Item 1.01. Entry into a Material Definitive Agreement

On May 26, 2009, Targeted Genetics Corporation and Alkermes, Inc. executed Amendment No. 4 to Exclusive License Agreement ("Amendment No. 4"), which amends the Exclusive Sublicense Agreement between Targeted Genetics and Alkermes dated June 9, 1999 (as amended, the "Agreement") and is effective May 8, 2009. The Exclusive Sublicense Agreement was previously amended by an Amendment Agreement dated March 12, 2002, Amendment No. 2 to Exclusive License Agreement dated May 29, 2003 and Amendment No. 3 to Exclusive License Agreement dated March 16, 2007.

Amendment No. 4 makes the following material amendments to the Agreement:

- An additional extension of the exclusivity period for the sublicense granted to Targeted Genetics under the Agreement; and

- A grant to the licensor of the license underlying the Agreement, Children's Hospital Research Foundation and Children's Hospital Inc. ("Licensor"), of the right to use the patent rights, products and processes sublicensed to Targeted Genetics under the Agreement for research and/or educational purposes and, subject to specified limitations, to manufacture AAV vectors for use by Licensor and certain non-commercial entities for educational and/or research activities, including clinical trials up to Phase II.

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