Pharmacyclics Johnson And Johnson Agreement

HORSHAM, PA, (December 8, 2011) – Janssen Biotech, Inc., one of the pharmaceutical companies of Johnson and Johnson (NYSE: JNJ), announced today that it has entered into an agreement with Pharmacyclics, Inc. (Nasdaq: PCYC) for the development and common market of the PCI-32765 cancer link. A series of Phase 1 and 2 studies with PCI-32765 are underway in a panel of B cell malignancy disorders, including chronic lymphocytic leukemia, mantle head lycling and diffuse B cell lymphoma. Intermediate data were reported at the 2011 American Society of Clinical Oncology annual meeting and oral presentations on two separate Phase 2 studies will be presented at the next meeting of the American Society of Hematology in December with several other poster presentations. The company will hold a conference call today at 4:30 p.m.m EDT. To participate in the conference call, please dial 1-877-407-8133 for domestic callers and 1-201-689-8040 for international callers. To access the live audio transmission or the ensuing archived recording, log in to ir.pharmacyclics.com/events.cfm. The archived version of the webcast will be available for 30 days in the Investor Relations section on the company`s website at www.pharmacyclics.com. Under the terms of the agreement, Pharmacyclics receives a down payment of $150 million. In addition, Pharmacyclics will receive an additional $825 million in development and regulatory milestone payments, depending on evolution, regulatory progress and product approval, for total forward potential and milestone payments of $975 million. Pharmacyclics and Janssen will collaborate on the development of IDP-32765 for oncology and other indications, with the exception of inflammation and immune-mediated diseases. Each company will lead the development for specific indications, as provided for by a comprehensive development plan, with development costs shared on a 40/60 basis (Pharmacyclics 40% and Janssen 60%). The agreement plans to launch several Phase III studies over the next few years with IDP-32765.

Under the terms of the agreement, the companies have entered into a global agreement of 50/50 loss of profits that shares development and marketing activities. Janssen has made a down payment of $150 million, which will be recorded in the fourth quarter, and will make additional payments based on the completion of certain regulatory and development milestones. This transaction is expected to have a dilutive effect on Johnson-Johnson`s 2011 earnings per share of approximately 0.04 to 0.05 $US. The company is headquartered in Sunnyvale, California and is listed on the NASDAQ under the symbol PCYC. To learn more about how pharmacy advances science to improve health care, visit us on www.pharmacyclics.com. “The agreement with Pharmacyclics is an opportunity to bring a new form of oral therapy to patients with B cell malignoms,” said William N. Hait, M.D., Ph.D., Global Therapeutic Head, Oncology, janssen. “PCI-32765 is an innovative association with broad applicability and the potential to help a large number of patients with cellular mali suits B.” And J-J is barely resting on its laurels, launching out posts in crisis homes around the world, and incubated biotechs on his daughter Janssen, all in the hope of finding the nearest pharmacies and reviving this process. Investor Contacts:Louise MehrotraJohnson – JohnsonOffice: 732-524-6491 But the biggest benefit of WSJ`s deep dive may be, as J-J Dealmaking and external research and development have accepted to a greater extent than most of its Big Pharma competitors.