Teva Reaches Settlement Agreement with Pfizer and Nycomed Regarding Generic Protonix® (Pantoprazole) Tablets

  Teva Reaches Settlement Agreement with Pfizer and Nycomed Regarding Generic
  Protonix® (Pantoprazole) Tablets

Business Wire

JERUSALEM -- June 12, 2013

Teva Pharmaceutical Industries Ltd. (NYSE: TEVA) announced today that it has
entered into a settlement agreement with Wyeth/Pfizer and Altana/Nycomed to
resolve all claims relating to Teva’s sales, commencing in December 2007, of
its 20 mg and 40 mg generic Protonix^® (pantoprazole sodium) tablets. As part
of the settlement, which provides for the release of all claims against Teva
and its subsidiaries, Teva agreed to pay $1.6 billion to Wyeth/Pfizer and
Altana/Nycomed. Teva will pay $800 million in 2013 and the remainder in 2014.
As a result of this settlement, Teva expects to incur a charge of
approximately $930 million in the second quarter of 2013 in addition to the
$670 million provision previously recorded in its 2012 financial statements.
The Company believes it may have up to $560 million of net insurance coverage
in connection with this settlement, subject to recovery from the insurance
carriers.

Richard Egosi, Group Executive Vice President and Chief Legal Officer,
commented: “We are pleased to put this matter behind us as we continue to
focus on delivering safe and affordable medicines to patients around the
world.”

As previously reported, Altana Pharma and Wyeth Pharmaceuticals had previously
sued Teva for patent infringement, and in September 2007, the United States
District Court for the District of New Jersey had denied Wyeth’s motion for a
preliminary injunction. In May 2009, the Court of Appeals for the Federal
Circuit affirmed the District Court’s denial of the preliminary injunction.
Subsequently, a jury trial was held, and in April 2010, the jury returned a
verdict finding that the patent, which Teva had infringed, was not invalid. In
July 2010, the District Court denied Teva’s motion to overturn the verdict.

About Teva

Teva Pharmaceutical Industries Ltd. (NYSE: TEVA) is a leading global
pharmaceutical company, committed to increasing access to high-quality
healthcare by developing, producing and marketing affordable generic drugs as
well as innovative and specialty pharmaceuticals and active pharmaceutical
ingredients. Headquartered in Israel, Teva is the world's leading generic drug
maker, with a global product portfolio of more than 1,000 molecules and a
direct presence in about 60 countries. Teva's branded businesses focus on CNS,
oncology, pain, respiratory and women's health therapeutic areas as well as
biologics. Teva currently employs approximately 46,000 people around the world
and reached $20.3 billion in net revenues in 2012.

Teva's Safe Harbor Statement under the U. S. Private Securities Litigation
Reform Act of 1995:

This release contains forward-looking statements, which express the current
beliefs and expectations of management. Such statements are based on
management’s current beliefs and expectations and involve a number of known
and unknown risks and uncertainties that could cause our future results,
performance or achievements to differ significantly from the results,
performance or achievements expressed or implied by such forward-looking
statements. Important factors that could cause or contribute to such
differences include risks relating to: our ability to develop and
commercialize additional pharmaceutical products, competition for our
innovative products, especially Copaxone® (including competition from
innovative orally-administered alternatives, as well as from potential
purported generic equivalents), competition for our generic products
(including from other pharmaceutical companies and as a result of increased
governmental pricing pressures), competition for our specialty pharmaceutical
businesses, our ability to achieve expected results through our innovative R&D
efforts, the effectiveness of our patents and other protections for innovative
products, decreasing opportunities to obtain U.S. market exclusivity for
significant new generic products, our ability to identify, consummate and
successfully integrate acquisitions, the effects of increased leverage as a
result of recent acquisitions, the extent to which any manufacturing or
quality control problems damage our reputation for high quality production and
require costly remediation, our potential exposure to product liability claims
to the extent not covered by insurance, increased government scrutiny in both
the U.S. and Europe of our agreements with brand companies, potential
liability for sales of generic products prior to a final resolution of
outstanding patent litigation, our exposure to currency fluctuations and
restrictions as well as credit risks, the effects of reforms in healthcare
regulation and pharmaceutical pricing and reimbursement, any failures to
comply with complex Medicare and Medicaid reporting and payment obligations,
governmental investigations into sales and marketing practices (particularly
for our specialty pharmaceutical products), uncertainties surrounding the
legislative and regulatory pathways for the registration and approval of
biotechnology-based products, adverse effects of political or economical
instability, corruption, major hostilities or acts of terrorism on our
significant worldwide operations, interruptions in our supply chain or
problems with our information technology systems that adversely affect our
complex manufacturing processes, any failure to retain key personnel or to
attract additional executive and managerial talent, the impact of continuing
consolidation of our distributors and customers, variations in patent laws
that may adversely affect our ability to manufacture our products in the most
efficient manner, potentially significant impairments of intangible assets and
goodwill, potential increases in tax liabilities, the termination or
expiration of governmental programs or tax benefits, environmental risks and
other factors that are discussed in our Annual Report on Form 20-F for the
year ended December 31, 2012 and in our other filings with the U.S. Securities
and Exchange Commission. Forward-looking statements speak only as of the date
on which they are made and the Company undertakes no obligation to update or
revise any forward-looking statement, whether as a result of new information,
future events or otherwise.

Contact:

Teva Pharmaceutical Industries Ltd.
IR:
United States
Kevin C. Mannix,  215-591-8912
Ran Meir, 215-591-3033
or
Israel
Tomer Amitai, 972 (3) 926-7656
or
PR:
Israel
Iris Beck Codner, 972 (3) 926-7246
or
United States
Denise Bradley, 215-591-8974
 
Press spacebar to pause and continue. Press esc to stop.