Dynavax Technologies (DVAX) 8-K Dynavax Reports Second Quarter 2011 Financial Results

Exhibit 99.1

2929 Seventh Street, Suite 100

Berkeley, CA 94710

Contacts:
Jennifer Lew	Michael Ostrach
Vice President, Finance	Vice President and Chief Business Officer
510-665-7217	510-665-7257
jlew@dynavax.com	mostrach@dynavax.com

DYNAVAX REPORTS SECOND QUARTER 2011 FINANCIAL RESULTS

BERKELEY, CA – July 20, 2011 – Dynavax Technologies Corporation (NASDAQ: DVAX) today reported financial results for the second quarter ended June 30, 2011. Cash, cash equivalents and marketable securities were $61.7 million at June 30, 2011, compared to $53.2 million at March 31, 2011 and $72.2 million at December 31, 2010. During the second quarter, the Company raised approximately $18.7 million through its At-the-Market common stock purchase agreement with Aspire Capital and received a $6 million milestone payment from GlaxoSmithKline from the initiation of a Phase 1 trial in the partnered lupus program.

About Dynavax

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

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DYNAVAX TECHNOLOGIES CORPORATION

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share amounts)

(Unaudited)

	Three Months Ended June 30,						Six Months Ended June 30,
	2011			2010			2011			2010
Revenues:
Collaboration revenue	$	6,363		$	1,341		$	6,729		$	8,762
Grant revenue		890			617			1,779			1,479
Service and license revenue		16			233			505			294
Total revenues		7,269			2,191			9,013			10,535
Operating expenses:
Research and development		13,257			14,045			27,929			26,525
General and administrative		4,054			4,173			8,808			8,743
Amortization of intangible assets		54			245			299			490
Total operating expenses		17,365			18,463			37,036			35,758
Loss from operations		(10,096	)		(16,272	)		(28,023	)		(25,223	)
Interest income		23			39			56			41
Interest expense		(487	)		(431	)		(977	)		(830	)
Other expense		(75	)		(11,340	)		(157	)		(11,176	)
Net loss	$	(10,635	)	$	(28,004	)	$	(29,101	)	$	(37,188	)
Basic and diluted net loss per share	$	(0.09	)	$	(0.34	)	$	(0.25	)	$	(0.54	)
Shares used to compute basic and diluted net loss per share		117,864			82,012			116,801			68,264

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DYNAVAX TECHNOLOGIES CORPORATION

RECONCILIATION OF GAAP OPERATING EXPENSES TO PRO FORMA OPERATING

EXPENSES

(In thousands)

(Unaudited)

	Three Months Ended June 30,				Six Months Ended June 30,
	2011		2010		2011		2010
GAAP operating expenses	$	17,365	$	18,463	$	37,036	$	35,758
LESS: Stock-based compensation expense		1,167		425		2,647		966
Amortization of intangible assets		54		245		299		490
Pro forma operating expenses(1)	$	16,144	$	17,793	$	34,090	$	34,302

(1) These pro forma amounts are intended to illustrate the Company’s operating expenses excluding certain non-cash charges in accordance with the financial statements that management uses to evaluate the Company’s operations. These pro forma results are not in accordance with, or an alternative for, generally accepted accounting principles and may be different from pro forma measures used by other companies.

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DYNAVAX TECHNOLOGIES CORPORATION

SELECTED BALANCE SHEET DATA

(In thousands)

(Unaudited)

	June 30, 2011		December 31, 2010
Assets
Cash and cash equivalents and marketable securities	$	61,724	$	72,154
Property and equipment, net		6,570		6,404
Goodwill		2,312		2,312
Other intangible assets, net		—		299
Other assets		3,824		3,080
Total assets	$	74,430	$	84,249
Liabilities and stockholders’ equity
Accounts payable	$	1,742	$	2,329
Accrued liabilities		7,755		10,943
Current portion of deferred revenue		1,429		1,429
Noncurrent portion of deferred revenue		4,940		5,655
Long-term note payable to Holdings		11,874		10,939
Long-term contingent liability to Holdings		860		843
Total stockholders’ equity		45,830		52,111
Total liabilities and stockholders’ equity	$	74,430	$	84,249

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