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Lilly Announces Completion of Alnara Acquisition
Date:7/20/2010

INDIANAPOLIS, July 20 /PRNewswire-FirstCall/ -- Eli Lilly and Company (NYSE: LLY) today announced that it has completed the acquisition of Alnara Pharmaceuticals, Inc., a privately-held company developing protein therapeutics for the treatment of metabolic diseases. The transaction, first announced on July 2, 2010, has received the approval of Alnara stockholders and clearance under the Hart-Scott-Rodino Antitrust Improvements Act. All other closing conditions have also been met.

Alnara's lead product in development is liprotamase, a non-porcine pancreatic enzyme replacement therapy (PERT). Liprotamase is under review by the U.S. Food and Drug Administration for the treatment of exocrine pancreatic insufficiency (EPI). Causes of EPI include cystic fibrosis, chronic pancreatitis, pancreatectomy and other conditions.

Under the terms of the agreement, Lilly acquired all outstanding shares of Alnara for an upfront payment of $180 million, subject to adjustment based on existing cash on hand at closing. Alnara stockholders will also be eligible for up to $200 million in additional payments contingent upon potential future regulatory and commercial milestones. The impact of the acquisition will be reflected in Lilly's third quarter 2010 financial statements.

About Eli Lilly and Company

Lilly, a leading innovation-driven corporation, is developing a growing portfolio of pharmaceutical products by applying the latest research from its own worldwide laboratories and from collaborations with eminent scientific organizations. Headquartered in In
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