GlaxoSmithKline Welcomes the Settlement of Industry Association Litigation Against the South African Government

Apr 19, 2001, 01:00 ET from GlaxoSmithKline plc

    PHILADELPHIA, April 19 /PRNewswire/ -- GlaxoSmithKline's Chief Executive
 Officer, Jean-Pierre Garnier, unreservedly welcomed today's announcement that
 a settlement has been reached in the court case involving the South African
 Pharmaceutical Manufacturers Association (PMA) and the Government of South
 Africa.
     "This settlement meets the objectives of both the South African Government
 and the pharmaceutical industry -- but it is my fervent hope that the real
 winners here will be patients," said Dr. Garnier.  "This settlement has been
 achieved through partnership between the industry, the South African
 Government and the United Nations  -- it is in this spirit that we must move
 forward to tackle the massive problem of diseases such as HIV/AIDS in the
 developing world."
     Under the terms of the settlement the South African Government has
 confirmed that its new law will be implemented in a way that is compliant with
 the international Trade-Related Intellectual Property Rights Agreement on
 patent protection (TRIPS).  The South African Government has also agreed to
 consult with the industry on the regulations regarding implementation of the
 Act.
     "We are delighted that the South African Government has confirmed that it
 is committed to TRIPS," said Dr. Garnier.  "The South African Government's
 willingness to respect intellectual property rights and to consult creates the
 basis for a new spirit of cooperation.  This must provide encouragement to the
 industry to invest in future research and development of new medicines
 including those for diseases of the developing world."
     Dr. Garnier also acknowledged the key roles played by Dr. Kofi Annan and
 President Thabo Mbeki in securing a settlement, and reiterated
 GlaxoSmithKline's determination to play its part in addressing the healthcare
 needs of South Africa and other countries of the developing world.
     "GlaxoSmithKline is committed to playing its part and we are ready to
 supply our antiretroviral medicines to South Africa at heavily discounted
 prices," said Dr. Garnier.  "Improving access to treatment and healthcare in
 South Africa and other developing countries is a massive challenge and must be
 shared responsibility between all sectors of national and global society --
 together we can make a difference in the fight against the HIV/AIDS epidemic
 that has ravaged South Africa."
     GlaxoSmithKline (NYSE:   GSK) -- one of the world's leading research-based
 pharmaceutical and healthcare companies -- is committed to improving the
 quality of human life by enabling people to do more, feel better and live
 longer.
 
     Notes to Editors:
     Since 1997, GlaxoSmithKline has been offering discounts on its HIV/AIDS
 medicines which now total up to 90% off prices in the developed world.
     The Accelerating Access Initiative (AAI), of which GlaxoSmithKline is a
 founding partner, was launched in May 2000 in conjunction with UNAIDS, WHO,
 World Bank, UNICEF, and UNFPA to tackle the problem of HIV/AIDS in developing
 countries through partnerships.  When that program began, GlaxoSmithKline
 announced that it would offer Combivir (AZT+3TC) at no profit for $2 per day.
     In February this year, GlaxoSmithKline announced it would extend its AAI
 offer of 90% discounted prices to include non-government organizations (NGO's)
 in developing countries and employers in Africa who offer medical care to
 their staff through their own workplaces clinics.
     In addition to HIV/AIDS, GlaxoSmithKline is making significant
 contributions to combat other health problems in the developing world,
 including malaria, TB, Lymphatic Filariasis and childhood immunization:
     Lymphatic Filariasis:  The company is working to help eradicate Lymphatic
 Filariasis, one of the world's major tropical diseases that causes life-long
 disability and disfigurement, through grants for public-private partnerships
 and donations of albendazole.  GSK has committed to donating albendazole for
 15-20 years until LF is eliminated, making this the largest drug donation
 program in history.
     Malaria: GSK is partnering with the Ministries of Health in Kenya and
 Uganda to develop pilot projects using donations of Malarone, a highly
 effective anti-malarial treatment, as a second or third line anti-malarial.
     Vaccines: In addition to donating vaccines to a number of countries for
 specific programs, the company continues to research better vaccines against
 diseases that affect developing countries, including malaria, tuberculosis
 (TB) and HIV/AIDS.
     Action TB: Glaxo Wellcome established the Action TB fund in 1993.  This
 international, co-ordinated research program aims to find new targets for
 anti-TB therapies, and identify novel vaccine candidates and surrogate markers
 for use in clinical trials.
 
      Inquiries:
 
      UK Media inquiries:         Martin Sutton     (020) 8966 8000
                                  Philip Thomson    (020) 8966 8000
                                  Alan Chandler     (020) 8966 8000
 
      US Media inquiries:         Nancy Pekarek     (215) 751 7709
                                  Mary Anne Rhyne   (919) 483 2839
 
 

SOURCE GlaxoSmithKline plc
    PHILADELPHIA, April 19 /PRNewswire/ -- GlaxoSmithKline's Chief Executive
 Officer, Jean-Pierre Garnier, unreservedly welcomed today's announcement that
 a settlement has been reached in the court case involving the South African
 Pharmaceutical Manufacturers Association (PMA) and the Government of South
 Africa.
     "This settlement meets the objectives of both the South African Government
 and the pharmaceutical industry -- but it is my fervent hope that the real
 winners here will be patients," said Dr. Garnier.  "This settlement has been
 achieved through partnership between the industry, the South African
 Government and the United Nations  -- it is in this spirit that we must move
 forward to tackle the massive problem of diseases such as HIV/AIDS in the
 developing world."
     Under the terms of the settlement the South African Government has
 confirmed that its new law will be implemented in a way that is compliant with
 the international Trade-Related Intellectual Property Rights Agreement on
 patent protection (TRIPS).  The South African Government has also agreed to
 consult with the industry on the regulations regarding implementation of the
 Act.
     "We are delighted that the South African Government has confirmed that it
 is committed to TRIPS," said Dr. Garnier.  "The South African Government's
 willingness to respect intellectual property rights and to consult creates the
 basis for a new spirit of cooperation.  This must provide encouragement to the
 industry to invest in future research and development of new medicines
 including those for diseases of the developing world."
     Dr. Garnier also acknowledged the key roles played by Dr. Kofi Annan and
 President Thabo Mbeki in securing a settlement, and reiterated
 GlaxoSmithKline's determination to play its part in addressing the healthcare
 needs of South Africa and other countries of the developing world.
     "GlaxoSmithKline is committed to playing its part and we are ready to
 supply our antiretroviral medicines to South Africa at heavily discounted
 prices," said Dr. Garnier.  "Improving access to treatment and healthcare in
 South Africa and other developing countries is a massive challenge and must be
 shared responsibility between all sectors of national and global society --
 together we can make a difference in the fight against the HIV/AIDS epidemic
 that has ravaged South Africa."
     GlaxoSmithKline (NYSE:   GSK) -- one of the world's leading research-based
 pharmaceutical and healthcare companies -- is committed to improving the
 quality of human life by enabling people to do more, feel better and live
 longer.
 
     Notes to Editors:
     Since 1997, GlaxoSmithKline has been offering discounts on its HIV/AIDS
 medicines which now total up to 90% off prices in the developed world.
     The Accelerating Access Initiative (AAI), of which GlaxoSmithKline is a
 founding partner, was launched in May 2000 in conjunction with UNAIDS, WHO,
 World Bank, UNICEF, and UNFPA to tackle the problem of HIV/AIDS in developing
 countries through partnerships.  When that program began, GlaxoSmithKline
 announced that it would offer Combivir (AZT+3TC) at no profit for $2 per day.
     In February this year, GlaxoSmithKline announced it would extend its AAI
 offer of 90% discounted prices to include non-government organizations (NGO's)
 in developing countries and employers in Africa who offer medical care to
 their staff through their own workplaces clinics.
     In addition to HIV/AIDS, GlaxoSmithKline is making significant
 contributions to combat other health problems in the developing world,
 including malaria, TB, Lymphatic Filariasis and childhood immunization:
     Lymphatic Filariasis:  The company is working to help eradicate Lymphatic
 Filariasis, one of the world's major tropical diseases that causes life-long
 disability and disfigurement, through grants for public-private partnerships
 and donations of albendazole.  GSK has committed to donating albendazole for
 15-20 years until LF is eliminated, making this the largest drug donation
 program in history.
     Malaria: GSK is partnering with the Ministries of Health in Kenya and
 Uganda to develop pilot projects using donations of Malarone, a highly
 effective anti-malarial treatment, as a second or third line anti-malarial.
     Vaccines: In addition to donating vaccines to a number of countries for
 specific programs, the company continues to research better vaccines against
 diseases that affect developing countries, including malaria, tuberculosis
 (TB) and HIV/AIDS.
     Action TB: Glaxo Wellcome established the Action TB fund in 1993.  This
 international, co-ordinated research program aims to find new targets for
 anti-TB therapies, and identify novel vaccine candidates and surrogate markers
 for use in clinical trials.
 
      Inquiries:
 
      UK Media inquiries:         Martin Sutton     (020) 8966 8000
                                  Philip Thomson    (020) 8966 8000
                                  Alan Chandler     (020) 8966 8000
 
      US Media inquiries:         Nancy Pekarek     (215) 751 7709
                                  Mary Anne Rhyne   (919) 483 2839
 
 SOURCE  GlaxoSmithKline plc