Press Release Details

Correlogic Systems Licenses Ovarian Cancer Diagnostic Test to Quest Diagnostics and LabCorp(R)


BETHESDA, Md., Nov. 6 /PRNewswire/ -- Correlogic Systems, Inc., a leading bio IT company, today announced that it has signed licensing agreements with Quest Diagnostics Incorporated (NYSE: DGX and Laboratory Corporation of America® Holdings (LabCorp®) (NYSE: LH) for the commercialization of Correlogic's ovarian cancer protein pattern blood test. Quest Diagnostics and LabCorp are the only two companies licensed by Correlogic. Under the terms of the agreement, Correlogic will receive signing, milestone and per test royalty or service fees, as well as development fees for additional refinements to the technology. Additional terms were not disclosed

"The difficulty of securing an early, accurate diagnosis has been one of the biggest obstacles to the successful treatment of ovarian cancer," said Peter J. Levine, President and CEO of Correlogic. "Everyone involved in this effort has a common goal -- saving lives. Our partnerships with Quest Diagnostics and LabCorp mark an important milestone toward this goal, moving breakthrough technology from the research stage to widespread public availability."

Correlogic's protein pattern blood test offers the prospect of accurate and early detection of ovarian cancer. In published research* on a population of women who were at high risk for ovarian cancer, the test identified 100 percent of all ovarian cancers, including stage one ovarian cancer -- the earliest and most curable stage.

The partnership with the nation's two premier clinical diagnostic labs combines Correlogic's breakthrough technology with the proven expertise of LabCorp and Quest Diagnostics in introducing and performing large-scale sophisticated diagnostic testing. Together the three companies are positioned to make the potentially lifesaving ovarian cancer test available to women across North America.

"We look forward to working with Correlogic to bring this potentially life-saving technology to women at risk for ovarian cancer and their physicians," said Joyce G. Schwartz, M.D., Vice President and Chief Laboratory Officer for Quest Diagnostics.

"The acquisition of this technology is very much in keeping with our overall strategy of seeking out the latest genomic and proteomic advances in the field of diagnostics," said Myla P. Lai-Goldman, M.D., LabCorp's Executive Vice President, Chief Scientific Officer and Medical Director. "An accurate, specific test for the early detection of ovarian cancer is currently a very significant unmet medical need."

Correlogic is collaborating with the Food and Drug Administration (FDA)/National Cancer Institute (NCI) Clinical Proteomics Program to apply its proprietary early detection technology to ovarian cancer diagnosis. NCI- sponsored clinical trials are scheduled to begin in April 2003. Once the clinical trials are complete, the test will be submitted to the FDA for approval for patient use. This same technology was recently shown to have potential use in the early detection of prostate cancer.

Ovarian cancer is the most deadly of gynecological cancers. It is also one of the most curable -- if detected at its earliest stage. Currently, however, two-thirds of women diagnosed with ovarian cancer are diagnosed in the later stages because no effective test exists for the early detection of ovarian cancer. There will be an estimated 23,300 new cases of ovarian cancer in the U.S. in 2002, and approximately 14,000 women are expected to die of the disease.

About Quest Diagnostics

Quest Diagnostics Incorporated is the nation's leading provider of diagnostic testing, information and services, providing insights that enable physicians, hospitals, managed care organizations and other healthcare professionals to make decisions to improve health. The company offers patients and physicians the broadest access to diagnostic laboratory services through its national network of laboratories and patient service centers. Quest Diagnostics is the leading provider of esoteric testing, including gene-based medical testing, and empowers healthcare organizations and clinicians with state-of-the-art connectivity solutions that improve practice management. Additional company information can be found on the Internet at: .

About LabCorp

The first national clinical laboratory to fully embrace genomic testing, Laboratory Corporation of America® Holdings (LabCorp®) has been a pioneer in commercializing new diagnostic technologies. As a national laboratory with annual revenues of $2.2 billion in 2001 and over 25,000 employees, the Company offers more than 4,000 clinical tests ranging from routine analyses to sophisticated molecular diagnostics. Serving over 200,000 clients in North America, LabCorp combines its expertise in innovative clinical testing technology with its Centers of Excellence, offering specialty testing and state-of-the-art molecular gene-based testing in infectious disease, oncology and genetics. ( .)

About Correlogic Systems

Correlogic Systems, Inc., headquartered in Bethesda, Maryland, is a bio IT company engaged in the development of bioinformatic tools and processes for proteomic and genomic-based clinical diagnostic systems and new drug discovery. Correlogic, the FDA and the NCI have entered into a Cooperative Research and Development Agreement to explore the application of Correlogic's process and technology to the detection of other cancers. Correlogic is also working with other research institutions to explore the applicability of its process and technology to non-cancer disease states. ( .)

Cautionary Statement: Certain statements contained in this release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results could differ materially due to, among other things, operational and other difficulties associated with integrating acquired business, general business conditions, competition among managed care companies, rising health care costs, trends in medical loss ratios, health care reform, delay in receipt of regulatory and other approvals for pending transactions and other regulatory issues.

*The Lancet, Volume 359, Number 9306, February 16, 2002.