CombiMatrix Initiates Animal Studies on Therapeutic Compound to Treat Exposure to Terror Weapons.

NEWPORT BEACH, Calif. -- Acacia Research Corporation (NASDAQ:CBMX) (NASDAQ:ACTG) announced today that its CombiMatrix group has moved KM-668, the lead compound in its KM family of therapeutics, into pre-clinical development and animal testing.

The KM family of compounds is part of CombiMatrix's new internal program to develop therapeutics for exposure to terror weapons. As a subset of that program, KM-668 is designed as a treatment for exposure to radiological weapons.

Radiological weapons include nuclear weapons (and associated fallout) as well as dirty bombs, which use conventional explosions to disperse radioactive material in a wide area. There is particular concern about strontium-90 not only in radioactive fallout but also as the main component of dirty bombs because of its high level of radioactivity and potential availability. For example, uncontrolled sources scattered around the former Soviet Union are accessible to theft and smuggling, according to the International Atomic Energy Agency (IAEA Bulletin vol. 43, no. 4), "A notable case refers to thermoelectric generators containing huge amounts of the radioactive element strontium-90 (the amount of radioactivity per source is similar to the release of this radioactive element from the Chernobyl accident)."

Strontium-90 in the environment can be ingested, after which it is absorbed and deposited in bone. Once incorporated into bone, strontium-90 results in long-term exposure to radiation and greatly increases risk of various forms of cancer, including bone cancer, cancer of tissue near bone, and leukemia. KM-668 is a radioprotectant for treatment of exposure to strontium-90. For more information on strontium-90 and effects of exposure, please see the EPA web page http://www.epa.gov/radiation/radionuclides/strontium.htm.

"With agreements between the United States and the old Soviet Union to reverse nuclear proliferation, the perceived threat from radiation has diminished along with research to counter its effects on the human body. Treatments currently available date from research done decades ago, and products that are available today such as iodine tablets and Prussian Blue have no effect on reducing the uptake of a hazardous, "bone seeking" isotope like strontium-90," said Dr. David Danley, Director of Homeland Security and Defense Programs at CombiMatrix. Prior to his joining CombiMatrix, Dr. Danley led the advanced development program at the U.S. Department of Defense for drugs and vaccines against chemical and biological threat agents.

"We have a number of ongoing internal drug development efforts, and KM-668 is the first of our internally developed compounds to reach the animal testing stage. We plan to continue our internal efforts and disclose information as we achieve similar milestones," stated Dr. Amit Kumar, President and CEO of CombiMatrix. "Our program on treatments for exposure to terror weapons fits well with our Department of Defense program on detection of biological- and chemical-warfare agents."

ABOUT ACACIA RESEARCH CORPORATION

Acacia Research Corporation comprises two operating groups: Acacia Technologies Group and CombiMatrix Group.

The CombiMatrix group is developing a platform technology 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. CombiMatrix's technology has a wide range of applications including DNA synthesis/diagnostics, siRNA synthesis, drug discovery, and immunochemical detection. CombiMatrix provides DNA arrays to researchers under the CustomArray(TM) brand. CombiMatrix's Express Track(SM) drug discovery program is a systems biology approach, using its technology, to target common viral diseases with siRNA compounds.

The Acacia Technologies group develops, acquires, and licenses patented technologies. Acacia controls 29 patent portfolios, which include 126 U.S. patents, and certain foreign counterparts, covering technologies used in a wide variety of industries including audio/video-on-demand, digital ad insertion, interactive television, broadcast equipment, data transmission, cache coherency, data file synchronization, data matrix bar codes, dynamic manufacturing models, product activation, encryption, image resolution and enhancement, dynamic manufacturing models, scheduling software, interstitial Internet advertising, interactive simulation systems, peer to peer network communications, spreadsheet programs, endoscopic cameras, video noise reduction, and audio/video synchronization.

Acacia Research-Acacia Technologies (NASDAQ:ACTG) and Acacia Research-CombiMatrix (NASDAQ:CBMX) are both classes of common stock issued by Acacia Research Corporation and are intended to reflect the performance of the respective operating groups and are not issued by the operating groups.

Information about the Acacia Technologies Group and the CombiMatrix Group is available at www.acaciaresearch.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 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.