1. Commercializing Inventions at Baylor Research, Technology Inventions Baylor Licensing Group BCM Technologies, Inc.

2. Bayh-Dole Act Enacted in 1980 Allowed universities to retain title to inventions developed with federal funds Foundation of university technology transfer Before 1980 discoveries were rarely commercialized In FY 2003: – 472 new commercial products launched – 4,516 new licenses & options executed – $1.310 billion net license income

3. What does Commercialization REALLY Mean? Transfer of research results, findings, and discoveries to the marketplace to benefit patients and the public Possible outcomes - License agreement - Start-up company Both BLG and BCMT act as catalysts in this process.

4. Academic Responsibilities Conduct research to benefit the public good Commercialize research results as mandated by the Bayh-Dole Act – (Baylor owns inventions) Properly report federally funded inventions Properly report and follow contractual obligations for industry-sponsored research

5. What and When to Disclose? What? – Technology that solves a problem or improves a process (e.g., cell lines, clones, vectors, transgenic or knockout animal models, diagnostic probes, research tools, therapeutics, devices, software, educational materials). When? – Before publication or presentation –Journal –Poster/Abstract –Seminar –Meetings Questions? Please call 798-6821.

6. BLG Responsibilities Processing of Invention Disclosures –Assignment of rights to institution –Contributing parties and funding agencies –Initiates federal reporting Licensing of Technologies/Inventions –Patenting, if necessary –Market research and marketing –Negotiation and legal review of documents –Coordination with BCMT

7. Reporting of ongoing federal obligations Maintenance of license agreements Receipt and processing of licensing income BLG Responsibilities

8. License Income Sharing Foundations and other sponsors Inter-institutional agreements for joint inventions with other universities Favorable sharing arrangement with inventors –50% of Net Income to the inventors

9. BLG Accomplishments  During this past fiscal year (’05), BLG executed 45 license and option agreements with commercial partners.  Revenue from licensing activity totaled $7.49 million in fiscal ’05. Much of this revenue represents royalty income from deals that were executed years ago.  50% of Net Income goes the developers of the licensed technology.

10. What about other Agreements? Confidential Disclosure Agreements (CDAs) Sponsored Research Agreements (SRAs) Material Transfer Agreements (MTAs) to academics –Paul Kendall, Ramona Mangrum and Lisa Potts Office of Research, Barbara Cochran’s Group (713) 798-1297

11. Baylor Licensing Group http://www.bcm.edu/blg/ Lynne D. Schaefer, Director Stewart N. Davis Larry Hope Terese Rakow, Ph.D. Michael Dilling, Ph.D. Lisa Beveridge Phone: 713 798-6821