Document:

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                                                                     EXHIBIT 4.1

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT. THE COPY
FILED HEREWITH OMITS THE INFORMATION SUBJECT TO THE CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED AS * . A COMPLETE, UNREDACTED VERSION OF THIS EXHIBIT
HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

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                         COMMON STOCK PURCHASE AGREEMENT

        THIS COMMON STOCK PURCHASE AGREEMENT (the "AGREEMENT") is made and
entered into as of March 5, 2002, by and between Geron Corporation, a Delaware
corporation having its principal place of business at 230 Constitution Drive,
Menlo Park, California 94025 (the "COMPANY"), and Lynx Therapeutics, Inc., a
Delaware corporation having its principal place of business at 25861 Industrial
Boulevard, Hayward, CA 94545 (the "ACQUIRER").

        A.      The Company has agreed to issue 210,000 shares of the Company's
                common stock, par value $.001 per share (the "COMMON STOCK") to
                Acquirer pursuant to that certain Purchase Agreement between the
                Company and Acquirer dated as of March 5, 2002 (the "PURCHASE
                AGREEMENT").

        B.      The Acquirer and the Company desire to specify the terms and
                conditions of the Company's issuance of such common stock.

                THE PARTIES AGREE AS FOLLOWS:

1.      ISSUANCE OF SHARES; PURCHASE PRICE. The Acquirer hereby acquires and the
        Company hereby issues to Acquirer 210,000 shares (the "SHARES") of
        Common Stock in consideration of the license granted pursuant to that
        certain License Agreement between the Company and the Acquirer dated as
        of March 5, 2002.

2.      CLOSING; DELIVERY. The consummation of the transaction contemplated by
        this Agreement (the "CLOSING") shall be held on the date hereof
        ("CLOSING DATE"). The Closing shall be held at the offices of the
        Company or at such other time or place as Acquirer and the Company may
        mutually agree. At the Closing, the Company shall deliver to the
        Acquirer a stock certificate, in the name of the Acquirer, representing
        the Shares against delivery of the Patent Assignment (as defined in the
        Purchase Agreement).

3.      CLOSING CONDITIONS.

        3.1     The Company's respective obligations to issue and deliver the
                stock certificate representing the Shares to the Acquirer shall
                be subject to the following condition, which may be waived by
                the Company:

                3.1.1   the execution of the Purchase Agreement; and

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        3.1.2   the accuracy of the representations and warranties made by the
                Acquirer shall be true and correct in all material respects as
                of the Closing Date.

    3.2 The Acquirer's obligation to accept delivery of the stock certificate
        representing the Shares shall be subject to the following conditions,
        any one or more of which may be waived the Acquirer:

        3.2.1   the execution of the Purchase Agreement;

        3.2.2   the covenants and obligations that the Company is required to
                perform or to comply with pursuant to this Agreement, at or
                prior to the Closing, must have been duly performed and complied
                with in all material respects;

        3.2.3   the Company shall have available under its Certificate of
                Incorporation sufficient authorized shares of capital stock to
                issue and sell the Shares to Acquirer; and

        3.2.4   the accuracy of the representations and warranties made by the
                Company shall be true and correct in all material respects as of
                the Closing Date.

4. RESTRICTIONS ON RESALE OF SHARES.

   4.1  Legends. The Acquirer understands and acknowledges that the Shares are
        not registered under the Securities Act of 1933 (the "ACT") and that
        under the Act and other applicable laws the Acquirer may be required to
        hold such Shares for an indefinite period of time. Each stock
        certificate representing Shares shall bear the following legends:

        "THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE
        SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"). ANY TRANSFER OF SUCH
        SECURITIES SHALL BE INVALID UNLESS A REGISTRATION STATEMENT UNDER THE
        ACT IS IN EFFECT AS TO SUCH TRANSFER OR, IN THE OPINION OF COUNSEL
        REASONABLY ACCEPTABLE TO THE COMPANY, SUCH REGISTRATION IS UNNECESSARY
        FOR SUCH TRANSFER TO COMPLY WITH THE ACT.

        THE SECURITIES REPRESENTED HEREBY ARE SUBJECT TO THE TERMS OF THE COMMON
        STOCK PURCHASE AGREEMENT, DATED MARCH 5, 2002. A COPY OF THE AGREEMENT
        CAN BE OBTAINED FROM THE SECRETARY OF THE COMPANY."

5. REGISTRATION RIGHTS

   5.1  The Company agrees to prepare and file with the Securities and Exchange
        Commission ("COMMISSION"), on or before March 8, 2002, a registration
        statement under the Act (the "REGISTRATION STATEMENT"), on Form S-3 or
        other appropriate form, so as to permit a non-underwritten public
        offering and resale of

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        the Shares under the Act by the Acquirer. The Company agrees to
        diligently pursue making that registration statement effective as soon
        as practicable following the execution of this Agreement. The Company
        will notify the Acquirer of the effectiveness of the Registration
        Statement within one business day of receiving notice from the
        Commission.

   5.2  The Company will prepare and file with the Commission such amendments
        and supplements to the Registration Statement and the prospectus as may
        be necessary to keep the Registration Statement or post-effective
        amendment filed under this Section 5 effective under the Act until the
        earlier of (i) the date that none of the Shares covered by such
        Registration Statement are outstanding, (ii) the date that all of the
        Shares have been sold pursuant to such Registration Statement, (iii) the
        date the Acquirer receives an opinion of counsel to the Company, which
        counsel shall be reasonably acceptable to the Acquirer, that the Shares
        may be sold under the provisions of Rule 144 without limitation as to
        volume, (iv) the date that all Shares have been otherwise transferred to
        persons who may trade such shares without restriction under the Act, and
        the Company has delivered a new certificate or other evidence of
        ownership for such securities not bearing a restrictive legend, or (v)
        the date all Shares may be sold at any time, without volume or manner of
        sale limitations pursuant to Rule 144(k) or any similar provision then
        in effect under the Act in the opinion of counsel to the Company, which
        counsel shall be reasonably acceptable to the Acquirer (the
        "EFFECTIVENESS PERIOD").

   5.3  The Company shall furnish to the Acquirer with respect to the Shares
        registered under the Registration Statement such reasonable number of
        copies of the Registration Statement, prospectuses and preliminary
        prospectuses in conformity with the requirements of the Act and such
        other documents as the Acquirer may reasonably request, in order to
        facilitate the public sale or other disposition of all or any of the
        Shares by the Acquirer, provided, however, that the obligation of the
        Company to deliver copies of prospectuses or preliminary prospectuses to
        the Acquirer shall be subject to the receipt by the Company of
        reasonable assurances from the Acquirer that the Acquirer will comply
        with the applicable provisions of the Act and of such other securities
        or blue sky laws as may be applicable in connection with any use of such
        prospectuses or preliminary prospectuses.

   5.4  All fees, disbursements and out-of-pocket expenses and costs incurred by
        the Company in connection with the preparation and filing of the
        Registration Statement and any post-effective amendments thereto under
        this Section 5 and in complying with applicable securities and Blue Sky
        laws (including, without limitation, all attorneys' fees of the Company)
        shall be borne by the Company. The Acquirer shall bear the cost of
        underwriting and/or brokerage discounts, fees and commissions, if any,
        applicable to the Shares being registered and the fees and expenses of
        their counsel. The Company at its expense will supply the Acquirer with
        copies of the applicable Registration Statement and the prospectus
        included therein and other related documents in such quantities as may
        be reasonably requested by the Acquirer.

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   5.5  The Company will advise the Acquirer, promptly after it shall receive
        notice or obtain knowledge of the issuance of any stop order by the
        Commission delaying or suspending the effectiveness of the Registration
        Statement or of the initiation of any proceeding for that purpose, that
        the Company will use its commercially reasonable efforts to prevent the
        issuance of any stop order or to obtain its withdrawal at the earliest
        possible moment if such stop order should be issued.

   5.6  With a view to making available to the Acquirer the benefits of Rule 144
        (or its successor rule) and any other rule or regulation of the
        Commission that may at any time permit the Acquirer to sell the
        Securities to the public without registration, the Company covenants and
        agrees to: (i) make and keep public information available, as those
        terms are understood and defined in Rule 144, until the earlier of (A)
        such date as all of the Shares may be resold pursuant to Rule 144(k) or
        any other rule of similar effect or (B) such date as all of the Shares
        shall have been resold; and (ii) file with the Commission in a timely
        manner all reports and other documents required of the Company under the
        Act and under the Exchange Act of 1934, as amended.

   5.7  The Acquirer will cooperate with the Company in all respects in
        connection with this Agreement, including timely supplying all
        information reasonably requested by the Company (which shall include all
        information regarding the Acquirer and proposed manner of sale of the
        Shares required to be disclosed in any Registration Statement) and
        executing and returning all documents reasonably requested in connection
        with the registration and sale of the Shares and entering into and
        performing their obligations under any underwriting agreement, if the
        offering is an underwritten offering, in usual and customary form, with
        the managing underwriter or underwriters of such underwritten offering.
        Nothing in this Agreement shall obligate the Acquirer to consent to be
        named as an underwriter in any Registration Statement.

   5.8  If the Registration Statement has not been declared effective by the
        Commission on or before * (the "OPTION DATE"), then the Acquirer shall
        have the option to return for cancellation (the "CANCELLATION OPTION")
        all of the Shares to the Company. As consideration for the return of the
        Shares to the Company for cancellation, the Company shall pay to
        Acquirer an amount equal to * Dollars ($*), payable in immediately
        available funds. The Acquirer shall not be required to make any
        representations or warranties with respect to the Shares, except with
        respect to its ownership of the Shares. At anytime following the Option
        Date, the Acquirer may exercise the Cancellation Option by delivering
        written notice to the Company that states that it has elected to
        exercise the Cancellation Option (the "CANCELLATION OPTION EXERCISE
        NOTICE"). If the Cancellation Option Notice is not received by the
        Company within thirty (30) days following the Option Date, then the
        Cancellation Option shall expire and be of no further force or effect.
        This Cancellation Option shall not be enforceable by any transferee of
        the Shares held by the Acquirer.

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

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6. INDEMNIFICATION.

For the purpose of this Section 6:

the term "REGISTRATION STATEMENT" shall include any final prospectus, exhibit,
supplement or amendment included in or relating to the Registration Statement
referred to in Section 5.1; and the term "UNTRUE STATEMENT" shall include any
untrue statement or alleged untrue statement, or any omission or alleged
omission to state in the Registration Statement a material fact required to be
stated therein or necessary to make the statements therein, in the light of the
circumstances under which they were made, not misleading.

   6.1  The Company agrees to indemnify and hold harmless the Acquirer from and
        against any losses, claims, damages or liabilities to which the Acquirer
        may become subject (under the Act or otherwise) insofar as such losses,
        claims, damages or liabilities (or actions or proceedings in respect
        thereof) arise out of, or are based upon (i) any untrue statement of a
        material fact contained in the Registration Statement, (ii) any omission
        of a material fact required to be stated in the Registration Statement
        or necessary in order to make the statements in the Registration
        Statement not misleading or (iii) any failure by the Company to fulfill
        any undertaking included in the Registration Statement, and the Company
        will reimburse the Acquirer for any reasonable legal or other expenses
        reasonably incurred in investigating, defending or preparing to defend
        any such action, proceeding or claim, provided, however, that the
        Company shall not be liable in any such case to the extent that such
        loss, claim, damage or liability arises out of, or is based upon, an
        untrue statement made in such Registration Statement in reliance upon
        and in conformity with written information furnished to the Company by
        or on behalf of the Acquirer specifically for use in preparation of the
        Registration Statement or the failure of the Acquirer to comply with its
        covenants and agreements contained in Sections 8.1 or 8.5.2 hereof or
        any misstatement or omission in any prospectus that is corrected in any
        subsequent prospectus that was delivered to the Acquirer prior to the
        pertinent sale or sales by the Acquirer.

   6.2  The Acquirer agrees to indemnify and hold harmless the Company (and each
        person, if any, who controls the Company within the meaning of Section
        15 of the Act, each officer of the Company who signs the Registration
        Statement and each director of the Company) from and against any losses,
        claims, damages or liabilities to which the Company (or any such
        officer, director or controlling person) may become subject (under the
        Act or otherwise), insofar as such losses, claims, damages or
        liabilities (or actions or proceedings in respect thereof) arise out of,
        or are based upon, (i) any failure to comply with the covenants and
        agreements contained in Sections 8.1 or 8.5.2 hereof or (ii) any untrue
        statement of a material fact contained in the Registration Statement or
        any omission of a material fact required to be stated in the
        Registration Statement or necessary in order to make the statements in
        the Registration Statement not misleading if such untrue statement or
        omission was made in reliance upon and in conformity with written
        information furnished to the Company by or on behalf of the Acquirer
        specifically for use in preparation of the Registration Statement, and
        the Acquirer

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<PAGE>

        will reimburse the Company (or such officer, director or controlling
        person), as the case may be, for any legal or other expenses reasonably
        incurred in investigating, defending or preparing to defend any such
        action, proceeding or claim; provided, however, that the Acquirer shall
        not be liable in any such case for (A) any untrue statement or omission
        in the Registration Statement, prospectus, or other such document which
        statement is corrected by the Acquirer and delivered to the Company
        prior to the sale from which such loss occurred, (B) any untrue
        statement or omission in any prospectus which is corrected by the
        Acquirer in any subsequent prospectus, or supplement or amendment
        thereto, and delivered to the Company prior to the sale or sales from
        which a loss or liability arose, or (C) any failure by the Company to
        fulfill any of its obligations under Section 6.1 hereof.

   6.3  Promptly after receipt by any indemnified person of a notice of a claim
        or the beginning of any action in respect of which indemnity is to be
        sought against an indemnifying person pursuant to this Section 6, such
        indemnified person shall notify the indemnifying person in writing of
        such claim or of the commencement of such action, but the omission to so
        notify the indemnifying party will not relieve it from any liability
        which it may have to any indemnified party under this Section 6 (except
        to the extent that such omission materially and adversely affects the
        indemnifying party's ability to defend such action) or from any
        liability otherwise than under this Section 6. Subject to the provisions
        hereinafter stated, in case any such action shall be brought against an
        indemnified person, the indemnifying person shall be entitled to
        participate therein, and, to the extent that it shall elect by written
        notice delivered to the indemnified party promptly after receiving the
        aforesaid notice from such indemnified party, shall be entitled to
        assume the defense thereof, with counsel reasonably satisfactory to such
        indemnified person. After notice from the indemnifying person to such
        indemnified person of its election to assume the defense thereof, such
        indemnifying person shall not be liable to such indemnified person for
        any legal expenses subsequently incurred by such indemnified person in
        connection with the defense thereof, provided, however, that if there
        exists or shall exist a conflict of interest that would make it
        inappropriate, in the reasonable opinion of counsel to the indemnified
        person, for the same counsel to represent both the indemnified person
        and such indemnifying person or any affiliate or associate thereof, the
        indemnified person shall be entitled to retain its own counsel at the
        expense of such indemnifying person; provided, however, that no
        indemnifying person shall be responsible for the fees and expenses of
        more than one separate counsel (together with appropriate local counsel)
        for all indemnified parties. In no event shall any indemnifying person
        be liable in respect of any amounts paid in settlement of any action
        unless the indemnifying person shall have approved the terms of such
        settlement. No indemnifying person shall, without the prior written
        consent of the indemnified person, effect any settlement of any pending
        or threatened proceeding in respect of which any indemnified person is
        or could have been a party and indemnification could have been sought
        hereunder by such indemnified person, unless such settlement includes an
        unconditional release of such indemnified person from all liability on
        claims that are the subject matter of such proceeding.

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7. REPRESENTATIONS AND ACKNOWLEDGMENTS OF THE COMPANY.

The Company hereby represents, warrants and covenants to the Acquirer as
follows:

   7.1  Organization, Good Standing and Qualification. The Company is a
        corporation duly organized, validly existing and in good standing under
        the laws of the State of Delaware and has all requisite corporate power
        and authority to carry on its business as now conducted and as presently
        proposed to be conducted. The Company is duly qualified to transact
        business and is in good standing as a foreign corporation in each
        jurisdiction in which the failure to so qualify would have a material
        adverse effect on its business or properties.

   7.2  Authorization. All corporate action on the part of Company, its
        officers, directors and stockholders necessary for the authorization,
        execution and delivery of this Agreement, the performance of all
        obligations of Company hereunder and the authorization, issuance and
        delivery of the Shares has been taken or will be taken prior to the
        Closing, and this Agreement, when executed and delivered will constitute
        valid and legally binding obligations of the Company, enforceable
        against the Company in accordance with their terms, except as limited by
        applicable bankruptcy, insolvency, reorganization, moratorium,
        fraudulent conveyance and other laws of general application affecting
        enforcement of creditors' rights generally, as limited by laws relating
        to the availability of specific performance, injunctive relief or other
        equitable remedies.

   7.3  Valid Issuance of Common Stock. The Shares that are being purchased by
        Acquirer hereunder, when issued, sold and delivered in accordance with
        the terms hereof for the consideration expressed herein, will be duly
        and validly authorized and issued, fully paid and nonassessable and free
        of restrictions on transfer other than restrictions on transfer under
        this Agreement and applicable state and federal securities laws.

   7.4  Legal Proceedings and Orders. There is no action, suit, proceeding or
        investigation pending or threatened against the Company that questions
        the validity of this Agreement or the right of the Company to enter into
        this Agreement or to consummate the transactions contemplated hereby,
        nor is the Company aware of any basis for any of the forgoing. The
        Company is neither a party nor subject to the provisions of any order,
        writ, injunction, judgment or decree of any court or government agency
        or instrumentality that would affect the ability of the Company to enter
        into this Agreement or to consummate the transactions contemplated
        hereby.

8. REPRESENTATIONS AND ACKNOWLEDGMENTS OF THE ACQUIRER.

The Acquirer hereby represents, warrants, acknowledges and agrees that:

   8.1  Investment. The Acquirer is acquiring the Shares for the Acquirer's own
        account, and not directly or indirectly for the account of any other
        person. The Acquirer is acquiring the Shares for investment and not with
        a view to distribution or resale

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        thereof except in compliance with the Act and any applicable state law
        regulating securities.

   8.2  Access to Information. Acquirer has consulted with its own attorney,
        accountant, or investment advisor as the Acquirer has deemed advisable
        with respect to the investment and has determined its suitability for
        Acquirer. The Acquirer has had the opportunity to ask questions of, and
        to receive answers from, appropriate executive officers of the Company
        with respect to the terms and conditions of the transactions
        contemplated hereby and with respect to the business, affairs, financial
        condition and results of operations of the Company. The Acquirer has had
        access to such financial and other information as is necessary in order
        for the Acquirer to make a fully informed decision as to investment in
        the Company, and has had the opportunity to obtain any additional
        information necessary to verify any of such information to which the
        Acquirer has had access. Acquirer acknowledges that neither the Company
        nor any of its officers, directors, employees, agents, representatives,
        or advisors have made any representation or warranty.

   8.3  Business and Financial Expertise. The Acquirer further represents and
        warrants that it has such business or financial expertise as to be able
        to evaluate its investment in the Company and purchase of the Shares.

   8.4  Speculative Investment. The Acquirer acknowledges that the investment in
        the Company represented by the Shares is highly speculative in nature
        and is subject to a high degree of risk of loss in whole or in part; the
        amount of such investment is within the Acquirer's risk capital means
        and is not so great in relation to the Acquirer's total financial
        resources as would jeopardize the personal financial needs of the
        Acquirer in the event such investment were lost in whole or in part.

   8.5  Unregistered Securities. Acquirer acknowledges that:

        8.5.1   The Acquirer must bear the economic risk of investment for an
                indefinite period of time because the Shares have not been
                registered under the Act and therefore cannot and will not be
                sold unless they are subsequently registered under the Act or an
                exemption from such registration is available. The Company has
                made no agreements, covenants or undertakings whatsoever to
                register any of the Shares under the Act, except as provided in
                Section 5 above. The Company has made no representations,
                warranties or covenants whatsoever as to whether any exemption
                from the Act, including, without limitation, any exemption for
                limited sales in routine brokers' transactions pursuant to Rule
                144 under the Act, will become available and any such exemption
                pursuant to Rule 144, if available at all, will not be available
                unless: (i) a public trading market then exists in the Company's
                common stock, (ii) the Company has complied with the information
                requirements of Rule 144, and (iii) all other terms and
                conditions of Rule 144 have been satisfied.

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        8.5.2   Transfer of the Shares has not been registered or qualified
                under any applicable state law regulating securities and,
                therefore, the Shares cannot and will not be sold unless they
                are subsequently registered or qualified under any such act or
                an exemption therefrom is available. The Company has made no
                agreements, covenants or undertakings whatsoever to register or
                qualify any of the Shares under any such act, except as provided
                in Section 5 above. The Company has made no representations,
                warranties or covenants whatsoever as to whether any exemption
                from any such act will become available.

        8.5.3   The Acquirer hereby certifies that it is an "accredited
                investor" as that term is defined in Rule 501 under the Act.

9.      TAX ADVICE. The Acquirer acknowledges that the Acquirer has not relied
        and will not rely upon the Company or the Company's counsel with respect
        to any tax consequences related to the ownership, purchase, or
        disposition of the shares. The Acquirer assumes full responsibility for
        all such consequences and for the preparation and filing of all tax
        returns and elections which may or must be filed in connection with such
        shares.

10.     NOTICES. Any notice or other communication required or permitted
        hereunder shall be in writing and shall be deemed to have been duly
        given on the date of service if served personally or five days, not
        including Saturdays, Sundays, or national holidays, after mailing if
        mailed by first class United States mail, certified or registered with
        return receipt requested, postage prepaid, and addressed as follows:

        To the Company at:              Geron Corporation
                                        230 Constitution Drive
                                        Menlo Park, California  94025
                                        Attention: Chief Financial Officer
                                        Telephone:    (650) 473-7700
                                        Facsimile:    (650) 473-7750

        To the Acquirer at:             Lynx Therapeutics, Inc.
                                        25861 Industrial Boulevard
                                        Hayward, CA 94545
                                        Attention:  Chief Financial Officer
                                        Telephone:    (510)670-9300
                                        Facsimile:    (510)670-9303

11.     BINDING EFFECT. This Agreement shall be binding upon the heirs, legal
        representatives and successors of the Company and of the Acquirer;
        provided, however, that the Acquirer may not assign any rights or
        obligations under this Agreement. The Company's rights under this
        Agreement shall be freely assignable.

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12.     GOVERNING LAW. This Agreement shall be governed by and construed in
        accordance with the laws of the State of California.

13.     ENTIRE AGREEMENT. This Agreement constitutes the entire agreement of the
        parties pertaining to the Shares and supersedes all prior and
        contemporaneous agreements, representations, and understandings of the
        parties.

        IN WITNESS WHEREOF, the parties hereto have executed this Common Stock
Purchase Agreement as of the date first above written.

                                        GERON CORPORATION

                                        /s/ David L. Greenwood
                                        ----------------------------------------
                                        By:    David L. Greenwood
                                        Title: Chief Financial Officer and
                                               Senior Vice President,
                                               Corporate Development

                                        LYNX THERAPEUTICS, INC.

                                        /s/ Norman J.W. Russell
                                        ---------------------------------------
                                        By:    Norman J.W. Russell
                                        Title: President and Chief Executive
                                               Officer

                                       10<PAGE>
                                                                    EXHIBIT 10.1

CONFIDENTIAL TREATMENT HAS BEEN REQUESTED FOR PORTIONS OF THIS EXHIBIT. THE COPY
FILED HEREWITH OMITS THE INFORMATION SUBJECT TO THE CONFIDENTIALITY REQUEST.
OMISSIONS ARE DESIGNATED AS * . A COMPLETE, UNREDACTED VERSION OF THIS EXHIBIT
HAS BEEN FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION.

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

                               PURCHASE AGREEMENT

        This PURCHASE AGREEMENT (the "Agreement") is made as of March 5, 2002
(the "Effective Date"), by and between Geron Corporation, a Delaware corporation
("Buyer") and Lynx Therapeutics, Inc., a Delaware corporation ("Seller").

                                    RECITALS

        A. Seller owns certain proprietary technology relating to
oligonucleotide N3'->P5' phosphoramidates, their manufacture, and their uses in
a variety of fields ("Amidate Technology").

        B. Buyer desires to acquire from Seller, and Seller desires to transfer
to Buyer on the terms and conditions set forth herein, Seller's right, title and
interest to certain patents and patent applications owned by Seller and
incorporating the Amidate Technology.

                                   AGREEMENT

        NOW, THEREFORE, in consideration of the foregoing recitals and the
mutual covenants, representations, warranties, conditions, and agreement
hereinafter expressed, the parties hereby agree as follows:

                                    ARTICLE I
                                   DEFINITIONS

        1.1 "Affiliate" means any person, corporation, partnership, limited
liability company, limited liability partnership, joint venture, association,
company, or other legal entity that directly, or indirectly through one or more
intermediaries, controls, is controlled by, or is under common control with, the
referenced party. In this definition, "control" means the possession, direct or
indirect, of the power to direct or cause the direction of the management and
policies of a party, whether through ownership of securities, by contract, or
otherwise.

        1.2 "Amidate Product" means any product which contains, incorporates, is
based upon, is derived in whole or in part from, or is made with the use of, any
one or more of the Lynx Patents.

        1.3 "Lynx Patents" means the patents and patent applications listed on
Exhibit B hereto; and with respect to U.S. patents and applications; any
division, continuation, continuation-in-part, substitute, renewal, reissue,
extension, confirmation, reexamination, registration, patent term extension or
supplemental protection certificate thereof; all foreign equivalents of any of
the foregoing patents and applications;; and all patents issuing on any of the
foregoing applications.

<PAGE>

        1.4 "Northwestern Patents" means the patents and patent applications
listed on Exhibit C hereto; and with respect to U.S. patents and applications;
any division, continuation, continuation-in-part, substitute, renewal, reissue,
extension, confirmation, reexamination, registration, patent term extension or
supplemental protection certificate thereof; all foreign equivalents of any of
the foregoing patents and applications;; and all patents issuing on any of the
foregoing applications.

        1.5 "Northwestern License" means the license agreement dated October 27,
1993 between the Seller and Northwestern University ("Northwestern"), which is
attached hereto as Exhibit D, pursuant to which Northwestern licensed to the
Seller certain rights to the Northwestern Patents.

        1.6 "Patent Assignment" means the form of instrument attached hereto as
Exhibit A.

        1.7 "Sublicenses" means, collectively, (i) the license agreement dated
as of June 15, 1998 between the Seller and Cruachem, Inc., which is attached
hereto as Exhibit E, and (ii) the license agreement dated as of January 29, 1999
between the Seller and JBL Scientific, Inc., which is attached hereto as Exhibit
F, pursuant to each of which Seller has sublicensed certain rights under the
Lynx Patents and the Northwestern Patents.

                                   ARTICLE II
                                PURCHASE AND SALE

        2.1 Lynx Patents. Seller hereby sells, assigns, conveys, and transfers
to Buyer, all right, title and interest of the Seller in and to the Lynx
Patents. For the avoidance of doubt, the agreement to assign, convey and
transfer in the preceding sentence (i) is subject to the rights granted to the
sublicensees under the Sublicenses, and (ii) does not include any assignment,
conveyance, transfer of, or any other interest in, any rights in or to the
Northwestern Patents.

        2.2 Northwestern Patents and License. Seller hereby, assigns, conveys,
and transfers to Buyer, all right, title and interest of the Seller in and to
the Northwestern Patents and the Northwestern License. For the avoidance of
doubt, the agreement to assign, convey and transfer in the preceding sentence
(i) is subject to the terms and conditions of the Northwestern License,
including Section 9.1 of the Northwestern License; (ii) is subject to the rights
granted to the sublicensees under the Sublicenses, and (iii) does not include
any assignment, conveyance, transfer of, or any other interest in, any rights in
or to the Lynx Patents. Seller will promptly seek and diligently pursue
Northwestern's unconditional consent to this assignment, will keep Buyer
regularly informed of its progress in obtaining such consent, and will use its
best efforts to obtain such consent by no later than *. If Northwestern does not
consent unconditionally to the assignment by *, Buyer may, at any time
thereafter by written notice to Seller, obtain from Seller, in lieu of the
assignment of the Northwestern Patents and the Northwestern License, an
exclusive sublicense under the Northwestern License, subject to its terms and
conditions and subject to the Sublicenses, on the terms and conditions specified
in Exhibit G attached hereto. The parties acknowledge that Seller has not been
able to provide Buyer with all relevant documents with respect to the
Northwestern Patents, and as a result Buyer has not been able to perform
complete due diligence with respect to the Northwestern Patents. Within * days
of the Effective Date, Seller will provide to Buyer complete file histories of
the Northwestern Patents, and Buyer will have * days thereafter to perform such
due diligence. If Buyer concludes as a result of such due diligence that the
value of the Northwestern Patents is substantially different than

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       2
<PAGE>

Buyer believed, Buyer will so notify Seller within * days after Seller provides
such complete file histories, and Seller and Buyer will negotiate in good faith
concerning an appropriate adjustment of the terms of this Agreement, provided
that the purchase price payable under Section 2.5 will not be changed.

        2.3 Sublicenses. Seller hereby, assigns, conveys, and transfers to
Buyer, all right title and interest of the Seller in and to the Sublicenses,
subject to their terms.

        2.4 Deliveries of Seller. Simultaneously with execution of this
Agreement, Seller shall execute and deliver the Patent Assignment to Buyer.
Within five (5) days after the Effective Date, Seller will deliver to Buyer
originals or complete and accurate copies of all documents in Seller's
possession, custody, or control relating to the Lynx Patents or the Northwestern
Patents. If Seller has documents that, in Seller's reasonable judgment, would be
necessary or useful in defending any of the Lynx Patents or the Northwestern
Patents against claims of invalidity, Seller will deliver such documents to
Buyer at Buyer's request, and will not after the date of this Agreement destroy
any such documents without offering Buyer the opportunity to take possession of
such documents for Buyer's potential future use.

        2.5    Purchase Price.

               In consideration of the sale and assignment of Seller's right,
title and interest in the Lynx Patents, the Northwestern Patents, and the
Northwestern License or exclusive sublicense thereunder as provided in paragraph
2.2, Buyer will pay Seller a total purchase price of Two Million Five Hundred
Thousand dollars ($2,500,000), payable as follows:

               One Million Dollars ($1,000,000) in cash payable in immediately
               available funds within one (1) business day after the Effective
               Date.

               Two Hundred Ten Thousand (210,000) shares of Buyer's Common
               Stock,), delivered simultaneously with the execution of, and
               subject to the terms of, the Stock Purchase Agreement attached as
               Exhibit H.

                                   ARTICLE III
                         REPRESENTATIONS AND WARRANTIES

        3.1    Representations of Seller.  Seller represents and warrants to
Buyer as follows:

               (a) Seller is a corporation, duly organized, validly existing and
in good standing under the laws of the state of Delaware, and has all requisite
powers and all licenses, authorizations, consents and approvals required to
carry on its business as now conducted.

               (b) The execution, delivery and performance by Seller of this
Agreement, and the consummation by Seller of the transactions contemplated
hereby and thereby, are within Seller's legal powers and have been duly
authorized by all necessary action on the part of Seller, and, to the best of
Seller's knowledge and belief, will not infringe or violate the rights of any
other party. This Agreement is a valid and binding agreement of Seller,
enforceable in accordance with its terms.

               (c) Seller is the sole and exclusive owner of the Lynx Patents
and has the lawful right to perform its obligations under this Agreement.
Seller's interest in the Lynx Patents is not subject to any lien, pledge, grant
of security interests, or any other

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       3
<PAGE>

encumbrance. To the best of Seller's knowledge and belief, all filings have been
made and all fees have been paid and all such other things have been done as to
maintain the Lynx Patents in good standing. Seller does not own or control any
patents or patent applications relating to Amidate Technology other than the
Lynx Patents and the Northwestern Patents.

               (d) The Northwestern License and the Sublicenses are in full
force and effect and have not been amended. Seller is in compliance with its
obligations under the Northwestern License, and has received no notice of any
claim to the contrary. Seller's rights to the Northwestern Patents under the
Northwestern License are not subject to any lien, pledge, grant of security
interests, or any other encumbrance. To the best of Seller's knowledge and
belief, all filings have been made and all fees have been paid and all such
other things have been done as to maintain the Northwestern Patents in good
standing.

               (e) The Lynx Patents and Seller's interest in the Northwestern
Patents are assigned and transferred WITHOUT WARRANTY OF MERCHANTABILITY OR
FITNESS FOR A PARTICULAR PURPOSE OR ANY OTHER WARRANTY, EXPRESS OR IMPLIED.
SELLER MAKES NO REPRESENTATION OR WARRANTY THAT THE LYNX PATENTS OR THE
NORTHWESTERN PATENTS ARE VALID OR WILL NOT INFRINGE ANY PATENT OR OTHER PROPERTY
RIGHT.

               (f) As at the date of this Agreement, to the best of its
knowledge, information and belief after reasonable inquiry, Seller has not
received any notices or communications alleging that the Lynx Patents or the
Northwestern Patents are invalid or infringe the rights of any third party.
There is no action, suit, investigation, or proceeding of which Seller has
received written notice, pending or, to the knowledge of Seller, threatened,
before any court or arbitrator or any governmental body, agency or official that
has or could materially affect the Lynx Patents, the Northwestern Patents or the
Northwestern License or which in any matter challenges or seeks to prevent,
enjoin, alter or materially delay the transaction contemplated hereby or would
have a material adverse effect on Seller's ability to perform its obligations
under this Agreement.

               (g) As of the date of this Agreement, no third party has any
rights or licenses in respect of the Lynx Patents, the Northwestern Patents, or
the Northwestern License, other than as reflected in the Sublicenses.

               (h) Nothing in this Agreement shall be construed as: (i) a
warranty or representation by Seller as to the validity, enforceability, or
scope of any of the Lynx Patents or the Northwestern Patents hereunder or
elsewhere; (ii) a warranty or representation that any Amidate Products or
anything else made, used, sold, or otherwise disposed of under the Lynx Patents
or the Northwestern Patents is or will be free from infringement of patents of
third parties; (iii) an obligation to bring or prosecute actions or suits
against third parties for patent infringement; (iv) conferring by implication,
estoppel, or otherwise, any license or rights under any patents or patent
applications of Seller other than those of the Lynx Patents and the Northwestern
Patents; or (v) an obligation to furnish any know-how not provided in the Lynx
Patents themselves.

                                       4
<PAGE>

        3.2    Representations of Buyer. Buyer represents and warrants to Seller
as follows:

               (a) Buyer is a corporation, duly organized, validly existing and
in good standing under the laws of the state of Delaware, and has all requisite
powers and all licenses, authorizations, consents and approvals required to
carry on its business as now conducted.

               (b) The execution, delivery and performance by Buyer of this
Agreement, and the consummation by Buyer of the transactions contemplated hereby
and thereby, are within Buyer's legal powers and have been duly authorized by
all necessary action on the part of Buyer. This Agreement is a valid and binding
agreement of Buyer, enforceable in accordance with its terms.

               (c) There is no action, suit, investigation or proceeding pending
against, or to the knowledge of Buyer threatened against or affecting, Buyer
before any court or arbitrator or any governmental body, agency or official
which in any matter challenges or seeks to prevent, enjoin, alter or materially
delay the transaction contemplated hereby or would have a material adverse
effect on Buyer's ability to perform its obligations under this Agreement.

                                   ARTICLE IV
                                 INDEMNIFICATION

        4.1 By Seller. Seller shall indemnify and hold Buyer harmless, and
hereby forever releases and discharges Buyer, from and against all losses,
liabilities, damages and expenses (including reasonable attorneys' fees and
costs) resulting from all claims, demands, actions and other proceedings by any
third party to the extent arising from (a) any misrepresentation or breach by
Seller of any representation or warranty or other provision of this Agreement or
(b) any claim that the performance of this Agreement by Seller would violate or
infringe the rights of any third party, or (c) any claim arising out of the
Northwestern License or the Sublicenses based on Seller's alleged breach, or
Seller's acts or failure to act, or obligations of Seller that accrued, before
the Effective Date), or (d) the gross negligence or willful misconduct of Seller
in its performance under this Agreement.

        4.2 By Buyer. Buyer shall indemnify and hold Seller harmless, and hereby
forever releases and discharges Seller, from and against all losses,
liabilities, damages and expenses (including reasonable attorneys' fees and
costs) resulting from all claims, demands, actions and other proceedings by any
third party to the extent arising from (a) any misrepresentation or breach by
Buyer of any representation or warranty or other provision of this Agreement,
(b) the research, use, development, manufacturing, commercialization or
marketing of Amidate Products or the use of Lynx Patents by Buyer or its
Affiliates, or (c) the gross negligence or willful misconduct of Buyer in its
performance under this Agreement.

        4.3 Procedure. A party (the "Indemnitee") that intends to claim
indemnification hereunder shall promptly notify the other party (the
"Indemnitor") of any claim, demand, action or other proceeding for which the
Indemnitee intends to claim such indemnification. The Indemnitor shall have the
right to participate in and to assume the defense thereof with counsel selected
by the Indemnitor; provided, however, that the Indemnitee shall have the right
to retain its own counsel, with the fees and expenses to be paid by the
Indemnitor, if representation of the Indemnitee by the counsel retained by the
Indemnitor would be inappropriate due to actual or potential differing interests
between the Indemnitee and any other party represented by such counsel in such
proceedings. The failure to deliver notice to

                                       5
<PAGE>

the Indemnitor within a reasonable time after notice of any such claim or
demand, or the commencement any such action or other proceeding, if prejudicial
to its ability to defend such claim, demand, action or other proceeding, shall
relieve such Indemnitor of any liability to the Indemnitee hereunder with
respect thereto, but the omission so to deliver notice to the Indemnitor shall
not relieve it of any liability that it may otherwise have to the Indemnitee.
The Indemnitor may not settle or otherwise consent to an adverse judgment in
such claim, demand, action or other proceeding, that diminishes the rights or
interests of Indemnitee without the prior express written consent of the
Indemnitee, which consent shall be unreasonably withheld or delayed. The
Indemnitee, its employees and agents, shall reasonably cooperate with the
Indemnitor and its legal representatives in the investigation of any claim,
demand, action or other proceeding covered hereby.

                                    ARTICLE V
                                  MISCELLANEOUS

        5.1 Survival of Obligations. The representations and warranties set
forth in Article III hereof shall survive for ten years following the date of
this Agreement. The rights and obligations set forth in Articles IV and V hereof
shall survive indefinitely.

        5.2 Binding Agreement. This Agreement shall be binding upon and shall
inure to the benefit of the parties hereto and to their respective successors
and permitted assigns.

        5.3 Confidentiality. Neither party shall issue any press release or make
any other announcement with respect to this Agreement or the transactions
contemplated hereby, except as required by law, without the prior consent of the
other party (which shall not be unreasonably withheld or delayed).

        5.4 Remedies. Nothing contained herein is intended to or shall be
construed to limit the remedies which either party may have against the other in
the event of a breach of or default under this Agreement, it being intended that
any remedies shall be cumulative and not exclusive.

        5.5 Further Assurances. Each party agrees to take such further action
and execute, deliver and/or file such documents or instruments as are necessary
to carry out the terms and purposes of this Agreement; provided, however, that
reasonable expenses for such further action shall be borne by the requesting
party.

        5.6 Entire Agreement and Modification. This Agreement, including the
schedules and exhibits hereto and the documents delivered pursuant hereto,
constitutes the entire agreement between the parties. No amendments to,
modifications of, or additions to this Agreement shall be valid unless the same
shall be in writing and signed by all parties hereto.

        5.7 Severability. If any provision of this Agreement shall be determined
to be contrary to law and unenforceable by any court of law, the remaining
provisions shall be severable and enforceable in accordance with their terms.

        5.8 Counterparts. This Agreement may be executed in one or more
counterparts and by facsimile signature, each of which shall be deemed an
original but all of which together will constitute one and the same instrument.

                                       6
<PAGE>

        5.9 Headings; Interpretation. The section headings contained in this
Agreement are inserted for convenience only and shall not affect in any way the
meaning or interpretation of the Agreement.

        5.10 Notices. All notices, requests, demands and other communications
hereunder shall be deemed to have been duly given if the same shall be in
writing and shall be delivered or sent by registered or certified mail, postage
prepaid, and addressed as set forth below:

             (a) If to Buyer:           Geron Corporation.
                                        230 Constitution Drive
                                        Menlo Park, CA
                                        Fax: 650-473-7750
                                        Attention:  David Greenwood

             (b) If to Seller:          Lynx Therapeutics, Inc.
                                        25861 Industrial Blvd.
                                        Hayward, CA 94545
                                        Fax: 510-670-9303
                                        Attention:  Norman Russell

Any such notice shall be effective upon receipt. Either party may change the
address to which notices are to be addressed by giving the other party notice in
the manner herein set forth.

        5.11 Governing Law. This Agreement shall be construed and interpreted
according to the laws of the State of California, without regard to its conflict
of laws principles.

        IN WITNESS WHEREOF, the parties hereto have executed this Purchase
Agreement by their duly authorized representatives as of the day and year first
above written.

                                        LYNX THERAPEUTICS, INC.

                                        By /s/ Norman J.W. Russell
                                           -------------------------------------
                                        Name: Norman J.W. Russell
                                        Title: President and Chief Executive
                                               Officer

                                        GERON CORPORATION

                                        By: /s/ David L. Greenwood
                                            ------------------------------------
                                        Name: David L. Greenwood
                                        Title: Chief Financial Officer and
                                               Senior Vice President,
                                               Corporate Development

                                       7
<PAGE>

                                    EXHIBIT A

                                   ASSIGNMENT

                In consideration of good and valuable consideration paid to the
undersigned Assignor, Lynx Therapeutics, Inc., a corporation organized under the
laws of Delaware, having an office at 25861 Industrial Blvd., Hayward, CA 94545,
by the Assignee, Geron Corporation, Inc., a corporation organized under the laws
of Delaware, having an office at 230 Constitution Drive, Menlo Park, CA 94303,
the receipt of which is hereby acknowledged, the undersigned Assignor by these
presents hereby sells, assigns, transfers, and sets over unto the Assignee the
entire right, title, and interest in and to the patents and patent applications
described in Appendix A hereto and the inventions described therein, together
with any division, continuation, continuation-in-part, substitute, renewal,
reissue, extension, confirmation, reexamination, registration, patent term
extension or supplemental protection certificate thereof; all foreign
equivalents of any of the foregoing patents and applications; and all patents
issuing on any of the foregoing applications, including all treaty and
convention rights and the right to sue for present, past, and future
infringement, the same to be held and enjoyed by said Assignee, its successors,
assigns, or other legal representatives, to the full ends of the terms for which
all patents therefor may be granted, as fully and entirely as the same would
have been held and enjoyed by the undersigned if this assignment and sale had
not been made.

                And by this covenant the undersigned will execute or procure any
further necessary assurance of title to said patent applications and patents;
and at any time, upon the request and at the expense of said Assignee, will
execute and deliver any and all papers that may be necessary or desirable to
perfect the title to said patent applications or patents which may be granted
therefor in said Assignee, its successors, assigns or other legal
representatives, and, upon the request and at the expense of said Assignee, will
execute any additional or divisional applications for patents for said
inventions, or any part or parts thereof, and for the reissue of any patents
granted or to be granted therefor, and will make all rightful oaths and do all
lawful acts requisite for procuring the same or for aiding therein, without
further compensation, but at the expense of said Assignee, its successors,
assigns, or other legal representatives.

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

Witness:                                By
                                           -------------------------------------
                                           Name

--------------------------------------
Name:
                                        ----------------------------------------
                                        Title

AFFIX SEAL

<PAGE>

                                    EXHIBIT B

                                  LYNX PATENTS

<TABLE>
<CAPTION>
LYNX REF.  CNTRY  TYPE  STATUS  APP.NO.  FILING DATE  PATENT NO.  ISSUE DATE  PUB.NO.  PUB.DATE
---------  -----  ----  ------  -------  -----------  ----------  ----------  -------  --------
<S>        <C>    <C>   <C>     <C>      <C>          <C>         <C>         <C>      <C>
*          *      *     *       *        *            *           *

*          *      *     *       *        *            *           *

*          *      *     *       *        *            *           *

*          *      *     *       *        *            *           *

*          *      *     *       *        *            *           *

*          *      *     *       *        *            *           *

*          *      *    *        *        *

*          *      *    *        *        *

*          *      *    *        *        *                                    *        *

*          *      *    *        *        *            *           *           *        *

*          *      *    *        *        *

*          *      *    *        *        *

*          *      *    *        *        *

*          *      *    *        *        *

*          *      *    *        *        *

*          *      *    *        *        *

*          *      *    *        *        *
===============================================================================================

*          *      *    *        *        *            *           *

*          *      *    *        *        *            *           *

*          *      *    *        *        *            *           *

*          *      *    *        *        *

*          *      *    *        *        *                                    *        *

*          *      *    *        *        *

*          *      *    *        *        *            *           *

*          *      *    *        *        *                                    *        *

*          *      *    *        *        *                                    *        *

*          *      *    *        *        *

*          *      *    *        *        *

*          *      *    *        *        *            *           *

*          *      *    *        *        *                                    *        *
</TABLE>

<TABLE>
<CAPTION>
-----------------------------------------
*  CLIENT REF  TITLE  FILING DATE  STATUS
-  ----------  -----  -----------  ------
<S>     <C>    <C>    <C>    <C>    <C>
*  *           *      *            *

*  *           *      *            *

*  *           *      *            *
</TABLE>

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.
<PAGE>

                                    EXHIBIT C

                              NORTHWESTERN PATENTS

<TABLE>
<CAPTION>

                                                       FILING     ISSUE
LYNX REF.     SUBJECT MATTER                           DATE       DATE       PATENT NO.   STATUS
------------------------------------------------------------------------------------------------
<S>           <C>                                      <C>        <C>        <C>          <C>
*             *                                        *          *          *            *

*             *                                        *                                  *

*             *                                        *                                  *

*             *                                        *          *          *            *

*             *                                        *          *          *            *

*             *                                        *          *          *            *
</TABLE>

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.
<PAGE>

                                    EXHIBIT D

                              NORTHWESTERN LICENSE

                                LICENSE AGREEMENT

        This AGREEMENT made this twenty seventh day of October, 1993, by and
between NORTHWESTERN UNIVERSITY ("NORTHWESTERN"), an Illinois corporation having
a principal office at 633 Clark Street, Evanston, Illinois 60208, and Lynx
Therapeutics Inc. , a Delaware corporation having a principal office at 465
Lincoln Centre Drive, Foster City, California 94404 (hereinafter "LYNX").

                                 WITNESSES THAT:

        WHEREAS, NORTHWESTERN represents that Robert Letsinger, an employee of
NORTHWESTERN, and Sergei Gryaznov, a former employee of Northwestern (the
Inventors), have made a certain invention entitled
********************************************************************************
****************** while employed at NORTHWESTERN, and that a patent application
 has been filed thereon, having United States Serial Number ******** entitled
*********************.

        WHEREAS, NORTHWESTERN, subject to U.S. grant obligations has the right
to make, use, sell, and grant licenses under the INVENTION and PATENT RIGHTS as
defined herein; and NORTHWESTERN wishes to have the INVENTION, as defined by the
PATENT RIGHTS, utilized for the public interest; and

        WHEREAS LYNX desires to obtain a license to manufacture, sell, and use
the INVENTION and PATENT RIGHTS defined herein and upon the terms and conditions
hereinafter set forth;

        NOW, THEREFORE, in consideration of the promises and the faithful
performance of the covenants contained herein, IT IS AGREED:

        1.0 DEFINITIONS

        For the purposes of this Agreement, and solely for that purpose, the
terms hereinafter set forth shall be defined as follows:

        1.1 "INVENTION" shall mean the invention as described in EXHIBIT A,
and/or as covered in the PATENT RIGHTS.

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       11
<PAGE>

        1.2 "PATENT RIGHTS" shall mean the United States patent resulting from
the application having United States Serial Number ******** entitled ***********
************* for the INVENTION together with any divided, continuation, or
other continuation-in-part applications based thereon, and any reissues or
extensions based on any such patents, and any foreign counterparts pending or
issued thereof.

        1.3 "LICENSED PRODUCT" shall mean any products covered by, or the
manufacture, use, or sale of which is covered by, any INVENTION as described by
any valid claim in an issued and unexpired patent, which patent application or
patent is included in the PATENT RIGHTS.

        1.4 "FIELD OF USE" shall mean the use of the INVENTION and PATENT RIGHTS
for human therapeutics.

        1.5 "NET SALES PRICE" shall mean the gross sales price of any LICENSED
PRODUCT or INVENTION made and sold pursuant to this Agreement, less allowances
to customers for damaged or returned products and the amounts of discounts,
transportation charges, and all sales and excise taxes and duties paid,
absorbed, or allowed.

        2.0 LICENSE

        2.1 NORTHWESTERN hereby grants to LYNX and LYNX hereby accepts from
NORTHWESTERN, upon the terms and conditions herein specified, an exclusive
(except as herein specified), worldwide, and non-assignable (except as herein
specified) License to use the INVENTION and PATENT RIGHTS to test, evaluate, and
develop the INVENTION and LICENSED PRODUCT covered hereby and to make, have
made, use and sell the products thereof during the term of this Agreement, and
during the term of any extension thereof, unless sooner terminated as
hereinafter provided.

        2.2 NORTHWESTERN hereby grants to LYNX and LYNX hereby accepts from
NORTHWESTERN, upon the terms and conditions herein specified, the right to
extend the License granted hereunder to its sublicensee(s). LYNX shall promptly
notify NORTHWESTERN in writing that a sublicense has been granted no later than
the effective date of the sublicense. LYNX may negotiate such terms as it
chooses for each sublicense, provided that NORTHWESTERN shall receive a royalty
for all sales made by sublicensee(s) at a rate not less than that provided for
in this Agreement plus fifty percent (50%) of any lump sum amounts received by
LYNX from sublicensee(s) where there is no royalty.

        2.3 If LYNX shall so notify NORTHWESTERN in advance thereof in writing,
any sublicensee(s) to whom the License shall have been extended pursuant to
Paragraph 2.2 hereof may make the reports and royalty payments specified in
Paragraph 4.0 hereof directly to NORTHWESTERN on behalf of LYNX; otherwise, such
reports and payments on account of sales by such sublicensee(s) shall be made by
LYNX.

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       12
<PAGE>

        2.4 NORTHWESTERN retains a non-exclusive, royalty-free, irrevocable
License to make, have made and use the INVENTION, PATENT RIGHTS and LICENSED
PRODUCT for its own use.

        2.5 Outside the scope of the License between NORTHWESTERN and LYNX no
other, further, or different license or right, and no further power to
sublicense is hereby granted or implied.

        3.0 LICENSE ISSUE FEE

        3.1 LYNX shall pay to NORTHWESTERN, upon execution and delivery of this
Agreement, a license issue fee of ***********************.

        3.2 The total of the license issue fee provided for in the foregoing
Article 3.1 shall not be refundable and shall not be applied against any
royalties which may become payable under this Agreement.

        4.0 ROYALTIES, RECORDS AND REPORTS

        4.1 During the term of this Agreement, unless sooner terminated, LYNX
shall pay to NORTHWESTERN, in the manner hereinafter provided, earned royalties
at the rate of *** percent (****%) of the NET SALES PRICE of all LICENSED
PRODUCT sold by LYNX and its sublicensee(s), anywhere in the world.

        4.2 LICENSED PRODUCT shall be considered sold when sold or invoiced, and
if not sold or invoiced, when delivered to a third party.

        4.3 LYNX shall be responsible for the performance hereunder of all
obligations including payment of royalties, keeping of records, and reporting by
LYNX and any sublicensee(s) to whom the License shall have been extended
pursuant to this Agreement.

        4.4 So long as this Agreement remains in force, LYNX shall deliver to
NORTHWESTERN, within sixty (60) days after the first day of January and July of
each year, a true and accurate report, giving such particulars of the business
conducted by LYNX and its sublicensee(s) during the preceding six (6) months
under this Agreement as are necessary to accurately account for sales subject to
royalties under this Agreement.

        4.5 Simultaneously with the delivery of each report required by the
preceding paragraph 4.4, LYNX shall pay to NORTHWESTERN the net royalties and
any other such payment due under this Agreement for the period covered by such
report. If no royalties are due, it shall be so reported.

        4.6 All payments from LYNX to NORTHWESTERN shall be in U.S. dollars. The
rates of exchange for such payments shall be midpoint between the buying and
selling rates for U.S.

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       13
<PAGE>

dollars as quoted by the Chase Manhattan Bank in New York, New York at the close
of business on the last business day preceding the date payment is due.

        4.7 In case of any delay in payment by LYNX to NORTHWESTERN not
occasioned by force majeure, interest at the rate of one percent (1%) per month,
assessed from the thirty-first day after the due date of said payment, shall be
due by LYNX without any special notice.

        4.8 Royalties shall accrue in accordance with this Agreement, upon the
first commercial sale of a licensed product.

        4.9 LYNX shall keep full, true, and accurate books of account containing
all particulars which may be necessary for the purpose of showing the amount
payable to NORTHWESTERN by way of royalty as aforesaid or by way of any other
provision hereunder. Said books of account shall be kept at LYNX'S principal
place of business. Said books and the supporting data shall be open at all
reasonable times, for three (3) years following the end of the calendar year to
which they pertain, to inspection by NORTHWESTERN for the purpose of verifying
LYNX'S royalty statements, or LYNX'S compliance in other respects with this
Agreement.

        4.10 LYNX shall reimburse NORTHWESTERN for all out-of-pocket costs of
filing, prosecution and maintenance for all patent applications and all patents
issuing thereon filed and made at the request of LYNX. All such patents and
patent applications shall become part of the PATENT RIGHTS licensed to LYNX
hereunder. Such reimbursements shall be made to NORTHWESTERN within sixty (60)
days of receipt of invoice by LYNX. Any reimbursements made by LYNX hereunder
shall be creditable by LYNX against royalty payable by it pursuant to Article
4.1 above. With respect to each payment due NORTHWESTERN, LYNX may deduct up to
50% of each such payment for the above-referenced costs and expenses incurred by
LYNX in filing, prosecuting, or maintaining any patent or patent application
until LYNX has been fully reimbursed for all such costs and expenses incurred.
United States patent costs shall be credited to earned royalties on the NET
SALES PRICE of LICENSED PRODUCTS in the United States and foreign patent costs
shall be credited to foreign NET SALES PRICE.

        5.0 AUDITING

        5.1 NORTHWESTERN and its representatives will be entitled to examine and
audit all reports of sales of the LICENSED PRODUCT by LYNX and any sublicensee
at any time during normal business hours. In the event that an audit reveals any
underpayment or undercredit or royalties and/or milestone payments by LYNX
subject to the provisions herein, LYNX will promptly pay or credit to
NORTHWESTERN, as the case may be, the full amount of that underpayment or
undercredit, together with interest thereon at a rate of one percent (1%) per
month, assessed from the thirty-first day after said payment was due. In the
event that the audit reveals an underpayment or undercredit of more than 3% of
the amount which should have been reported and paid, LYNX or sublicensee, as the
case may be, will promptly pay the entire cost of that audit.

                                       14
<PAGE>

        6.0 PERFORMANCE

        6.1 LYNX shall use commercially reasonable efforts to commence and
maintain regular commercial production and sale of LICENSED PRODUCT.

        6.2 If earned royalties for the years 1994, 1995, 1996 and 1997 and
thereafter are less than ******** dollars ($*****), ******** dollars ($*****),
******* dollars ($******), and *********** dollars ($******) respectively, the
following minimum royalty payments shall be due to NORTHWESTERN on the following
dates:

        ******** dollars ($******) due January 1, 1995;

        ******** dollars ($******) due January 1, 1996;

        ******** dollars ($******) due January 1, 1997;

        ******** dollars ($******) due January 1, 1998

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       15
<PAGE>

and each year thereafter during the term of this Agreement or any extensions
thereof.

        7.0 TERM AND EXTENSION

        7.1 This exclusive License shall continue until the expiration of the
last to expire of any patents under PATENT RIGHTS.

        8.0 TERMINATION

        8.1 If LYNX shall become bankrupt or insolvent and/or if the business of
LYNX shall be placed in the hands of a Receiver, Assignee, or Trustee, whether
by the voluntary act of LYNX or otherwise, this License will be deemed to have
automatically terminated as of a date ****** (***) days prior to that event,
provided, however, that such termination shall not terminate any obligations
which may have accrued prior thereto.

        8.2 Notwithstanding provisions of Article 6.1, upon any breach or
default under this Agreement by LYNX, NORTHWESTERN may terminate this License by
***** (****) days written notice by registered mail to LYNX. Said notice shall
become effective at the end of said period, unless during said period LYNX shall
cure such breach or default and notify NORTHWESTERN thereof.

        8.3 LYNX may terminate this License at any time upon ******* (***) days
written notice by registered mail to NORTHWESTERN.

        8.4 Upon termination of this License for any reason, all rights granted
hereunder shall revert to NORTHWESTERN for the sole benefit of NORTHWESTERN.

        8.5 Termination of this License shall result in all sublicenses being
assigned to NORTHWESTERN.

        8.6 LYNX's responsibilities and obligations to report to NORTHWESTERN
and pay royalties to NORTHWESTERN as to any LICENSED PRODUCTS produced or sold
by LYNX or its sublicensees under this Agreement prior to termination or
expiration hereof shall survive such termination or expiration.

        8.7 In the event that this Agreement is terminated by either party, LYNX
agrees to provide NORTHWESTERN with names and addresses of sublicensees and
copies of all Sublicense Agreements between LYNX and sublicensees as then known
to LYNX.

        9.0 ASSIGNMENT

        9.1 This Agreement may be assigned by NORTHWESTERN.
This Agreement may be assigned by LYNX to the successor of its entire business,
or to any wholly-owned subsidiary, but shall not be otherwise assignable by LYNX
without the written consent of NORTHWESTERN.

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       16
<PAGE>

        10.0 INFRINGEMENT

        10.1 NORTHWESTERN agrees to protect its patents within the PATENT RIGHTS
from infringement and prosecute infringers when in its reasonable judgment such
action may be proper and justified. LYNX shall have the right to sue infringers
in its own name if NORTHWESTERN elects not to do so.

        10.2 In the event either party hereto shall initiate or carry on legal
proceedings to enforce the PATENT RIGHTS against an alleged infringer, the other
party hereto shall fully cooperate with the party initiating or carrying on such
proceedings.

        10.3 In the event NORTHWESTERN or LYNX shall institute suit or other
legal proceedings to protect or enforce PATENT RIGHTS as provided herein, the
other party shall have the option to join in such proceedings and shall be
entitled to be represented by counsel of its own choosing. From any recovery
awarded as a result of such suit or legal proceedings, (i) the initiating party
may recover the full amount of its expenses of prosecuting the same (including
attorney's fees and court costs); (ii) the other party may then recover, to the
extent possible after full payment of (i) above, the full amount of its costs of
participating in the same; (iii) NORTHWESTERN, after full payment of (i) and
(ii) above, shall receive ***** percent (***%) of any remainder; and (iv) the
initiating party may retain the balance. A party shall not discontinue or settle
any such suit or legal proceedings brought by it without obtaining prior
concurrence of the other party, and giving the other party a timely opportunity
to continue such proceedings in its own name, under its sole control, at its
sole expense, and at its sole recovery.

        11.0 SEVERABILITY

        11.1 Should any part or provision of this Agreement be unenforceable or
otherwise in conflict with or in violation of the law of any jurisdiction, the
remainder of this Agreement shall remain binding upon the parties.

        12.0 INDEMNITY AND NEGATION OF WARRANTIES

        12.1 LYNX agrees to indemnify, hold harmless and defend NORTHWESTERN,
its officers, employees, and agents against any and all claims, suits, losses,
damages, costs, fees, and expenses resulting from or arising out of the
production or use of the LICENSED PRODUCTS by LYNX, its sublicensees, and others
purchasing, using and/or receiving the LICENSED PRODUCTS.

        12.2 LYNX shall maintain appropriate insurance, in good standing, at
least in the amount of ********* dollars ($*******) per occurrence, the amount
subject to change from time to time as designated by NORTHWESTERN in writing,
naming NORTHWESTERN as additional insured. LYNX shall deliver to NORTHWESTERN a
copy of such insurance policy and all extensions thereof.

        12.3 Nothing in this Agreement shall be construed as:

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       17
<PAGE>

             12.31 a warranty or representation by NORTHWESTERN as to the
validity or scope of any Patent Rights; or

             12.32 a warranty or representation that anything made, used, sold
or otherwise disposed of under any license granted in this Agreement is or will
be free from infringement of patents of third parties; or;

             12.33 an obligation by NORTHWESTERN to bring or prosecute actions
or suits against third parties for infringement.

        12.4 NORTHWESTERN makes no representation other than those specified in
this Agreement. NORTHWESTERN MAKES NO EXPRESS OR IMPLIED WARRANTIES OF
MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF LICENSED PRODUCT.

        13.0 GENERAL

        13.1 LYNX shall not use the name of any Inventor listed in PATENT
RIGHTS, of any institution with which he has been or is connected, nor of
NORTHWESTERN, nor any adaptation of any of them, in any advertising, promotional
or sales literature, without prior written consent obtained from NORTHWESTERN in
each case.

        13.2 Any notice required or permitted to be given by this Agreement
shall be given postpaid first class certified mail; unless otherwise stated:

        TO LYNX:      LYNX THERAPEUTICS, INC.
                      465 Lincoln Centre Drive
                      Foster City, California 94404
                      Attn: Mr. Timothy Geiser

        TO LICENSOR:  NORTHWESTERN UNIVERSITY
                      Technology Transfer Program
                      633 Clark Street
                      Evanston, Illinois 60208
                      Attn: Administrator
                      Technology Transfer Program

Such addresses may be altered by written notice. If no time limit is specified
for a notice required or permitted to be given under this Agreement, the time
limit therefore shall be twenty (20) full business days, not including the day
of mailing.

        13.3 This Agreement and its effect is subject to and shall be construed
and enforced in accordance with the laws of the State of Illinois, United States
of America.

        13.4 The parties to this Agreement recognize and agree that each is
operating as an independent contractor and not as an agent of the other.

                                       18
<PAGE>

        13.5 The captions herein are for convenience only and shall not be
deemed to limit or otherwise affect the construction thereof.

        13.6 Any waiver by either party of the breach of any term or condition
of this agreement will not be considered as a waiver of any subsequent breach of
the same or any other term or condition hereof.

        14.0 ENTIRE AGREEMENT

        14.1 This Agreement sets forth the entire agreement and understanding
between the parties as to the subject matter of this Agreement, and merges all
prior discussion's between them. Neither of the parties shall be bound by any
conditions, definitions, warranties, or representations with respect to the
subject matter of this Agreement or as duly set forth on or subsequent to the
date hereof in writing unless signed by a proper and duly authorized
representative of the party to be bound thereby.

        IN WITNESS WHEREOF, the parties hereto have hereunto set their hands and
duly executed this Agreement as of the day and the year first above written.

                                        NORTHWESTERN UNIVERSITY

ATTEST:                                 By: /s/ C. W. Kern
        -----------------------------       ------------------------------------
        Asst. Secretary                 C. William Kern
                                           Vice President for Research

Date: 10/29/93                          Date: October 29, 1993
      --------------                          ----------------------

                                        LYNX THERAPEUTICS

ATTEST /s/ Lynn C. Soucy                By:/s/Timothy Geiser
       ---------------------------         -------------------------------------
                                           Timothy Geiser Ph.D.
                                           Vice President,
                                           Technology Development
                                           Manufacturing and Operations

Date: November 3, 1993                  Date: 3 November 1993
      ----------------------                  ----------------------

                                       19
<PAGE>

                                    EXHIBIT E

                            CRUACHEM, INC. SUBLICENSE

                                LICENSE AGREEMENT

        This License Agreement ("Agreement") is effective as of the 15th day of
June, 1998 ("Effective Date"), by and between Cruachem, Inc., a Delaware
corporation, having its principal office at 34 Mount Pleasant Drive, Aston,
Pennsylvania 19014 ("Licensee"), and Lynx Therapeutics, Inc., a Delaware
corporation, having its principal office at 3832 Bay Center Place, Hayward,
California, USA ("Licensor").

                                    RECITALS

        WHEREAS, Licensor owns and is an exclusive licensee of proprietary
technology relating to oligonucleotide N3'->P5' phosphoramidates, their
manufacture, and their uses in a variety of fields ("Amidate Technology");

        WHEREAS, Licensee has expertise in nucleic acid chemistry and is in the
business of manufacturing, marketing, selling, and distributing nucleic acid
compounds; and

        WHEREAS, Licensee desires to acquire from Licensor, and Licensor desires
to grant to Licensee in exchange for the consideration described below the right
to use Licensor's Amidate Technology to manufacture, market, sell, and
commercialize oligonucleotide N3'-->P5' phosphoramidates in the Research Field.

        NOW, THEREFORE, in view of the foregoing premises and in consideration
of the mutual promises and covenants contained in the Agreement, Licensor and
Licensee agree as follows:

ARTICLE 1.     DEFINITIONS.

                                       20
<PAGE>

        1.1 "Affiliate" means a corporation, partnership, entity, person, firm,
company or joint venture that controls, is controlled by or is under the common
control with the referenced Party. For the purposes of this definition the word
"control" (including, with correlative meaning, the terms "controlled by" or "is
under the common control with") means the power to direct or cause the direction
of the management and policies of such entity, or the ownership of at least
fifty percent (50%) of the voting stock of such entity.

        1.2 "Licensed Product" shall mean any product(s) whose manufacture, use,
or sale in any country would, but for this Agreement, comprise an infringement,
including contributory infringement, of one or more Valid Claims.

        1.3 "Monomer Licensed Product" shall mean a Licensed Product which is a
monomer used in the synthesis of an oligonucleotide N3'--->P5' phosphoramidate.

        1.4 "Net Sales" means the total amount invoiced or otherwise charged by
Licensee or its Affiliates or its sublicensee on account of the final or end
product sale of a Licensed Product to a non-Affiliate, less the following
deductions to the extent actually incurred or allowed based upon the sale of
such Licensed Product:

        (a) credits, allowances, discounts and rebates to, and chargebacks from
the account of, such non-Affiliate for spoiled, damaged, out dated and returned
Licensed Product;

        (b) freight and insurance costs for transporting such Licensed Product,
to the extent invoiced to the purchaser;

        (c) sales, value-added and other direct taxes on the sale of the
Licensed Product;

        (d) customs duties, surcharges and other governmental charges incurred
in connection with the exportation or importation of such Licensed Product;

        (e) trade, cash, and quantity discounts off of the invoiced price and
similar promotional discounts (such as management fees required by hospital
buying groups) off the invoiced price, all to the extent consistent with normal
practice in the industry;

        (f) amounts reflecting retroactive price adjustments on sale of Licensed
Products, to the extent not previously deducted from Net Sales; and

                                       21
<PAGE>

        (g) rebates or chargebacks made on the sale of such Licensed Product, to
the extent consistent with the normal practice in the industry, and provided
that any and all of the foregoing are calculated in accordance with generally
accepted accounting principles applicable to the locality where the invoices are
prepared and consistently applied.

        1.5 "Patent Rights" shall mean the patents and patent applications
listed in Exhibit A; and with respect to U.S. patents and applications, all
foreign equivalents thereof; and patents issuing on said foreign and U.S. patent
applications. "Patent Rights" shall also include any divisional, continuation,
reissue, reexamination or extension of the above-described patent applications
and resulting patents, along with any extended or restored term, and any
confirmation patent, registration patent, or patent of addition.

        1.6 "Research Field" shall mean any use in the field of scientific or
commercial research, excepting any use that Involves treating humans in any way
whatsoever for any condition or any use that involves diagnosis of, testing for,
or detection of, a disease condition, or the predisposition or susceptibility
thereto, or the clinical progress thereof.

        1.7 "Valid Claim" means any claim(s) in an unexpired patent or pending
in a patent application included within the Patent Rights which has not been
held unenforceable, unpatentable, or invalid by a decision of a court or other
governmental agency of competent jurisdiction, unappealable or unappealed within
the time allowed for appeal, and which has not been admitted to be invalid or
unenforceable through reissue or disclaimer.

ARTICLE 2.     GRANT.

        2.1 Subject to all the terms and limitations of this Agreement, Licensor
hereby grants to Licensee and its Affiliates a worldwide non-exclusive
royalty-bearing license, without the right to sublicense, under the Patent
Rights to make, market, distribute, and sell Licensed Products and/or Monomer
Licensed Products in the Research Field; provided, however, that Monomer
Licensed Products shall be distributed or sold only to qualified licensees of
Licensor under the

                                       22
<PAGE>

Patent Rights.

        2.2 Licensee covenants that it will not make, use, market, distribute,
and sell Licensed Products outside the Research Field, nor shall Licensee or any
of its Affiliates promote the use, marketing, distribution, or sale of Licensed
Products outside the Research Field.

        2.3 Licensee will promptly disclose and hereby grants back to Licensor a
worldwide, royalty-free, sublicensable license of a scope that permits Licensor
to fully exploit any improvement made in the manufacture, purification, or
quality control of oligonucleotide N3'---> P5' phosphoramidates during the term
of this Agreement; provided that such improvements would be covered by or within
the scope of a Valid Claim of a patent or patent application licensed hereunder.
For other improvements made in the manufacture, purification, or quality control
of oligonucleotide N3'--->P5' phosphoramidates during the term of this Agreement
that are not covered by or within the scope of a Valid Claim of a patent or
patent application licensed hereunder, Licensee hereby grants Licensor an option
to a worldwide royalty-bearing license, with right to Sublicense, to make, use,
and sell such improvements under reasonable terms.

ARTICLE 3. ROYALTIES.

        3.1 In consideration of the rights and licenses herein granted to it,
Licensee shall pay to Licensor a royalty of **** percent (***%) on the Net Sales
of Licensed Products and Monomer Licensed Products sold by Licensee or its
Affiliates, provided, however, that from and after the first anniversary of the
Effective Date of the Agreement, Licensee shall pay to Licensor a royalty amount
which is the greater of ******* Dollars ($*****) and **** percent (***%) of the
Net Sales of Licensed Products and Monomer Licensed Products sold by Licensee or
its Affiliates. Royalties on Net Sales of Licensed Products are payable by
Licensee until the last patent under Patent Rights, embodying a Valid Claim,
expires.

        3.2 Payments of royalties on Net Sales of Licensed Products (other than
the minimum annual royalties whose payment schedule is set forth below) under
this Article are to be made to

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       23
<PAGE>

Licensor within forty-five (45) days of the end of each December and June for
sales invoiced in the six month period prior to the end of each of those months.
Royalties shall be accompanied by a statement that shall include for each
country in which sales of products occurred: the gross sales and Net Sales in
each country's currency; the royalty rate; the related amounts payable in each
country's currency; the applicable exchange rate to convert from each country's
currency to U.S. dollars; and the amounts payable in U.S. dollars. Royalties
shall first be calculated in the currency of the country in which sales took
place and then directly converted to U.S. Dollars using the exchange rate as
reported in the Wall Street Journal for the last business day of the calendar
quarter of sales. All payments hereunder shall be made to Licensor in U.S.
dollars by bank wire transfer in immediately available funds to such account
designated by Licensor. The paying party shall provide notice at least five (5)
business days prior to the wire transfer date of the amount of payment, the
nature of the payment (with reference to the applicable section of the subject
agreement) and the date of receipt of good funds. Such notice should be given to
the Controller of Licensor at the address set forth at the beginning of this
Agreement or such other address directed by Licensor.

         3.3 Any payment under this Article not paid by the payment due date
shall bear interest at the rate which is the lesser of ten percent (10%) per
annum or the maximum rate permitted by applicable law, calculated on the number
of days such payment is delinquent.

         3.4 The payments under this Article shall be free and clear of any
taxes, duties, levies, fees or charges, except for withholding taxes (to the
extent applicable). The paying party shall make any withholding payments due on
behalf of Licensor and shall promptly provide Licensor with written
documentation of any such payment sufficient to satisfy the reasonable
requirements of an appropriate tax authority concerning an application by
Licensor for a foreign tax credit for such payment or for similar treatment. The
paying party agrees to take such reasonable and lawful steps as Licensor may
request to minimize the amount of tax to which the payments to Licensor are
subject.

ARTICLE 4.     DUE DILIGENCE.

                                       24
<PAGE>

        4.1 Licensee shall at its expense:

        (a) use its best efforts to promote the sale of the Licensed Products
and Monomer Licensed Products and to satisfy market demand for them;

        (b) engage in advertising and sales promotion of Licensed Products and
Monomer Licensed Products; and

        (c) maintain an active and suitably trained sales force to carry out
such efforts.

        4.2 Licensee's due diligence obligation shall be deemed satisfied
hereunder by documented expenditures of at least ************* dollars
($*******) on sales promotion and marketing of Licensed Products in the
following amounts in the following periods:

<TABLE>
<CAPTION>
Sale promotion & marketing expenses         Period during which amount is expended
-----------------------------------         --------------------------------------
<S>                                         <C>
        $ ********.                         From Effective Date to 1st anniversary thereof
        $ ********.                         From 1st anniversary to 2nd anniversary
        $ ********.                         From 2nd anniversary to 3rd anniversary
</TABLE>

ARTICLE 5.     QUALITY ASSURANCE.

        5.1 Licenses shall use its best efforts to make Licensed Products and
Monomer Licensed Products of the highest quality for their intended use.
Licensee shall make Licensed Products and Monomer Licensed Products with the
minimal purity standards set forth in Exhibit B.

ARTICLE 6.     BOOKS AND RECORDS.

        6.1 Licensee shall keep, for at least three (3) years, records of all
sales of products in sufficient detail to permit Licensor to confirm the
accuracy of Licensee's payment calculations. Once a year, at the request and the
expense of Licensor, upon at least five (5) days prior written notice, Licensee
shall permit a nationally recognized, independent, certified public accountant,

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       25
<PAGE>

appointed by Licensor and acceptable to Licensee, access to these records during
regular business hours solely to the extent necessary to verify such
calculations, provided that such an accountant has entered into a
confidentiality agreement with Licensee with terms substantially similar to the
confidentiality provisions of this Agreement, limiting the use and disclosure of
such information to purposes germane to this section. Results of any such
examination shall be made available to both parties to this Agreement. If such
examination reveals an underpayment of amounts by five percent (5%) or more,
Licensee shall pay all costs of such examination. In the event such accountant
concludes that additional payments are owed, the additional payments shall be
paid within thirty (30) days of the date Licensor delivers to Licensee the
accountant's written report reflecting such conclusion. This section shall
survive any termination of this Agreement for ten (10) years.

ARTICLE 7.     TERM AND TERMINATION.

        7.1 Unless otherwise terminated by operation of law or by acts of the
parties in accordance with the terms of this Agreement, this Agreement shall be
in force from the Effective Date and shall remain in effect for the life of the
last-to-expire patent licensed under this Agreement, or until the last patent
application licensed under this Agreement is abandoned.

        7.2 Any termination of this Agreement will not affect the rights and
obligations set forth in the following Articles:

               Article 3. Royalties
               Article 6. Books and Records
               Article 10. Indemnification
               Article 11. Confidentiality
               Article 12. Use of Names

        7.3 If Licensee should violate or fail to perform any material term or
covenant of this Agreement, then Licensor may give written notice of such
default ("Notice of Default") to Licensee. If Licensee should fail to repair
such default within sixty (60) days after the date of

                                       26
<PAGE>

such Notice of Default, Licensor shall have the right to terminate this
Agreement and the licenses herein by a second written notice ("Notice of
Termination") to Licensee. If a Notice of Termination is sent to Licensee, this
Agreement shall automatically terminate on the date such notice takes effect.
Such termination shall not relieve Licensee of its obligation to pay any royalty
or license fees owing at the time of such termination and will not impair any
accrued right of Licensor. Material terms under this Agreement include, but are
not Limited to, Article 2 (Grant), Article 3 (Royalties), Article 4 (Due
Diligence), Article 5 (Quality Assurance), Article 6 (Books and Records), and
Article 10 (Indemnification).

        7.4 Licensee shall have the right at any time to terminate this
Agreement by giving notice in writing to Licensor. Such Notice of Termination
shall be effective sixty (60) days after the date thereof.

        7.5 Any termination pursuant to the above paragraph shall not relieve
Licensee of any obligation or liability accrued hereunder prior to such
termination or rescind anything done by Licensee or any payments made to
Licensor hereunder prior to the time such termination becomes effective, and
such termination shall not affect in any manner rights of Licensor arising under
this Agreement prior to such termination.

ARTICLE 8.     REPRESENTATIONS AND WARRANTIES.

        8.1 Licensor warrants and represents to Licensee that it has the lawful
right to grant the license under this Agreement and that the Licensor has made
all filings and paid all fees and done all such other things as to maintain the
Patent Rights in good standing.

        8.2 This license and the associated inventions are provided WITHOUT
WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR ANY OTHER
WARRANTY, EXPRESS OR IMPLIED. LICENSOR MAKES NO REPRESENTATION OR WARRANTY THAT
THE INVENTION OR LICENSED PRODUCTS WILL NOT INFRINGE ANY PATENT OR OTHER
PROPERTY RIGHT.

                                       27
<PAGE>

        8.3 Nothing in this Agreement shall be construed as: (a) a warranty or
representation by Licensor as to the validity, enforceability, or scope of any
of the Patent Rights hereunder, or elsewhere; (b) a warranty or representation
that anything made, used, sold, or otherwise disposed of under any license
granted in this Agreement is or will be free from infringement of patents of
third parties; (c) an obligation to bring or prosecute actions or suits against
third parties for patent infringement, except as provided in Article 11; (d)
conferring by implication, estoppel, or otherwise, any license or rights under
any patents or patent applications of Licensor other than those of the Patent
Rights as defined herein; or (e) an obligation to furnish to Licensee any
know-how or other information relating to the Patent Rights.

ARTICLE 9.     LIMITATION OF LIABILITY.

        9.1 In no event shall Licensor be liable for any incidental, special, or
consequential damages resulting from exercise of the license granted herein or
the use of any invention described in any of the Patent Rights or the use of any
Licensed Products.

ARTICLE 10.    INDEMNIFICATION.

        10.1 Licensee will indemnity hold harmless, and defend Licensor, its
officers, employees, and agents against any and all claims, suits, losses,
damage, costs, fees, and expenses resulting from or arising out of exercise of
this license. This indemnification will include, but will not be limited to, any
product liability.

        10.2 Licensor will indemnity, hold harmless, and defend Licensee, its
officers, employees, and agents against any and all claims, suits, losses,
damage, costs, fees, and expenses resulting from or arising out of acts or
omissions which are the sole responsibility of Licensor. This indemnification
will include, but will not be limited to, any product liability.

ARTICLE 11.    CONFIDENTIALITY.

                                       28
<PAGE>

        11.1 Licensee and Licensor respectively will treat and maintain the
proprietary business, patent prosecution, software, engineering drawings,
process and technical information, and other proprietary information
("Proprietary Information") of the other party in confidence using at least the
same degree of care as that party uses to protect its own proprietary
information of a like nature for a period from the date of disclosure until five
years after the date of termination of this Agreement.

        11.2 All Proprietary Information will be labeled or marked confidential
or as otherwise similarly appropriate by the disclosing party, or if the
Proprietary Information is orally disclosed, it will be reduced to writing or
some other physically tangible form, marked and labeled as set forth above by
the disclosing party, and delivered to the receiving party within 30 days after
the oral disclosure as a record of the disclosure and the confidential nature
thereof Notwithstanding the foregoing, Licensee and Licensor may use and
disclose Proprietary Information to its employees, agents, consultants,
contractors, provided that any such parties are bound by a like duty of
confidentiality.

        11.3 Nothing contained herein will in any way restrict or impair the
right of Licensee or Licensor to use, disclose, or otherwise deal with any
Proprietary Information:

        11.3a  that recipient can demonstrate by written records was previously
known to it;

        11.3b that is now, or becomes in the future, public knowledge other than
through acts or omissions by recipient.

        11.3c that is lawfully obtained without restrictions by recipient from
sources independent of the disclosing party;

        11.3d that is required to be disclosed to a governmental entity or
agency in connection with seeking any governmental or regulatory approval, or
pursuant to the lawful requirement or

                                       29
<PAGE>

request of a governmental entity or agency; or

        11.3e that is furnished to a third party by the recipient with similar
confidentiality restrictions imposed on such third party, as evidenced in
writing.

        11.4 Upon termination of this Agreement, Licensee and Licensor will
destroy or return to the disclosing party proprietary information received from
the other in its possession within 15 days following the effective date of
termination. Licensee and Licensor will provide each other, within 30 days
following termination, with a written notice that Proprietary Information has
been returned or destroyed. Each party may, however, retain one copy of
Proprietary Information for archival purposes in non-working files.

ARTICLE 12.    USE OF NAMES.

        12.1 Neither party shall use the name or trademarks of the other party
without the prior written consent of the other party. Notwithstanding the
previous sentence, Licensee shall prominently display in catalogues, brochures,
or other advertisements or materials describing Licensed Products, Licensor's
name in association with such products in one of the following forms: "LYNX",
"Lynx", "Lynx Therapeutics", or "Lynx Therapeutics, Inc."

ARTICLE 13.    NOTICES.

        13.1 Any notice or payment required to be given to either party will be
deemed to have been properly given and to be effective (a) on the date of
delivery if delivered in person or (b) five days after mailing if mailed by
first-class certified mail, postage paid, to the respective addresses given
below, or to another address as it may designate by written notice given to the
other party.

              As to Licensor:           Lynx Therapeutics, Inc.

                                       30
<PAGE>

                                        3832 Bay Center Place
                                        Hayward, CA 94545
                                        Attn: CEO

              As to Licensee:           Cruachem, Inc.
                                        34 Mount Pleasant Drive
                                        Aston, PA 19014
                                        Attn: CEO

ARTICLE 14.    ASSIGNABILITY.

        14.1 Neither this Agreement nor any rights or benefits hereunder shall
be assignable or transferable by Licensee without the prior written consent of
Licensor, except that Licensee may assign its rights and obligations under this
Agreement as a part of the sale or transfer of its entire business.

ARTICLE 15.    GOVERNING LAWS.

        15.1 This Agreement shall be considered to have been made in the United
States, and shall be interpreted in accordance with the laws of the State of
California.

ARTICLE 16.    MISCELLANEOUS.

        16.1 Headings. The headings of the several sections are inserted for
convenience of reference only and are not intended to be a part of or to affect
the meaning or interpretation of this Agreement.

        16.2 Entire Agreement. This Agreement embodies the entire understanding
of the parties and will supersede all previous communication, representations or
understandings, either oral or

                                       31
<PAGE>

written, between the parties relating to the subject matter hereof. No amendment
or modification hereof will be valid or binding upon the parties unless made in
writing and signed on behalf of each party.

        16.3 Severability. In case any of the provisions contained in the
Agreement are held to be invalid, illegal, or unenforceable in any respect, such
invalidity, illegality, or unenforceability will not affect any other provisions
hereof, but this Agreement will be construed as if such invalid or illegal or
unenforceable provisions had never been contained herein.

        16.4 Waiver. It is agreed that no waiver by either party hereto of any
breach or default of any of the covenants or agreements herein set forth will be
deemed a waiver as to any subsequent and /or similar breach or default.

        16.5 No Agency. Nothing herein shall be deemed to create an agency,
joint venture, or partnership relationship between Licensee and Licensor.

                                       32
<PAGE>

        16.7 Export Control Laws. Licensee will observe all applicable United
States and foreign laws with respect to the transfer of Licensed Products and
related technical data to foreign countries, including, without limitation, the
International Traffic in Arms Regulations (ITAR) and the Export Administration
Regulations.

        16.8 Patent Marking. Licensee will mark all Licensed Products made,
distributed, or sold under the terms of this Agreement, or their containers, in
accordance with the applicable patents marking laws. Licensee shall prominently
display in catalogues, brochures, or other advertisements or materials
describing Licensed Products, a label license statement with the following, or
comparable, restriction:

        Purchase of this product is accompanied by a license under U.S. patents
        5,599,922; 5,591,607; 5,631,135; 5,726,297; 5,476,925; 5,646,260; their
        foreign counterparts, and other pending patents, owned or exclusively
        licensed by Lynx Therapeutics, Inc., to use this product for research
        only. Use in humans or use for diagnostic purposes is not authorized.

        In Witness Whereof, Licensee and Licensor have caused this Agreement to
be duly executed by their duly authorized representatives as of the date first
shown herein.

LYNX THERAPEUTICS, INC.                               CRUACHEM, INC.

By:                                     By:
   ----------------------------------      -------------------------------------

Title:                                  Title:
      -------------------------------         ----------------------------------

                                       33
<PAGE>

                    EXHIBIT A. (TO CRUACHEM, INC. SUBLICENSE)

                                 PATENT RIGHTS.

<TABLE>
<CAPTION>
                                            Filing
                                             Date                       Issue
Docket No.            Subject Matter        (m-d-y)       Ser. No.      Date     Pat.No.
<S>                   <C>                   <C>           <C>           <C>      <C>
   *                        *                  *             *            *         *
   *                        *                  *             *            *         *
   *                        *                  *             *            *         *
   *                        *                  *             *            *         *
   *                        *                  *             *            *         *
   *                        *                  *             *            *         *
</TABLE>

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       34
<PAGE>

                    EXHIBIT B. (TO CRUACHEM, INC. SUBLICENSE)

                           MINIMUM QUALITY ASSURANCE.

1. Oligonucleotide N3'->P5' phosphoramidates:

        Minimum purity of * percent (*%) as measured by ion exchange
chromatograpy or capillary electrophoresis.

11. Monomers:

        Minimum purity of * percent (*%) as measured by reverse phase HPLC.

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       35
<PAGE>

                                    EXHIBIT F

                         JBL SCIENTIFIC, INC. SUBLICENSE

                                LICENSE AGREEMENT

        This License Agreement ("Agreement") is effective as of ________________
("Effective Date"), by and between JBL Scientific. Inc., a corporation, having
its principal office at 277 Granada Drive, San Luis Obispo. California. USA.
("Licensee"). and Lynx Therapeutics. Inc., a Delaware corporation. having its
principal office at 3832 Bay Center Place, Hayward California, USA ("Licensor").

                                    RECITALS

        WHEREAS, Licensor owns and is an exclusive licensee of proprietary
technology relating to oligonucleotide N3'--->P5' phosphoramidates, their
manufacture, and their uses in a variety of fields ("Amidate Technology");

        WHEREAS, Licensee has expertise in nucleic acid chemistry and is in the
business of manufacturing, marketing, selling, and distributing nucleic acid
compounds; and

        WHEREAS, Licensee desires to acquire from Licensor, and Licensor desires
to grant to Licensee in exchange for the consideration described below the right
to use Licensor's Amidate Technology to manufacture, market, sell, and
commercialize oligonucleotide N3'-->P5' phosphoramidates in the Research Field.

        NOW, THEREFORE, in view of the foregoing premises and in consideration
of the mutual promises and covenants contained in the Agreement, Licensor and
Licensee agree as follows:

ARTICLE 1.     DEFINITIONS.

                                       36
<PAGE>

        1.1 "Affiliate" means a corporation, partnership, entity, person, firm,
company or joint venture that controls, is controlled by or is under the common
control with the referenced Party. For the purposes of this definition the word
"control" (including, with correlative meaning, the terms "controlled by" or "is
under the common control with") means the power to direct or cause the direction
of the management and policies of such entity, or the ownership of at least
fifty percent (50%) of the voting stock of such entity.

        1.2 "Licensed Product" shall mean any product(s) whose manufacture, use,
or sale in any country would, but for this Agreement, comprise an infringement,
including contributory infringement, of one or more Valid Claims.

        1.3 "Monomer Licensed Product" shall mean a Licensed Product which is a
monomer used in the synthesis of an oligonucleotide N3'->P5' phosphoramidate.

        1.4 "Net Sales" means the total amount invoiced or otherwise charged by
Licensee or its Affiliates or its sublicensee on account of the final or end
product sale of a Licensed Product to a non-Affiliate, less the following
deductions to the extent actually incurred or allowed based upon the sale of
such Licensed Product:

        (a) credits, allowances, discounts and rebates to, and chargebacks from
the account of, such non-Affiliate for spoiled, damaged, out dated and returned
Licensed Product;

        (b) freight and insurance costs for transporting such Licensed Product,
to the extent invoiced to the purchaser,

        (c) sales, value-added and other direct taxes on the sale of the
Licensed Product;

        (d) customs duties, surcharges and other governmental charges incurred
in connection the exportation or importation of such Licensed Product;

        (e) trade, cash, and quantity discounts off of the invoiced price and
similar promotional discounts (such as management fees required by hospital
buying groups) off the invoiced price, all to the extent consistent with normal
practice in the industry;

        (f) amounts reflecting retroactive price adjustments on sale of Licensed
Products, to the extent not previously deducted from Net Sales; and

                                       37
<PAGE>

        (g) rebates or chargebacks made on the sale of such Licensed Product, to
the extent consistent with the normal practice in the industry, and provided
that any and all of the foregoing are calculated in accordance with generally
accepted accounting principles applicable to the locality where the invoices are
prepared and consistently applied.

        1.5 "Patent Rights" shall mean the patents and patent applications
listed in Exhibit A; and with respect to U.S. patents and applications, all
foreign equivalents thereof, and patents issuing on said foreign and U.S. patent
applications. "Patent Rights" shall also include any divisional, continuation,
reissue, reexamination or extension of the above-described patent applications
and resulting patents, along with any extended or restored term, and any
confirmation patent, registration patent, or patent of addition.

        1.6 "Research Field" shall mean any use in the field of scientific or
commercial research, excepting any use that involves treating humans in any way
whatsoever for any condition or any use that involves diagnosis of, testing for,
or detection of, a disease condition, or the predisposition or susceptibility
thereto, or the clinical progress thereof

        1.7 "Valid Claim" means any claim(s) in an unexpired patent or pending
in a patent application included within the Patent Rights which has not been
held unenforceable, unpatentable, or invalid by a decision of a court or other
governmental agency of competent jurisdiction, unappealable or unappealed within
the time allowed for appeal, and which has not been admitted to be invalid or
unenforceable through reissue or disclaimer.

ARTICLE 2.     GRANT.

        2.1 Subject to all the terms and limitations of this Agreement, Licensor
hereby grants to Licensee and its Affiliates a worldwide non-exclusive
royalty-bearing license, without the right to sublicense. Under the Patent
Rights to make, market, distribute, and sell Licensed Products and/or Monomer
Licensed Products in the Research Field.

                                       38
<PAGE>

        2.2 Licensee covenants that it will not make, use, market, distribute,
and sell Licensed Products outside the Research Field, nor shall Licensee or any
of its Affiliates promote the use, marketing, distribution, or sale of Licensed
Products outside the Research Field.

        2.3 Licensee will promptly disclose and hereby grants back to Licensor a
worldwide, royalty-free sublicensable license of a scope that permits Licensor
to fully exploit any improvement made in the manufacture, purification, or
quality control of oligonucleotide N3'-> P5' phosphoramidates during the term of
this Agreement; provided that such improvements would be covered by or within
the scope of a Valid Claim of a patent or patent application licensed hereunder.
For other improvements made in the manufacture, purification, or quality control
of oligonucleotide N3'->P5' phosphoramidates during the term of this Agreement
that are not covered by or within the scope of a Valid Claim of a patent or
patent application licensed hereunder, Licensee hereby grants Licensor an option
to a worldwide royalty-bearing license, with right to sublicense, to make, use,
and sell such improvements under reasonable terms.

ARTICLE 3.     ROYALTIES.

        3.1 In consideration of the rights and licenses herein granted to it,
Licensee shall pay to Licensor a royalty of * percent (*%) on the Net Sales of
Licensed Products and Monomer Licensed Products sold by Licensee or its
Affiliates; provided, however, that from and after the first anniversary of the
Effective Date of the Agreement, Licensee shall pay to Licensor a royalty amount
which is the greater of * dollars ($*) and * percent (*%) of the Net Sales of
Licensed Products and Monomer Licensed Products sold by Licensee or its
Affiliates. Royalties on Net Sales of Licensed Products are payable by Licensee
until the last patent under Patent Rights, embodying a Valid Claim, expires.

        3.2 Payments of royalties on Net Sales of Licensed Products (other than
the minimum annual royalties whose payment schedule is set forth below) under
this Article are to be made to Licensor within forty-five (45) days of the end
of each December and June for sales invoiced in

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       39
<PAGE>

the six month period prior to the end of each of those months. Royalties shall
be accompanied by a statement that shall include for each country in which sales
of products occurred: the gross sales and Net Sales in each country's currency;
the royalty rate; the related amounts payable in each country's currency; the
applicable exchange rate to convert from each country's currency to U.S.
dollars; and the amounts payable in U.S. dollars. Royalties shall first be
calculated in the currency of the country in which sales took place and then
directly converted to U.S. Dollars using the exchange rate as reported in the
Wall Street Journal for the last business day of the calendar quarter of sales.
All payments hereunder shall be made to Licensor in U.S. dollars by bank wire
transfer in immediately available funds to such account designated by Licensor.
The paying party shall provide notice at least five (5) business days prior to
the wire transfer date of the amount of payment, the nature of the payment (with
reference to the applicable section of the subject agreement) and the date of
receipt of good funds. Such notice should be given to the Controller of Licensor
at the address set forth at the beginning of this Agreement or such other
address directed by Licensor.

        3.3 Any payment under this Article not paid by the payment due date
shall bear interest at the rate which is the lesser of ten percent (10%) per
annum or the maximum rate permitted by applicable law calculated on the number
of days such payment is delinquent.

        3.4 The payments under this Article shall be free and clear of any
taxes, duties, levies, fees or charges, except for withholding taxes (to the
extent applicable). The paying party shall make any withholding payments due on
behalf of Licensor and shall promptly provide Licensor with written
documentation of any such payment sufficient to satisfy the reasonable
requirements of an appropriate tax authority concerning an application by
Licensor for a foreign tax credit for such payment or for similar treatment. The
paying party agrees to take such reasonable and lawful steps as Licensor may
request to minimize the amount of tax to which the payments to Licensor are
subject.

ARTICLE 4.     DUE DILIGENCE.

                                       40
<PAGE>

        4.1 Licensee shall at its expense:

        (a) use its best efforts to promote the sale of the Licensed Products
and Monomer Licensed Products and to satisfy market demand for them;

        (b) engage in advertising and sales promotion of Licensed Products and
Monomer Licensed Products; and

        (c) maintain an active and suitably trained sales force to carry out
such efforts.

        4.2 Licensee's due diligence obligation shall be deemed satisfied
hereunder by documented expenditures of at least * dollars ($*) on sales
promotion and marketing of Licensed Products in the following amounts in the
following periods:

<TABLE>
<CAPTION>
Sale promotion & marketing expenses     Period during which amount is expended
-----------------------------------     --------------------------------------
<S>                                     <C>
        $ *.                            From Effective Date to 1st anniversary thereof
        $ *.                            From 1st anniversary to 2nd anniversary
        $ *.                            From 2nd anniversary to 3rd anniversary
</TABLE>

ARTICLE 5.     QUALITY ASSURANCE.

        5.1 Licensee shall use its best efforts to make Licensed Products and
Monomer Licensed Products of the highest quality for their intended use.
Licensee shall make Licensed Products and Monomer Licensed Products with the
minimal purity standards set forth in Exhibit B.

ARTICLE 6.     BOOKS AND RECORDS.

        6.1 Licensee shall keep, for at least three (3) years, records of all
sales of products in sufficient detail to permit Licensor to confirm the
accuracy of Licensee's payment calculations. Once a year at the request and the
expense of Licensor, upon at least five (5) days prior written notice, Licensee
shall permit a nationally recognized, independent, certified public accountant,
appointed by Licensor and acceptable to Licensee, access to these records during
regular business hours solely to the extent necessary to verify such
calculations, provided that such an accountant has entered into a
confidentiality agreement with Licensee with terms substantially

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       41
<PAGE>

similar to the confidentiality provisions of this Agreement, limiting the use
and disclosure of such information to purposes germane to this section. Results
of any such examination shall be made available to both parties to this
Agreement. If such examination reveals an underpayment of amounts by five
percent (5%) or more, Licensee shall pay all costs of such examination. In the
event such accountant concludes that additional payments are owed, the
additional payments shall be paid within thirty (30) days of the date Licensor
delivers to Licensee the accountant's written report reflecting such conclusion.
This section shall survive any termination of this Agreement for ten (10) years.

ARTICLE 7.     TERM AND TERMINATION.

        7.1 Unless otherwise terminated by operation of law or by acts of the
parties in accordance with the terms of this Agreement, this Agreement shall be
in force from the Effective Date and shall remain in effect for the life of the
last-to-expire patent licensed under this Agreement, or until the last patent
application licensed under this Agreement is abandoned.

        7.2 Any termination of this Agreement will not affect the rights and
obligations set forth in the following Articles:

                      Article 3. Royalties
                      Article 6. Books and Records
                      Article 10. Indemnification
                      Article 11. Confidentiality
                      Article 12. Use of Names

        7.3 If Licensee should violate or fall to perform any material term or
covenant of this Agreement, then Licensor may give written notice of such
default ("Notice of Default") to Licensee. If Licensee should fail to repair
such default within sixty (60) days after the date of such Notice of Default,
Licensor shall have the right to terminate this Agreement and the licenses
herein by a second written notice ("Notice of Termination") to Licensee. If a
Notice of

                                       42
<PAGE>

Termination is sent to Licensee, this Agreement shall automatically terminate on
the date such notice takes effect. Such termination shall not relieve Licensee
of its obligation to pay any royalty or license fees owing at the time of such
termination and will not impair any accrued right of Licensor. Material terms
under this Agreement include, but are not limited to, Article 2 (Grant), Article
3 (Royalties), Article 4 (Due Diligence), Article 5 (Quality Assurance), Article
6 (Books and Records), and Article 10 (Indemnification).

        7.4 Licensee shall have the right at any time to terminate this
Agreement by giving notice in writing to Licensor. Such Notice of Termination
shall be effective sixty (60) days after the date thereof

        7.5 Any termination pursuant to the above paragraph shall not relieve
Licensee of any obligation or liability accrued hereunder prior to such
termination or rescind anything done by Licensee or any payments made to
Licensor hereunder prior to the time such termination becomes effective, and
such termination shall not affect in any manner rights of Licensor arising under
this Agreement prior to such termination.

ARTICLE 8. REPRESENTATIONS AND WARRANTIES.

        8.1 Licensor warrants and represents to Licensee that it has the lawful
right to grant the license under this Agreement and that the Licensor has made
all filings and paid all fees and done all such other things as to maintain the
Patent Rights in good standing.

        8.2 This license and the associated inventions are provided WITHOUT
WARRANTY OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR ANY OTHER
WARRANTY, EXPRESS OR IMPLIED. LICENSOR MAKES NO REPRESENTATION OR WARRANTY THAT
THE INVENTION OR LICENSED PRODUCTS WILL NOT INFRINGE ANY PATENT OR OTHER
PROPERTY RIGHT.

        8.3 Nothing in this Agreement shall be construed as: (a) a warranty or
representation by

                                       43
<PAGE>

Licensor as to the validity, enforceability, or scope of any of the Patent
Rights hereunder, or elsewhere; (b) a warranty or representation that anything
made, used, sold, or otherwise disposed of under any license granted in this
Agreement is or will be free from infringement of patents of third parties: (c)
an obligation to bring or prosecute actions or suits against third parties for
patent infringement, except as provided in Article 11; (d) conferring by
implication, estoppel, or otherwise, any license or rights under any patents or
patent applications of Licensor other than those of the Patent Rights as defined
herein; or (e) an obligation to furnish to Licensee any know-how or other
information relating to the Patent Rights.

ARTICLE 9. LIMITATION OF LIABILITY.

        9.1 In no event shall Licensor be liable for any incidental, special, or
consequential damages resulting from exercise of the license granted herein or
the use of any invention described in any of the Patent Rights or the use of any
Licensed Products.

ARTICLE 10.    INDEMNIFICATION.

        10.1 Licensee will indemnify, hold harmless, and defend Licensor, its
officers, employees, and agents against any and all claims, suits, losses,
damage, costs, fees, and expenses resulting from or arising out of exercise of
this license. This indemnification will include, but will not be limited to, any
product liability.

ARTICLE 11.    CONFIDENTIALITY.

        11.1 Licensee and Licensor respectively will treat and maintain the
proprietary business, patent prosecution, software, engineering drawings,
process and technical information, and other proprietary information
("Proprietary Information") of the other party in confidence using at least the
same degree of care as that party uses to protect its own proprietary
information of a like

                                       44
<PAGE>

nature for a period from the date of disclosure until five years after the date
of termination of this Agreement.

        11.2 All Proprietary Information will be labeled or marked confidential
or as otherwise similarly appropriate by the disclosing party, or if the
Proprietary Information is orally disclosed, it will be reduced to writing or
some other physically tangible form, marked and labeled as set forth above by
the disclosing party, and delivered to the receiving party within 30 days after
the oral disclosure as a record of the disclosure and the confidential nature
thereof. Notwithstanding the foregoing, Licensee and Licensor may use and
disclose Proprietary Information to its employees, agents, consultants,
contractors, provided that any such parties are bound by a like duty of
confidentiality.

        11.3 Nothing contained herein will in any way restrict or impair the
right of Licensee or Licensor to use, disclose. or otherwise deal with any
Proprietary Information:

        11.3a that recipient can demonstrate by written records was previously
known to it;

        11.3b that is now, or becomes in the future, public knowledge other than
through acts or omissions by recipient.

        113c that is lawfully obtained without restrictions by recipient from
sources independent of the disclosing party;

        11.3d that is required to be disclosed to a governmental entity or
agency in connection with seeking any governmental or regulatory approval, or
pursuant to the lawful requirement or request of a governmental entity or
agency; or

        11.3e that is furnished to a third party by the recipient with similar
confidentiality restrictions imposed on such third party, as evidenced in
writing.

                                       45
<PAGE>

        11.4 Upon termination of this Agreement, Licensee and Licensor will
destroy or return to the disclosing party proprietary information received from
the other in its possession within 15 days following the effective date of
termination. Licensee and Licensor will provide each other, within 30 days
following termination, with a written notice that Proprietary Information has
been returned or destroyed. Each party may, however, retain one copy of
Proprietary Information for archival purposes in non-working files.

ARTICLE 12. USE OF NAMES.

        12.1 Neither party shall use the name or trademarks of the other party
without the prior written consent of the other party. Notwithstanding the
previous sentence, Licensee shall prominently display in catalogues, brochures,
or other advertisements or materials describing Licensed Products, Licensor's
name in association with such products in one of the following forms: "LYNX",
"Lynx", "Lynx Therapeutics", or "Lynx Therapeutics, Inc."

ARTICLE 13.    NOTICES.

        13.1 Any notice or payment required to be given to either party will be
deemed to have been properly given and to be effective (a) on the date of
delivery if delivered in person or (b) five days after mailing if mailed by
first-class certified mail, postage paid, to the respective addresses given
below, or to another address as it may designate by written notice given to the
other party.

                      As to Licensor:   Lynx Therapeutics, Inc.
                                        3832 Bay Center Place
                                        Hayward, CA 94545

                                        Attn: CEO

                      As to Licensee:   JBL Scientific, Inc.

                                       46
<PAGE>

                                        277 Granada Drive
                                        San Luis Obispo, CA 93401

                                        Attn: President

ARTICLE 14.    ASSIGNABILITY.

        14.1 Neither this Agreement nor any rights or benefits hereunder shall
be assignable or transferable by Licensee without the prior written consent of
Licensor, except that Licensee may assign its rights and obligations under this
Agreement as a part of the sale or transfer of its entire business.

ARTICLE 15.    GOVERNING LAWS.

        15.1 This Agreement shall be considered to have been made in the United
States and shall be interpreted in accordance with the laws of the State of
California.

ARTICLE 16.    MISCELLANEOUS.

        16.1 Headings. The headings of the several sections are inserted for
convenience of reference only and are not intended to be a part of or to affect
the meaning or interpretation of this Agreement.

        16.2 Entire Agreement. This Agreement embodies the entire understanding
of the parties and will supersede all previous communication, representations or
understandings, either oral or written, between the parties relating to the
subject matter hereof. No amendment or modification hereof will be valid or
binding upon the parties unless made in writing and signed on behalf of each
party.

        16.3 Severability. In case any of the provisions contained in the
Agreement are held to be

                                       47
<PAGE>

invalid, illegal, or unenforceable in any respect, such invalidity, illegality.
or unenforceability will not affect any other provisions hereof, but this
Agreement will be construed as if such invalid or illegal or unenforceable
provisions had never been contained herein.

        16.4 Waiver. It is agreed that no waiver by either party hereto of an
breach or default of any of the covenants or agreements herein set forth will be
deemed a waiver as to any subsequent and/or similar breach or default.

        16.5 No Agency. Nothing herein shall be deemed to create an agency,
joint venture, or partnership relationship between Licensee and Licensor.

        16.7 Export Control Laws. Licensee will observe all applicable United
States and foreign laws with respect to the transfer of Licensed Products and
related technical data to foreign countries, including, without limitation, the
International Traffic in Arms Regulations (ITAR) and the Export Administration
Regulations.

        16.8 Patent Marking. Licensee will mark all Licensed Products made,
distributed, or sold under the terms of this Agreement, or their containers, in
accordance with the applicable patents marking laws. Licensee shall prominently
display in catalogues, brochures, or other advertisements or materials
describing Licensed Products, a label license statement with the following, or
comparable, restriction:

        Purchase of this product is accompanied by a license under U.S. patents
        5,599,922; 5,837,835; 5,591,607; 5,631,135; 5,726,297; 5,684,143;
        5,824,793; 5,859,233; 5,476.925; 5,646,260; 5,648,480; their foreign
        counterparts, and other pending patents, owned or exclusively licensed
        by Lynx Therapeutics, Inc., to use this product for research only. Use
        in humans or use for diagnostic purposes is not authorized.

        In Witness Whereof, Licensee and Licensor have caused this Agreement to
be duly executed by their duly authorized representatives as of the date first
shown herein.

                                       48
<PAGE>

LYNX THERAPEUTICS, INC.                 JBL SCIENTIFIC, INC.

By:                                     By:
   ---------------------------------       ------------------------------------

Title:                                  Title:
      ------------------------------          ---------------------------------

                                       49
<PAGE>

                       EXHIBIT A. (TO JBL SCIENTIFIC, INC. SUBLICENSE)
                                 PATENT RIGHTS.

<TABLE>
<CAPTION>
                                            Filing
                                             Date                       Issue
Docket No.            Subject Matter        (m-d-y)       Ser. No.      Date    Pat. No.
<S>                   <C>                   <C>           <C>           <C>     <C>
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
*                     *.                    *             *             *       *
</TABLE>

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       50
<PAGE>

                       EXHIBIT B. (TO JBL SCIENTIFIC, INC. SUBLICENSE)

                           MINIMUM QUALITY ASSURANCE.

I. Oligonucleotide N3'-->P5' phosphoramidates:

        Minimum purity of * percent (*%) as measured by ion exchange
        chromatograpy or capillary electrophoresis.

II. Monomers

        Minimum purity of *percent (*%) as measured by reverse phase HPLC.

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       51
<PAGE>

                                    EXHIBIT G

            TERMS FOR EXCLUSIVE SUBLICENSE UNDER NORTHWESTERN LICENSE

<TABLE>
<S>                   <C>
Definitions:          Same as in Northwestern License

License Grant:        Exclusive worldwide sublicense of all Lynx's rights under the
                      Northwestern License, subject to the terms and conditions of the
                      Northwestern License

License Fee:          None

Royalties:            As provided in Section 4.1 of the Northwestern License, payable
                      directly to Northwestern

Patent Costs:         Reimbursement to Northwestern as provided in Section 4.10 of the
                      Northwestern License

Minimum Royalty:      As provided in Section 6.2 of the Northwestern License, payable
                      directly to Northwestern

Term:                 Equal to the term of the Northwestern License

Termination:          Lynx will not terminate the Northwestern License without the express
                      prior written consent of Geron

Indemnity:            Indemnification of Northwestern as provided in Sections 12.1 and 12.2
                      of the Northwestern License

Existing              Sublicenses: Geron's rights will be subject to the
                      existing Sublicenses, and Geron will be entitled to all
                      royalties and other sublicensor rights (and responsible
                      for all sublicensor obligations) under such Sublicenses,
                      including without limitation the obligation to pay
                      Northwestern its share, if any, of royalties from such
                      Sublicenses.

Other Terms:          As negotiated by the parties, *.
</TABLE>

* Certain information on this page has been omitted and filed separately with
the Commission. Confidential treatment has been requested with respect to the
omitted portions.

                                       52

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