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Bristol-Myers Squibb Enters a Collaboration Agreement for Several Over-the-Counter Medicines with Reckitt Benckiser Group plc



  Bristol-Myers Squibb Enters a Collaboration Agreement for Several
  Over-the-Counter Medicines with Reckitt Benckiser Group plc

Business Wire

NEW YORK -- February 12, 2013

Bristol-Myers Squibb Company (NYSE: BMY) today announced it has entered into a
three-year collaboration agreement with Reckitt Benckiser Group plc (LSE: RBL)
for several of its over-the-counter medicines currently sold across Latin
America, primarily in Mexico and Brazil.

Under the terms of the collaboration agreement, Reckitt Benckiser will pay
Bristol-Myers Squibb an upfront payment in the amount of $438 million for the
exclusive rights to sell, distribute and market the following medicines for a
three-year period: Picot, an antacid, Tempra, a pain reliever and fever
reducer, Micostatin, an antifungal, and Graneodin, a cough and cold medicine,
sold primarily in Mexico; and Dermodex, an anti-rash cream, Luftal, an
anti-gas medicine, and Naldecon, a cold and flu symptoms treatment, sold
primarily in Brazil.

“As part of our BioPharma strategy, Bristol-Myers Squibb has worked to focus
its businesses around the world on innovative medicines in areas of high unmet
medical need,” said Charles Bancroft, executive vice president,
Intercontinental Region and Japan, and chief financial officer. “This
agreement allows us to increase our focus on the launch and commercialization
of our innovative portfolio in these important markets in Latin America.”

During the collaboration term, Bristol-Myers Squibb will retain responsibility
for manufacturing all of the products covered by the collaboration (either by
itself or through third party manufacturers), and Reckitt Benckiser will
purchase products from Bristol-Myers Squibb and pay royalties on product sales
during the term of the collaboration.

Reckitt Benckiser will also pay to Bristol-Myers Squibb an option fee in the
amount of $44 million for the right to purchase these products outright at the
end of the three-year term, acquiring the sales, marketing, and distribution
rights, along with assets related to the products, including the trademarks,
remaining inventories, and certain other assets. Subject to certain rights it
has to extend the term of the supply agreement with Bristol-Myers Squibb,
Reckitt Benckiser would then assume all responsibility for the products. The
purchase price will be based on average net sales during the two year period
preceding the closing of the sale. No manufacturing facilities will be
transferred from Bristol-Myers Squibb to Reckitt Benckiser Group plc as part
of this transaction.

The transaction is subject to the satisfaction or waiver of customary closing
conditions, including competition law authorizations in Brazil and Mexico.

Jefferies Group, Inc. acted as exclusive financial advisor to Bristol-Myers
Squibb, and Kirkland & Ellis LLP acted as its legal adviser.

About Bristol-Myers Squibb

Bristol-Myers Squibb is a global biopharmaceutical company whose mission is to
discover, develop and deliver innovative medicines that help patients prevail
over serious diseases. For more information about Bristol-Myers Squibb, visit
www.bms.com, or follow us on Twitter at http://twitter.com/bmsnews.

Bristol-Myers Squibb Forward-Looking Statements

This press release contains “forward-looking statements” as that term is
defined in the Private Securities Litigation Reform Act of 1995, regarding the
research, development and commercialization of pharmaceutical products. Such
forward-looking statements are based on current expectations and involve
inherent risks and uncertainties, including factors that could delay, divert
or change any of them, and could cause actual outcomes and results to differ
materially from current expectations. No forward-looking statement can be
guaranteed. Among other risks, there can be no guarantee that all of the
necessary closing conditions will be met for the transaction to close.
Forward-looking statements in the press release should be evaluated together
with the many uncertainties that affect Bristol-Myers Squibb’s business,
particularly those identified in the cautionary factors discussion in
Bristol-Myers Squibb’s Annual Report on Form 10-K for the year ended December
31, 2011, its Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K.
Bristol-Myers Squibb undertakes no obligation to publicly update any
forward-looking statement, whether as a result of new information, future
events, or otherwise.

Contact:

Bristol-Myers Squibb:
Media:
Jennifer Fron Mauer, 609-252-6579, jennifer.mauer@bms.com
Investors:
Ranya Dajani, 609-252-5330, ranya.dajani@bms.com
or
Ryan Asay, 609-252-5020, ryan.asay@bms.com
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