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Financial Report: Lilly ICOS LLC

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By: Tim Wright

Editor-in-Chief, Contract Pharma

Lilly ICOS LLC

4Q Revenues: $226.7 million (+30%)

4Q Earnings: $99.9 million (+63%)

FY Revenues: $800.9 million (+31%)

FY Earnings: $320.3 million (earnings were $37.8 million FY2006)

Comments: Revenue for the quarter includes $12 million in royalties on sales reported by Lilly, compared to $9 million in 4Q2005. FY revenue includes $45.7 million in royalties on sales reported by Lilly, compared to $34 million in 4Q2005. FY earnings reflect a $224.4 million increase in worldwide sales of Cialis and a $96.8 million reduction in selling, general and administrative costs. The acquisition of ICOS by Eli Lilly and Co., announced in December 2006, is expected to close early in 1Q2007.

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