Hale & Tempest Global Generics & Companies Chesapeake Dr. Brian W Tempest UK March 2014

Hale & Tempest 3. Global Generic Marketplace

Hale & Tempest Patent Thickets (for Perindopril)

Hale & Tempest Branded Generics  Promotion to doctors rather than pharmacists  Relevant to Central Europe, East Europe, Latam, Asia  Consistent sales year on year  No huge highs & lows for sales and profits  Need field force to promote products  Tend to be profitable  Promoted in conventional manner  Global generic brands

Hale & Tempest Niches  Injectables  OTC - brands last forever  NDDS - once a day technology  Difficult Chemistry - hormones, penems, peptides  Natural Products  Fermentation technology  Aerosols  Implants  Patches  Branded generics  Biosimilars  Para days USA exclusivity/first day EU launches

Hale & Tempest Generic Global Volume Share Source: Sandoz

Hale & Tempest Generics 35% Premium over last 10years Source: Societe Generale June 2013

Hale & Tempest Generics versus Big Pharma

Hale & Tempest Generic Profit Margin Profile in descending order source: Deutsche Bank July 2010

Hale & Tempest Molecules - Cost of development source: Societe Generale

Hale & Tempest Global Pharma Market Size

Hale & Tempest Global Pharma Spending 2011 to 2016 source: IMS 17 June 2013, Brand/Generic//Other

Hale & Tempest 66 Cos received WLs between 2010 and June 2013 with 8 from India source: Daily Mail 13 October 2013

Hale & Tempest Generics - Rising Risk & Competition

Hale & Tempest Patent Expiries to 2018 source: EvaluatePharma 2012

Hale & Tempest Products Going Off Patent in 2015 $33b Source: Evaluate Pharma 14 February 2013

Hale & Tempest Counterfeit Medicines source WHO fact sheet N275; India level at 3% Source IPF-WHO

Hale & Tempest Generic Cos by Sales over last Decade source: Citi Research August 2013

Hale & Tempest Generic Cos – Operating Cash Flow source: Citi Research August 2013

Hale & Tempest 4. Global Generic Companies

Hale & Tempest Top 21 Global Generic Companies Source 8 June 2012 Generics Bulletin 8/21

Hale & Tempest Next 26 Global Generic Companies Source 8 June 2012 Generics Bulletin 8/26

Hale & Tempest The Teva Future – Standing Still Source: RBC Capital 12 December 2012

Hale & Tempest Teva Losing Control of Costs in the EU source: Teva June 2012

Hale & Tempest Sandoz Sales 2012 source: Novartis, Generics Bulletin June

Hale & Tempest Actavis Sales Momentum Source: RBC 12 March 2013

Hale & Tempest Actavis Sales Momentum Source: RBC 12 March 2013

Hale & Tempest Actavis R&D Assets source: Actavis Promotional Material before Warner Chilcott acquisition

Hale & Tempest Actavis Manufacturing Assets source: Actavis Promotional Material before Warner Chilcott acquisition

Hale & Tempest Global footprint of Watson/Actavis

Hale & Tempest Cash Acquisitions vs free cash flow source: FT 19 February 2014

Hale & Tempest Actavis is favoured by Investors source: Daily Finance 21 January 2014

Hale & Tempest Mylan Sales Momentum Source: RBC 12 March 2013

Hale & Tempest Mylan Sales Momentum Source: RBC 12 March 2013

Hale & Tempest Mylan acquires 9 plants source: FiercePharma February 2014

Hale & Tempest Stada focus on Russia Source: Stada

Hale & Tempest Stada source: Jefferies March 2014

Hale & Tempest Stada source: Jefferies March 2014

Hale & Tempest Sanofi Generics 2012 Source: Generics bulletin 15 February 2013

Hale & Tempest Thank You