ImmunoGen, Inc. Reports First Quarter Fiscal Year 2013 Financial Results and Provides Quarterly Update

  ImmunoGen, Inc. Reports First Quarter Fiscal Year 2013 Financial Results and
  Provides Quarterly Update

  *Marketing applications submitted for trastuzumab emtansine (T-DM1) in the
    US and Europe.
  *Meaningful clinical data expected to be reported in coming year – for
    ImmunoGen compounds, T-DM1, and other partner compounds.
  *ImmunoGen well positioned to advance its wholly owned compounds at least
    through proof-of-concept.

Business Wire

WALTHAM, Mass. -- October 26, 2012

ImmunoGen, Inc. (Nasdaq: IMGN), a biopharmaceutical company that develops
anticancer products using its Targeted Antibody Payload (TAP) technology and
antibody expertise, today reported financial results for the three-month
period ended September 30, 2012 – the first quarter of the Company’s 2013
fiscal year – and provided an update on the Company.

“In the past few months, the results from the T-DM1 Phase III EMILIA trial
have been used as the basis for Roche’s marketing submissions, reported in
oral presentations at ASCO and ESMO, and published in the New England Journal
of Medicine,” commented Daniel Junius, President and CEO. “Roche has continued
to expand the potential commercial opportunity for T-DM1, into earlier stages
of HER2+ breast cancer and now also into HER2+ gastric cancer. We believe
T-DM1 has the potential to rapidly become a highly successful product that
makes a real difference for appropriate patients.”

Mr. Junius continued, “Many other, earlier stage TAP compounds are also making
meaningful progress. Of particular importance, we now have three wholly owned
TAP compounds in clinical testing, and expect to submit an IND for our fourth
by mid-2013. We believe the potential value of these TAP compounds will become
more apparent over the course of 2013.”

Product Pipeline Update

  *T-DM1, in global development by Roche:

       *Marketing applications submitted for lead indication – In August,
         Roche applied for marketing approval in the US and Europe of T-DM1
         for the treatment of HER2+ metastatic breast cancer (BC) in patients
         who had previously received Herceptin®. T-DM1 was found to
         significantly improve both overall survival and progression-free
         survival compared to standard-of-care in the EMILIA Phase III trial
         and was associated with fewer Grade 3 or greater (severe) adverse
         events.
       *Progress in Phase III trial, MARIANNE, for first-line treatment of
         HER2+ metastatic BC – Patient enrollment was completed this spring,
         and Roche now expects data from this trial in late 2013/early 2014,
         which is earlier than originally projected.
       *Registration trials in early stage HER2+ BC on track to start in 2013
         – Roche plans to evaluate T-DM1 for neoadjuvant use, for adjuvant use
         and for treatment of residual invasive disease following surgery.
       *Assessment for metastatic HER2+ gastric cancer underway – Roche has
         initiated a trial assessing T-DM1 for second-line treatment of this
         disease and expects to apply for marketing approval for this use in
         2015.

  *IMGN901, ImmunoGen’s lead wholly owned compound:

       *Patient enrollment progressing in NORTH trial –Thirty-three sites
         across four countries are now participating in this randomized Phase
         II trial assessing IMGN901 as part of a combination regimen for
         first-line treatment of small-cell lung cancer. The Company expects
         to report the first findings from this Phase II assessment in the
         second half of 2013. Findings from its dose-finding Phase I
         assessment were reported at medical meetings in September and
         October.
       *Multiple myeloma data to be presented at American Society of
         Hematology (ASH) annual meeting– Data from the PhaseI trial
         assessing IMGN901 as part of a combination regimen for this cancer
         will be reported in an oral presentation at the ASH annual meeting in
         December.

  *IMGN853, ImmunoGen’s wholly owned folate receptor α (FOLR)-targeting TAP
    compound:

       *Patient enrollment in the Phase I trial is underway at several sites
         in the US.
       *ImmunoGen expects to report the first clinical data with IMGN853 in
         2013.

  *IMGN529, ImmunoGen’s wholly owned TAP compound for non-Hodgkin’s lymphoma:

       *The study protocol was successfully amended to allow use of
         single-patient cohorts during dose escalation.
       *Patient enrollment is underway at an expanding number of clinical
         centers.
       *ImmunoGen expects to report the first clinical data with IMGN529 in
         2013.

  *Other clinical-stage compounds – In addition to T-DM1, seven other
    compounds are in clinical testing through ImmunoGen’s collaborative
    partnerships.

       *The Company expects clinical data to be reported for most, if not
         all, of these compounds in 2013.

Financial Results and Guidance

ImmunoGen reported a net loss of $25.2 million, or $0.30 per basic and diluted
share, for the quarter ending September 30, 2012 (1Q FY2013), as compared to a
net loss of $19.5 million, or $0.26 per basic and diluted share, for the same
quarter of the last year (1Q FY2012).

Revenues were $4.1 million for 1Q FY2013, as compared to $2.5 million for the
same period last year. Revenues in 1Q FY2013 include $1.4 million of research
and development support fees and $0.9 million of license and milestone fees,
compared to $1.1 million and $1.2 million respectively, for the same quarter
last year. Revenues in 1Q FY2013 also include $1.8 million of clinical
material reimbursement, compared to $0.3 million for 1Q FY2012. The difference
in clinical material reimbursement from the prior year period is primarily due
to variability in the number of batches released to partners on a
quarter-by-quarter basis.

Operating expenses for 1Q FY2013 were $29.3 million, compared to $22.0 million
in the same quarter last year. Operating expenses in 1Q FY2013 include
research and development expenses of $23.7 million, compared to $17.2 million
in 1Q FY2012. This increase is primarily due to greater investment by the
Company in aggressively advancing its wholly owned product candidates. It
includes increased third-party costs to produce finished drug product for
clinical use, increased personnel expenses, particularly stock compensation
expense, and increased clinical trial costs. Operating expenses also include
general and administrative expenses of $5.6million in 1Q FY2013, compared to
$4.8 million in 1Q FY2012. This increase is primarily due to increased
personnel expenses, particularly stock compensation expense, and increased
patent expenses.

ImmunoGen had approximately $233.6 million in cash and cash equivalents as of
September 30, 2012 – inclusive of $94 million in net proceeds from the
Company’s public stock offering in July 2012 – compared with $160.9 million as
of June 30, 2012, and had no debt outstanding in either period. Cash used in
operations was $21.0 million in 1Q FY2013, compared with $11.6million in 1Q
FY2012. Capital expenditures were $1.0 million and $0.6 million for the first
three months of FY2013 and FY2012, respectively.

ImmunoGen’s financial guidance remains unchanged from that issued in August
2012. ImmunoGen expects its net loss for its fiscal year ending June 30, 2013
to be between $70million to $74 million, its net cash used in operations to
be between $78 million to $82million, and its capital expenditures to be
between $4 million to $5 million. Cash and cash equivalents at June 30, 2013
are anticipated to be between $172 million to $176 million.

“We believe that approval and launch of T-DM1 will begin a new era in the
treatment of HER2+ cancer,” commented Gregory Perry, Executive Vice President
and CFO. “It also will result in ImmunoGen starting to receive royalty
revenue. We anticipate our current cash position, combined with the inflow of
cash expected to be received from this and other of our partnerships, provides
us with the financial resources needed to successfully advance our wholly
owned products to proof-of-concept, at which point we have a number of
development options.”

Conference Call Information

ImmunoGen is holding a conference call today at 8:00 am ET to discuss the
quarterly results. To access the live call by phone, dial 913-312-1472.
Passcode is 4483380. The call also may be accessed through the Investor
Information section of the Company's website, www.immunogen.com. Following the
live webcast, a replay of the call will be available at the same location
through November 9, 2012.

About ImmunoGen, Inc.

ImmunoGen, Inc. develops targeted anticancer therapeutics using the Company's
expertise in tumor biology, monoclonal antibodies, potent cancer-cell killing
agents and engineered linkers. The Company's TAP technology uses monoclonal
antibodies to deliver one of ImmunoGen's proprietary cancer-killing agents
specifically to tumor cells. There are now ten TAP compounds in clinical
development, of which three are wholly owned by the Company. Marketing
applications for trastuzumab emtansine (T-DM1), the most advanced compound
using ImmunoGen's TAP technology, have been submitted in the US and Europe.
Roche is developing this compound globally under an agreement between
ImmunoGen and Genentech, a member of the Roche Group. More information about
ImmunoGen can be found at www.immunogen.com.

Herceptin® is a registered trademark of Genentech.

This press release includes forward-looking statements based on management's
current expectations. These statements include, but are not limited to,
ImmunoGen's expectations related to: the Company's net loss, cash used in
operations and capital expenditures in its 2013 fiscal year; its cash and
marketable securities as of June 30, 2013; the occurrence, timing and outcome
of potential pre-clinical, clinical and regulatory events related to the
Company's and its collaboration partners' product programs; and the
presentation of preclinical and clinical data on the Company’s and
collaboration partners’ product candidates. For these statements, ImmunoGen
claims the protection of the safe harbor for forward-looking statements
provided by the Private Securities Litigation Reform Act of 1995. Various
factors could cause ImmunoGen's actual results to differ materially from those
discussed or implied in the forward-looking statements, and you are cautioned
not to place undue reliance on these forward-looking statements, which are
current only as of the date of this release. Factors that could cause future
results to differ materially from such expectations include, but are not
limited to: the timing and outcome of ImmunoGen's and the Company's
collaboration partners' research and clinical development processes; the
difficulties inherent in the development of novel pharmaceuticals, including
uncertainties as to the timing, expense and results of preclinical studies,
clinical trials and regulatory processes; ImmunoGen's ability to financially
support its product programs; ImmunoGen's dependence on collaborative
partners; industry merger and acquisition activity; and other factors more
fully described in ImmunoGen's Annual Report on Form 10-K for the fiscal year
ended June 30, 2012 and other reports filed with the Securities and Exchange
Commission.



IMMUNOGEN, INC.
SELECTED FINANCIAL INFORMATION
(in thousands, except per share amounts)

CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)

                                               September 30,   June 30,
                                                  2012              2012
ASSETS
                                                                      
Cash and cash equivalents                         $   233,614       $ 160,938
Other assets                                         19,054         19,370
                                                                      
Total assets                                      $   252,668       $ 180,308
                                                                      
LIABILITIES AND SHAREHOLDERS' EQUITY
                                                                      
Current liabilities                               $   15,428        $ 16,254
Long-term portion of deferred revenue and             79,928          80,164
other long-term liabilities
Shareholders' equity                                 157,312        83,890
                                                                      
Total liabilities and shareholders' equity        $   252,668       $ 180,308
                                                                      
                                                                      
                                                                      
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
                                                  Three Months Ended
                                                  September 30,
                                                     2012          2011
                                                                      
Revenues:
Research and development support                  $   1,377         $ 1,068
License and milestone fees                            933             1,187
Clinical materials reimbursement                     1,781          281
                                                                      
                                                                      
Total revenues                                       4,091          2,536
                                                                      
Expenses:
Research and development                              23,700          17,161
General and administrative                           5,639          4,841
                                                                      
Total operating expenses                             29,339         22,002
                                                                      
Loss from operations                                  (25,248)        (19,466)
                                                                      
Other income (expense), net                          56             (17)
                                                                      
                                                                      
Net loss                                          $   (25,192)      $ (19,483)
                                                                      
Net loss per common share, basic and              $   (0.30)        $ (0.26)
diluted
                                                                      
                                                                      
Weighted average common shares outstanding,          83,350         76,364
basic and diluted

Contact:

For Investors:
ImmunoGen, Inc.
Carol Hausner, 781-895-0600
Executive Director, Investor Relations and Corporate Communications
info@immunogen.com
or
For Media:
The Yates Network
Barbara Yates, 781-258-6153
 
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