NEEDHAM, Mass.--(BUSINESS WIRE)--Sept. 20, 2006--AVANT Immunotherapeutics, Inc. (NASDAQ: AVAN) today announced that GlaxoSmithKline (GSK) paid royalties on GSK’s sales of Rotarix(R) rotavirus vaccine in Australia and certain European countries at the lower of two royalty rates under their 1997 license agreement. GSK’s decision to pay the lower royalty rate (which is 70% of the full rate) is based upon GSK’s assertion that Rotarix(R) is not covered by the patents GSK licensed from AVANT in Australia and these certain European countries. While GSK has shared with AVANT the reasoning underlying its position in general terms, AVANT continues to evaluate GSK’s legal analysis underlying the assertion that its development of Rotarix(R) takes the vaccine outside the scope of the claims of these licensed patents.
