Exhibit 99.1

                 VaxGen to Present Update at SG Cowen Conference

            Company To Increase Cash and Revenue Projections for 2003

WHAT:       VaxGen CEO Lance K. Gordon, Ph.D., will provide updated guidance
            regarding expected cash and revenue from grants and contracts.
            VaxGen expects total cash, which is composed of revenue and capital
            from other sources of cash, to total $20.4 million this year.
            Revenue alone is expected to total $16.1 million, up 24% from
            previous guidance of $13 million. These figures do not include $18
            million in available cash that VaxGen had as of Dec. 31, 2002.

            Dr. Gordon will also review VaxGen's smallpox, anthrax and AIDS
            vaccines programs. VaxGen is the only U.S.-based company selected by
            the National Institutes of Health to develop a new anthrax vaccine.
            VaxGen is also planning to develop a safer smallpox vaccine, which
            is currently licensed in Japan, for use in the United States and
            elsewhere. Additionally, Dr. Gordon will review the results from
            VaxGen's first Phase III AIDS vaccine trial and discuss
            opportunities for Celltrion, Inc., VaxGen's joint venture in
            biopharmaceutical manufacturing.

WHO:        Lance K. Gordon, Ph.D., VaxGen CEO

WHEN:       8 a.m. and 9 a.m., EST, March 19, 2003

WHERE:      Marriott Copley Place
            Boston, MA

HOW:        To view a webcast of either or both the 8 a.m. and 9 a.m.
            presentations, go to Calendar of Events in the Investor Relations
            section of VaxGen's web site at www.vaxgen.com. For a link to the
            entire conference, including VaxGen's presentations, go to
            www.sgcowen.com and select "Conferences." Both presentations contain
            the same slides but will feature different question-and-answer
            periods.

About VaxGen

VaxGen is focused on the commercial development of biologic products for the
prevention and treatment of human infectious diseases and is currently
developing vaccines against anthrax, smallpox and HIV/AIDS. Additionally, VaxGen
is the largest shareholder of Celltrion, Inc., a joint venture created to
provide large-scale manufacturing services, principally for products produced in
mammalian cell culture. VaxGen is located in Brisbane, Calif. For more
information, please visit the company's web site at: www.vaxgen.com.

Contact:    Kesinee Yip (650) 624-2304.


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Note:

This press release contains "forward-looking statements" within the meaning of
the federal securities laws. These forward-looking statements include without
limitation, statements regarding VaxGen's expected cash and revenue, the timing
and progress of completion of development efforts for VaxGen's anthrax,
smallpox, or HIV/AIDS vaccine candidates, the need for clinical trials to
support licensure of any of the vaccine candidates, and the timing and progress
of the Company's second Phase III clinical trial of AIDSVAX in Thailand. These
statements are subject to risks and uncertainties that could cause actual
results and events to differ materially from those anticipated. Reference should
be made to VaxGen's Quarterly Report on Form 10-Q, filed with the Securities and
Exchange Commission on November 14, 2002, under the heading "Risk Factors" and
to VaxGen's Annual Report on Form 10-K, filed with the Securities and Exchange
Commission on April 1, 2002, under the heading "Business" for a more detailed
description of such factors. Readers are cautioned not to place undue reliance
on these forward-looking statements that speak only as of the date of this
release. VaxGen undertakes no obligation to update publicly any forward-looking
statements to reflect new information, events, or circumstances after the date
of this release except as required by law. AIDSVAX(R) is a registered trademark
of VaxGen.


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