Corixa Announces First Quarter Financial Results

Corixa Corporation (Nasdaq:CRXA), a developer of
immunotherapeutics, today announced financial results for the first
quarter ended March 31, 2005.
   For the first quarter of 2005, Corixa reported total revenue of
$7.2 million compared with total revenue of $6.0 million for the first
quarter of 2004. Net loss applicable to common stockholders for the
first quarter of 2005 was $12.4 million, compared with net loss of
$21.2 million for the first quarter of 2004. Diluted net loss per
common share for the first quarter of 2005 was $0.21 compared with
diluted net loss per common share of $0.38 for the first quarter of
2004. Excluding acquisition-related charges, such as intangible and
deferred compensation amortization and restructuring charges, net loss
applicable to common stockholders and diluted net loss per common
share for the first quarter of 2005 were $12.0 million and $0.20,
respectively, compared with net loss applicable to common stockholders
and diluted net loss per common share of $21.0 million and $0.38,
respectively for the first quarter of 2004.
   On December 31, 2004, Corixa transferred all worldwide rights and
responsibilities related to the manufacturing, development and
commercialization of the BEXXAR(R) therapeutic regimen to
GlaxoSmithKline (GSK). As a result, Corixa has classified all of its
revenue and expenses related to BEXXAR since its approval as a
discontinued operation in its statement of operations.
   A reconciliation of the Generally Accepted Accounting Principles
(GAAP), net loss and net loss per share to the respective non-GAAP
amounts for the three months ended March 31, 2005 and March 31, 2004,
is set forth at the end of this press release.
   As of March 31, 2005, Corixa had $99.4 million in cash, cash
equivalents and investments.
   On April 29, 2005, Corixa announced that it had signed a
definitive agreement with GSK under which GSK has agreed to acquire
Corixa. GSK will pay $4.40 in cash for each share of Corixa common
stock, or common stock equivalent, or approximately $300 million,
representing a 48 percent premium to $2.98, which was Corixa's closing
share price on April 28, 2005. Closing of the transaction is subject
to customary regulatory approvals as well as approval by holders of a
majority of the outstanding shares of Corixa stock and common stock
equivalents. A stockholder vote will be held following mailing of a
proxy statement describing the transaction in further detail. The
proxy statement is currently under preparation. Corixa's annual
general meeting of stockholders will take place as previously
scheduled on May 31, 2005.
   "During the first quarter we made progress in a number of areas
including our efforts to meet GSK's need for increased adjuvant
production," said Steven Gillis, Ph.D., chairman and chief executive
officer of Corixa. "We are continuing our work with GSK to increase
the supply of MPL and will provide further information on GSK's
proposed acquisition of Corixa as it becomes available."

   Conference Call

   Corixa will hold a conference call and webcast to discuss the
first quarter financial results on May 9, 2005 at 2 p.m. PDT/5 p.m.
EDT. To access the live conference call, dial 800-818-5264 or
913-981-4910. Webcast participants can sign up at the Investors page
of Corixa's Web site (http://www.corixa.com/default.asp?pid=invest). A
recorded replay of the conference call can be accessed through the Web
site, or by dialing 888-203-1112 or 719-457-0820 and entering code
5886134. The call will be rebroadcast from May 9, 2005 at 8 p.m. EDT
to May 30, 2005 at 11:59 p.m. EDT.

   About Corixa

   Corixa is a biopharmaceutical company developing vaccine adjuvants
and immunology based products that manage human diseases. Corixa's
products are currently in multiple clinical development programs,
including several that have advanced to and through late-stage
clinical trials. The company partners with numerous developers and
marketers of pharmaceuticals, targeting products that are Powered by
Corixa(TM) technology with the goal of making its potential products
available to patients around the world. Corixa was founded in 1994 and
is headquartered in Seattle, with additional operations in Hamilton,
Montana. For more information, please visit Corixa's Web site at
www.corixa.com.

   Corixa Forward-Looking Statements

   This press release contains forward-looking statements, including
statements regarding the pending acquisition of Corixa by GSK,
statements regarding the potential increase in supply of MPL adjuvant,
and other statements regarding our plans, objectives, intentions and
expectations. Forward-looking statements are based on the opinions and
estimates of management at the time the statements are made. They are
subject to certain risks and uncertainties that could cause actual
results to differ materially from any future results, performance or
achievements expressed or implied by such statements. Factors that
could affect Corixa's actual results include, but are not limited to,
the risk that the transaction with GSK is not consummated, the risk
that we are unable to increase the supply of MPL adjuvant and the
"Factors Affecting Our Operating Results, Our Business and Our Stock
Price," described in our Annual Report on Form 10-K for the year ended
December 31, 2004, copies of which are available from our investor
relations department. Readers are cautioned not to place undue
reliance on these forward-looking statements, which speak only as of
the date of this release.

   Additional Information About the Proposed Acquisition and Where to
Find It

   Corixa will file a proxy statement with the SEC in connection with
the proposed acquisition of Corixa by GSK. Corixa urges investors and
security holders to read the proxy statement when it becomes available
and any other relevant documents filed with the SEC because they will
contain important information. Investors and security holders will be
able to obtain these documents free of charge at the website
maintained by the SEC at www.sec.gov. Additionally, documents filed
with the SEC by Corixa are available free of charge on Corixa's
website at www.corixa.com. Documents on Corixa's website will not be
part of the filing.
   Corixa's directors and executive officers may be deemed to be
participants in the solicitation of proxies from the stockholders of
Corixa in connection with the transaction. A description of certain of
the interests of directors and executive officers of Corixa is set
forth in the proxy statement for Corixa's 2005 annual meeting of
stockholders, which was filed with the SEC on April 20, 2005.
Investors and security holders may obtain additional information
regarding the interest of such participants by reading the proxy
statement regarding the acquisition when it becomes available.
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                 Consolidated Statement of Operations

                                                Three months ended
                                                     March 31,
                                             -------------------------
                                                 2005         2004
                                             ------------ ------------
Revenue:
  Collaborative agreements                   $     4,609  $     4,585
  Product sales                                    1,566          581
  Government grants and contracts                  1,010          791
                                              -----------  -----------
    Total revenue                                  7,185        5,957

Operating expenses:
  Research and development                        14,133       16,716
  Sales, general and administrative                2,271        2,441
  Manufacturing                                    1,098          488
  Restructuring                                      237            2
                                              -----------  -----------
    Total operating expenses                      17,739       19,647
                                              -----------  -----------
Loss from operations                             (10,554)     (13,690)
Interest income                                      563          955
Interest expense                                  (1,385)      (1,780)
Other income                                           5            -
                                              -----------  -----------
Net loss from continuing operations              (11,371)     (14,515)
Net loss from discontinued operations               (901)      (6,396)
                                              -----------  -----------
Net loss                                         (12,272)     (20,911)
Preferred stock dividend                             (81)        (255)
                                              -----------  -----------
Net loss applicable to common stockholders   $   (12,353) $   (21,166)
                                              ===========  ===========
Basic and diluted net loss per common share:
   Continuing operations                     $     (0.19) $     (0.26)
                                              ===========  ===========
   Discontinued operations                   $     (0.02) $     (0.12)
                                              ===========  ===========
   Net loss applicable to common
    stockholders                             $     (0.21) $     (0.38)
                                              ===========  ===========
Shares used in computation of basic and
 diluted net loss per common share                59,523       55,489
                                              ===========  ===========


                                              March 31,   December 31,
                                                 2005         2004
                                              -----------  -----------
Balance Sheet Data:
Cash, cash equivalents and securities
 available-for-sale                          $    99,427  $   116,187
Working capital                                   59,733       72,878
Total assets                                     168,131      191,201
Long-term obligations less current portion       118,604      119,110
Accumulated deficit                           (1,283,239)  (1,270,967)
Total stockholders' equity                         7,703       20,292


                                                Three months ended 
                                                     March 31,
                                                 2005         2004
                                              -----------  -----------
Non-GAAP Financial Measures:
Reconciliation of net loss to net loss
 excluding acquisition related charges:

Net loss applicable to common stockholders   $   (12,353) $   (21,166)
  Intangible asset and leasehold
   amortization                                      110          182
  Deferred compensation amortization                   -            9
  Restructuring                                      237            2
                                             ----------- -----------
Net loss excluding acquisition related
 charges                                     $   (12,006) $   (20,973)
                                              ===========  ===========
Basic and diluted net loss per share
 excluding acquisition related charges       $     (0.20) $     (0.38)
                                              ===========  ===========

To supplement our consolidated financial statements presented on a
GAAP basis, Corixa uses non-GAAP measures of net loss and net loss per
share, which are adjusted to exclude certain expenses we believe
appropriate to enhance an overall understanding of our past financial
performance and also our prospects for the future. These adjustments
to our current period GAAP results are made with the intent of
providing both management and investors a more complete understanding
of Corixa's underlying operational results and trends and our
marketplace performance. For example, the non-GAAP results are an
indication of our baseline performance before other charges that are
considered by management to be outside of our core operating results.
In addition, these adjusted non-GAAP results are among the primary
indicators management uses as a basis for our planning and forecasting
of future periods. The presentation of this additional information is
not meant to be considered in isolation or as a substitute for net
loss or net loss per share prepared in accordance with generally
accepted accounting principles in the United States.
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