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Baxter and Halozyme Announce Collaboration for Development of Subcutaneous GAMMAGARD LIQUID(TM) Administration Using Enhanze(TM) Technology
Date:9/10/2007

Development of New Route to Administer GAMMAGARD LIQUID(TM) 10% Could Make Home Therapy More Accessible; Collaboration Valued at Up to $47 Million

DEERFIELD, Ill. and SAN DIEGO, Sept. 10 /PRNewswire-FirstCall/ -- Baxter International Inc. (NYSE: BAX) and Halozyme Therapeutics, Inc. (Nasdaq: HALO) announced today they have entered into an agreement to apply Halozyme's proprietary Enhanze(TM) Technology to the development of a subcutaneous route of administration for Baxter's GAMMAGARD LIQUID(TM) 10% [Immune Globulin Intravenous (Human)] (IGIV) (known as KIOVIG(TM) in Europe). For patients using GAMMAGARD LIQUID 10% -- currently administered intravenously -- subcutaneous administration with Enhanze Technology may increase overall convenience and improve the dispersion of the therapy.

Under the terms of the agreement, Baxter will provide Halozyme an initial upfront payment of $10 million. Pending successful completion of a series of regulatory and sales milestones, Baxter may make further milestone payments totaling $37 million to Halozyme. Baxter also will assume development, manufacturing, clinical, regulatory, sales and marketing costs. Halozyme will be responsible for the supply of the recombinant human hyaluronidase (rHuPH20) enzyme that provides the basis for Enhanze Technology. Upon regulatory approval, Halozyme will also receive royalties on GAMMAGARD LIQUID 10% administered subcutaneously using Enhanze Technology both in kits and in co- formulations.

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