LILLY (ELI) & COMPANY: SEC Settlement Press Release

Date: December 20, 2012                                                         
For Release: Immediately 
Refer to: Mark E. Taylor (317) 276-5795 
 Lilly Reaches Agreement with U.S. Securities and Exchange Commission       
INDIANAPOLIS, IN - Eli Lilly and Company (NYSE: LLY) today announced that it
has reached an agreement with the U.S. Securities and Exchange Commission (SEC)
to settle issues regarding compliance with the U.S. Foreign Corrupt Practices
Act (FCPA). The settlement relates to an investigation by the SEC of certain
activities of four Lilly affiliates - Brazil, China, Poland and Russia - from
1994 through 2009. Lilly was first notified of the investigation in August
2003. Without admitting or denying the allegations, Lilly has consented to pay
a civil settlement amount of $29.4 million and agreed to have an independent
compliance consultant conduct a 60-day review of the company's internal
controls and compliance program related to the FCPA. The company believes that
this civil settlement brings resolution to issues from the past and is in the
best interest of the company. 
"Lilly requires our employees to act with integrity with all external parties
and in accordance with all applicable laws and regulations," said Anne Nobles,
Lilly's chief ethics and compliance officer and senior vice president of
enterprise risk management. "Since ours is a business based on trust, we strive
to conduct ourselves in an ethical way that is beyond reproach. We have
cooperated with the U.S. government throughout this investigation and have
strengthened our internal controls and compliance program globally, including
significant investment in our global anti-corruption program. " 
The SEC noted that since the time of the conduct alleged in its complaint,
Lilly has made improvements to its global anti-corruption compliance program,
including: enhancing anti-corruption due diligence requirements for
relationships with third parties; implementing compliance monitoring and
corporate auditing specifically tailored to anti-corruption; enhancing
financial controls and governance; and expanding anti-corruption training
throughout the organization. 
Lilly, a leading innovation-driven corporation, is developing a growing
portfolio of pharmaceutical products by applying the latest research from its
own worldwide laboratories and from collaborations with eminent scientific
organizations. Headquartered in Indianapolis, Ind., Lilly provides answers -
through medicines and information - for some of the world's most urgent medical
needs. Additional information about Lilly is available at www.lilly.com. 
Some statements in this press release may be forward-looking statements,
including but not limited to statements regarding the final resolution of the
FCPA investigation and the efficacy of the Lilly's internal controls to prevent
future legal, regulatory, or compliance issues. These statements are subject to
risks and uncertainties that may cause actual results to differ materially from
anticipated results. For further discussion of risks and uncertainties
affecting the company's business, see Lilly's filings with the United States
Securities and Exchange Commission. Lilly undertakes no duty to update
forward-looking statements. 


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Eli Lilly and Company

Lilly Corporate Center

Indianapolis, Indiana 46285

U.S.A.

www.lilly.com
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