Genetic Technologies Limited (ASX: GTG; NASDAQ: GENE) has made a commercial decision to enforce the rights granted to it under an exclusive license from Myriad Genetics Inc. to use Myriad’s patents to perform diagnostic testing of the BRCA1 and BRCA2 genes in Australia and New Zealand.
In October 2002, Genetic Technologies Limited (“Genetic Technologies”) secured an exclusive license from Myriad Genetics to perform diagnostic testing in Australia and New Zealand of the BRCA1 and BRCA2 genes, variations of which are known to predispose individuals to hereditary breast and ovarian cancer. In May 2003, Genetic Technologies publicly announced that it would not enforce its right to prevent other service providers from performing BRCA testing in those jurisdictions.

Since then, Genetic Technologies has continued to pay ongoing fees to Myriad Genetics in respect of the BRCA license and has also invested several million dollars in establishing a world-class, rapid, high-throughput, NATA/RCPA accredited molecular diagnostic laboratory. This has enabled us to offer a premium service in terms of quality, turnaround time and efficiency in the delivery of BRCA testing to our familial cancer clinic customers.

Over the last two years, Genetic Technologies has consistently delivered test results within an eight week turnaround time. This is consistent with the expectations specified in the June 2003 White Paper, Our Inheritance, Our Future – Realising the Potential of Genetics in the NHS, presented to the Parliament of England by the Secretary of State for Health – an initiative that was driven by a $37 million investment by the English Government in laboratory infrastructure. Today, Genetic Technologies is delivering a turnaround time of just four weeks, in stark contrast to certain other laboratories that, according to the Human Genetics Society of Australasia’s 2006 Quality Assessment Program for Molecular Genetics, had an average turnaround time of up to 11 months. It is our view that the provision of rapid, high quality DNA test results plays an important part in the enhancement of patient care and assists the healthcare sector to deliver cost effective clinical management.

Given that Genetic Technologies now offers an excellent service and has considerable excess capacity, the Company has made a commercial decision to enforce the exclusive rights granted to it by Myriad Genetics to perform diagnostic testing of the BRCA1 and BRCA2 genes in Australia and New Zealand. Going forward, the Company hopes to engage with the relevant stakeholders to affect a smooth transition that ensures patient needs are met and ultimately enhanced.