Subject: Biosym/MSI Merger Announcem

From: "Don Gregory" <[email-masked]>
Date: 17 Aug 1995 06:41:53 -0400

Subject:                               Time:6:35 AM
  OFFICE MEMO          Biosym/MSI Merger Announcement         Date:8/17/95

BIOSYM Technologies Inc. and Molecular Simulations Inc.
Agree to Merge

SAN DIEGO, Calif.  August 15, 1995 - BIOSYM Technologies Inc. and Molecular
Simulations Inc. (MSI) announce a merger between BIOSYM, a wholly-owned
Corning subsidiary, and MSI, a privately held company.  Under an agreement
signed today Corning will receive approximately 55% of the outstanding equity
in the new company, which will operate independently.
	The two companies had combined revenues exceeding $45 million in 1994 and
will continue to pursue the development and marketing of scientific software
and services designed to improve the efficiency of the research, development
and production processes in both Life Sciences and Materials industries.
	Mr. Michael Savage, the current CEO of Molecular Simulations Inc., will
become the CEO of the new company.  Mr. Savage says, "This merger creates a
new company with greater depth and economies of scale that will be able to
create innovative technologies, delivered in ways that provide more immediate
value to customers."
	Dr. C. Derek Statham, a Corning executive and CEO of BIOSYM Technologies
Inc., will become Chairman of the new company.  Dr. Statham says, "Corning has
often used equity ventures to create stronger, more successful businesses, and
believes that this venture will be well placed to advance this very exciting
technology."
	The new company headquarters will be in San Diego, California, at the current
headquarters of BIOSYM Technologies Inc.  It will manage its European
operations in Cambridge, England, the current European headquarters of
Molecular Simulations Inc.

BUSINESS OVERVIEW
	The business strategy of the new company includes several elements that will
broaden the practical impact of modeling and simulation on industrial
research, development and production.  
	A full suite of software products will build on a rigorous scientific
foundation and use innovative software engineering approaches to ensure
accelerated development, reduced time to market, product ease of use, and
intercompatibility.  
	The new company will continue a strong customer commitment, emphasizing
cooperative relationships with industry in consortia and solutions through
simulation services.  A focus on customer support and training will be
strengthened further to ensure that customers can apply the company's products
and services more rapidly and with greater impact.  Together, BIOSYM and MSI
can deliver better solutions faster, for the mutual success of customers and
the new company.
	The new company will continue to provide modeling and simulation software
products and services worldwide through its existing direct and indirect sales
channels. The senior management of the new company comprises:

Michael J. Savage - President and CEO
Saiid Zarrabian - Chief Operating Officer
David Hiatt - Chief Financial Officer
Lissa Goldenstein - Sr. V. P., Worldwide Sales
Chris Herd - V. P. and General Manager, Life Sciences
Dr. John Newsam - V. P. and General Manager, Materials Technology
Dr. Patrick Coulter - V. P. Materials Products and General Manager, Europe

COMPANY BACKGROUNDS
	BIOSYM was founded in 1984 by Dr. Arnold T. Hagler, a biophysicist who helped
pioneer computational chemistry technology.  Corning acquired BIOSYM in 1992,
and Dr. Derek Statham has been President and CEO since January of 1995.  
	MSI is the result of the 1991 mergers of BioDesign (founded in 1984 with a
Life Sciences focus), Cambridge Molecular Design (founded in 1989 with a
Materials focus), and Polygen (founded in 1984 with a Life Sciences focus). 
In 1994, MSI acquired BioCAD, a Life Sciences company with strengths in
database technology and hypothesis generation.  Michael Savage has been
President and CEO of MSI since its forming in 1991.  
	BIOSYM has achieved a leading position in both Life Sciences and Materials
Sciences computational chemistry, and is noted for the breadth and scientific
depth of its modeling and simulation technology.  
  BIOSYM is also known for its successful consortium approach, which entails
team relationships with leading industrial, academic and government research
organizations, with the aim of developing advanced modeling and simulation
technologies for specific application segments.
	MSI has achieved a leading position in Materials computational chemistry and
advanced software engineering 	using Cerius2, an open architecture computing
environment for scientific simulation for materials and life science
applications.  Cerius2 allows for more streamlined integration of software
application programs, and is also noted for its easy-to-use graphical
interface.  MSI is also an established innovator in drug discovery technology
for the life sciences marketplace.

BENEFITS TO INDUSTRY AND CUSTOMERS
	As a result of this merger customers will get the best of both companies. 
This, combined with the economies of scale that can be achieved, will benefit
the industry and customers by providing:

o Rapid technology advancement
o Better customer support and training
o Broader and deeper product offerings and services
o The ability to invest more resources in new products, R&D, applications and
training

	Mr. Savage adds, "This merger creates a dynamic new company and signifies the
beginning of a new era in this industry.  We are reinforcing our commitment to
serving customers' needs in computational chemistry and related fields for the
long run."

MEDIA CONTACTS:

Jo Ellen Collins	                           Brenda Pfeiffer
Molecular Simulations Inc.	          BIOSYM Technologies Inc.
(617) 229-9800   x220	             (619) 546-5319