CombiMatrix Corporation (CombiMatrix) has updated all Appellate briefs by CombiMatrix and National Union have been filed with the US 9th Circuit Court of Appeals (court). The case is currently in the hands of the court. Court will set a date for oral hearings.

In February 2008, the US District Court for the Central District of California awarded CombiMatrix $31.2 Million in its lawsuit against National Union Fire Insurance Company of Pittsburg, PA. National Union is an AIG company.

Subsequently, in April 2008, a final judgment was entered after the award had been increased to $35.7 Million. National Union appealed the judgment, and the case is in the appellate stage today. In September 2008, National Union posted an appellate bond of $39.3 million to cover payment of the award, including additional interest and possibly additional legal fees. The award will continue to earn interest throughout the appellate stage.

Dr. Amit Kumar, president and chief executive officer of CombiMatrix stated, We are pleased to update our shareholders about the recent progress in this case. We are also encouraged that this case, which began in 2005, is nearing its final stages. Now that both sides have filed their written appellate briefs, we are looking forward to the oral hearing. While we are awaiting the oral argument, we have no information as to any specific date.

CombiMatrix develops technologies, including products and services in the areas of drug development, genetic analysis, molecular diagnostics, nanotechnology and defense, and homeland security markets.