Meda AB (publ) January – June 2008, H1 interim report

• Continued expansion with strengthened profitability

• The Group’s net sales reached SEK 5,159 million (3,748), a 38% increase compared to the previous year.

• EBITDA rose by 47% to SEK 1,871 million (1,273), [1] thus yielding a 36.3% margin (34.0).

• Operating profit rose to SEK 1,350 million (816).

• Profit after tax amounted to SEK 624 million (426).

• Earnings per share increased to SEK 2.41 (1.87).



HIGHLIGHTS

Meda acquires European operation from US pharma company Valeant, and establishes a presence in Russia

• Meda acquires Valeant’s operations in Western and Eastern Europe
- Consistent step in Meda’s growth strategy
- Sales level of SEK 1,100 million
- Organisation comprising 380 employees

• The acquisition gives Meda
- Presence in Russia with its own organisation
- Significant market synergies in Eastern Europe
- Strong position in Western Europe
- Reinforcement of high-priority therapeutic areas: neurology and dermatology

• The acquisition price on a debt-free basis is USD 392 million, slightly more than twice annual sales

• Preferential share issue of about SEK 1,500 million, 100% guaranteed by Stena AB.


Meda establishes joint ventures with Valeant for Canada, Mexico, and Australia

• Meda established joint ventures with Valeant for the markets in Canada, Mexico, and Australia.

• Meda contributes certain products in the Meda majority owned companies which are responsible for registration and commercialisation.


Registration application for Sublinox filed with the FDA

• The application to register Sublinox (treatment of temporary insomnia) has submitted to the US Food and Drug Administration (FDA).

• Sublinox is based on a patent-protected sublingual tablet formulation for fast and effective absorption.

• Greatest potential is in the US, where Meda has its own marketing organisation.


Application to register azelastine new formulation Extra Strength filed with the FDA

• Meda has submitted an application to register azelastine new formulation Extra Strength to the FDA.

• The product is documented to treat symptoms of Seasonal Allergic Rhinitis and Perennial Allergic Rhinitis. This higher strength has been shown to offer additional symptom relief with maintained safety profile.




For more information, contact:

Anders Larnholt, Vice President Investor Relations
Telephone: +46 8-630 19 62
+46 709-458 878


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[1]Excluding restructuring costs of SEK 118 million, due to the 3M pharma division acquisition.

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