1. 12-01 - 010121 Opportunity Europe Building a European platform

2. Fundamentals EGA 2006 market review: on average 50% all medicines dispensed to patients in Europe are generics. Market share by value: 18% Top 20 generic molecules: 3.95billion Euro But: unequal spread over countries. Greying population accross Europe. Need for sustainable healthcare systems. –generics will build market share. –Increased competition will force patented pharma to reduce prices. Indian pharma: organic growth or acquisition will allow to take market share.

3. 12-01 - 010121 European Generics market Room to grow

4. Comparing selected generics markets (ega generics)

5. Generics on the Belgian market (source:febelgen) MAT November 2007 CompaniesK unitsshareValue KEuroshare Eurogenerics17.59655%114.36543% Merck Generics3.30610%41.38016% Sandoz3.52311%39.30815% Docpharma2.4578%21.3088% Teva generics1.3084%10.4534% Ratiopharma6632%7.4103% Topgen4531%2.7381% 3DDD pharma1791%2.5491% Ranbaxy781%4381% Total G MKT 32.22014%262.9939%

6. Comprehensive analysis

7. EU Generics market Different penetration rates Different reimbursement systems Fragmented approval market Fragmented marketing effort? But what about logistics?

8. Asia Co case study 09-07 - 040624 Previous set-up:  Fragmented deliveries by country or customer  Multiple testing ulabs & carriers  SEA freight transhipped via Rotterdam or Southampton to Ireland for Batch release and than trucked to the destination country.  No IT connectivity  Limited control over the supply chain

9. Asia Co case study 09-07 - 040624 New set-up:  Warehouse located in the centre of the main business markets  consolidated deliveries for multiple countries into Belgium, both for sea & air. Sea freight arriving in Zeebrugge and Antwerp, airfreight landing in Brussels  reduced amount of labs  European SOP’s  IT interfaces with NYK  Conditioned transport  Full control till delivery European Distribution Centre

10. United Kingdom: second largest pharmaceutical producer in Europe Pharmaceutical production in UK: 21,685 million euro Pharmaceutical production in Belgium: 4,245 million euro Source: European Federation of Pharmaceutical Industries and Associations (EFPIA); The Pharmaceutical Industry in Europe, Key data 2005 Update, p. 6 02-06 - 160302 production value in million euro, 2003

11. UK production versus Belgian export UK produces 5 times more pharmaceuticals than Belgium BUT Belgium exports 1.3 times more pharmaceuticals than UK! 02-06 - 160303

12. Belgium: largest exporter of pharmaceuticals Pharmaceutical export from UK: 17,234 million euro Pharmaceutical export from Belgium: 22,597 million euro Source: European Federation of Pharmaceutical Industries and Associations (EFPIA); The Pharmaceutical Industry in Europe, Key data 2005 Update, p. 14; Others: Greece, Norway, Finland, Portugal 02-06 - 160304 export in million euro, 2003

13. Belgium: largest importer of pharmaceuticals Pharmaceutical import into Belgium: 23,216 million euro Source: European Federation of Pharmaceutical Industries and Associations (EFPIA); The Pharmaceutical Industry in Europe, Key data 2005 Update, p. 15; Others: Greece, Norway, Finland, Portugal 02-06 - 160305 import in million euro, 2003

14. Belgium, Europe’s largest distribution center Belgium is not only the largest exporter but also the largest importer of pharmaceuticals in Europe THUS Belgium is Europe’s largest distribution center for pharmaceuticals 02-06 - 160306

15. Pharmaceuticals: Flanders and Ireland Some examples: Ireland and Flanders: a partnership of production and distribution Belgium imports about 60% of total Irish pharmaceutical exports 02-06 - 160309

16. Belgium: the pharmaceutical distributor of Ireland Belgium imports about 60% of total Irish pharmaceutical exports Source: Irish exports: Statistical Yearbook of Ireland 2004, p. 286 Statistical Yearbook of Ireland 2002, p. 280 Belgian imports: Comext Database Eurostat 02-06 - 160310 million euroBelgian import of Irish pharmaceuticals versus total Irish export of pharmaceuticals 62% 56%

17. Production in Ireland – Distribution in Flanders Pfizer 02-06 - 160312 Flanders 2 production sites 2 distribution centers Ireland 5 production sites Brussels Mechelen New Logistics Center Mechelen (since 2006) European Logistics Center Brussels Airport

18. Production in Ireland – Distribution in Flanders Schering-Plough 02-06 - 160313 Flanders 1 production site 1 distribution center Ireland 3 production sites Boortmeerbeek Heist-op-den-Berg Largest Production Plant in Europe New Logistics Center (since 2006) Bray Avondale Brinny

19. Production in Ireland – Distribution in Flanders Johnson&Johnson 02-06 - 160314 Belgium 6 production sites 1 distribution center 3 research centers Ireland 1 production site Courcelles Janssen Pharmaceutica Production and Research Center New Logistics Center (since 2005) Little Island Plant Beerse Geel 4 production plants 1 production site 2 research centers Mechelen

20. Logistic providers for the pharmaceutical sector in Flanders NYK Logistics Belgium 02-06 - 160317 NYK Logistics Belgium Keetberglaan 2 Haven 1089 B-9120 Melsele Belgium tel: +32.3.451.37.75 fax: +32.3.570 69 12 Ann.d’hondt@be.nyklogistics.co www.nyklogistics.com Antwerp

21. Logistic providers for the pharmaceutical sector in Flanders Excel Belgium 02-06 - 160315 Exel Presence Belgium Exel Wommelgem Exel Tongeren Exel Mechelen Exel Opglabbeek Exel Vilvoorde Exel Nivelles 6 Operating Sites: 3 Technology 2 Retail 1 Health Care Airfreight - Seafreight Offices in: Zaventem, Deurne, Antwerp Exel Belgium Life Sciences Logistics Office Weg naar Zwartberg 237 B-3660 Opglabbeek Belgium tel: +32.89.365.400 fax: +32.89.365.410 www.exel.com/exel/home/regions/ emea/belgium/en One of Exel’s customers in Opglabbeek (Belgium): Terumo www.terumo.co.jp

22. Logistic providers for the pharmaceutical sector in Flanders DHL Solutions 02-06 - 160316 DHL Solutions Eppegemsesteenweg 31-33 B-1850 Grimbergen tel: +32.2.255.12.11 fax: +32.2.251.69.30 www.dhl.be Grimbergen

23. Logistic providers for the pharmaceutical sector in Flanders Bax Global 02-06 - 160317 Brussels Bax Global Antwerp Ocean Services Karveelstraat 5 B-2030 Antwerp Belgium tel: +32.3.646.05.11 fax: +32.3.645.58.82 Brussels Airport Building 755 B-1931 Brucargo Belgium tel: +32.2.752.95.50 fax: +32.2.751.85.32 www.baxglobal.com Kortrijk Transport Zone Transportcentrum LAR K25 B-8930 Rekkem Belgium tel: +32.56.43.91.32 fax: +32.56.42.13.38 Antwerp Kortrijk

24. Logistic providers for the pharmaceutical sector in Flanders TNT Logistics 02-06 - 160318 TNT Logistics Zandvoortstraat 16 Industriezone Noord II B-2800 Mechelen Belgium tel: +32.15.28.89.00 fax: +32.15.28.89.01 www.tntlogistics.be Mechelen

25. Logistic providers for the pharmaceutical sector in Flanders Somitomo Warehouse 02-06 - 160319 Sumitomo Warehouse Sumitomo Warehouse Europe Fotografielaan 37-39 B-2610 Wilrijk (Antwerp) Belgium tel: +32.3. 825.15.15 fax: +32.3. 825.15.45 www.sumitomo-soko.co.jp Wilrijk

26. Logistic engineering companies for the pharmaceutical sector in Flanders J-Tec and Katoen Natie 02-06 - 160320 J-TEC Lieven Gevaertstraat 11 B-2950 Kapellen Belgium tel.: +32.3.660.51.11 fax: +32.3.660.51.10 www.j-tec.com Daughter company of: Katoen Natie Van Aerdtstraat 33 B-2060 Antwerp Belgium tel: +32.3.221.68.11 fax: +32.3.221.68.10 www.katoennatie.com Antwerp Kapellen

27. Logistic engineering companies for the pharmaceutical sector in Flanders Eurinpro Belgium 02-06 - 160321 Eurinpro Belgium Kasteel van Bever Boechoutlaan 221 B-1853 Strombeek-Bever Belgium tel: +32.2.263.40.00 fax: +32.2.263.40.40 www.eurinpro.com Strombeek-Bever

28. To contact: Peter.verplancken@fitagency.be