Healthcare AP Regional Credentials

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Pioneering in China Xian-Janssen Pharmaceutical
Staf Van Reet, PhD
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Xian Janssen History Milestones
A Long March to
Success!
Chemical Manufacturing at Hanjiang Pharma
Factory
20th anniversary of our JV on Oct. 22nd
Net Trade Sales exceed 100mm
J.V. Contract Signed with 4 Chinese Partners
1979 1983 1985 1986 1990 1992
1998 2000 2003 2004 2005
J.V. Negotiations Feasibility Study
Plant opening
Construction Start in Xian
Net Trade Sales exceed 300 mm
3

Xian Janssen is a Joint-Venture between
JJ/Janssen and 4 Chinese Partners!
Chinese Partners 48
Foreign Partners 52
Shaanxi Han Jiang Pharmaceutical Ltd.
(4.8) Shaanxi Pharmaceutical Industry
Corporation (33.6) China National
Pharmaceutical Industry Corporation (5.76)
China National Pharmaceutical Foreign Trade
Corporation (3.84)
Belgium Janssen Pharmaceutical Ltd.
Xian-Janssen Pharmaceutical Ltd. Period of joint
venture 50 years(1985-2035) Investment of
35million in built stage, add RMB140 million in
1994
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We Come From Here.
1985

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20 Years Later A Professional GMP Plant
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Xian Janssen - A Truly Nationwide Company
Beijing

• Coverage
• 27 Sales Offices
• Sales force 276 cities
• 2,500 Hospitals
• 13,000 drugstores
• 5. 5 warehouses Xian, Beijing, Shanghai,
  Wuhan and Guangzhou

Taiwan
7
Number 1 Pharma Plant of JJ
OTC and Rx Portfolio

• 9 OTC products with strong Brand equity
• 14 Prescription products

Newly established Franchise Organization set
for growth
Leadership - Team
Primary Care Gastro / I.D.
Neurology Dermatology
Psychiatry Pain

• Stable Management Team
• Diversified Team
• 2000 plus employees

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XIAN-JANSSEN.A Very Famous Company in China

1992  Top 10 Joint-Ventures 1st Place

1993 Top 10 Joint-Ventures 1st Place

1994 Top 10 Joint-Ventures 2nd Place

1995   Top 10 JV Pharmaceutical Enterprises
1st Place

1996 Top 50 Pharmaceutical Enterprises
1st Place

• Top 10 Most Admired Joint Venture Companies in
  China FORTUNE MAGAZINE (Chinese Version)

2002 One of the Most Admired Joint Venture
Companies in China and One of the Best
Employers in China
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XJP A Successful Company Amongst the Early
Entries
Beijing Zhongrul Ciba-Geigy 1987
Pfizer Dalian 1989
China Otsuka Tianjin 1982
Sino-Swed Wuxi 1982
Tianjin Smithkline French 1984
Sino-American Shanghai Squibb 1982
Chongqing Glaxo 1989
Xian-Janssen Pharmaceutical Ltd. 1985
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We Keep On Being The Number 1 In China
Source 2004 RDPAC Sales Data
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Top 10 pharmaceutical markets world-wide
1996-2010e
China is Expected to Become the 5th largest
Pharmaceutical Market by 2010
2000 Top 10
2005 Top 10
2010 Top 10
1996 Top 11
Ranking
Estimated market size for prescription and OTC
drugs (USbn)
1
US
91
US
150
US
262
US
466
2
Japan
52
Japan
58
Japan
65
Japan
81
3
Germany
20
Germany
17
Germany
24
Germany
37
4
France
18
France
17
France
21
France
28
5
Italy
10
UK
11
UK
16
China
24
6
Brazil
8.4
Italy
11
Italy
15
UK
24
7
UK
8.2
China
6.8
China
14
Italy
23
8
Spain
6.0
Brazil
6.0
Brazil
10
Canada
17
9
S Korea
4.5
Canada
4.5
Canada
10
Spain
16
10
Canada
4.3
Spain
4.3
Spain
9.8
Brazil
15
11
China
4.3
Source BCG China Report 2004
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Evolving Healthcare Insurance in China
Unit million

MEDICAL INSURANCE COVERAGE IMCREASED 6X IN 5
YEARS, HOWEVER ONLY COVERS NOW 9 OF CHINAS 1.3
BILLION POPULATION..
349 MI areas cover 120mio people
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Outlook until 2012. Our Strategic Plan 2005!
USD million
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The secret of success??

• Personal contacts and networking
• Be ahead of the crowd
• Offer the things the country needs
• Education and training
• Quality
• Motivated local team
• Aim for the long haul!
• There is no secret, its all about VISION!!

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Thank You and we look forward to seeing you in
Xian