Shire Delivers Strong Quarter: Driven by $243m of New Product Sales (+164% YOY Growth). Revenue Guidanc...(y Janssen PharmaceuticalN.V. ( Janssen )...)

Sales of the REMINYL/RAZADYNE range, for the symptomatic treatment of mild to moderately severe dementia of the Alzheimer's type, continue to grow.

Litigation proceedings relating to 3TC, COMBIVIR, EPIVIR, EPZICOM, RAZADYNE, RAZADYNE ER, REMINYL, REMINYL XL and ZEFFIX are ongoing. Further information on these litigations can be found in our filings with the SEC, including our Annual Report on Form 10-K for the year to December 31, 2007.
4. Financial details

Cost of product sales

% of % of

product product

2008 sales 2007 sales

$m $m

_________ _________ _________ _________

Cost of product sales (US 142.9 20% 74.0 15%

GAAP)

Write-down of inventory and

exit costs of DYNEPO

(53.4) -

Depreciation (3.0) (2.9)

_________ _________

Cost of product sales (Non 86.5 12% 71.1 14%

GAAP)

_________ _________

The cost of product sales increased to $142.9 million for the three months to June 30, 2008 (20% of product sales), up from $74.0 million in the corresponding period in 2007 (2007: 15% of product sales).

For the three months to June 30, 2008 cost of product sales included charges of $53.4 million (8% of product sales) (2007: $nil) relating to the write-down of inventory and other exit costs for DYNEPO, which the Co
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