CONCORD, Calif. -- Cerus Corporation (NASDAQ:CERS) today announced that, along with subsidiaries of Baxter International Inc., it has signed a letter of intent with BioOne Corporation for commercialization of the INTERCEPT Blood System for plasma in parts of Asia. Cerus received an up-front payment of $3 million in connection with the signing of the letter of intent. The companies are proceeding with negotiations to enter into a definitive agreement. Cerus' right to retain the up-front payment is not contingent upon completion of the definitive agreement.

In 2004, BioOne entered an agreement with Cerus and subsidiaries of Baxter International Inc. for commercialization of the INTERCEPT Blood System for platelets in Japan, China, Taiwan, South Korea, Thailand, Vietnam and Singapore. If completed, the new agreement is expected to allow BioOne to offer both pathogen inactivated platelet and plasma products in these regions, following each country's product approvals.

About Cerus

Cerus Corporation is developing novel technologies to provide safer and more effective therapeutic options to patients in areas with substantial unmet medical needs, particularly within the fields of cancer, infectious disease and blood safety. The Concord, California-based company is combining its proprietary vector technologies with public domain and proprietary antigens to develop new therapies for cancer and infectious disease. Cerus has two therapeutic cancer vaccine products in development using its Listeria vector technology, one in collaboration with MedImmune, Inc. and the other with Johns Hopkins University. Cerus is also collaborating with subsidiaries of Baxter International Inc. on the INTERCEPT Blood System, which is designed to enhance the safety of donated blood components by inactivating viruses, bacteria and other pathogens. The INTERCEPT Blood System is based on the company's Helinx technology for controlling biological replication. The INTERCEPT Blood System for platelets is approved for use in the European Union and Canada.

Helinx is a trademark of Cerus Corporation

Baxter and INTERCEPT are trademarks of Baxter International Inc.

Statements in this news release regarding the company's relationship with BioOne Corporation and the letter of intent, including the negotiation of a definitive agreement, fulfillment of contractual commitments and the potential outcome of the collaboration, as well as statements concerning potential regulatory approvals, product development and commercialization and the company's relationship with subsidiaries of Baxter International Inc. are forward-looking statements that involve risks and uncertainties. Actual results could differ materially from the above forward-looking statements as a result of certain factors, including the risks and uncertainties inherent in developing biotechnology products based on new technologies, the limited resources and operating history of BioOne Corporation, the timing and results of clinical trials and other development activities, the acceptability of any data by regulatory authorities, actions by regulatory authorities at any stage of the development process, manufacturing capabilities, market acceptance of any products, competitive conditions, our reliance on our relationship with subsidiaries of Baxter International Inc. and other factors discussed in the company's Form 10-Q for the third quarter of fiscal 2004, as well as in other reports filed from time to time with the Securities and Exchange Commission. The company assumes no obligation to update any forward-looking statements.