Genome Therapeutics to Present at the Friedman Billings Ramsey Technology & Growth Investor Conference.

Business Editors/Health/Medical Writers

WALTHAM, Mass.--(BUSINESS WIRE)--May 28, 2003

Genome Therapeutics' (Nasdaq: GENE) Chairman and Chief Executive Officer, Steven M. Rauscher, will provide a corporate overview to potential investors through a presentation at the Friedman Billings Ramsey Technology & Growth Investor Conference on Thursday, May 29, 2003 at 10:00 AM ET in New York City. The presentation will be available via webcast at www.genomecorp.com. More information about the conference and Friedman Billings Ramsey is available at www.fbr.com.

Mr. Rauscher's presentation will cover:

-- Clinical Development: Ramoplanin, the Company's lead clinical

candidate, is currently in Phase III development for the

prevention of bloodstream infections caused by

vancomycin-resistant enterococci and in Phase II development

for the treatment of Clostridium difficile-associated

diarrhea. A novel glycolipodepsipeptide antibiotic, Ramoplanin

has a unique mechanism of action, exerting its bactericidal 

effect locally in the gastrointestinal tract, and has received

Fast Track status with the FDA.

-- Preclinical Programs: With seven alliances with five different

pharmaceutical companies in six disease areas, the Company's

portfolio of product-focused collaborations is one of the most

robust in the industry. The most recently formed alliance, for

the discovery and development of therapeutics for bone

diseases, was forged with Amgen earlier this year and has a

potential value to the Company of $104 million, excluding

potential product royalties.

-- Financial Guidance: Management continues to implement plans to

preserve the Company's cash reserves, through reductions in

internally funded early stage discovery research. These

incremental efforts are expected to contribute at least $5

million in annualized savings and are consistent with

previously announced financial guidance for 2003 of a $20-25

million net loss. Management plans to continue to explore

opportunities to form additional preclinical partnerships for

these early stage discovery programs.

-- Anticipated Milestones: Mr. Rauscher will also provide

commentary about the Company's business strategy and

anticipated milestones in the coming months.

About Genome Therapeutics

Genome Therapeutics is a biopharmaceutical company focused on the discovery and development of pharmaceutical and diagnostics products. The Company's lead product candidate, Ramoplanin, is in a Phase III clinical trial for the prevention of bloodstream infections caused by vancomycin-resistant enterococci (VRE), and in a Phase II clinical trial for the treatment of Clostridium difficile-associated diarrhea (CDAD). Genome Therapeutics' biopharmaceutical business includes seven major product discovery and development alliances with pharmaceutical companies including Amgen, AstraZeneca, bioMerieux, Schering-Plough and Wyeth.

This news release may contain forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent our management's judgment regarding future events. Forward-looking statements typically are identified by use of terms such as "may," "will," "should," "plan," "expect," "intend," "anticipate," "estimate," and similar words, although some forward-looking statements are expressed differently. We do not plan to update these forward- looking statements. You should be aware that our actual results could differ materially from those contained in the forward- looking statements due to a number of risks affecting our business. These risk factors include risks related to our lead product candidate, Ramoplanin, such as (i) our inability to obtain regulatory approval to commercialize Ramoplanin due to negative, inconclusive or insufficient clinical data and (ii) delays in the progress of our clinical trials for Ramoplanin, and increased cost, due to the pace of enrollment of patients in the trials or fluctuations in the infection rate of enrolled patients. We are also subject to risks related to our inability or the inability of our alliance partners to (i) successfully develop products based on our genomics information, (ii) obtain the necessary regulatory approval for such products, (iii) effectively commercialize any products developed before our competitors are able to commercialize competing products or (iv) obtain and enforce intellectual property rights. In addition, we are subject to the risk factors set forth in Exhibit 99.1 to the Company's Annual Report on Form 10-K for the year ended December 31, 2002 and those set forth in other filings that we may make with the Securities and Exchange Commission from time to time.