UCB: Prospects to 2010

Espicom Healthcare Intelligence - 11/22/2006

Pharmaceutical Company Intelligence Reports provide a full review of the company's activities, from its origins to its latest corporate activity, including mergers and acquisitions, agreements, divestitures, major purchasing contracts and litigation. Sections are included on products, international activities and R&D, as well as a full, in-depth five year financial analysis. An introduction to each report and a full table of contents is provided for review. More than 40 Company Intelligence Reports are currently available.

UCB is a global biopharmaceutical company dedicated to the research, development and commercialisation of innovative pharmaceutical and biotechnology products in the fields of central nervous system disorders, allergy/respiratory diseases, immune and inflammatory disorders and oncology. Headquartered in Brussels, Belgium, it has over 8,500 employees worldwide. The Group has production and packaging facilities in Belgium, Switzerland, the US, Japan, Germany, India, Italy, Spain and South Korea (to be closed) and sells in more than 40 countries on all continents. During 2005, the Group disposed of the Surface Specialties business segment and transformed itself into a pure biopharmaceutical company.

On 25th September 2006, UCB confirmed its intention to make a friendly cash and share offer for all the issued and to be issued shares in Schwarz Pharma. The companies' Boards have agreed the terms of an offer, which Schwarz Pharma's Supervisory and Executive Boards unanimously intend to recommend. The enlarged company would be called UCB and continue to be based at UCB's current headquarters in Brussels, Belgium. It is anticipated that the combination of UCB and Schwarz Pharma would build the next-generation biopharmaceutical leader, with strong combined US and EU commercial power and pro-forma 2005 revenues of EUR 3.3 billion.

Current Growth Drivers

One of UCB's biggest-selling products, Keppra, achieved sales growth of 34 per cent in 2005, to reach revenues of EUR 560 million. UCB is working to enhance the life cycle for Keppra. To this end, line extensions have been filed for its use in primary generalised myoclonic seizures, and as an intravenous solution formulation as a monotherapy for primary generalised seizures. Phase III trials are also under way in Japan for generalised tonic-clonic seizures and are planned for epilepsy in children aged one month to six years. Keppra is also in Phase II trials for other indications such as migraine or bipolar disorders are in the phase of exploratory clinical studies.

Key Late-Stage Products

Following Cimzia's excellent Phase III results in Crohn's disease, a BLA was submitted to the FDA on 1st March 2006 and an MAA to the EMEA in April 2006. Approval is expected in the first half of 2007 and launch is targeted to follow shortly afterwards. It is also undergoing Phase III trials for rheumatoid arthritis (RA) and Phase II trials for psoriasis.

UCB has licensed exclusive worldwide rights to develop, market and sell epratuzumab for all autoimmune disease indications, from Immunomedics. The most advanced programme is for the treatment of systemic lupus erythematosus (SLE), for which it has been granted FDA fast track designation. UCB voluntarily suspended dosing in the Phase III SLE trials in mid-2006, however, following a routine quality assurance audit of Immunomedics' facilities. The FDA placed epratuzumab on clinical hold, while Immunomedic and UCB address its concerns, so that patients who have already benefited from epratuzumab are able to resume treatment as soon as possible.

Principal Operating Results

Breaking News

Latest Results

EXECUTIVE SUMMARY

Introduction

Current Growth Drivers

Key Late-Stage Products

Key Early-Stage Products

Financial Performance 2005

Sales and Market Position

Income

Operating Profit By Business Segment

Expenditure

Capital Expenditure

Investments By Business Area

R&D Expenditure

R&D Expenditure By Business Area

Divisional Performance

Consolidated Turnover By Business Area

Geographic Performance

Total Revenues By Geographic Area

Net Biopharmaceutical Sales By Geographical Area

Company Strategy

Mergers, Acquisitions and Divestitures

Acquisitions

Divestitures

Key Agreements

Production

Employees

Employees By Geographical Area (Year End)

Product / R&D Overview

Key Products

Recent Product Launches

Recent Product Approvals

R&D Strategy

Key R&D Projects

R&D Pipeline Overview

Discontinued R&D projects

Sales Forecasts

Conclusions/Outlook

PRODUCT PORTFOLIO / RESEARCH & DEVELOPMENT

Sales Of Major Biopharmaceutical Products

R&D Pipeline

Immuno-allergology - Products

Major Launched Products

Arthrotec

Dipentum

Mistabron/Mucofluid

Theo 24

Xyzal/Xusal

Mode of Action

Sales

Key Markets/Indications

Further Development

Patents/Licensees

Competitor Products

Sales Forecast

Zyrtec/Reactine

Mode of Action

Licensees

Competitor Products

Patents/Generic Competition

Sales Forecast

Immuno-allergology - R&D

AZD8955

Cimzia

Clinical Trial Results

Clinical Trial Results - Psoriasis

Efletirizine (UCB28754)

Epratuzumab

Immuno-Allergology - Summary

Growth Potential

Limiting Factors

Central Nervous System - Products

Major Launched Products

Atarax

Sales Forecast

Keppra

Mode of Action

Sales

Key Markets/Indications

Further Development

Treatment Guidelines/Reimbiursement

Competitor Products

Generic Competition

Sales Forecast

Clinical Trial Results - Brain Tumours

Clinical Trial Results - Myoclonic Seizures

Clinical Trial Results - Bipolar And Aggressive Disorders

Clinical Trial Results - Parkinson’s Disease

Clinical Trials Results - Pain Control

Phase IV Programme

Longifene

Metadate CD/Equasym XL

Sales

Key Markets/Indications

Competitor Products

Sales Forecast

Nootropil

Sales

Key Markets/Indications

Sales Forecast

Postafene

Xyrem

Key Markets/Indications

Further Development

Clinical Trial Results

Central Nervous System - R&D

Brivaracetam (UCB34714)

CDP323

Seletracetam (UCB44212)

UCB 106607

Central Nervous System - Summary

Cardiovascular - Products

Cinalong

Rocornal

Gastrointestinal - Products

Stogar

Sales Forecast

Oncology - R&D

CDP791

CMC544

Others - Products

Major Launched Products

Balsoclase/Sedotussin/Toclase

Biofenac

Bup-4

Sales Forecast

Butenafine

Catabex

Duratuss

Kentera

Key Markets/Indications

Lortab

Sales Forecast

Tussionex

Sales Forecast

APPENDIX 1 - FINANCIAL PERFORMANCE

Full Year Results 2005

APPENDIX 2 - KEY AGREEMENTS

Actelion Ltd

17th November 2005

Adams Respiratory Therapeutics

24th May 2006

Amgen

17th May 2002

19th September 2006

AstraZeneca

9th October 1995

1st March 1999

Biogen Idec Inc

2nd October 2006

BioInvent International AB

14th March 2002

July 2006

Crucell NV and DSM Biologics

14th March 2006

ImClone Systems Inc

15th August 2005

Immunomedics Inc

10th May 2006

Lonza Biologics Ltd

14th July 2003

13th May 2005

Merck & Co

24th September 2003

Nektar Therapeutics

18th October 2002

Orphan Medical

30th October 2003

21st March 2005

3rd October 2006

Pfizer

23rd July 2002

Discontinued agreement

Recordati

24th April 2006

sanofi-aventis

25th September 2006

Sepracor Inc

1st June 1999

23rd February 2006

Verus Pharmaceuticals Inc

21st August 2006

Watson Pharmaceuticals Inc

24th September 2003

APPENDIX 3 - INFRASTRUCTURE

Research and Development Facilities

Manufacturing Facilities

APPENDIX 4 - KEY PHARMACEUTICAL SUBSIDIARIES / JOINT VENTURES

Subsidiaries

Joint Ventures

APPENDIX 5 - PRODUCT INDEX

INDEX OF TABLES

Principal Operating Results

Operating Profit By Business Segment

Investments By Business Area

R&D Expenditure By Business Area

Consolidated Turnover By Business Area

Total Revenues By Geographic Area

Net Biopharmaceutical Sales By Geographical Area

Employees By Geographical Area (Year End)

Recent Product Launches

Recent Product Approvals

Key R&D Projects

Sales Of Major Biopharmaceutical Products

R&D Pipeline

Major Launched Products

Major Launched Products

Major Launched Products

INDEX OF CHARTS

Sales, Costs and Operating Income

Operating Profit By Business Segment

Investments By Business Area

R&D Expenditure By Business Area

Consolidated Turnover By Business Area

Total Revenues By Geographic Area 2005

Net Biopharmaceutical Sales By Geographical Area, 2005

Employees By Geographical Area (Year End), 2005

Sales of Current Top Ten Products (2000A-2010E)

Top Selling Products, 2005

Xyzal Sales (2000A-2010E)

Zyrtec Sales (2000A-2010E)

Atarax Sales (2000A-2010E)

Keppra Sales (2000A-2010E)

Metadate Sales (2000A-2010E)

Nootropil Sales (2000A-2010E)

Stogar (2000A-2010E)

Bup-4 Sales (2000A-2010E)

Lortab Sales (2000A-2010E)

Tussionex Sales (2000A-2010E)

Sales, Costs and Operating Income

Profitability and Research Ratios

R&D Expenditure and Capital Expenditure

Current Assets, Liabilities and Ratio

Assets, Cash and Liquidity

Employees and Productivity