MONTVALE, N.J., Aug. 12 /PRNewswire-FirstCall/ -- Barr Pharmaceuticals, Inc. announced today that its Barr Laboratories subsidiary has signed a Settlement Agreement and a License Agreement with Boehringer Ingelheim to resolve the patent litigation involving Boehringer Ingelheim's Mirapex(R) product. Separately, Barr Laboratories entered into a Settlement Agreement and a Supply Agreement to resolve the patent litigation regarding Boehringer Ingelheim's Aggrenox(R) product and Duramed Pharmaceuticals, a subsidiary of Barr Pharmaceuticals, entered into a Co-Promotion Agreement with Boehringer Ingelheim relating to Aggrenox(R).
"The agreements announced today equitably resolve our patent litigation regarding these two products in a way that benefits consumers and Barr's shareholders," said Bruce L. Downey, Barr's Chairman and Chief Executive Officer. "In addition, the co-promotion agreement creates significant opportunities for both Barr and Boehringer Ingelheim, adding a new product to Duramed's promotional portfolio and providing Boehringer Ingelheim with unique access to physicians in the women's health care area, through the Duramed sales force."
Mirapex(R) Settlement Agreement and License Agreement
Under these agreements, Barr Laboratories is permitted to launch its generic version of Mirapex commencing no later than January 1, 2010, approximately 10 months earlier than the expiration of the Boehringer Ingelheim patent at issue in the patent challenge litigation. Upon launch, Barr would pay Boehringer Ingelheim an undisclosed royalty amount.
Aggrenox(R) Settlement Agreement and Supply Agreement
Under these agreements, Barr Laboratories is permitted to launch an authorized generic version of Aggrenox(R) commencing no later than July 1, 2015, approximately 18 months earlier than the last-to-expire Boehringer Ingelheim patent listed in the U.S. Food and Drug Administration's (FDA's) Orange Book. Upon launch, Barr would pay Boehringer Ingelheim an undisclosed royalty amount.
Aggrenox(R) Co-Promotion Agreement
Under this agreement, Duramed Pharmaceuticals is required to co-promote Aggrenox to obstetricians, gynecologists and other practitioners with a focus on women's healthcare in the United States using its Specialty Sales Force. Under the terms of the agreement, Boehringer Ingelheim will train the 93- person Duramed Specialty Sales Force, which will begin promoting Aggrenox in March 2009. Under terms of the agreement, Boehringer Ingelheim will pay Duramed undisclosed royalties based on net sales of Aggrenox.
The settlements and the related agreements are conditional upon entry of a proposed order dismissing the underlying litigation in the respective patent challenge cases.
Mirapex (pramipexole dihydrochloride) had annualized sales of approximately $389 million for the twelve months ended May 2008, based on IMS sales data.
Aggrenox (aspirin/extended-release dipyridamole) had annualized sales of approximately $331 million for the twelve months ended May 2008, based on IMS sales data.
About Barr Pharmaceuticals, Inc.
Barr Pharmaceuticals, Inc. is a global specialty pharmaceutical company that operates in more than 30 countries worldwide and is engaged in the development, manufacture and marketing of generic and proprietary pharmaceuticals, biopharmaceuticals and active pharmaceutical ingredients. A holding company, Barr operates through its principal subsidiaries: Barr Laboratories, Inc., Duramed Pharmaceuticals, Inc. and PLIVA d.d. and its subsidiaries. The Barr Group of companies markets more than 120 generic and 27 proprietary products in the U.S. and approximately 1,025 products globally outside of the U.S. For more information, visit www.barrlabs.com.
Forward-Looking Statements
This communication contains "forward-looking statements" which represent the current expectations and beliefs of management of Barr Pharmaceuticals, Inc. (the "Company") concerning the proposed merger of the Company with Boron Acquisition Corp., a wholly-owned subsidiary of Teva Pharmaceutical Industries Ltd. (the "merger") and other future events and their potential effects on the Company. The statements, analyses, and other information contained herein relating to the proposed merger, as well as other statements including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," "will," "should," "may," and other similar expressions, are "forward-looking statements" under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not guarantees of future results and are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated. Those factors include, without limitation: the difficulty in predicting the timing and outcome of legal proceedings, including patent-related matters such as patent challenge settlements and patent infringement cases; the difficulty of predicting the timing of FDA approvals; court and FDA decisions on exclusivity periods; the ability of competitors to extend exclusivity periods for their products; market and customer acceptance and demand for our pharmaceutical products; our dependence on revenues from significant customers; reimbursement policies of third party payors; our dependence on revenues from significant products; the use of estimates in the preparation of our financial statements; the impact of competitive products and pricing on products, including the launch of authorized generics; the ability to launch new products in the timeframes we expect; the availability of raw materials; the availability of any product we purchase and sell as a distributor; the regulatory environment in the markets where we operate; our exposure to product liability and other lawsuits and contingencies; the increasing cost of insurance and the availability of product liability insurance coverage; our timely and successful completion of strategic initiatives, including integrating companies (such as PLIVA d.d.) and products we acquire; fluctuations in operating results, including the effects on such results from spending for research and development, sales and marketing activities and patent challenge activities; the inherent uncertainty associated with financial projections; our expansion into international markets through our PLIVA acquisition, and the resulting currency, governmental, regulatory and other risks involved with international operations; our ability to service our significantly increased debt obligations as a result of the PLIVA acquisition; changes in generally accepted accounting principles; the reactions of the Company's customers and suppliers to the merger; and diversion of management time on merger-related issues. These and other applicable risks, cautionary statements and factors that could cause actual results to differ from the Company's forward-looking statements are included in the Company's filings with the U.S. Securities and Exchange Commission ("SEC"), specifically as described in the Company's annual report on Form 10-K for the fiscal year ended December 31, 2007. The Company undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances.
Important Legal Information
In connection with the proposed merger, the Company will prepare a proxy statement to be filed with the SEC. When completed, a definitive proxy statement and a form of proxy will be mailed to the stockholders of the Company. Before making any voting decision, the Company's stockholders are urged to read the proxy statement regarding the merger carefully and in its entirety because it will contain important information about the proposed merger. The Company's stockholders will be able to obtain, without charge, a copy of the proxy statement (when available) and other relevant documents filed with the SEC from the SEC's website at http://www.sec.gov. The Company's stockholders will also be able to obtain, without charge, a copy of the proxy statement and other relevant documents (when available) by directing a request by mail or telephone to Barr Pharmaceuticals, Inc., 225 Summit Avenue, Montvale, NJ, 07645 -- Attention: Investor Relations.
The Company and its directors and officers may be deemed to be participants in the solicitation of proxies from the Company's stockholders with respect to the proposed merger. Information about the Company's directors and executive officers and their ownership of the Company's common stock is set forth in the Company's annual report on Form 10-K for the fiscal year ended December 31, 2007 and the Company's proxy statement for the Company's 2008 Annual Meeting of Stockholders. Stockholders may obtain additional information regarding the interests of the Company and its directors and executive officers in the merger, which may be different than those of the Company's stockholders generally, by reading the proxy statement and other relevant documents regarding the proposed merger, when filed with the SEC.
CONTACT: Carol A. Cox of Barr Pharmaceuticals, Inc., +1-201-930-3720,
Carol.Cox@barrlabs.com
Web site: http://www.barrlabs.com/
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