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FOR IMMEDIATE RELEASE: October 20, 2005

SCHUMER, GRAHAM, ANNOUNCE THAT ROCHE AGREES TO INCREASE SUPPLY OF AVIAN FLU DRUG, WILL MEET 4 DRUG COMPANIES STARTING IMMEDIATELY

Roche Agrees Not to Increase Price of Sublicenses as It Works with Other Drug Companies to Ramp up Production of Tamiflu, Form Working Group with HHS to Maintain Health Standards of Drug

Schumer: ‘Roche has come a great distance in the best interests of the global public health, truly dedicating their efforts to protecting human life rather than focusing on their bottom line’

U.S. Senators Chuck Schumer and Lindsey Graham today announced that Roche Pharmaceuticals was committed to meeting with four generic drug companies starting immediately to redouble their efforts to vastly increase supply of their Avian flu treatment by licensing production to more drug companies. Schumer has repeatedly called for Roche, the maker of Tamiflu, to immediately license the Avian Flu treatment to other drug companies in order to dramatically increase production. Schumer and Graham announced this deal after meeting with George Abercrombie, CEO of Roche Pharmaceuticals N.A.

Schumer stated, “Roche has graciously stepped up to the plate, and has essentially agreed to share its technology and the rights to manufacture this drug with other companies who are willing to help out.”

The tenets of the deal that Schumer and Graham announced with Roche are:

Schumer provided the names of four companies to Mr. George Abercrombie, the CEO of Roche in the United States. These companies – Teva Pharmaceuticals, Barr Laboratories, Mylan Laboratories, and Ranbaxy Laboratories – each believe they can produce more Tamiflu if given the chance, and want to step up to serve the global public health need by working in cooperation with Roche.

Roche has agreed to meet with each of these companies as soon as possible – and indeed will begin meeting with additional companies immediately, also in cooperation with HHS, which may have additional companies in mind as well.
Roche has agreed to sub-license the production of Tamiflu to any of these companies that can produce it in quantities large enough to help meet the anticipated demand in case of a flu outbreak, and the determination as to who gets licensed will be made in cooperation with the U.S. Government and other governments around the world.

Roche will make reasonable efforts to work with companies who demonstrate appropriate capabilities to manufacture Tamiflu in order to accelerate product supply.
For companies eligible for a sub-license, Roche agrees to negotiate equitable terms.

Tamiflu is the only known effective treatment for avian flu, and Roche holds the exclusive rights to manufacturing it. One company simply cannot handle all the demand when tens and hundreds of millions of doses are being ordered.

Schumer expects Roche to continue working with these companies until the bottleneck of supply for government stockpiling purposes has been relieved, at which point they may regain their status as sole manufacturer. The purpose here is not to break the patent on Tamiflu, but rather to meet an emergency need for quantities of this drug that Roche itself simply cannot do alone.

“Roche has come a great distance in the best interests of the global public health, truly dedicating their efforts to protecting human life rather than focusing on their bottom line,” Schumer concluded.

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