthesis in-situ. Under the terms of the agreement, Roche will market the hybridization-reader instrument, flexible custom content microarrays, and pre-designed "catalogue" content microarrays in combination with its own matching labeling and hybridization reagents as well as bioinformatic tools.

About CombiMatrix

CombiMatrix is developing a platform technology that has a wide range of applications, from DNA synthesis/diagnostics to immunochemical detection. The platform allows the company to rapidly produce customizable active biochips, which are semiconductor-based tools for use in identifying and determining the roles of genes, gene mutations and proteins. The company is designing its products principally to be responsive to the needs of pharmaceutical, biotechnology, and academic researchers in analyzing raw genomic and proteomic data in the discovery and development of pharmaceutical products. CombiMatrix's Web site is located at www.combimatrix.com.

About Acacia Research Corporation

Acacia Research develops, licenses and provides products for the life science and media technology sectors. Acacia licenses its V-chip technology to television manufacturers and owns pioneering technology for digital streaming and video-on-demand. Acacia's CombiMatrix subsidiary is developing a biochip technology for the life science market. Acacia Research's website is located at www.acaciaresearch.com.

About Roche

Headquartered in Basel, Switzerland, Roche is one of the world's leading research-oriented healthcare groups in the fields of pharmaceuticals, diagnostics and vitamins. Roche's products and services address prevention, diagnosis and treatment of diseases, thus enhancing well-being and quality of life. Roche's Diagnostics Division, the world leader in in vitro diagnostics with a uniquely broad product portfolio, supplies a wide array of innovative testing products and services to researchers, physicians, patients, hospitals and laboratories worldwide. Roche Applied Science, a business area of Roche Diagnostics, develops and markets components and reagents for the pharmaceuticals and diagnostics industries, new technologies for medical research and innovative products for use in biotechnology. For further information, please visit our websites www.roche.com and www.roche-diagnostics.com.

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This news release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements are based upon our current expectations and speak only as of the date hereof. Our actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties, including the recent economic slowdown affecting technology companies, our ability to successfully develop products, rapid technological change in our markets, changes in demand for our future products, legislative, regulatory and competitive developments and general economic conditions. Our Annual Report on Form 10-K, recent and forthcoming Quarterly Reports on Form 10-Q, recent Current Reports on Forms 8-K and 8-K/A, and other SEC filings discuss some of the important risk factors that may affect our business, results of operations and financial condition. We undertake no obligation to revise or update publicly any forward-looking statements for any reason.