Fresenius Kabi AG And Bayer Schering Pharma Enter into a Research, Development and License Agreement Regarding HESylation(R) Technology

BAD HOMBURG, GERMANY--(Marketwire - May 18, 2009) - Fresenius Kabi Deutschland GmbH and Bayer Schering Pharma AG Germany have signed a Research, Development and License Agreement regarding the use of Fresenius Kabi Deutschland GmbH's HESylation® Technology in a limited field of use.

Under the agreement, Fresenius Kabi will license its proprietary HESylation® Technology to Bayer Schering Pharma. This technology platform is based on hydroxyethyl starch ("HES") and allows the prolongation of the active half-life of proteins.

Fresenius Kabi will be responsible for providing the appropriate HES derivative to Bayer Schering Pharma. Under the agreement, Bayer Schering Pharma will oversee the development and commercialisation. Fresenius Kabi will receive up-front and milestone payments as well as royalties on sales for licensing of the HESylation® Technology.

Fresenius Kabi expects to enter into further collaborations with leading pharmaceutical and biotechnology companies to contribute to improved pharmaceutical products through its HESylation® Technology platform.

HESylation® Technology

HESylation® Technology is based on the extensive expertise in the field of hydroxyethyl starch ("HES") that Fresenius Kabi has gathered as the world's largest producer of pharmaceutical grade HES. HES is derived from waxy maize starch and can be metabolized by the body's enzymes. HES solutions have been safely administered for over 30 years to treat deficient blood volume and to improve the rheological properties of blood.

HESylation® Technology allows a targeted modification of drugs and their characteristics by a site-specific coupling to HES molecules. This can modify key pharmacological parameters such as absorption, metabolization, half-life, water solubility and safety.

HESylation® Technology is covered by a broad portfolio of intellectual property rights. For further details please visit http://www.HESylation.com.

Fresenius Kabi

Fresenius Kabi is focused on products for the therapy and care of critically and chronically ill patients in and outside the hospital. Fresenius Kabi's core product range includes infusion solutions for fluid substitution, blood volume substitution and intravenously administered drugs as well as parenteral and enteral nutrition and the medical devices for the application.

Fresenius Kabi has more than 20,000 employees worldwide and a global network of around 55 sales organizations and more than 55 production sites. In 2008, Fresenius Kabi achieved sales of EUR 2,495 million and an operating profit (EBIT) of EUR 443 million. Fresenius Kabi AG is a 100% subsidiary of the health care group Fresenius SE. For more information about Fresenius Kabi, please visit the company's web site at www.fresenius-kabi.com.

This release contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, e.g. changes in business, economic and competitive conditions, regulatory reforms, results of clinical trials, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, and the availability of financing. Fresenius does not undertake any responsibility to update the forward-looking statements in this release.

Board of Management: Dr. Ulf M. Schneider (President and CEO), Rainer Baule, Dr. Francesco De Meo, Dr. Jürgen Götz, Dr. Ben Lipps, Stephan Sturm, Dr. Ernst Wastler

Supervisory Board: Dr. Gerd Krick (Chairman)

Registered Office: Bad Homburg, Germany/Commercial Register No. HRB 10660