Partnership between Knoll and Meda to be terminated in advance

Partnership between Knoll and Meda to be terminated in advance Knoll of Germany has initiated negotiations to terminate its partnership with Meda in advance. The current agreement comprises administrative, medical and logistical services in Sweden, as well as marketing and sales in Denmark, Norway and Finland. Since 1998, Knoll has had its own marketing organisation in Sweden and is now planning to establish organisations of its own in all the Nordic countries. "Knoll and Meda have been collaborating for more than 40 years. Following Knoll's acquisition of Boots of the UK's prescription drug operations, the partnership agreement was re-negotiated in 1997, with lower margins for Meda ® as a result. Prior to the forthcoming introduction of Reductil , a drug for the treatment of obesity, Knoll has decided to establish a presence of its own in the Nordic countries, a move we regret," says Meda's managing director Göran Pettersson. "The agreement between MediNet and Knoll relating to the Baltic States will not be affected." "At the same time, our planned merger with Cross Pharma offers new business potential which will enable Meda more rapidly to implement the strategic re- orientation that was begun in 1998," Göran Pettersson adds. Negotiations on the timetable and compensation for the advance termination of the partnership with Knoll are currently in progress. In 1998, Knoll accounted for some 17 per cent of Meda's invoiced sales. For further information, please contact Göran Pettersson Managing Director Phone +46 31-701 28 01 or +46 70-445 03 01 Annette Johansson Public Relations Manager Phone +46 31-701 29 04 or +46 70-445 03 00 Meda develops profitable partnerships in the Nordic and Baltic areas in collaboration with international producers of pharmaceuticals, nutrition and medical device products. With our thorough knowledge and our expertise in marketing and sales, we offer benefits to the health and medical care sector at the same time as we promote our own and our partner's growth and development. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/06/08/19990608BIT00200/bit0001.doc http://www.bit.se/bitonline/1999/06/08/19990608BIT00200/bit0002.pdf