Dynavax Technologies Corporation
May 5, 2011

Dynavax Reports First Quarter 2011 Financial Results

BERKELEY, CA -- (MARKET WIRE) -- 05/05/11 -- Dynavax Technologies Corporation (NASDAQ: DVAX) today reported financial results for the first quarter ended March 31, 2011, including $53.2 million in cash, cash equivalents and marketable securities at March 31, 2011. A $6 million milestone payment from GlaxoSmithKline earned after the close of the quarter from the initiation of a Phase 1 trial in the partnered lupus program was not included in the reported cash balance of $53.2 million. At December 31, 2010, Dynavax reported $72.2 million in total cash.

Total operating expenses for the quarter were in line with earlier expense guidance that full year 2011 expenses will be consistent with 2010. Net cash usage for the first quarter 2011 was higher than the average quarterly net cash usage during 2010, due to significant payments for the large-scale Phase 3 study of HEPLISAV™ which completes this month. The Company anticipates a reduction in ongoing quarterly spend through the remainder of 2011 such that its average quarterly net cash usage should approximate $13 million for 2011.

About Dynavax

Dynavax Technologies Corporation, a clinical-stage biopharmaceutical company, discovers and develops novel products to prevent and treat infectious and inflammatory diseases. The Company's lead product candidate is HEPLISAV, a Phase 3 investigational adult hepatitis B vaccine designed to provide rapid and superior protection with fewer doses than current licensed vaccines. For more information visit www.dynavax.com.

Forward Looking Statements

This press release contains "forward-looking statements" that are subject to a number of risks and uncertainties, including statements regarding our projected net cash usage and operating expenses. Actual results may differ materially from those set forth in this press release due to the risks and uncertainties inherent in our business, including whether successful clinical and regulatory development and approval of HEPLISAV can occur in a timely manner or without significant additional studies or difficulties or delays in development or clinical trial enrollment, whether the studies can support registration for commercialization of HEPLISAV; the results of clinical trials and the impact of those results on the initiation and completion of subsequent trials and issues arising in the regulatory process; the Company's ability to obtain additional financing to support the development and commercialization of HEPLISAV and its other operations, possible claims against the Company based on the patent rights of others; and other risks detailed in the "Risk Factors" section of our current periodic reports with the SEC. We undertake no obligation to revise or update information herein to reflect events or circumstances in the future, even if new information becomes available. Information on Dynavax's website at www.dynavax.com is not incorporated by reference in the Company's current periodic reports with the SEC.

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                      DYNAVAX TECHNOLOGIES CORPORATION

                   CONSOLIDATED STATEMENTS OF OPERATIONS

                  (In thousands, except per share amounts)

                                (Unaudited)



                                                     Three Months Ended

                                                          March 31,

                                                 --------------------------

                                                     2011          2010

                                                 ------------  ------------

Revenues:

  Collaboration revenue                          $        366  $      7,421

  Grant revenue                                           889           862

  Service and license revenue                             489            61

                                                 ------------  ------------

Total revenues                                          1,744         8,344



Operating expenses:

  Research and development                             14,672        12,480

  General and administrative                            4,754         4,570

  Amortization of intangible assets                       245           245

                                                 ------------  ------------

Total operating expenses                               19,671        17,295

                                                 ------------  ------------



Loss from operations                                  (17,927)       (8,951)



Interest income                                            33             2

Interest expense                                         (490)         (399)

Other income (expense)                                    (82)          164

                                                 ------------  ------------



Net loss                                         $    (18,466) $     (9,184)

                                                 ============  ============



Basic and diluted net loss per share             $      (0.16) $      (0.17)

                                                 ============  ============



Shares used to compute basic net loss per share       115,726        54,364

                                                 ============  ============











                      DYNAVAX TECHNOLOGIES CORPORATION

  RECONCILIATION OF GAAP OPERATING EXPENSES TO PRO FORMA OPERATING EXPENSES

                               (In thousands)

                                 (Unaudited)



                                                      Three Months Ended

                                                          March 31,

                                                 ---------------------------

                                                      2011          2010

                                                 ------------- -------------



GAAP operating expenses                          $      19,671 $      17,295

LESS:

Stock-based compensation expense                         1,480           541

Amortization of intangible assets                          245           245

                                                 ------------- -------------

Pro forma operating expenses(1)                  $      17,946 $      16,509

                                                 ============= =============



 (1) These pro forma amounts are intended to illustrate the Company's

     operating expenses excluding certain non-cash charges in accordance

     with the financial statements that management uses to evaluate the

     Company's operations. These pro forma results are not in accordance

     with, or an alternative for, generally accepted accounting principles

     and may be different from pro forma measures used by other companies.









                      DYNAVAX TECHNOLOGIES CORPORATION

                         SELECTED BALANCE SHEET DATA

                               (In thousands)

                                 (Unaudited)



                                                   March 31,    December 31,

                                                      2011          2010

                                                 ------------- -------------

Assets

  Cash and cash equivalents and marketable

   securities                                    $      53,203 $      72,154

  Property and equipment, net                            6,516         6,404

  Goodwill                                               2,312         2,312

  Other intangible assets, net                              54           299

  Other assets                                           3,422         3,080

                                                 ------------- -------------

Total assets                                     $      65,507 $      84,249

                                                 ============= =============



Liabilities and stockholders'equity

  Accounts payable                               $       1,880 $       2,329

  Accrued liabilities                                    8,158        10,943

  Current portion of deferred revenue                    1,429         1,429

  Noncurrent portion of deferred revenue                 5,298         5,655

  Long-term note payable to Holdings                    11,407        10,939

  Long-term contingent liability to Holdings               840           843

  Stockholders' equity                                  36,495        52,111

                                                 ------------- -------------

Total liabilities and stockholders' equity       $      65,507 $      84,249

                                                 ============= =============

Contacts:

Jennifer Lew

Vice President, Finance

510-665-7217

Email Contact



Michael Ostrach

Vice President and Chief Business Officer

510-665-7257

Email Contact



Source: Dynavax Technologies

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