1. Copyright 2002 Pfizer Inc Internet2 & Pharma Industry National Priorities for Transforming Healthcare Quality Report - implications for patient safety and internet applications Ernest T. Andalcio Executive Director, Site Head Informatics Pfizer Global Research & Development April 10, 2003

2. Copyright 2002 Pfizer Inc Intro n Ernest Andalcio - Executive Director - Ann Arbor Labs n With Pfizer for 5 years n before that Bristol-Myers Squibb, Johnson & Johnson and Procter & Gamble n Responsible for mobilizing the talents of IT staff to identify, design, develop and implement robust technology solutions enabling delivery of scientific excellence, and for promoting best practices, fostering IT knowledge-sharing and exploring innovative new technologies

3. Copyright 2002 Pfizer Inc Intro n Challenges for Pharma Industry n Opportunities n Share some Learnings

4. Copyright 2002 Pfizer Inc Topics/Contents n Pharmaceutical Industry n Challenges n Opportunities n Learnings

5. Copyright 2002 Pfizer Inc Pfizer Research & Development n Largest privately funded biomedical research organization n Seven major research sites n 2002 R & D investment of $5.3 billion n Count on a few new medicines to reach the market each year n 4 filings planned for 2003 n Target of 20 filings in next 5 years n Mission …”W e will be the most consistently productive R&D organization in the industry.”

6. Copyright 2002 Pfizer Inc Topics/Contents n Pharmaceutical Industry n Challenges n Opportunities n Learnings

7. Copyright 2002 Pfizer Inc Challenges in our Industry n Balancing n Patient needs n Medicine n Patents n New Regulations n Profitability n Risk n Social responsibility n Shareholder expectations

8. Copyright 2002 Pfizer Inc Clinical Trials Require More Patients Source: Parexel Pharmaceutical R&D Statistical Sourcebook 2001; Centerwatch, An Industry in Evolution 2001 Worldwide Industry Number of Patients per NCE

9. Copyright 2002 Pfizer Inc Challenges - the long road to a new medicine & how Internet2 solutions could one-day help the process Discovery Exploratory Development Full Development Registration

10. Copyright 2002 Pfizer Inc Most Compounds Do Not Become Medicines Most Compounds Do Not Become Medicines Challenges - R&D Attrition (why new chemical entities fail) Complex Disease Targets Impractical To Make Not Sufficiently Selective Competition Unsafe Poor Absorption Low Levels in Body Unstable Adverse Reactions Not Effective Enough Side Effects Too Long in Body

11. Copyright 2002 Pfizer Inc Pharmaceutical Technology in Action Gather, analyze and present valuable and timely information to therapeutic project teams for high- priority targets. Use information to help identify novel, high quality targets that may be pursued by the therapeutic project teams. n Data Mining n Sequence Analysis n Information Storage/Retrieval (Database) n Information Presentation

12. Copyright 2002 Pfizer Inc The Challenge… Biology: The Target Select the disease-related protein Understand its function and role Biology: The Target Select the disease-related protein Understand its function and role Chemistry: The Compound Optimize the potency Avoid adverse pharmacokinetics Avoid adverse toxic effects Chemistry: The Compound Optimize the potency Avoid adverse pharmacokinetics Avoid adverse toxic effects

13. Copyright 2002 Pfizer Inc Topics/Contents n Pharmaceutical Industry n Challenges n Opportunities n Learnings

14. Copyright 2002 Pfizer Inc Opportunities - The Future of Medicine n Freedom from heart disease n A full, normal life for diabetics n Preserving the antibiotic miracle n Taking the fear out of cancer n Eliminating frailty in the elderly n Preventing Alzheimer’s disease

15. Copyright 2002 Pfizer Inc Opportunities - The Future of Medicine n Cardiovascular Disease n HIV/AIDs n Urogenital n Pulmonary n Central Nervous System n Diabetes n Women’s Health 20 new filings in next 5 years

16. Copyright 2002 Pfizer Inc Opportunities - Pharma Informatics n Increase productivity n Seek different ways of working to increase the number of medicines that make it to full development annually n Enable new business processes: Improve data/information for timely decision-making n Leverage Scale n Take advantage of Global Capacity n Maximize use of Best Practices: Quality and Architecture of systems used

17. Copyright 2002 Pfizer Inc Topics/Contents n Pharmaceutical Industry n Challenges n Opportunities n Learnings

18. Copyright 2002 Pfizer Inc Learnings - Opportunities for Internet2 to make it happen n Due to the nature of our business - research - enabling technologies like Internet2 aid internal global execution of the R&D process n E.g. “Flipping through” large, secure files (e.g. x- ray images) to spot changes in size of tumors n Pfizer does global R&D, however, due to the nature of our business – highly proprietary – it is a largely secure intranet environment: n though we accept information from outside vendors using “safe zones” technologies

19. Copyright 2002 Pfizer Inc Learnings - Opportunities for Internet2 to make it happen n Enabling new business processes n Streamlined Discovery & Development processes n Improved data/information for more timely (real- time) decision-making (Hi bandwidth human interactions! “Charles Yun”) n First-time n Better n Earlier n Enabling Digital Science “David G. Messerschmidt”

20. Copyright 2002 Pfizer Inc Summary n Pharma Industry (Challenges/Opportunities) n Pharmaceutical R&D processes n Internet2… can enable real-time analysis, dialogue and … “discovery” of new medicines

21. Copyright 2002 Pfizer Inc QUESTIONS? Ernest.Andalcio@Pfizer.com