Breakthrough in Partnerships to tackle Global Health Crisis

HAARLEM, THE NETHERLANDS (Dec 13, 2007) — This week, the Access to Medicine Foundation and Innovest Strategic Value Advisors reached an important milestone in the creation of the Access to Medicine (AtM) Index. An AtM model was published outlining how pharmaceutical companies can best contribute to improving global access to medicine.

The comprehensive model has been developed with the support of government, investors, the healthcare sector and the pharmaceutical industry, and is presented in the Access to Medicine Foundation’s third report.

The publication of the Industry and Stakeholder Review report and associated AtM performance model, represents a growing collaboration between governments, civil society and the industry to improve access to medicine. This model will be the basis for the Access to Medicine (AtM) Index, ranking the largest pharmaceutical companies on their performance in access to medicine. The Index will be produced by Innovest Strategic Value Advisors together with the Access to Medicine Foundation, and will be released in spring 2008.

This step in the AtM Index development represents a global consensus amongst pharmaceutical companies, investors, health organizations, the World Health Organization and the United Nations when determining the indicators to best assess AtM performance. Best practice has been determined to comprise global partnerships and ongoing stakeholder dialogue. The AtM Index will clarify the current role of the pharmaceutical industry in creating better access to medicine, stakeholder expectations of these companies and company commitment to key “sustainability” issues.

Investor interest

Large investors have already thrown their weight behind this project, believing a pro-active approach to access to medicine is of material importance. F&C, the Interfaith Centre on Corporate Social Responsibility, Morley Fund Managers, Schroders, SNS Reaal, The Swiss Ethos Foundation and Universities Superannuation Scheme, with funds under management totaling more than EUR 900 billion, have recognized the financial significance of improving the health and welfare of the global community.

Toolkit for all stakeholders

The forthcoming Index will serve as a tool to aid the pharmaceutical industry and its stakeholders in shaping access to medicine policies and strategies. Investors can use the Index as an indicator of access to medicine performance, which can then be included in investment analysis. For the global health sector, the Index is a means to improve the effectiveness of partnerships with the pharmaceutical industry.

Important conclusions from the report are:

1. AtM programs should be implemented in partnership
2. Research and development is a major component of an effective AtM policy
3. Equitable pricing and voluntary licenses are pathways to enable companies to protect innovation while improving access to medicine
4. Board oversight is central to the management of AtM programs
5. Drug donations are useful, but not sustainable.

The report is available on www.atmindex.org

For more information:

Access to Medicine Foundation
Wim Leereveld – Chairman
wleereveld@atmindex.org
T. +31 23 533 9187
M. +31 65 157 1256

Innovest Strategic Value Advisors
Andy White, Managing Director
awhite@innovestgroup.com
T. +44 20 7073 0469