Astra in agreement with schering-plough

12/9/1998 8:10 AM EST

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ASTRA IN AGREEMENT WITH SCHERING-PLOUGH TO REACQUIRE LOSEC AND PERFUDAL
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/PREVEX RIGHTS IN ITALY AND SPAIN

Astra AB and Schering-Plough Corporation today announced an agreement whereby
rights held by Schering-Plough's subsidiary, Essex Chemie, to market Losec
(omeprazole), an anti-peptic ulcer drug, and Perfudal/Prevex (felodipine), a
calcium antagonist for hypertension, in Italy and Spain are returned to Astra
in exchange for payments and revenues based on sales.

Under the agreement, which begins January 1, 1999, payments will be made by
Astra to Essex Chemie over at least the next five years. Further details of
the transaction are not being disclosed.

"The new agreement with Schering-Plough has great significance for Astra, in
terms of profitability as well as strategically," said Håkan Mogren, Astra's
President and CEO. "Through this agreement we gain full control over the Losec
franchise in two of Europe's largest pharmaceutical markets. The reacquisition
of the marketing and trademark rights to Losec in both Italy and Spain is an
important element in Astra's work on maintaining and further developing its
market-leading position in the gastrointestinal area."


"We are very pleased with this agreement, which will benefit Schering-Plough's
earnings by providing an income stream over the next several years," said
Richard Jay Kogan, Schering-Plough Chairman and CEO. He added that the
transaction will be accretive to earnings. At the same time, he reiterated his
previously made projection: "Assuming no unforeseen developments, Schering-
Plough expects to turn in another good year of earnings growth in 1998, with
earnings per share expected to be higher by about 20 percent."

Under a 1984 agreement, Schering-Plough had marketing rights to Astra's
products in Italy and Spain under Astra's trademarks. This agreement was
renegotiated in 1993, and Astra recovered the rights to all Astra products,
except omeprazole, under Astra's Losec trademark, and except the
antihypertensive agent felodipine under Schering-Plough's Perfudal/Prevex
trademarks. Since 1993, Astra has been marketing products containing these
compounds in Italy and Spain in parallel with Schering-Plough under the
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trademarks Antra /Mopral and Plendil , respectively. In 1997, Schering-
Plough recorded Losec sales of USD 202 million and Perfudal/Prevex sales of
USD 14 million.

Astra is an international pharmaceutical company, based in Sweden, with
operations in some 45 countries. The company, a leader in the development of
gastrointestinal, cardiovascular, respiratory and pain control products with
1997 revenues of USD 5.7 billion, has been one of the fastest-growing
pharmaceutical companies over the past decade.

Schering-Plough, based in Madison, N.J., is a research-based company engaged
in the discovery, development, manufacturing and marketing of pharmaceutical
and health care products worldwide.


Schering-Plough forward-looking statement: The information in this press
release includes certain forward-looking information relating to expectations
of business prospects and earnings performance. Due to market factors and
global economic trends, among other things, the forward-looking statements
contained in this press release are subject to risks and uncertainties, which
may cause results to differ materially from those set forth in the forward-
looking statements. For further details and a discussion of these and other
risks and uncertainties, see the company's Securities and Exchange Commission
filings, including Exhibit 99 of the company's 1997 annual report on Form 10-
K.

Astra forward-looking statement: This press release contains "forward-looking
statements," as that term is defined in the Private Securities Litigation
Reform Act of 1995. No forward-looking statements can be guaranteed and actual

results may differ materially from those indicated as a result of various
important factors. Additional, detailed information concerning certain such
factors and other risks are set forth in Astra's filings with the Securities
and Exchange Commission, including its annual report on Form 20-F for the
fiscal year ended December 31, 1997. A copy of Astra's Form 20-F is available
upon request to Astra's Office of Investor Relations.

Contact persons:
Staffan Ternby, Vice President, PR & Information, Astra AB, +46 8 553 261 07
Mikael Widell, Press Officer, PR & Information, Astra AB, +46 8 553 264 28
Michael Olsson, Manager, Investor Relations, Astra AB, +46 8 553 259 52
Jörgen Winroth, Investor Relations U.S., Astra AB, + 1 609 896 4148