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Court Rules In Favor of Alabama-Based CF Company, SourceCF, In Suit Brought By Chiron Corporation (CHIR)


5/18/2006 12:49:18 PM

HUNTSVILLE, Ala., May 18 /PRNewswire/ -- The United States District Court for the Northern District of California found in favor of SourceCF(R), and SourceCF(R) Clinical Research and Development, in a patent infringement suit brought by Chiron Corporation. The case involved a patent claiming a "method of treating" an endobronchial infection by administering a nebulized dose of the antibiotic tobramycin using an inhalation device.

On May 10, 2005, Chiron Corporation was issued the '907 patent. That same day, without any notice or advance warning, Chiron Corporation filed suit against the SourceCF companies and the Respiratory Disease Network Pharmacies ("RDN"). The suit alleged that after May 10, 2005, SourceCF could not, in response to a physician's prescription, dispense the eFlow(R) SCF nebulizer and that, separately, the eFlow(R) SCF nebulizer could not be prescribed for use with the concentration of tobramycin the RDN Pharmacies had, prior to issuance of the '907 patent, been filling physicians' prescriptions.

This is the second lawsuit against SourceCF, by Chiron, directed to the eFlow nebulizer. The first lawsuit was settled. The Court's decision on May 16, 2006, a year after the filing of this second lawsuit, found that the concentrations of tobramycin remaining in dispute -- 50mg/ml and 40mg/ml -- did not infringe the '907 patent under any of Chiron's theories.

"We are very pleased with the court's findings," offered Mike Walters, President and CEO of SourceCF. "We find comfort in the fact that patients prescribed tobramycin for use in eFlow at these concentrations can continue to realize its benefits."

The eFlow addresses a key issue limiting delivery of care within this community -- treatment time. Patients, as they manage of the symptoms of this disease, are often required to commit hours each day to administer therapies. The eFlow, through a novel patented design, offers two key benefits. First, the eFlow significantly reduces treatment time, often by 50% or more. Second, the eFlow offers a level of portability not found with traditional jet nebulizers. Its small size allows the eFlow to fit in the palm of your hand and the eFlow is battery powered.

Mr. Walters added, "Patients, family members and prescribing physicians served an important role over the last 12 months, as their support and feedback gave us the strength to honor our mission -- to serve the CF Community. This ruling enables us to continue to do that through eFlow."

Should you have any questions, please feel free to contact SourceCF at (256) 704-4880.

About Cystic Fibrosis (CF)

Cystic fibrosis is a genetic disease affecting approximately 30,000 children and adults in the United States. One in 31 Americans (more than 10 million people) is an unknowing, symptomless carrier of the defective gene. CF causes the body to produce abnormally thick, sticky mucus that clogs the lungs and obstructs the pancreas. According to the CF Foundation's National Patient Registry, the median age of survival for a person with CF is 33.4 years. As more advances have been made in the treatment of CF, the number of adults with CF has steadily grown. Today, nearly 40 percent of the CF population is age 18 and older.

About SourceCF Clinical Research and Development

SourceCF Clinical Research and Development was formed to serve the cystic fibrosis community through the development of new treatment options aimed at improving the lives of people with the disease. SourceCF Clinical Research and Development is based in Huntsville, Alabama. Additional information is available online at www.sourcecf.com.

SourceCF

CONTACT: Michael J. Walters of SourceCF and SourceCF Clinical Research &Development, +1-256-704-4880



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