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Bavarian Nordic Receives $50 Million Advance Payment from HHS for Fulfilling Contract Milestones
Date:10/9/2007

in healthy people, but in the event of a smallpox outbreak, the vaccine would be recommended to protect people who have weakened immune systems.(1)

The five-year contract is valued at more than $500 million, with options that if exercised, extend the value to $1.6 billion and the performance period of the contract. The contract options would allow the government to procure up to an additional 60 million doses of IMVAMUNE and support additional clinical studies for extending the license to include HIV-infected, pediatric, and geriatric populations.

Bavarian Nordic's contract is the first next-generation, or completely new product procured by HHS under the BioShield program. It is also is the first contract where HHS has utilized all of its existing and newly-acquired payment authorities (Advance Payment, Milestone Advance Payment, and Performance Based Payment) as granted under the Project Bioshield Act (2004), the Pandemic and All-Hazards Preparedness Act (2006), and the FAR subpart 32.10.

* This project has been funded in whole with Federal funds from the Office of the Assistant Secretary for Preparedness and Response, Biomedical Advanced Research and Development Authority, under Contract No. HHSO100200700034C.

(1) http://www.hhs.gov/news/press/2007pres/06/pr20070604a.html

About Bavarian Nordic

Bavarian Nordic, headquartered in Denmark, is a leading international biopharmaceutical company developing and producing innovative vaccines to prevent and treat infectious diseases and cancer.

In the U.S., Bavarian Nordic operates subsidiary companies, BN ImmunoTherapeutics, in Mountain View, California developing vaccines against cancers, and Bavarian Nordic Inc. in Washington, D.C. focused on business development, marketing, and government relations for the Bavarian Nordic Group. For more information on Bavarian Nordic visit:

SOURCE Bavarian Nordic A/S
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