Market Overview

Illumina to Offer $650 Million Convertible Senior Notes


Illumina, Inc. (NASDAQ:ILMN) today announced its intention to offer,
subject to market and other conditions, approximately $650 million
aggregate principal amount of convertible senior notes due 2023 (the
"Notes"). Illumina also intends to grant the initial purchasers a 30-day
option to purchase up to an additional $100 million in aggregate
principal amount of the Notes, for a total potential offering size of
$750 million.

Illumina intends to use the net proceeds of the offering to repurchase
up to $150 million of its common stock concurrently with this offering
in privately negotiated transactions effected with or through the
initial purchasers and/or their affiliates, and Illumina intends to use
the remainder of the net proceeds of the offering for general corporate
purposes, which may include the repayment of its 0.0% Convertible Senior
Notes due 2019.

The Notes will be offered to qualified institutional buyers pursuant to
Rule 144A under the Securities Act of 1933, as amended (the "Securities
Act"), and will be convertible under certain circumstances. Upon
conversion, holders will receive, at Illumina's election, cash, shares
of Illumina's common stock or a combination thereof. The interest rate,
conversion rate and other terms of the Notes will be determined by
negotiations between Illumina and the initial purchasers of the Notes.

This press release does not constitute an offer to sell or the
solicitation of an offer to buy securities. Any offers of the Notes will
be made only by means of a private offering memorandum. The Notes and
any shares of Illumina common stock issuable upon conversion of the
Notes have not been, and will not be, registered under the Securities
Act or the securities laws of any other jurisdiction and may not be
offered or sold in the United States absent registration or an
applicable exemption from registration requirements.

Our ability to consummate the offering is subject to market conditions.

Use of forward-looking statements

This release contains forward-looking statements that involve risks and
uncertainties. Among the important factors that could cause actual
results to differ materially from those in any forward-looking
statements are: (i) challenges inherent in developing, manufacturing,
and launching new products and services, including expanding
manufacturing operations and reliance on third-party suppliers for
critical components; (ii) the timing and mix of customer orders among
our products and services; (iii) the impact of recently launched or
pre-announced products and services on existing products and services;
(iv) our ability to further develop and commercialize our instruments
and consumables and to deploy new products, services, and applications,
and expand the markets, for our technology platforms; (v) our ability to
manufacture robust instrumentation and consumables; (vi) the success of
products and services competitive with our own; (vii) our ability to
successfully identify and integrate acquired technologies, products, or
businesses; (viii) our expectations and beliefs regarding future conduct
and growth of the business and the markets in which we operate; and (ix)
the application of generally accepted accounting principles, which are
highly complex and involve many subjective assumptions, estimates, and
judgments, together with other factors detailed in our filings with the
Securities and Exchange Commission, including our most recent filings on
Forms 10-K and 10-Q, or in information disclosed in public conference
calls, the date and time of which are released beforehand. We undertake
no obligation, and do not intend, to update these forward-looking
statements, to review or confirm analysts' expectations, or to provide
interim reports or updates on the progress of the current quarter.

About Illumina

Illumina is improving human health by unlocking the power of the genome.
Our focus on innovation has established us as the global leader in DNA
sequencing and array-based technologies, serving customers in the
research, clinical and applied markets. Our products are used for
applications in the life sciences, oncology, reproductive health,
agriculture and other emerging segments.

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