Chugai and Novartis Pharma to Terminate Co-Marketing Agreement of Aromatase Inhibitor “Femara ® Tablets 2.5 mg,” a Treatment for Breast Cancer after Menopause

TOKYO, January 6, 2016 - Chugai Pharmaceutical Co., Ltd. (TOKYO: 4519) announced today that Chugai and Novartis Pharma K.K. have agreed to terminate the agreement regarding co-marketing of aromatase inhibitor “Femara ® tablets 2.5 mg” (generic name: letrozole, hereafter Femara ® ), a treatment for breast cancer after menopause in Japan, as of January 31, 2016. Novartis Pharma will be solely responsible for the distribution and commercialization of Femara ® in Japan from February 1, 2016. Chugai and Novartis Pharma will cooperate to accomplish a smooth transition. During the transition period, both companies will maintain the same level of product supply and adequate commercial activities to satisfy any medical needs. About Femara ® Tablets 2.5 mg Generic Name: Letrozole Brand Name: Femara ® Tablets 2.5 mg Approval Date: January 23, 2006 Launch Date: May 11, 2006 Indication: Breast cancer after menopause Dosage and administration: The usual adult dosage is 2.5 mg administered orally once daily. Drug Price: JPY 674.1/Tablet Manufacturer & Distributor: Novartis Pharma K.K. Distribution and commercialization: Novartis Pharma K.K. (on or after February 1, 2016)

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