Document:

Exhibit 10.26

SCIELE
PHARMA, INC.

EXECUTIVES’
COMPENATION FOR 2006 SUMMARY SHEET

 

 

	
  

  	
  Name

  	
   

  	
   

  	
   

  	
  Position (2)

  	
   

  	
   

  	
  Year

  	
   

  	
  Base Salary

  	
   

  	
  Targeted Bonus

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Patrick Fourteau

  	
   

  	
  President and Chief
  Executive Officer

  	
   

  	
  2006

  	
   

  	
  $

  	
  325,000

  	
   

  	
  $

  	
  325,000

  	
   

  
	
  

  	
   

  	
   

  	
   

  	
  2007

  	
   

  	
  $

  	
  375,000

  	
   

  	
  $

  	
  375,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Darrell Borne

  	
   

  	
  Executive Vice
  President, Chief Financial Officer, 

  	
   

  	
  2006

  	
   

  	
  $

  	
  240,000

  	
   

  	
  $

  	
  144,000

  	
   

  
	
  

  	
   

  	
  Secretary and
  Treasurer

  	
   

  	
  2007

  	
   

  	
  $

  	
  280,000

  	
   

  	
  $

  	
  210,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Ed Schutter

  	
   

  	
  Executive Vice
  President & Chief Commercial Officer

  	
   

  	
  2006

  	
   

  	
  $

  	
  249,600

  	
   

  	
  $

  	
  156,000

  	
   

  
	
  

  	
   

  	
   

  	
   

  	
  2007

  	
   

  	
  $

  	
  280,000

  	
   

  	
  $

  	
  168,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Larry Dillaha

  	
   

  	
  Chief Medical
  Officer

  	
   

  	
  2006

  	
   

  	
  $

  	
  230,000

  	
   

  	
  $

  	
  115,000

  	
   

  
	
  

  	
   

  	
   

  	
   

  	
  2007

  	
   

  	
  $

  	
  240,000

  	
   

  	
  $

  	
  120,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Leslie Zacks

  	
   

  	
  Vice President
  of Legal and Compliance

  	
   

  	
  2006

  	
   

  	
  $

  	
  205,000

  	
   

  	
  $

  	
  102,500

  	
   

  
	
  

  	
   

  	
   

  	
   

  	
  2007

  	
   

  	
  $

  	
  230,000

  	
   

  	
  $

  	
  115,000

  	
   

  

 

(1) The target
bonus is discretionary and actual amounts paid may be more or less. In 2006,
Forteau, Borne, Schutter, Dillaha, and Zacks were paid bonuses of $342,875,
$177,360, $117,000, $97,250 and $102,500, respectively.

(2) All executives
have been granted Restricted Shares by the Company. The Restricted Shares vest
under the Company’s annual vesting policy of 25% annum unless granted under an
incentive based award plan. As of December 31, 2006, Fourteau, Borne, Schutter,
Dillaha, and Zacks had vested and unvested shares of 375,000, 240,000, 65,000,
54,000 and 55,000, respectively. In 2006, stock options were granted to
Fourteau and Borne of 75,000 and 40,000, respectively.Exhibit
10.27

SCIELE PHARMA, INC.

 

DIRECTORS’ COMPENSATION FOR 2006
SUMMARY SHEET

 

	
  ANNUAL BOARD RETAINER

  	
   

  	
  2006

  	
   

  	
  $

  	
  30,000

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  30,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ANNUAL BOARD CHAIRMANSHIP
  RETAINER

  	
   

  	
  2006

  	
   

  	
  $

  	
  30,000

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  10,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  ANNUAL COMMITTEE
  CHAIRMANSHIP RETAINER

  	
   

  	
  2006

  	
   

  	
  $

  	
  10,000

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  15,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Nomination/Corporate
  Governance Committee

  	
   

  	
  2006

  	
   

  	
  $

  	
  5,000

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  10,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Audit Committee

  	
   

  	
  2006

  	
   

  	
  $

  	
  5,000

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  10,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Compensation Committee

  	
   

  	
  2006

  	
   

  	
  $

  	
  5,000

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  5,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  BOARD AND COMMITTEE MEETING
  FEE (In Person Meeting)

  	
   

  	
  2006

  	
   

  	
  $

  	
  1,500

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  2,000

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  AUDIT COMMITTEE ACCOUNTING
  EXPERT RETAINER

  	
   

  	
  2006

  	
   

  	
  $

  	
  5,000

  	
   

  
	
  

  	
   

  	
  2007

  	
   

  	
  $

  	
  10,000

  	
   

  

 

In 2006, in addition to the base compensation, each director who was
not a employee and not affiliated with a greater than 10% stockholder was
granted 5,000 stock options and 2,500 restricted shares.Exhibit 10.27

 

 

 

Confidential materials
omitted and filed separately with

the Securities and
Exchange Commission.

Asterisks denote
omissions.

 

 

 

 

ASSET
PURCHASE AGREEMENT

 

 

Between

 

 

MEDIMMUNE, INC.,

as Seller,

 

and

 

ZLB BEHRING AG,

as Purchaser,

 

Dated as of
November 8, 2006

TABLE OF
CONTENTS

	
  

  	
   

  	
   

  	
   

  	
   

  	
   

  	
  Page

  
	
  1.

  	
   

  	
  SALE AND PURCHASE OF ASSETS.

  	
   

  	
  1

  
	
   

  	
   

  	
  1.1

  	
   

  	
  Purchase and Sale.

  	
   

  	
  1

  
	
   

  	
   

  	
  1.2

  	
   

  	
  Transfer of Assets.

  	
   

  	
  1

  
	
   

  	
   

  	
  1.3

  	
   

  	
  Assumed and Excluded Liabilities.

  	
   

  	
  3

  
	
   

  	
   

  	
  1.4

  	
   

  	
  Closing.

  	
   

  	
  6

  
	
   

  	
   

  	
  1.5

  	
   

  	
  Purchase Deposit.

  	
   

  	
  6

  
	
   

  	
   

  	
  1.6

  	
   

  	
  Purchase Price.

  	
   

  	
  6

  
	
   

  	
   

  	
  1.7

  	
   

  	
  Milestone Payments.

  	
   

  	
  7

  
	
   

  	
   

  	
  1.8

  	
   

  	
  Inventory Calculations.

  	
   

  	
  10

  
	
   

  	
   

  	
  1.9

  	
   

  	
  Allocation of Purchase Price.

  	
   

  	
  11

  
	
   

  	
   

  	
  1.10

  	
   

  	
  Prorations.

  	
   

  	
  12

  
	
   

  	
   

  	
  1.11

  	
   

  	
  Risk of Loss.

  	
   

  	
  12

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  2.

  	
   

  	
  REPRESENTATIONS AND WARRANTIES OF SELLER.

  	
   

  	
  13

  
	
   

  	
   

  	
  2.1

  	
   

  	
  Organization.

  	
   

  	
  13

  
	
   

  	
   

  	
  2.2

  	
   

  	
  Due Authorization.

  	
   

  	
  13

  
	
   

  	
   

  	
  2.3

  	
   

  	
  No Conflicts; Consents.

  	
   

  	
  13

  
	
   

  	
   

  	
  2.4

  	
   

  	
  Title to Assets.

  	
   

  	
  14

  
	
   

  	
   

  	
  2.5

  	
   

  	
  Intellectual Property.

  	
   

  	
  14

  
	
   

  	
   

  	
  2.6

  	
   

  	
  Contracts.

  	
   

  	
  14

  
	
   

  	
   

  	
  2.7

  	
   

  	
  Compliance with Laws.

  	
   

  	
  15

  
	
   

  	
   

  	
  2.8

  	
   

  	
  Litigation.

  	
   

  	
  15

  
	
   

  	
   

  	
  2.9

  	
   

  	
  Brokers or Finders.

  	
   

  	
  16

  
	
   

  	
   

  	
  2.10

  	
   

  	
  Inventory.

  	
   

  	
  16

  
	
   

  	
   

  	
  2.11

  	
   

  	
  Financial Statements.

  	
   

  	
  16

  
	
   

  	
   

  	
  2.12

  	
   

  	
  Financial Records.

  	
   

  	
  16

  
	
   

  	
   

  	
  2.13

  	
   

  	
  No Other Representations or Warranties.

  	
   

  	
  17

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.

  	
   

  	
  REPRESENTATIONS AND WARRANTIES OF PURCHASER.

  	
   

  	
  17

  
	
   

  	
   

  	
  3.1

  	
   

  	
  Organization.

  	
   

  	
  17

  
	
   

  	
   

  	
  3.2

  	
   

  	
  Authority; Execution and Delivery; Enforceability.

  	
   

  	
  17

  
	
   

  	
   

  	
  3.3

  	
   

  	
  No Conflicts; Consents.

  	
   

  	
  18

  
	
   

  	
   

  	
  3.4

  	
   

  	
  Brokers and Finders.

  	
   

  	
  18

  
	
   

  	
   

  	
  3.5

  	
   

  	
  Litigation.

  	
   

  	
  18

  
	
   

  	
   

  	
  3.6

  	
   

  	
  Financial Condition.

  	
   

  	
  19

  
	
   

  	
   

  	
  3.7

  	
   

  	
  Limitations on Acquired Assets.

  	
   

  	
  19

  
	
   

  	
   

  	
  3.8

  	
   

  	
  Governmental Authorizations.

  	
   

  	
  19

  
	
   

  	
   

  	
  3.9

  	
   

  	
  Financial Statements.

  	
   

  	
  20

  
	
   

  	
   

  	
  3.10

  	
   

  	
  No Other Purchaser Representations or Warranties.

  	
   

  	
  20

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  4.

  	
   

  	
  COVENANTS PRIOR TO CLOSING.

  	
   

  	
  20

  
	
   

  	
   

  	
  4.1

  	
   

  	
  Access to Information.

  	
   

  	
  20

  
	
   

  	
   

  	
  4.2

  	
   

  	
  Operation of Product-Related Business Prior to the
  Closing.

  	
   

  	
  20

  

 

 

	
  

  	
   

  	
  4.3

  	
   

  	
  Consents and Approvals.

  	
   

  	
  22

  
	
   

  	
   

  	
  4.4

  	
   

  	
  HSR Act.

  	
   

  	
  22

  
	
   

  	
   

  	
  4.5

  	
   

  	
  Other Pre-Closing Covenants.

  	
   

  	
  23

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  5.

  	
   

  	
  ADDITIONAL COVENANTS.

  	
   

  	
  24

  
	
   

  	
   

  	
  5.1

  	
   

  	
  Confidentiality; Publicity.

  	
   

  	
  24

  
	
   

  	
   

  	
  5.2

  	
   

  	
  Availability of Records.

  	
   

  	
  25

  
	
   

  	
   

  	
  5.3

  	
   

  	
  Revision of Marketing Materials; Use of Names.

  	
   

  	
  25

  
	
   

  	
   

  	
  5.4

  	
   

  	
  Customer Notifications.

  	
   

  	
  26

  
	
   

  	
   

  	
  5.5

  	
   

  	
  Product Returns, Rebates, Chargebacks and NDC
  Number.

  	
   

  	
  26

  
	
   

  	
   

  	
  5.6

  	
   

  	
  Accounts Receivable.

  	
   

  	
  28

  
	
   

  	
   

  	
  5.7

  	
   

  	
  Regulatory Approvals.

  	
   

  	
  29

  
	
   

  	
   

  	
  5.8

  	
   

  	
  Tax Matters.

  	
   

  	
  31

  
	
   

  	
   

  	
  5.9

  	
   

  	
  Government Multi-Product Contracts.

  	
   

  	
  31

  
	
   

  	
   

  	
  5.10

  	
   

  	
  Inventory.

  	
   

  	
  31

  
	
   

  	
   

  	
  5.11

  	
   

  	
  Further Assurances.

  	
   

  	
  31

  
	
   

  	
   

  	
  5.12

  	
   

  	
  Post-Effective Time Cooperation.

  	
   

  	
  32

  
	
   

  	
   

  	
  5.13

  	
   

  	
  No Active Solicitation of Returns.

  	
   

  	
  32

  
	
   

  	
   

  	
  5.14

  	
   

  	
  Insurance.

  	
   

  	
  32

  
	
   

  	
   

  	
  5.15

  	
   

  	
  Non-Competition.

  	
   

  	
  33

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  6.

  	
   

  	
  CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER.

  	
   

  	
  33

  
	
   

  	
   

  	
  6.1

  	
   

  	
  Representations and Warranties.

  	
   

  	
  33

  
	
   

  	
   

  	
  6.2

  	
   

  	
  Performance.

  	
   

  	
  33

  
	
   

  	
   

  	
  6.3

  	
   

  	
  Legal Proceedings.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.4

  	
   

  	
  Consents.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.5

  	
   

  	
  Purchase Price.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.6

  	
   

  	
  Purchaser’s Certificates.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.7

  	
   

  	
  Assumption Agreement.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.8

  	
   

  	
  Ancillary Agreements.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.9

  	
   

  	
  Governmental Authorizations.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.10

  	
   

  	
  Purchaser Financial Information.

  	
   

  	
  34

  
	
   

  	
   

  	
  6.11

  	
   

  	
  Parent Guaranty.

  	
   

  	
  34

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  7.

  	
   

  	
  CONDITIONS PRECEDENT TO OBLIGATIONS OF PURCHASER.

  	
   

  	
  34

  
	
   

  	
   

  	
  7.1

  	
   

  	
  Representations and Warranties.

  	
   

  	
  34

  
	
   

  	
   

  	
  7.2

  	
   

  	
  Performance.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.3

  	
   

  	
  Legal Proceedings.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.4

  	
   

  	
  Consents.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.5

  	
   

  	
  Seller’s Certificates.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.6

  	
   

  	
  Related Instruments.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.7

  	
   

  	
  Ancillary Agreements.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.8

  	
   

  	
  Governmental Authorizations.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.9

  	
   

  	
  Baxter/PPS Matters.

  	
   

  	
  35

  
	
   

  	
   

  	
  7.10

  	
   

  	
  Product Removal Notice.

  	
   

  	
  35

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

 

	
  8.

  	
   

  	
  SURVIVAL; INDEMNIFICATION.

  	
   

  	
  36

  
	
   

  	
   

  	
  8.1

  	
   

  	
  Survival of Representations.

  	
   

  	
  36

  
	
   

  	
   

  	
  8.2

  	
   

  	
  Indemnification by Seller.

  	
   

  	
  36

  
	
   

  	
   

  	
  8.3

  	
   

  	
  Indemnification by Purchaser.

  	
   

  	
  37

  
	
   

  	
   

  	
  8.4

  	
   

  	
  Calculation of Losses.

  	
   

  	
  38

  
	
   

  	
   

  	
  8.5

  	
   

  	
  Termination of Indemnification.

  	
   

  	
  38

  
	
   

  	
   

  	
  8.6

  	
   

  	
  Procedures.

  	
   

  	
  38

  
	
   

  	
   

  	
  8.7

  	
   

  	
  Sole Remedy; No Additional Representations.

  	
   

  	
  40

  
	
   

  	
   

  	
  8.8

  	
   

  	
  Limitations on Liability.

  	
   

  	
  41

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  9.

  	
   

  	
  TERMINATION.

  	
   

  	
  41

  
	
   

  	
   

  	
  9.1

  	
   

  	
  Termination.

  	
   

  	
  41

  
	
   

  	
   

  	
  9.2

  	
   

  	
  Effect of Termination.

  	
   

  	
  42

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  10.

  	
   

  	
  MISCELLANEOUS.

  	
   

  	
  42

  
	
   

  	
   

  	
  10.1

  	
   

  	
  Amendment and Waivers.

  	
   

  	
  42

  
	
   

  	
   

  	
  10.2

  	
   

  	
  Notices.

  	
   

  	
  42

  
	
   

  	
   

  	
  10.3

  	
   

  	
  Definitions; Interpretation.

  	
   

  	
  43

  
	
   

  	
   

  	
  10.4

  	
   

  	
  Descriptive Headings.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.5

  	
   

  	
  Counterparts.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.6

  	
   

  	
  Entire Agreement.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.7

  	
   

  	
  Fees And Expenses.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.8

  	
   

  	
  Governing Law.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.9

  	
   

  	
  Specific Performance.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.10

  	
   

  	
  Assignment.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.11

  	
   

  	
  Successors and Assigns.

  	
   

  	
  44

  
	
   

  	
   

  	
  10.12

  	
   

  	
  Severability.

  	
   

  	
  45

  
	
   

  	
   

  	
  10.13

  	
   

  	
  Consent to Jurisdiction.

  	
   

  	
  45

  
	
   

  	
   

  	
  10.14

  	
   

  	
  Waiver of Jury Trial.

  	
   

  	
  45

  

 

LIST OF EXHIBITS, SCHEDULES AND ANNEXES

	
  Annex

  	
   

  	
  Description

  	
   

  	
   

  
	
  A

  	
   

  	
  Definitions

  
	
   

  	
   

  	
   

  
	
  Exhibits

  	
   

  	
  Description

  	
   

  	
   

  
	
  A

  	
   

  	
  Assumption Agreement

  
	
  B

  	
   

  	
  Reserved

  
	
  C

  	
   

  	
  Trademark Assignment
  Agreement

  
	
  D-1, D-2, D-3

  	
   

  	
  Initial Press Releases

  
	
  E

  	
   

  	
  Transition Services
  Agreement

  
	
  F

  	
   

  	
  Escrow Agreement

  
	
  G

  	
   

  	
  Parent Guaranty

  
	
  H

  	
   

  	
  Bill of Sale

  
	
   

  	
   

  	
   

  
	
  Schedules

  	
   

  	
  Description

  	
   

  	
   

  
	
  1.2(a)

  	
   

  	
  Acquired Assets

  
	
  1.2(a)(i)

  	
   

  	
  Product Intellectual
  Property

  
	
  1.2(a)(ii)

  	
   

  	
  Governmental
  Authorizations

  
	
  1.2(a)(iii)

  	
   

  	
  Product Documentation
  and Product Records

  
	
  1.2(a)(iv)

  	
   

  	
  Marketing Material

  
	
  1.2(a)(v)

  	
   

  	
  Assigned Contracts

  
	
  1.2(a)(vi)

  	
   

  	
  Customer Lists

  
	
  1.2(a)(vii)

  	
   

  	
  Manufacturing Equipment

  
	
  1.2(a)(viii)

  	
   

  	
  Database Software

  
	
  1.2(b)

  	
   

  	
  Excluded Assets

  
	
  1.3(a)

  	
   

  	
  Assumed Liabilities

  
	
  1.8

  	
   

  	
  Estimated Inventory
  Value

  
	
  1.9

  	
   

  	
  Allocation Schedule

  
	
  2.3(a)

  	
   

  	
  No Conflicts

  
	
  2.3(b)

  	
   

  	
  Consents, Approvals and
  Filings

  
	
  2.4

  	
   

  	
  Title to Assets
  Exceptions

  
	
  2.5

  	
   

  	
  Intellectual Property
  Exceptions

  
	
  2.6

  	
   

  	
  Assigned Contracts
  Exceptions

  
	
  2.7(a)

  	
   

  	
  Compliance with Law
  Exceptions

  
	
  2.7(b)(ii)

  	
   

  	
  Notices from Governmental
  Entities

  
	
  2.8

  	
   

  	
  Litigation Exceptions

  
	
  3.9(a)

  	
   

  	
  Financial Statements

  
	
  3.9(b)

  	
   

  	
  Interim Financial
  Statements

  
	
  3.9(c)

  	
   

  	
  Financial Statements
  Exceptions

  
	
  5.5(b)(iii)

  	
   

  	
  Best Price

  
	
  5.9

  	
   

  	
  Pricing: Government
  Multi-Product Contracts

  
	
  6.4

  	
   

  	
  Required Consents

  

 

 

ASSET PURCHASE AGREEMENT

THIS ASSET PURCHASE AGREEMENT
(this “Agreement”) is entered into as of
November 8, 2006, (the “Agreement Date”)
between MedImmune, Inc., a Delaware corporation (“Seller”),
and ZLB Behring AG, a Swiss corporation (“Purchaser”).

Recitals

WHEREAS, Seller owns certain
assets relating to the manufacture, distribution, marketing and sale of a
biological product known as CytoGam® (cytomegalovirus immune globulin
intravenous) (the “Product”),
which assets are referred to herein as the Acquired Assets (as more
particularly defined below); and

WHEREAS, Seller desires to sell
to Purchaser, and Purchaser desires to purchase from Seller, the Acquired
Assets (as defined below), and Purchaser has agreed to assume from Seller the
Assumed Liabilities (as defined below), all on the terms and conditions set
forth in this Agreement; and

WHEREAS, except as otherwise
expressly provided, capitalized terms used herein shall have the meanings set
forth in Annex A.

NOW, THEREFORE, in consideration
of the foregoing and other good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the Parties hereby agree as
follows:

1.                                      SALE AND PURCHASE OF ASSETS.

1.1          Purchase and Sale.  On the terms and subject to the conditions of
this Agreement, Seller shall sell, assign, transfer, convey and deliver to
Purchaser, and Purchaser shall purchase, from Seller, as of the Effective Time,
all the right, title and interest of Seller in, to and under the Acquired
Assets in consideration for payment of the Purchase Price (as defined below)
and the assumption by Purchaser of the Assumed Liabilities. The purchase and
sale of the Acquired Assets and the assumption of the Assumed Liabilities are
referred to in this Agreement collectively as the “Acquisition.”

1.2          Transfer of Assets.

(a)           Acquired Assets.  The term “Acquired
Assets” means all Seller’s rights, title and interest in, to and
under those certain assets set forth below and further described in Schedule
1.2(a), subject to any limitations, restrictions or conditions imposed
under the Assigned Contracts, the Assumed Liabilities or this Agreement:

(i)            the
Product Intellectual Property;

(ii)           the
Governmental Authorizations;

(iii)          the
Product Documentation and Product Records;

(iv)          the
Marketing Material;

(v)           the rights of Seller and its
Affiliates under the contracts and agreements listed on Schedule 1.2(a)(v)
(the “Assigned Contracts”);

(vi)          the customer list for the Product and
all historical customer lists prepared within the past five (5)  years, which shall be delivered at the Closing as Schedule 1.2(a)(vi);

(vii)         the manufacturing equipment identified
on Schedule 1.2(a)(vii);

(viii)        the Seller’s interest in the database
software and the data identified on Schedule 1.2(a)(viii);

(ix)           the Inventory;

(x)            all goodwill relating to the
Acquired Assets; and

(xi)           all rights in and to all warranties,
guarantees and indemnities with respect to the Acquired Assets or Assumed
Liabilities, and, except as provided in Section 1.2(b)(vi), all rights,
claims or causes of action of Seller and/or any of its Affiliates relating to
any Acquired Asset or any Assumed Liability, whether known or unknown,
contingent or noncontingent.

(b)           Excluded Assets.  Notwithstanding anything to the contrary in Section
1.2(a) and elsewhere in this Agreement, all assets of Seller other than the
Acquired Assets (the “Excluded Assets”)
are not part of the Acquisition.  By way
of clarification and not limitation, the following assets (as further described
on Schedule 1.2(b)) shall be Excluded Assets and shall remain the
property of Seller after the Closing:

(i)            any
real estate owned or leased by Seller or any of its Affiliates;

(ii)           all
cash and cash equivalents of Seller or any of its Affiliates;

(iii)          the
Names;

(iv)          all
Accounts Receivable;

(v)           any
refund or credit of Taxes attributable to any Excluded Tax Liability;

(vi)          all rights, claims, causes of action
and credits of Seller or any of its Affiliates, relating to any Excluded Asset
or any Excluded Liability, including any such items arising under insurance
policies, and all rights in and to all warranties, guarantees and indemnities
and similar rights in favor of Seller or any of its Affiliates relating to any
Excluded Asset or any Excluded Liability;

(vii)         all rights of Seller or any of its
Affiliates under this Agreement, the Related Instruments and the Ancillary
Agreements; and

(viii)        all Retained Information.

 2
 

(c)           Liens and Encumbrances.  Subject to any limitations or conditions
imposed by the Assigned Contracts and as otherwise provided in this Agreement,
Purchaser is acquiring the Acquired Assets free and clear of all liabilities,
obligations and commitments of Seller or any of its Affiliates, other than the
Assumed Liabilities, and free and clear of all Liens and Encumbrances, other
than Permitted Liens.

1.3          Assumed
and Excluded Liabilities.

(a)           Assumed Liabilities.  Upon the terms and subject to the conditions
of this Agreement, Purchaser hereby assumes, and from and after the Effective
Time Purchaser shall pay, perform, discharge and otherwise fully satisfy when
due, any and all liabilities, obligations and commitments arising out of or
related to the liabilities set forth below and further described in Schedule
1.3(a) (the “Assumed Liabilities”):

(i)            except to the extent set forth in Section
1.3(b)(i), all liabilities, obligations and commitments arising out of or
relating to any product liability, breach of warranty or similar claim for
injury to person or property, if asserted following the Effective Time, to the
extent that such liabilities, obligations or commitments (A) result from the
use or misuse of Product included in any lot released by or on behalf of
Purchaser after the Effective Time (“Purchaser Lot”),
(B) otherwise relate to Product included in any Purchaser Lot (including all
Proceedings relating to any such liabilities) or (C) subject to the Transition
Services Agreement, relate to, or derive from, the sale, handling or
distribution of the Product (including Product from any lot released by or on
behalf of Seller prior to the Effective Time (“Seller Lot”))
after the Effective Time by or on behalf of Purchaser;

(ii)           except to the extent specifically
provided in Section 1.3(b)(ii), all liabilities arising out of or
relating to the ownership of the Governmental Authorizations from and after the
Effective Time, including the responsibility for all product complaints,
recalls, lookbacks, market withdrawals and field corrections with respect to
any Product included in any Purchaser Lot;

(iii)          subject to Section 5.5 below,
all liabilities arising out of or relating to the return of any Product
included in any lot from which Seller had not shipped any vials of Product
prior to the Effective Time;

(iv)          subject to Section 5.5, all
liabilities, obligations and commitments arising out of or relating to any
rebates, chargebacks, or administrative fees related to any Product that are
asserted or requested on or after [*****];

(v)           all liabilities for Taxes arising out
of or relating to, directly or indirectly, the Acquired Assets (including the
Product), or the ownership, sale or lease of any of the Acquired Assets, other
than the Excluded Tax Liabilities, and in each case only to the extent such
Taxes relate to periods or transactions after the Effective Time;

 3
 

(vi)          all liabilities arising on or after
the Effective Time under or relating to, directly or indirectly, the Assigned
Contracts, other than liabilities for breaches occurring prior to the Effective
Time;

(vii)         all other liabilities, obligations and
commitments of whatever kind and nature, primary or secondary, direct or
indirect, absolute or contingent, known or unknown, whether or not accrued,
arising out of or relating to, directly or indirectly, the Acquired Assets
(including the Product), or the ownership, sale or lease of any of the Acquired
Assets, or the marketing, sale or distribution of the Product, or the conduct
of the Product-Related Business, but in each case only to the extent arising
after the Effective Time; and

(viii)        except to the extent specifically
provided in Section 1.3(b), any and all other liabilities, obligations
and commitments, of whatever kind and nature, primary or secondary, direct or
indirect, absolute or contingent, known or unknown, whether or not accrued,
arising out of or relating to, directly or indirectly, the Acquired Assets
(including the Product), to the extent arising after the Effective Time.

For avoidance of
doubt, nothing in this Section 1.3(a) is intended to, or shall be
interpreted to, limit or otherwise reduce the Liabilities of Purchaser as they
may occur and/or exist after the Effective Time by virtue of Purchaser’s
ownership of the Acquired Assets or operation of the Product-Related Business,
but rather, this Section 1.3(a) is solely intended to identify and
provide for the assumption by Purchaser of those Liabilities of Seller that are
specifically assumed by Purchaser hereunder and which, but for such assumption,
would remain Liabilities of Seller.

(b)           Excluded Liabilities.  Notwithstanding any other provision of this
Agreement or any Related Instrument, Purchaser is not hereby assuming any
Excluded Liability, each of which shall be retained and paid, performed and
discharged when due by Seller. The term “Excluded Liability”
shall mean those liabilities which are not Assumed Liabilities, including:

(i)            all liabilities arising out of or
relating to any product liability, breach of warranty or similar claim for
injury to person or property, to the extent such liabilities, obligations or
commitments (A) result from the use or misuse of Product included in any Seller
Lot, or (B) otherwise relate to Product included in any Seller Lot (including
all Proceedings relating to any such liabilities), except in the case of both
(A) and (B) to the extent such liabilities relate to or derive from the sale,
handling or distribution of such Product after the Effective Time by or on
behalf of Purchaser;

(ii)           all liabilities arising out of or
relating to the ownership of the Governmental Authorizations prior to the
Effective Time, including the responsibility for all product complaints,
recalls, market withdrawals and field corrections with respect to any Product
included in any Seller Lot;

 4
 

(iii)          subject to Section 5.5 below,
all liabilities arising out of or relating to the return of any Product
included in any lot from which Seller had shipped at least one Product vial
prior to the Effective Time, provided, that
Purchaser maintains substantially the same Product return policies with respect
to Product in any lots for which Seller retains return liability;

(iv)          subject to Section 5.5 below,
all liabilities, obligations and commitments arising out of or relating to any
rebates, chargebacks, or administrative fees related to any Product that are
asserted or requested prior to [*****];

(v)           all liabilities arising out of or
claims or complaints originating, occurring, arising or brought against Seller
relating to or affecting the Product or the Product-Related Business with
respect to any time prior to the Effective Time;

(vi)          any Tax payable with respect to any
business, asset, property or operation of Seller or any member of any
affiliated group of which Seller is a member (including any Taxes relating to
or arising out of the operation of the Acquired Assets) relating to any
Pre-Effective Time Tax Period, other than any Tax for which Purchaser is
responsible pursuant to Section 5.8, provided that notwithstanding Section
5.8, Purchaser shall not assume any liability for transfer Taxes to the
extent such transfer Tax is measured by gain realized by Seller from the sale
of the Acquired Assets (an “Excluded Tax
Liability”) and, for this purpose, in the case of a taxable period
that begins before and ends after the Effective Time (a “Straddle
Period”), (i) any Tax that is based on income, revenue, sales,
payments or wages shall be allocated between the portion of the Straddle Period
that is a Pre-Effective Time Tax Period and the remainder of the Straddle
Period, as if based on a closing of the books as of the Effective Time, (ii)
and any other Tax shall be allocated in proportion to the number of the days of
the Straddle Period ending before and after the Effective Time;

(vii)         any liability of Seller or any of its
Affiliates arising out of or relating to any Excluded Asset;

(viii)        any liability of Seller or any of its
Affiliates for royalties accrued in connection with the manufacture and sale of
Product prior to the Effective Time;

(ix)           any liability of Seller or any of its
Affiliates for accounts payable incurred in connection with the manufacture and
sale of Product prior to the Effective Time;

(x)            except as otherwise expressly
provided in this Agreement or the Transition Services Agreement, any liability
for acts of Seller after the Effective Time; and

(xi)           except to the extent specifically
provided in Section 1.3(a) any and all other liabilities, obligations
and commitments of whatever kind and nature, primary or secondary, direct or
indirect, absolute or contingent, known or unknown, whether or not accrued,
arising out of or relating to, directly or indirectly, the Acquired Assets
(including the Product) but only to the extent related to any period prior to
the Effective Time.

 5
 

(c)           No Offset.  Each of Purchaser’s and Seller’s obligations
under this Section 1.3 will not be subject to offset or reduction
by reason of any actual or alleged breach of any representation, warranty or
covenant contained in this Agreement or any Ancillary Agreement or Related
Instrument or any right or alleged right to indemnification hereunder.

1.4          Closing.  The closing of the Acquisition provided for
in this Agreement (the ”Closing”) will
take place at the offices of Seller’s counsel, Hogan & Hartson L.L.P. at
555 Thirteenth Street, N.W., Washington, D.C. at a mutually agreeable time on
the date three (3) business days after the date on which all of the conditions
precedent set forth in Sections 6 and 7 below are satisfied or
waived (or such other date as Seller and Purchaser mutually agree).  The time of consummation of the transactions
contemplated by this Agreement (“Effective
Time”) is deemed to be at 12:01 a.m. Maryland time on the date on
which the Closing occurs (the “Closing Date”).

1.5          Purchase Deposit.

(a)           Payment of Deposit.  Upon execution of this Agreement, Purchaser
shall deliver to Seller a deposit of Five Million Dollars ($5,000,000) (the “Purchase Deposit”), to be held by Seller.  For purposes of calculating any accrued
interest on the Purchase Deposit, the Parties agree to use an interest rate of
[*****] per annum from and after the date of delivery.  The Purchase Deposit is a deposit against,
and component of, the Purchase Price defined in Section 1.6 and shall be
applied to the Purchase Price at the Closing.

(b)           Return of Deposit.  In the event that Purchaser terminates this
Agreement as permitted pursuant to Section 9.1(c), the Purchase Deposit
shall be returned to Purchaser.  The
Purchase Deposit shall also be returned to Purchaser in the event the Agreement
is terminated by mutual agreement pursuant to Section 9.1(a).  Interest on the Purchase Deposit shall be
paid out to Purchaser when the Purchase Deposit is paid out.

(c)           Forfeit of Deposit.  The Purchase Deposit, plus accrued interest,
shall be forfeited by Purchaser and be retained by Seller in the event that
this Agreement is terminated by Seller pursuant to Section 9.1(b), other
than pursuant to either condition precedent Section 6.3, Legal
Proceedings, or Section 6.4, Consents, in which case the Purchase
Deposit, plus accrued interest, shall be returned to Purchaser.

1.6          Purchase
Price.  In
addition to any other amounts due hereunder, in consideration of the sale,
assignment, conveyance, license and delivery of the Acquired Assets hereunder,
Purchaser shall assume the Assumed Liabilities and pay to Seller, by wire
transfer of immediately available funds directly to an account designated by
Seller, when due, the following (subject to the adjustments set forth in this Section
1, the “Purchase Price”):

(a)           Up-Front Payment.  An up-front component consisting of:

(i)            the Purchase Deposit paid pursuant
to Section 1.5; and

(ii)           Forty-Five
Million Dollars ($45,000,000) (the “Cash Amount”)
payable at Closing.

 6
 

(b)           Equipment Payment.  The value of (i) the manufacturing equipment
set forth on Schedule 1.2(a)(vii) and (ii) the plasma database software
set forth on Schedule 1.2(a)(viii) (collectively, the “Equipment Payment”) payable at Closing.

(c)           Inventory Payment.  The Estimated Inventory Value calculated
pursuant to Section 1.8 (the “Initial Inventory Payment,”
and together with the Cash Amount and the Equipment Payment, the “Closing Payment”) payable at Closing and subject to
adjustment for any Inventory Variance in accordance with Section 1.8.

(d)           Milestone
Payments.  The following Milestone
Payments:

(i)            [*****] (the “First
Milestone Payment”) payable when Cumulative Net Sales reach [*****]
(the “First Milestone”);

(ii)           [*****] (the “Second
Milestone Payment”) payable when Cumulative Net Sales reach [*****]
(the “Second Milestone”); and

(iii)          [*****] (the “Third
Milestone Payment” and together with the First Milestone Payment and
the Second Milestone Payment, the “Milestone Payments”)
payable when Cumulative Net Sales reach [*****] (the “Third
Milestone” and together with the First Milestone and the Second
Milestone, the “Milestones”).

1.7          Milestone Payments.

(a)           Payment Procedures.

(i)            Within ten (10) days after the end
of each calendar quarter in which Cumulative Net Sales have reached a
Milestone, Purchaser shall deliver to Seller a written notice stating that a
Milestone has been reached and that a Milestone Payment will be made by
Purchaser within thirty (30) days after the end of such calendar quarter (the “Milestone Notice”). Such Milestone Notice need not include
specific Cumulative Net Sales information. 
Even if Purchaser or Seller determines, subsequent to delivery of a Milestone
Notice, that a Milestone was not reached, delivery of such Milestone Notice by
Purchaser based on its good faith belief that reaching a Milestone was
imminent, and the payment by Purchaser of the Milestone Payment based thereon,
shall not constitute a breach of this Agreement.

(ii)           On or before thirty (30) days after
the end of each calendar quarter, Purchaser shall deliver to Seller a report
(the “Quarterly Sales Report”) setting forth
(x) Product sales for such quarter and (y) Cumulative Net Sales as of the end
of such quarter.  Purchaser shall pay
each Milestone Payment to Seller within thirty (30) days of the end of the
first such calendar quarter in which the Cumulative Net Sales exceed the
applicable Milestone as set forth in the Quarterly Sales Report for such
quarter or, even if Cumulative Net Sales have not exceeded such Milestone,
within (30) days of the end of a calendar quarter for which a Milestone Notice
was delivered by Purchaser.  Purchaser’s
obligation to make the Milestone Payments shall not expire, regardless of the
amount of time required for Cumulative Net Sales to exceed the applicable
Milestones.

 7
 

(b)           Combination Products.  If Purchaser markets, distributes or sells a
formulation of the Product or if any derivative thereof is present in
combination with another substance (a “Combination Product”),
the Net Sales of the Product for the purposes of calculating the Cumulative Net
Sales shall be based on the amount of Product (or any derivative thereof) in
the Combination Product, as follows:

(i)            the amount of the Product (or any
derivative thereof) in the Combination Product shall be compared to the amount
of the Product (or any derivative thereof) present as monotherapy, in order to
identify the percentage of the monotherapy dose of the Product present in the
Combination Product (such percentage being referred to as the “Product Percentage”).

(ii)           the Product Percentage shall be
multiplied by the sale price of the Combination Product and such product shall
be deemed to be Net Sales of the Product for the purposes of calculating
Cumulative Net Sales pursuant to this Section 1.7(b).

(c)           Diligence.  Purchaser shall use its commercially
reasonable efforts to commercialize the Product and generate maximum sales of
Product for so long as any Milestone remains unachieved.  Each Party acknowledges that there is no
assurance that the Milestones will be achieved.

(d)           Records;
Audit.

(i)            Records Retention.  Purchaser, its Affiliates and sublicensees
will maintain complete and accurate books, records and accounts in sufficient
detail to confirm the accuracy of Cumulative Net Sales information reported to
Seller (including the Monthly
Sales Reports) (the “Sales Records”), which Sales Records will be retained by
the applicable Party until all Milestone Payments have been paid in full.

(ii)           Audit.  Seller will have the right, no more
frequently than once per year, to have an independent certified public
accounting firm of internationally recognized standing, reasonably acceptable
to Purchaser (the “Independent Audit
Accounting Firm”), to have access during normal business hours, and
upon reasonable prior written notice, to such of the Sales Records of
Purchaser, its Affiliates and sublicensees as may be reasonably necessary to
verify the accuracy of information needed to calculate Milestone Payments
required hereunder.  The Independent
Audit Accounting Firm will disclose to the Parties only whether the Cumulative
Net Sales reported by the Purchaser are correct or incorrect and the specific
details concerning any discrepancies.  As
between Seller and Purchaser, Seller will bear all costs of such audit, unless
the audit reveals a discrepancy in Seller’s favor sufficient to trigger an
unrealized Milestone Payment, in which case such audit shall not be counted for
purposes of the once-per-year limitation of Seller’s audit rights.

 8
 

(e)           Security for Milestone Payments.  If at any time prior to the full payment of
the Milestone Payments, based on Cumulative Net Sales reflected in a Quarterly
Sales Report, a Milestone Notice or the results of an audit under Section
1.7(d)(ii), the Purchaser fails to make any Milestone Payment when due,
Seller shall notify Purchaser in writing of such failure to make a Milestone
Payment, and Purchaser shall have fifteen (15) days from delivery of such
written notice by Seller to pay to Seller the Milestone Payment then due.  If Purchaser fails to pay to Seller such
Milestone Payment then due within such fifteen (15) day period, Purchaser shall
within five (5) days after the expiration of such fifteen (15) day period (A)
pay to Seller the Milestone Payment then due and (B) complete, execute and
deliver an escrow agreement in substantially the form attached hereto as Exhibit
F, with such changes as reasonably required by the Escrow Agent (the “Escrow Agreement”) and such related documents as are
reasonbly required by the Escrow Agent in connection therewith, and deposit
into an escrow account, pursuant to such Escrow Agreement, immediately
available funds in the amount of the aggregate total unpaid Milestone Payments
not then due (the “Escrow Deposit”).  The Escrow Agreement shall provide that a
Milestone Payment shall be made from the Escrow Deposit to Seller upon (1) the
joint instruction of the Parties, (2) Seller’s delivery of a statement of audit
under Section 1.7(d)(ii) verifying Cumulative Net Sales in excess of a
Milestone accompanied by Seller’s certification that Purchaser has failed to
pay the corresponding Milestone Payment or (3) Seller’s delivery of a signed
statement of the Independent Audit Accounting Firm indicating that it has been
unable to complete an audit under Section 1.7(d)(ii) due to Purchaser’s
failure to reasonably cooperate with any such audit for any ten-business day
period (or periods).  The balance of the
Escrow Deposit may be reduced to the amount of the unpaid Milestone Payments as
future Milestone Payments are made.  The
Escrow Deposit shall serve as security for the obligations of Purchaser to make
Milestone Payments when due, and shall remain outstanding unless and until all
such Milestone Payments have been received by Seller.

(f)            Acceleration of Milestone
Payments.

(i)            (A)          A
Change of Control of Purchaser (including, without limitation, failure by
Purchaser to provide Seller with written notice no less than one (1) business
day prior to a Change of Control of Purchaser), (B) the failure of Purchaser to
provide the Quarterly Sales Report within fifteen (15) days after written
notice from Seller of such failure, (C) the failure of Purchaser to provide any
Milestone Notice when due, (D) the failure of Purchaser to make a Milestone
Payment required pursuant to clause (A) of the second sentence of Section
1.7(e) or the failure of Purchaser to deposit the Escrow Deposit in
accordance with clause (B) of the second sentence of Section 1.7(e), or
(E) the failure of Purchaser to comply with the diligence requirements set
forth in Section 1.7(c), shall each be referred to as a “Milestone Acceleration Event.”

(ii)           Upon the occurrence of a Milestone
Acceleration Event under Section 1.7(f)(i)(A), Section 1.7(f)(i)(B),
Section 1.7(f)(i)(C) or Section 1.7(f)(i)(D), or a Milestone
Acceleration Event that remains uncured for a period of fifteen (15) days with
respect to Section 1.7(f)(i)(E), unless Seller otherwise notifies Purchaser
in writing, all of the unpaid Milestone Payments shall immediately become due
and payable, and in addition to any other remedies available at law or equity,
Seller may pursue all available remedies pursuant to the Parent Guarantee,
simultaneously with or in advance of pursuing remedies under this Agreement,
provided that Seller may not pursue remedies under the Parent Guarantee for
Milestone Payments paid to Seller pursuant to the Escrow Agreement from the
Escrow Deposit.  For the avoidance of
doubt, (A) in the event any Milestone Payment is paid to Seller from the Escrow
Deposit by the Escrow Agent, Seller shall no longer be entitled to seek payment
of such Milestone Payment from Purchaser or Guarantor and (B) Seller agrees to
use reasonable efforts for ninety (90) days to fund any Milestone Payment which
is due from the Escrow Deposit, prior to pursuing remedies under the Parent
Guarantee.  Also, if Purchaser has fully
funded the Escrow Deposit, any Milestone Payment that is paid to Seller by
Purchaser or Guarantor directly, rather than by Escrow Agent from the Escrow
Deposit, shall result in a prompt disbursement to Purchaser by the Escrow Agent
from the Escrow Deposit in the amount of such Milestone Payment, and Seller
agrees to execute any joint written instruction required to effect such
disbursement.

 9
 

1.8          Inventory
Calculations.

(a)           Inventory.  At least three (3) business days prior to the
projected Closing Date, Seller shall deliver to Purchaser Schedule 1.8
which shall set forth an estimate of the amount of the value of the Inventory,
determined in accordance with GAAP, as consistently applied by Seller (the “Estimated Inventory Value”) as of the
Closing Date.  The final calculation of
the value of the Inventory as of the Effective Time, determined in accordance
with GAAP, as consistently applied by Seller (the “Inventory Value”) shall be determined, and a payment for the
difference between the Inventory Value and the Estimated Inventory Value shall
be made to Purchaser or Seller, as the case may be, as follows:

(i)            No later than twenty-one (21) days
following the Closing, Seller shall examine its records to determine the
quantities of Inventory existing as of the Effective Time and deliver a
statement of Inventory Value to Purchaser (the “Statement of Inventory Value”).

(ii)           Purchaser may dispute any amounts
reflected on the Statement of Inventory Value on the basis that the Inventory
Value was not accurate or correctly determined, and Purchaser shall have access
to such Product Records, including Retained Information, as are reasonably
necessary to support such determination; provided, however,
that Purchaser shall have notified Seller in writing of each disputed item,
specifying the amount thereof in dispute and setting forth, in reasonable detail,
the basis for such dispute, within fifteen (15) days after Seller’s delivery of
the Statement of Inventory Value to Purchaser. 
In the event of such a dispute, Seller and Purchaser shall attempt to
reconcile their differences, and any resolution by them as to any disputed
amounts shall be final, binding and conclusive on the Parties.  If Seller and Purchaser are unable to resolve
any such dispute within fifteen (15) days after Purchaser’s delivery of its
notice of dispute to Seller, Seller and Purchaser shall submit the items
remaining in dispute for resolution to a mutually acceptable independent
accounting firm of national reputation (the “Independent
Accounting Firm”), which shall, within twenty (20) business days
after such submission, determine and report to Seller and Purchaser its
determination of the payment obligation for such remaining disputed items, and
such report shall be final, binding and conclusive on the Parties.  In acting under this Agreement, the
Independent Accounting Firm shall be entitled to the privileges and immunities
of arbitrators.

 10
 

(b)           Purchase Price Adjustment.  The Statement of Inventory Value shall be
deemed final for the purposes of this Agreement upon the earlier of
(x) the failure of Purchaser to notify Seller of a dispute within fifteen
(15) business days after Seller’s delivery of the Statement of Inventory Value
to Purchaser or (y) the resolution of all disputes pursuant to this Section
1.8.  If the difference between the
Estimated Inventory Value and the final Statement of Inventory Value (the “Inventory Variance”) exceeds two percent
(2%) of the Estimated Inventory Value, then within five (5) business days of
the Statement of Inventory Value being deemed final, a payment shall be made as
follows:

(i)            if the amount of the Inventory Value
reflected on the final Statement of Inventory Value is less than the Estimated
Inventory Value, then Seller shall pay an amount equal to the Inventory
Variance to an account designated by Purchaser by wire transfer in immediately
available funds;

(ii)           if the amount of the Inventory Value
reflected on the final Statement of Inventory Value exceeds the Estimated
Inventory Value, then Purchaser shall pay an amount equal to the Inventory
Variance to an account designated by Seller by wire transfer in immediately
available funds; or

(iii)          if the Inventory Variance is less than
two percent (2%) of the Estimated Inventory Value, no payment shall be made on
account of the Inventory Variance.

(c)           Fees for Inventory Review.  The fees and disbursements of the Independent
Accounting Firm shall be allocated to Purchaser in the same proportion as (x)
the aggregate amount of such remaining disputed items so submitted to the
Independent Accounting Firm that are unsuccessfully disputed by Purchaser (as
finally determined by the Independent Accounting Firm) bears to (y) the total
amount of such remaining disputed items so submitted, and the balance shall be
paid by Seller.

1.9          Allocation of Purchase Price.  The Purchase Price shall be allocated in
detail among the various Acquired Assets in accordance with this Section
1.9.

(a)           Initial Allocation.  Subject to the adjustments described in this Section 1.9,
the Purchase Price shall be allocated among the Acquired Assets as follows:

(i)            the Purchase Price minus the
Estimated Inventory Value plus any Assumed Liabilities that are required to be
treated as part of the purchase price for federal income tax purposes shall be
allocated among the Acquired Assets (other than the Inventory) and the goodwill
and going concern value of the Product-Related Business as set forth on Schedule 1.9
(the “Allocation Schedule”); and

(ii)           the
Estimated Inventory Value shall be allocated among the Inventory as set forth
on the Allocation Schedule.

(b)           Revised Allocation.  Within fifteen (15) days after the
determination of the Inventory Value, Seller shall prepare and deliver to
Purchaser an amended Allocation Schedule prepared in accordance with Section
1060 of the Code and the regulations thereunder (the “Revised
Allocation”) that reflects (i) the Inventory Value, which shall be
allocated among the Inventory, and (ii) any adjustments in the allocation of
the initial Purchase Price and Assumed Liabilities among the Acquired Assets
reasonably necessary to reflect changes in the Acquired Assets between the
Agreement Date and the Effective Time.

 11
 

(c)           Milestone Allocations.  Within thirty (30) days after the payment of
each Milestone Payment, Seller and Purchaser shall agree on an amended
Allocation Schedule (a “Milestone Allocation”)
that reflects the payment of the Milestone Payment as additional Purchase Price
and allocates such additional Purchase Price among the Acquired Assets in a
manner consistent with the provisions of Section 1060 of the Code and the
Treasury Regulations thereunder.

(d)           Tax Allocation.  In accordance with Section 1060 of the Code
and Treasury Regulations thereunder, Purchaser and Seller agree, unless
otherwise required pursuant to a “determination” within the meaning of Section
1313(a) of the Code, to be bound by the Revised Allocation and Milestone
Allocation, to file all Tax Returns (including Internal Revenue Service (“IRS”) Form 8594 and any supplemental or amended IRS Form
8594) in accordance with the aforementioned allocations, and not to take any
position inconsistent with the aforementioned allocations in the course of any
audit, examination, other administrative or judicial proceeding; provided,
however, that the provisions of this Section 1.9(d) shall apply only
with respect to, and to the extent of any Tax Returns filed by Seller or
Purchaser with a U.S. federal, state or local Tax authority and shall not
prevent either Seller or Purchaser from seeking relief from the competent
authorities under any treaties providing for avoidance of double taxation.

1.10        Prorations.

(a)           Prorations.  Subject to Sections 1.2 and 1.3
above, all royalties, contract payments, and other prepaid and deferred items
relating to the Acquired Assets and Assumed Liabilities shall be prorated
between Purchaser and Seller in accordance with the principle that (i) Seller
shall be responsible for expenses relating to the manufacture and sale of the
Products during the periods prior to the Effective Time and (ii) Purchaser
shall be responsible for expenses relating to the manufacture and sale of units
of Product during the periods after the Effective Time.

(b)           Timing of Payment.  Any prorations pursuant to this Section
1.10 will, insofar as feasible, be determined and paid on the Closing Date,
and the Parties shall agree on a statement setting forth all such prorations as
soon as practicable after the Closing. 
Final settlement and payment by the appropriate Party of the net amount
of prorations owing to the other Party shall occur no later than thirty (30)
days after the actual amount becomes known.

1.11        Risk of Loss.  At the Effective Time, title to the Acquired
Assets is hereby transferred to Purchaser and Purchaser shall hereafter
bear all risk of loss associated with the Acquired Assets and be solely
responsible for procuring adequate insurance to protect the Acquired Assets
against any such loss.

 12

2.                                      REPRESENTATIONS AND WARRANTIES OF SELLER.

Seller represents
and warrants to Purchaser as of the date hereof as follows:

2.1          Organization.  Seller is a corporation duly organized,
validly existing and in good standing under the laws of the State of Delaware.

2.2          Due
Authorization.  Seller
has the requisite corporate power and authority to execute, deliver and perform
its obligations under this Agreement, the Ancillary Agreements, and the Related
Instruments.  The execution and delivery
of this Agreement, the Ancillary Agreements and the Related Instruments and the
performance of all of its obligations hereunder and thereunder have been duly
authorized by all requisite corporate action on the part of Seller.  This Agreement has been validly executed and
delivered by Seller and, assuming that this Agreement has been duly authorized,
executed and delivered by Purchaser, constitutes, and each Related Instrument
and Ancillary Agreement that is to be executed and delivered by Seller will
constitute when executed and delivered by Seller (assuming that such Related
Instrument or Ancillary Agreement has been duly authorized, executed and
delivered by the other parties thereto to the extent applicable), a valid and
binding obligation of Seller, enforceable against Seller in accordance with its
terms, except as may be limited by applicable bankruptcy, insolvency,
reorganization or other laws of general application relating to or affecting
the enforcement of creditor’s rights generally.

2.3          No Conflicts; Consents.

(a)           No Conflicts.  Except as would not reasonably be expected to
have, individually or in the aggregate, a Material Adverse Effect, the
execution, delivery and performance of this Agreement, the Related Instruments
or the Ancillary Agreements by Seller (i) are not prohibited or limited by, and
will not result in the breach of or a default under, any provision of the
Certificate of Incorporation or Bylaws of Seller, (ii) assuming all of the
consents, approvals, authorizations and permits described in Section 2.3(b)
have been obtained, all the filings and notifications described in Section
2.3(b) have been made and any waiting periods thereunder have terminated or
expired, do not conflict with any Law applicable to Seller, and (iii) except as
set forth on Schedule 2.3(a), do not conflict with, result in a breach
of, constitute a default under, result in the acceleration of obligations
under, create in any party the right to terminate, modify or cancel, or require
any notice, consent or waiver under, any material agreement or instrument
binding on Seller or any applicable order, writ, injunction or decree of any
court or Governmental Entity to which Seller is a party or by which Seller is
bound or to which any of the Acquired Assets is subject.

(b)           Consents and Approvals.  Except for the requisite filings under the
HSR Act and the expiration or termination of the waiting period thereunder,
similar filings and approvals under foreign competition laws, and all of the
filings and other actions listed on Schedule 2.3(b) (including the
letter to the FDA contemplated by Section 5.7 and as may be necessary as
a result of any facts or circumstances relating to Purchaser), no notice to,
filing with, authorization of, exemption by, or consent of, any Person,
including any Governmental Entity, is required for Seller to consummate the
Acquisition, except where the failure to make such filings or notifications, or
obtain such consents, approvals, authorizations or permits, would not,
individually or in the aggregate, reasonably be expected to have a Material
Adverse Effect.

 13
 

2.4          Title to Assets.  Except as set forth on Schedule 2.4,
and except for the Product Intellectual Property (which is addressed in Section
2.5) and any limitations or conditions imposed by the Assigned Contracts or
as provided in the Assigned Contracts, Seller has good and valid title to all
the Acquired Assets, except in the case of the Acquired Assets that have been
sold or otherwise disposed of in the Ordinary Course Of Business consistent
with past practices and not in violation of this Agreement, in each case free
and clear of all Liens and Encumbrances, other than Permitted Liens and any
limitations or conditions imposed by the Assigned Contracts.  Except as set forth on Schedule 2.4
and except for human resources (including sales force, product representatives,
quality assurance/quality control and/or supply chain personnel) used in lot
release, stability, raw material sourcing and management, work-in-progress and
finished Product logistics, sales and marketing of the Product, to the
Knowledge of Seller, the Acquired Assets, along with the activities described
in the Transition Services Agreement, constituted all of the assets and rights
reasonably necessary for Seller to conduct the Product-Related Business before
the Effective Time in accordance with recent past practice.

2.5          Intellectual Property.  Except as set forth on Schedule 2.5 or
as provided in the Assigned Contracts:

(a)           Seller owns and possesses all right,
title and interest in, to and under the Product Intellectual Property used in
the sale and marketing of the Product and has the right to assign such Product
Intellectual Property free and clear of any liens, encumbrances or other
restrictions;

(b)           no claim by any third party
contesting the validity, enforceability, use, possession or ownership of the
Product Intellectual Property has been made and is currently outstanding
against Seller, nor to the Knowledge of Seller, is any threatened;

(c)           Seller has not given notice to any
third parties, asserting infringement by such third party of the Product
Intellectual Property;

(d)           to the Knowledge of Seller, the
manufacture, sale and/or marketing of the Product by Seller does not infringe,
misappropriate or otherwise conflict with any rights of any third parties; and

(e)           except as would not individually or
in the aggregate reasonably be expected to have a Material Adverse Effect, (i)
Seller has not granted any licenses to the Product Intellectual Property to
third parties; (ii) neither Seller nor to Seller’s Knowledge, any other Person,
is party to any agreements with third parties that limit or restrict use of the
Product Intellectual Property or require any payments for its use; and (iii) no
other Person has any joint ownership or royalty interest in the Product
Intellectual Property.

2.6          Contracts.  Except as set forth in Schedule 2.6,
all Assigned Contracts are in full force and effect and capable of assignment
without any additional consents or approvals. 
Seller has performed in all material respects all obligations required
to be performed by it to date under the Assigned Contracts, and it is not (with
or without the lapse of time or the giving of notice, or both) in breach or
default in any respect thereunder and, to the Knowledge of Seller, (i) no other
party to any Assigned Contract is (with or without the lapse of time or the
giving of notice, or both) in material breach or default in any respect
thereunder, and (ii) there is no outstanding material claim, demand,
disagreement or other dispute asserted with respect to any Assigned Contract.

 14
 

2.7          Compliance with Laws.

(a)           Except as set forth on Schedule
2.7(a), (i) all Governmental Authorizations principally employed in, or
necessary to the ongoing conduct of, the distribution of the Product as
currently conducted by Seller or its Affiliates are in full force and effect,
(ii) no Governmental Entity has served notice that Seller in connection with
the Acquired Assets was or is in material violation of any law, statute,
ordinance, rule, regulation or order in any jurisdiction, and (iii) Seller in
connection with the Acquired Assets has not received written notice from any
Governmental Entity that there are any circumstances currently existing that
would reasonably be expected to lead to any loss of any Governmental
Authorizations on terms less advantageous to Seller than the terms of those
Governmental Authorizations currently in force. 
Neither Seller nor any current or former member of Seller’s senior
management has been cited by a Governmental Entity for violation of such
Governmental Entity’s integrity policy, submission of false or misleading data
or information, or been identified as a “Debarred Individual” or debarred by a
Governmental Entity.

(b)           (i)            Seller
has filed with the FDA all required notices, supplemental applications and
annual or other reports, including adverse experience reports, with respect to
each BLA that are material to the conduct of the marketing, distribution and
sale of the Product as currently conducted by Seller.

(ii)           Except as set forth on Schedule
2.7(b)(ii), Seller has not received any notice that any Governmental Entity
(including the FDA) has commenced, or, to the Knowledge of Seller, threatened
to initiate any action to withdraw its approval or request the recall of any
Product, or commenced or threatened to initiate any action to enjoin production
of the Product at any facility.

(iii)          Seller has made available to Purchaser
copies of all material (A) reports of inspection observations and (B)
establishment inspection reports.

(iv)          Seller has not received any warning or
untitled letters or other documents from the FDA relating to the Product that
assert ongoing material lack of compliance with any material applicable laws or
regulatory requirements (including those of the FDA) by Seller.

(v)           At all times since January 1, 2001,
Seller has fully complied with all Laws with respect to the ownership,
operation and use of the Acquired Assets, conduct of the Product-Related
Business and the sale of the Product, except for any non-compliance as would
not reasonably be expected to have a Material Adverse Effect.

 15
 

2.8          Litigation.

(a)           Except
as set forth on Schedule 2.8, and other than an investigation by a
Governmental Entity (“Governmental Investigation”),
there is no claim, action, or proceeding, including product liability claims
(collectively, a “Proceeding”),
pending or, to Seller’s Knowledge, threatened against Seller in respect of the
Acquired Assets (including the Product) or the transactions contemplated by
this Agreement, the Ancillary Agreements and each Related Instrument.  To Seller’s Knowledge, there is no
Governmental Investigation pending or threatened.

(b)           There
are no outstanding orders, injunctions or decrees of any Governmental Entity
(other than the Governmental Authorizations) that apply to the Acquired Assets
(or will apply to Purchaser after the Effective Time) that restrict the
ownership, disposition or use of the Acquired Assets in any material respect.

2.9          Brokers or Finders.  No broker, investment banker, agent, finder
or other intermediary acting on behalf of Seller or under the authority of
Seller, except for UBS Securities LLC, is or will be entitled to any broker’s
or finder’s fee or any other commission or similar fee directly or indirectly
in connection with any of the Acquisition.

2.10        Inventory.  All finished Product that is included in the
Inventory (i) is saleable in the ordinary course of business, (ii) to Seller’s
Knowledge, has been produced or manufactured in accordance with the Product
specifications and (iii) is free and clear of Liens and Encumbrances, other
than Permitted Liens and any limitations or conditions imposed by the Assigned
Contracts.

2.11        Financial Statements.  Each of the consolidated financial statements
(including, in each case, any notes thereto) contained in Seller’s filings with
the Securities and Exchange Commission, as amended, supplemented or restated,
if applicable, was prepared in accordance with GAAP applied (except as may be
indicated in such filings and, in the case of unaudited quarterly financial
statements, as permitted by Form 10-Q under the Securities Exchange Act of
1934, as amended) on a consistent basis during the periods indicated (except as
may be indicated in such filings), and each, as amended, supplemented or restated,
if applicable, presented fairly, in all material respects, the consolidated
financial position of Seller as of the respective dates thereof and the
consolidated results of operations and cash flows of Seller for the respective
periods indicated therein (subject, in the case of unaudited statements, to
normal adjustments which, individually or in the aggregate, are not reasonably
expected to have a Material Adverse Effect).

2.12        Financial Records.  All financial and sales records created less
than three (3) years prior to the date of this Agreement are complete and, to
Seller’s Knowledge, correct with respect to all information set forth therein
and all time periods covered thereby, except for any incompleteness or
inaccuracy as would not reasonably be expected to have a Material Adverse
Effect.  For purposes of this Section
2.12, financial and sales records are those Product Records that contain
information or data relating to Product revenue or Product cost of goods
sold.   Except for any non-conformity as
would not reasonably be expected to have a Material Adverse Effect, all
financial and sales records created less than three (3) years prior to the date
of this Agreement have been prepared and maintained, where applicable, in
conformity with GAAP and in compliance with all applicable laws, regulations
and other requirements.

 16
 

2.13        No Other Representations or Warranties.  Except for the representations and warranties
contained in this Section 2 (including the Schedules), the Related
Instruments, and the Ancillary Agreements, none of Seller, its Affiliates or
any other Person makes any other express or implied representation or warranty
on behalf of Seller or any of its Affiliates and Seller specifically disclaims
any such warranty, including any such representation or warranty regarding:

(a)           The
business prospects of the Product.

(b)           That
any patents that claim, cover or relate to the Product are being assigned,
transferred, licensed or sublicensed to Purchaser under this Agreement except
the Product Patent Rights.

(c)           The
manufacturing process, or the efficacy, efficiency or adequacy of the Acquired
Assets for the purpose of manufacturing, marketing or selling the Product
either before or after the Effective Time.

(d)           The
efficacy or safety for human use of the Product, whether in the formulation
heretofore manufactured and sold under the name “CYTOGAM” or in the form of any
other formulation or variation or other derivative.

(e)           The
legal and regulatory requirements that must be satisfied by Purchaser before
Purchaser will be able lawfully to manufacture, market and sell the Product.

(f)            That
any medical information provided by Seller or its Affiliates to Purchaser
concerning the use of the Product is in accordance with sound medical practice
or may be relied on by Purchaser or any other Person for any purpose.

(g)           That
the Marketing Materials are current or in accordance with the Product labeling
or can be used for any purpose other than historical reference.

3.                                      REPRESENTATIONS AND WARRANTIES OF PURCHASER.

Purchaser
represents and warrants to Seller as of the date hereof as follows:

3.1          Organization.  Purchaser is a Swiss corporation duly
organized, validly existing and in good standing under the laws of Switzerland,
and is an indirect wholly owned subsidiary of CSL Limited, an Australian
Capital Territory corporation.  Purchaser
has all requisite corporate power and authority to own, lease and operate its
properties and to conduct its business as now being conducted.

3.2          Authority; Execution and Delivery; Enforceability.  Purchaser has the requisite power and
authority to execute, deliver and perform its obligations under this Agreement,
the Related Instruments and the Ancillary Agreements.  The execution and delivery of this Agreement,
the Related Instruments and the Ancillary Agreements and the performance by
Purchaser of its obligations hereunder and thereunder have been duly authorized
by all requisite corporate action on the part of Purchaser.  This Agreement has been validly executed and
delivered by Purchaser and, assuming that this Agreement has been duly
authorized, executed and delivered by Seller, constitutes, and each Related
Instrument and Ancillary Agreement that is to be executed and delivered by
Purchaser will constitute when executed and delivered by Purchaser (assuming
that such Related Instrument or Ancillary Agreement has been duly authorized,
executed and delivered by the other parties thereto to the extent applicable),
a valid and binding obligation of Purchaser, enforceable against Purchaser in
accordance with its terms, except as may be limited by applicable bankruptcy,
insolvency, reorganization or other laws of general application relating to or
affecting the enforcement of creditor’s rights generally.

 17
 

3.3          No Conflicts; Consents.

(a)           No Conflicts.  The execution, delivery and performance of
this Agreement, the Ancillary Agreements and the Related Instruments by
Purchaser (i) are not prohibited or limited by, and will not result in the
breach of or a default under, any provision of the Certificate of Incorporation
or Bylaws of Purchaser, (ii) assuming all of the consents, approvals,
authorizations and permits described in Section 2.3(b) have been
obtained and all the filings and notifications described in Section 2.3(b)
have been made and any waiting periods thereunder have terminated or expired,
do not conflict with any Law applicable to Purchaser, and (iii) do not conflict
with, result in a breach of, constitute a default under, result in the
acceleration of obligations under, create in any party the right to terminate,
modify or cancel, or require any notice, consent or waiver under, any material
agreement or instrument binding on Purchaser or any applicable order, writ,
injunction or decree of any court or Governmental Entity to which Purchaser is
a party or by which Purchaser is bound, except in the case of clauses (ii) or
(iii) for violations, breaches or defaults that would not have a material
adverse effect on Purchaser’s ability to consummate the Acquisition or
materially delay the consummation of the Acquisition.

(b)           Consents and Approvals.  Except for the requisite filings under the
HSR Act and the expiration or termination of the waiting period thereunder,
similar filings and approvals under foreign competition laws, and all of the
filings and other actions contemplated set forth on Schedule 2.3
(including the letter to the FDA contemplated by Section 5.7 and as may
be necessary as a result of any facts or circumstances relating to Seller), no
notice to, filing with, authorization of, exemption by, or consent of, any
Person, including any Governmental Entity, is required for Purchaser to
consummate the Acquisition, provided, however, that the Parties have agreed
that the Governmental Authorizations are not necessary for the consummation by
Purchaser of the Acquisition, except where the failure to make such filings or
notifications, or obtain such consents, approvals, authorizations or permits,
would not, individually or in the aggregate, reasonably be expected to have a
material adverse effect on Purchaser’s ability to consummate the Acquisition.

3.4          Brokers and Finders.  Neither Purchaser nor its Affiliates has
retained any agent, broker, investment banker, financial advisor or other
firm or Person, other than Merrill Lynch, that is or will be entitled to any
brokers’ or finder’s fee or any other commission or similar fee in connection
with any of the transactions contemplated by this Agreement, and there are no
claims for any of the foregoing.

3.5          Litigation.  There is no Proceeding, pending or, to the
Knowledge of Purchaser, threatened against Purchaser that would affect
Purchaser’s ability to consummate the transactions contemplated by this
Agreement and each Related Instrument.

 18
 

3.6          Financial Condition.  Purchaser has sufficient immediately
available funds to pay in cash at the Closing the Closing Payment and all other
amounts payable pursuant to this Agreement, the Ancillary Agreements or the
Related Instruments at Closing or otherwise necessary to consummate the
Acquisition.  Purchaser is not subject to
or bound by any Agreement that would restrict or prevent the payment of any
amounts payable under this Agreement (including the Milestone Payments).  Upon the consummation of the Acquisition, (a)
Purchaser will not be insolvent, (b) Purchaser will not be left with
insufficient capital for the conduct of its business and the Product-Related
Business, (c) Purchaser will not have incurred debts beyond its ability to pay
such debts as they mature and (d) the capital of Purchaser will not be
impaired.

3.7          Limitations on Acquired Assets.

(a)           Purchaser
acknowledges and agrees that the Acquired Assets are being acquired subject to
any limitations, restrictions or conditions imposed by the Assigned Contracts,
including any licenses therein, and as described herein (including the
Schedules hereto).

(b)           Purchaser
has conducted its own thorough due diligence review and analysis, as Purchaser
determines necessary and appropriate, of the Acquired Assets and of the
business prospects of the Product.  Purchaser is not relying on any forecasts,
marketing data, projections, estimates, offering brochures or materials,
conversations with employees, management, or consultants, agents or brokers of
Seller, market assessments, representations or warranties or other materials
whether oral or written from Seller or Seller’s agents, brokers or consultants
as to the business prospects or potential of the Product or any other
representations or warranties, express or implied, except as expressly set
forth herein.

(c)           Purchaser
acknowledges and agrees that (i) Seller does not manufacture the Product, and
(ii) Seller does not guarantee or warrant that (A) any supplier of the
Product or any component of the Product shall continue to supply such items or
(B) that any such third party shall supply or continue to supply such
items on the pricing or other terms currently available to Seller.

(d)           Purchaser
further acknowledges that Seller does not manufacture, package or test the
Product and is dependent upon third parties for manufacturing, packaging and
testing of such Products.  Purchaser
acknowledges and agrees that Seller does not guarantee or warrant that any such
third party will continue to manufacture, package, test or supply such
Products.  Purchaser further acknowledges
and agrees that Seller makes no representations or warranties with respect to
the manufacturing practices or manufacturing facilities of such third parties.

(e)           Purchaser
is acquiring the Products pursuant to this Agreement subject to the foregoing acknowledgements
and limitations.

3.8          Governmental Authorizations.  Purchaser is fully qualified and meets all
applicable requirements of Governmental Entities to accept the transfer of the
Governmental Authorizations as contemplated herein.  Neither Purchaser nor any current or former
member of Purchaser’s senior management has been cited by a Governmental Entity
for violation of such Governmental Entity’s integrity policy, submission of
false or misleading data or information or identified as a “Debarred Individual”
or debarred by a Governmental Entity. 
Purchaser has no reason to believe that any Governmental Entity will
withhold consent to the transfer of the Governmental Authorizations as
contemplated hereunder.

 

 19

3.9          Financial Statements.  Purchaser has provided Seller with true and
complete copies of its audited balance sheet as of the last day of its most
recently completed fiscal year, and the related statements of earnings and cash
flows (collectively, the “Financial Statements”),
copies of which are attached hereto as Schedule 3.9(a).  Purchaser has provided Seller with true and
correct copies of its balance sheet as of its fiscal quarter ended September
30, 2006, and related statements of earnings and cash flows (collectively, the “Interim Financial Statements”), copies of which are attached
hereto as Schedule 3.9(b).  Except
as set forth in Schedule 3.9(c), the Financial Statements and the
Interim Financial Statements have been prepared in accordance with Australian
generally accepted accounting principles, applied on a basis consistent with
prior periods, and fairly presents in all material respects the financial
condition of the Purchaser as of the represented dates thereof, the results of
its operations and its cash flows for the period covered thereby, except that
with respect to the Interim Financial Statements for certain year-end
adjustments and financial statement footnotes which have been omitted.

3.10        No Other Purchaser Representations or
Warranties.  Except for
the representations and warranties contained in this Section 3, the
Ancillary Agreements and the Related Instruments neither Purchaser nor any
other Person makes any other express or implied representation or warranty on
behalf of Purchaser.

4.                                      COVENANTS PRIOR TO CLOSING.

4.1          Access to Information.  Between the Agreement Date and the Closing
Date, Seller shall, subject to any applicable Law, the Confidentiality
Agreement and the terms of any contract by which Seller is bound (i) afford
Purchaser and its Representatives access, during regular business hours and
upon reasonable agreed-upon times, to Seller’s personnel, properties and
records pertaining in material part to the Product or Product-Related Business,
Assigned Contracts, Governmental Authorizations, the Product Records and all
other information and materials pertaining in material part to the
Product-Related Business, provided that
such access shall not unreasonably interfere with Seller’s business and
operations.

4.2          Operation of Product-Related Business
Prior to the Closing.

(a)           Affirmative Covenants Pending
Closing.  Seller shall, through the
earlier of the Effective Time or the Termination Date, use its commercially
reasonable efforts to conduct the Product-Related Business in the Ordinary
Course of Business, and on a basis consistent with past practice, (i) preserve
the Acquired Assets and the Product-Related Business, including preserving
Seller’s present relationships with suppliers, consultants, customers and any
other third parties having business relations with Seller that relate to the
Product and Acquired Assets, (ii) advertise, promote, and market the Product,
(iii) perform and comply in all material respects with the Assigned Contracts,
and (iv) maintain, and comply in all material respects with, all Governmental
Authorizations and any applicable law.

 20
 

(b)           Negative Covenants Pending Closing.  Except (i) as contemplated by this Agreement
or (ii) as reasonably required or advisable to carry out its obligations under
this Agreement, Seller shall, through the earlier of the Effective Time or the
Termination Date, conduct the Product-Related Business only in the Ordinary
Course of Business and, in addition, Company shall not, without Purchaser’s
written consent:

(i)            enter into
any material written agreement with respect to the manufacture, use, or sale of
the Product (other than sales of the Product in the Ordinary Course of
Business);

(ii)           place,
or allow to be placed, any material Encumbrance on any of the Acquired Assets,
other than Permitted Encumbrances; or

(iii)          sell, assign, license or transfer any
material Acquired Asset other than sales of Product from Inventory in the
Ordinary Course of Business.

(c)           Material Adverse Change.  Seller shall notify Purchaser promptly of the
occurrence of any event that would reasonably be expected to have a Material
Adverse Effect of which it has Knowledge including, without limitation,
information and copies of all pertinent documents concerning all Proceedings
instituted, threatened or asserted against or affecting the Product or any
material Acquired Asset at law or in equity, before or by any court or
governmental authority and which may relate to any such Claim.

(d)           Records and Reports.  Seller shall keep customary records relating
to the manufacture and sale of the Product in accordance with generally
accepted accounting principles applied on a basis consistent with prior
periods, and shall supply to Purchaser monthly reports relating to the
Product-Related Business, as soon as practicable (and no later than thirty (30)
calendar days) after the end of each month, and such other documents (financial
or otherwise) as Purchaser shall reasonably request.

(e)           Consultation Regarding Significant
Developments.  Seller shall inform
and consult with Purchaser regarding any significant developments or
transactions proposed to be entered into relating to the Product prior to the
earlier of the Effective Time or the Termination Date.

(f)            No Control of Seller’s Business.  Purchaser acknowledges and agrees that:  (i) nothing in this Agreement shall give
Purchaser, directly or indirectly, the right to control or direct Seller’s
operation of the Product-Related Business prior to the Effective Time, (ii)
prior to the Effective Time, each of Seller and Purchaser shall exercise,
consistent with the terms and conditions of this Agreement, complete control
and supervision over its and its subsidiaries’ respective operations, and (iii)
notwithstanding anything to the contrary set forth in this Agreement, no
consent of Purchaser shall be required with respect to any matter set forth in
this Section 4.2 or elsewhere in this Agreement to the extent the
requirement of such consent would, upon advice of counsel, violate applicable
antitrust Law.

 21
 

4.3          Consents and Approvals.  As soon as reasonably practicable after the
Agreement Date, the Parties shall make all filings required to be made in
order to consummate the transactions contemplated hereby, including all filings
under the HSR Act in accordance with Section 4.4.  Seller shall use its commercially reasonable
efforts to obtain all third party consents required for assignment of the
Assigned Contracts.

4.4          HSR Act.

(a)           If required pursuant to applicable
Law, each Party shall file as soon as practicable, and in any event no later
than fifteen (15) business days after the Agreement Date a Notification and
Report Form under the HSR Act with the United States Federal Trade Commission
and the Antitrust Division of the United States Department of Justice and any
similar such filing(s) with any other Governmental Entity.  As deemed advisable by outside legal counsel
to the Parties, each Party shall respond as promptly as practicable to any
inquiries or requests received from any Governmental Entity for additional
information or documentation.  Each Party
shall (i) promptly notify the other Party of any communication to that Party or
its Affiliates from any Governmental Entity related to the Acquisition and,
subject to applicable Law, permit the other Party or the other Party’s counsel to
review in advance any proposed written communication to any of the foregoing;
(ii) not participate, or permit its Affiliates to participate, in any
substantive meeting or discussion with any Governmental Entity in respect of
any filings, investigation or inquiry concerning this Agreement unless it
consults with the other Party in advance and, to the extent permitted by such
Governmental Entity, gives the other Party the opportunity to attend and
participate thereat; and (iii) with the
exception of business documents deemed confidential by Purchaser (including
documents submitted as attachments to each of Purchaser’s Notification and
Report Form under the HSR Act and any similar such filing(s) with any
other Governmental Entity), furnish
Seller with copies of all correspondence, filings, and communication (and
memoranda setting forth the substance thereof) between Purchaser (its
Affiliates and Representatives) on the one hand, and any Governmental Entity or
members of their respective staffs on the other hand, with respect to this
Agreement.  Purchaser shall bear the
responsibility for any required filing fees under this Section 4.4(a).

(b)           In furtherance and not in limitation
of the other covenants of the Parties contained herein, Purchaser shall use its
commercially reasonable efforts to remedy any antitrust concerns that any
Governmental Entity may have with respect to the consummation of the
Acquisition.  If any administrative,
judicial or legislative Proceeding is instituted (or threatened to be instituted)
challenging the sale and purchase of the Acquired Assets or the Agreement as
violative of any anti-competition Law, Purchaser shall cooperate and use its
commercially reasonable efforts to contest and resist any such Proceeding, and
to have vacated, lifted, reversed or overturned any decree, judgment,
injunction or other order that is in effect and that restricts, prevents or
prohibits the consummation of the Acquisition. 
Seller shall cooperate in a commercially reasonable manner with such
efforts.

 22
 

4.5          Other Pre-Closing Covenants.  Between the Agreement Date and the
Closing Date:

(a)           Seller Marketing
Materials.  Seller shall promptly
furnish Purchaser with such reasonable sample quantities of any Marketing
Materials that Seller may have utilized in connection with the Product-Related
Business during the six (6) month period prior to the Agreement Date, for use
by Purchaser in preparing its own promotional materials.  In that regard, Seller shall and hereby does
grant Purchaser a non-exclusive, non-transferable, non-sublicensable, royalty
free, paid-up license to use Seller’s Marketing Materials in connection with
creating Purchaser’s promotional materials for a period of six (6) months
following the Closing Date. 
Notwithstanding the foregoing license, any use of Seller’s Marketing
Materials shall not include the use of any Names, except as used on Product
labeled prior to Purchaser obtaining its NDC number.  All costs and expenses incurred by Purchaser
with respect to creating its own promotional materials shall be borne by
Purchaser.

(b)           Transition Services Agreement.  The Parties shall enter into a Transition
Services Agreement, to be effective immediately after the Effective Time,
substantially in the form attached hereto as Exhibit E, pursuant to which
Seller shall perform certain transitional services for Purchaser in accordance
with the terms thereof.

(c)           Notifications.  Seller, on the one hand, and Purchaser, on
the other hand, shall promptly notify the other Party in writing of any fact,
change, condition, circumstance or occurrence or nonoccurrence of any event of
which it is aware that will or is reasonably likely to result in any of the
conditions set forth in Section 6 or 7 becoming incapable of
being satisfied; provided, however, that the delivery
of any notice pursuant to this Section 4.5(c) shall not limit or
otherwise affect the remedies available hereunder to the Party receiving such
notice.

(d)           Further Assurances.  Each of the Parties shall use its
commercially reasonable best efforts, in the most expeditious manner
practicable, (i) to satisfy or cause to be satisfied all the
conditions precedent that are set forth in Sections 6 and 7, as
applicable to each of them, (ii) to cause the Acquisition to be consummated,
and (iii) without limiting the generality of the foregoing, to obtain all
consents and authorizations of third parties and to make all filings with, and
give all notices to, third parties that may be necessary or reasonably required
on its part in order to consummate the Acquisition.

(e)           No Solicitation  Between the Agreement Date and the earlier of
(i) the Closing Date or (ii) the Termination Date, Seller agrees that neither
it nor any of its Affiliates shall, and Seller shall use commercially
reasonable efforts to cause Seller’s Representatives not to, directly or
indirectly, take any action to (A) solicit, initiate or facilitate any
Acquisition Proposal, (B) as to any unsolicited Acquisition Proposal,
participate in any way in discussions or negotiations with, or furnish any non-public
information to, any Person that has made an Acquisition Proposal or (C) enter
into any agreement with respect to any Acquisition Proposal.

(f)            Further Instruments.  Each of Purchaser and Seller shall, and shall
cause its respective Affiliates to, at the request of the other Party, execute
and deliver to such other Party all such further instruments, assignments,
assurances and other documents as such other Party may reasonably request in
connection with the carrying out of this Agreement and the Acquisition.

 23
 

5.                                      ADDITIONAL COVENANTS.

5.1          Confidentiality; Publicity.

(a)           Confidentiality Agreement.  Purchaser and Seller acknowledge that the
information being provided to them, respectively, in connection with the
Acquisition and the consummation of the other transactions contemplated hereby
is subject to the terms of a confidentiality agreement between Purchaser and
Seller dated August 9, 2006  (the “Confidentiality Agreement”), the terms of which are
incorporated herein by reference.  The
Confidentiality Agreement shall terminate at the Effective Time with respect to
information relating solely to the Acquired Assets or relating to the Product; provided, however, that each of Purchaser and Seller
acknowledges that any and all other information provided to it by the other or
the other’s Representatives concerning it and its Affiliates shall remain
subject to the terms and conditions of the Confidentiality Agreement.
Notwithstanding the foregoing, Purchaser acknowledges and agrees that Seller
may publicly disclose Retained Information relating to the Acquired Assets
and/or the Acquisition (i) if and to the extent required by applicable Law,
rule or regulation, including regulations of any applicable stock exchange, or
(ii) with the consent of Purchaser (not to be unreasonably withheld).

(b)           Certain Disclosures.  Each of Purchaser and Seller agrees that the
terms of this Agreement, the Related Instruments and the Ancillary Agreements
shall not be disclosed or otherwise made available to the public and that
copies of this Agreement, the Related Instruments and the Ancillary Agreements
shall not be publicly filed or otherwise made available to the public, except
where such disclosure, availability or filing is required by applicable Law,
including for purposes of this Section 5.1 any applicable stock
exchange, and only to the extent required by such Law; provided,
however, that each of Purchaser and Seller may disclose the terms of
this Agreement, the Related Instruments and the Ancillary Agreements to its
Affiliates and its and its Affiliates’ employees, attorneys, financial
advisors, lenders and agents on a need-to-know basis and to current and
potential investors in financings or related capital raising transactions, to
the extent such parties are bound by confidentiality obligations with respect
to the information disclosed.  Where
disclosure, availability or filing is required by applicable Law, each of
Purchaser and Seller (as applicable) agrees to use commercially reasonable
efforts to obtain “confidential treatment” of this Agreement, the Related
Instruments and the Ancillary Agreements and to redact such terms of this
Agreement, the Related Instruments and the Ancillary Agreements as the other
Party shall request.

(c)           Publicity.  The content of the initial press releases
announcing the execution of this Agreement shall be substantially in the forms
set forth in Exhibit D-1, Exhibit D-2 and Exhibit D-3.  Seller and Purchaser each agree that
Purchaser shall have the right from and after the Effective Time to represent
to third parties that Purchaser has acquired all rights to, and is the
successor to Seller with respect to, the Product, without reservation by
Seller.

(d)           Post-Closing.  If the transactions provided for herein are
consummated, except as required by Law or otherwise permitted by this Agreement
(including as required by applicable rule or regulation (including regulations
of any applicable stock exchange)), the Seller shall keep secret and retain in
strictest confidence and shall not, without the prior written consent of
Purchaser, furnish, make available or disclose to any third party or use for
the benefit of Seller or any third party, any information relating to the
business or affairs of Purchaser, the Product, the Acquired Assets, the Assumed
Liabilities or the Product-Related Business; provided, however, that no
restriction herein shall apply to any information which is in the public domain
or becomes known in the industry through no wrongful act on the part of Seller.

 24
 

5.2          Availability
of Records.  After
the Effective Time, (i) Seller shall cooperate with Purchaser in
making Retained Information available, (ii) Seller shall furnish copies (the
first such copy being at Seller’s cost and any additional copies being at
Purchaser’s cost) of such Retained Information for review by Purchaser, to the
extent practicable, at the reasonable request of Purchaser and (iii) upon
written notice from Purchaser of any request for Retained Information, Seller
shall promptly designate appropriate contacts with respect thereto, and shall
make such contacts reasonably available to Purchaser.  Until the seventh (7th) anniversary of the Effective Time, (i)
before disposing of any Retained Information, Seller shall give notice to such
effect to Purchaser and shall give Purchaser, at Purchaser’s cost and expense,
an opportunity to remove and retain all or any part of such Retained
Information as Purchaser may select, subject to the confidentiality
restrictions herein.  Seller, on the one
hand, and Purchaser, on the other hand, shall make available to each other
Party and its Affiliates and Representatives during normal business hours when
reasonably requested, all Product Records in its possession and shall preserve
all such information, records and documents until the later of: (i) the seventh
(7th)
anniversary of the Effective Time; (ii) the expiration of all statutes of
limitations for assessing or collecting Taxes for periods ending on or prior to
the Closing and periods including the Closing Date, including extensions thereof
applicable to Seller or Purchaser; or (iii) the required retention period under
any applicable Laws for all such information, records or documents (it being
understood that the Parties shall not be required to provide any Tax returns to
any Person, other than as required by applicable Laws).  Purchaser and Seller shall also make
available to each other during normal business hours, when reasonably
requested, personnel responsible for preparing or maintaining information,
records and documents, in connection with Tax matters, governmental contracts,
litigation or potential litigation, each as it relates to the Product,
Product-Related Business, Acquired Assets or Assumed Liabilities prior to the
Closing Date (with respect to Seller) or from and after the Closing Date (with
respect to Purchaser).

5.3          Revision
of Marketing Materials; Use of Names.

(a)           Removal of Names.  As provided in the Transition Services
Agreement, Purchaser shall revise all Marketing Materials and other product
literature related to the Product to delete all reference to the Names (as
defined below) and other references to Seller and implement such materials as
soon as practicable following the transfer of the applicable Government
Authorizations to Purchaser is completed.

(b)           Transitional Use of Names.  As provided in the Transition Services
Agreement, Purchaser may continue to distribute Marketing Materials in
connection with the marketing of the Product that use Names, addresses or phone
numbers to the extent that such Marketing Material exists at the Effective
Time, and may continue to use Names on Product labeled prior to Purchaser
obtaining its NDC number.

(c)           No Other Use.  Other than as expressly provided in this
Agreement and the Transition Services Agreement, Purchaser shall not use or
permit any of its Affiliates or distributors to use any of the Names or any
other corporate, trademarks or service marks or names now or hereafter owned or
used by Seller or any of its Affiliates, other than the Product Intellectual
Property (on the terms provided herein and in the Ancillary Agreements).

(d)           Website Information.  Within thirty (30) days following the Closing
Date, Seller shall remove all references to the Product from the “Products”
section of its website.

 25
 

5.4          Customer Notifications.  Promptly after the Effective Time,
Purchaser shall notify all current customers of the Product (i) of the transfer
of the Acquired Assets to Purchaser, (ii) that all purchase orders for Product
received by Seller or any of its Affiliates prior to the Agreement Date but not
filled as of such date will be transferred to Purchaser; provided, that, to the
extent that any purchase order cannot be so transferred, Seller and Purchaser
shall cooperate with each other to ensure that such purchase order is filled and
that Purchaser receives the same economic benefit and assumes the same
liability associated with filling such purchase order as if such purchase order
had been so transferred, and (iii) that all subsequent purchase orders for
Product should be sent to

ZLB Behring

1020 First Avenue

King of Prussia,
Pennsylvania  19406

Attention: Customer Service

provided,
however, that Purchaser’s obligations to provide such notices
is subject to Seller providing Purchaser with a complete list of all current
customers of the Product and their contact information.

5.5          Product Returns, Rebates, Chargebacks
and NDC Number.

(a)           Product Returns.

(i)            Subject to the obligations of the
Parties set forth in subsections (ii) and (iii) below, Purchaser shall be
responsible for processing all Product returns from and after the Closing Date,
including any returns of Product manufactured or sold by Seller prior to the
Closing Date.  Purchaser shall destroy,
or cause to be destroyed, all such returned Product in a manner consistent with
applicable Law.

(ii)           Except as provided below, all Product
returns for Product included in any lot from which Seller had shipped at least
one Product vial prior to the Effective Time (regardless of when such return is
actually processed) shall be for the account of Seller, and Seller shall
reimburse Purchaser for any and all valid and documented costs and expenses
incurred by Purchaser in connection with such returns and for any credits or
deductions taken by customers against the accounts receivable of Purchaser in
connection with such returns.  If
Purchaser alters its Product return policy from the policy in effect on the
date of this Agreement without the consent of Seller, any Product returns for
Product to which such altered return policy applies shall be for the account of
Purchaser as provided in subsection (iii) below.  Seller shall reimburse Purchaser for any such
amounts within thirty (30) days of its receipt of each such invoice therefor.

(iii)          All Product returns for Product
included in any lot other than any lot from which
Seller had shipped at least one Product vial prior to the Effective Time shall
be for the account of Purchaser, and Purchaser shall reimburse Seller for any
and all valid and documented costs and expenses incurred by Seller in connection
with such returns and for any credits or deductions taken by customers against
the accounts receivable of Seller in connection with such returns.  Purchaser shall reimburse Seller for any such
amounts within thirty (30) days of its receipt of each such invoice
therefor.  Purchaser agrees that Seller
shall have no obligations in respect of such returned Products and that
Purchaser shall not be entitled to any credit or reimbursement therefor.

 26
 

(b)           Rebates.

(i)            Seller shall be responsible for all
rebates payable pursuant to any rebate programs for all Products where the
rebate is asserted or requested on or prior to [*****], regardless of the date
when the Product is dispensed.  Purchaser
shall be responsible for all rebates pursuant to any rebate programs for all
Products where the rebate is asserted or requested after [*****].  In the event that a rebate claim is submitted
on or prior to [*****], and such claim is revised after [*****], Purchaser
shall be responsible for any additional rebate liability resulting from such
revision, and any reduction in rebate liability shall be for the account of
Purchaser.  Also, if Purchaser alters the
rebate policy with respect to the Product from the policy in effect on the date
of this Agreement without the consent of Seller, any rebates for Product to
which such altered rebate policy applies shall be for the account of
Purchaser.  To the extent that a Party
processes rebate claims which are the responsibility of the other Party, that
other Party shall reimburse the first Party within thirty (30) days of receipt
of invoices that describe the requested payments in reasonable detail.

(ii)           Purchaser acknowledges that Seller
may require certain information from Purchaser in order to calculate the
Medicaid rebate for any Product manufactured on or prior to the Closing
Date.  Accordingly, Purchaser agrees
that, from and after the Closing Date until the date which is one (1) calendar
year after the later of (a) the expiration date of the last lot of Product
produced with any NDC number of Seller or any of its Affiliates and (b) the
expiration date of any Product otherwise manufactured on or prior to the
Closing Date, Purchaser will provide to Seller, within twenty-five (25) days
after the end of each reporting period, the following information: (a) the Best
Price for each Product identified by NDC number, (b) the Average Manufacturer
Price for each Product identified by the NDC number, (c) the “Average Sales Price” (as defined at 42 U.S.C. §
1395w-3(a)(c)) for each Product identified by NDC number, and (d) any
additional or supporting data or other information related to such Medicaid
issues reasonably requested by Seller.

(iii)          Schedule 5.5(b)(iii) sets forth
the “Best Price” (as defined at 42 U.S.C. §
1396r-8(c)(1)(C)) and “Average Manufacturers
Price” (as defined at 42 U.S.C. § 1396r-8(k)(1)) reported by Seller
for the Product for the two most recently ended calendar quarters.

(iv)          To the extent that a Party processes a
rebate claim which is the responsibility of the other Party hereunder, the
responsible Party shall reimburse the other Party within thirty (30) days of
receipt of invoices that describe the requested payments in reasonable detail.

 27
 

(c)           Notwithstanding the foregoing,
Purchaser and Seller agree that (i) Seller shall not be responsible for credit
for shelf stock adjustments to the extent resulting from price decreases
initiated by Purchaser after Closing and (ii) any such payments by Seller shall
be made on the terms and conditions comparable to Seller’s rebate obligations
as of the Closing Date with respect to each commercial customer and shall be
based on Seller’s terms of agreements as of the Closing Date.

(d)           Chargeback Claims.

(i)            Seller shall process and be
financially responsible for all chargeback claims related to any Product that
are asserted on or prior to [*****] (the “Chargeback Claims”).  Purchaser shall process and be financially
liable for all Chargeback Claims related to any Product that are asserted after
[*****].  Purchaser and Seller agree that
(i) Seller’s financial liability for the Chargeback Claims shall be limited to
those customers with which Seller has chargeback obligations as of the Closing
Date, and (ii) any such chargebacks issued by Seller shall be made on terms and
conditions comparable to Seller’s obligations as of the Closing Date with
respect to each customer and shall be based on Seller’s terms of respective
agreements as of the Effective Date. 
Seller shall utilize records from third party rebate administrators to
demonstrate which chargebacks were requested on or prior to [*****] for
purposes of determining Seller’s obligation hereunder.

(ii)           To the extent that a Party processes
Chargeback Claims which are the responsibility of the other Party, the
responsible Party shall reimburse the other Party within thirty (30) days of
receipt of invoices that describe the requested payments in reasonable detail.

(e)           NDC Number.  As soon as practicable after the Effective
Time, Purchaser shall obtain its own NDC number with respect to the sale of the
Product and shall use commercially reasonable efforts to have in place as soon
as reasonably practicable all resources such that sales can be accomplished
under the NDC number of Purchaser. 
Thereafter, Purchaser shall use its new NDC number on all invoices,
orders and other communications with customers and Governmental Entities.

5.6          Accounts Receivable.  The Parties acknowledge and agree that all
Accounts Receivable, product reserves and accruals shall remain the
property of Seller and Seller’s Affiliates and shall be collected by Seller or
Seller’s Affiliates subsequent to the Closing. 
In the event that, subsequent to the Closing, Purchaser or Purchaser’s
Affiliates receive any payments from any obligor with respect to an Account
Receivable outstanding on the Closing Date, then Purchaser shall within fifteen
(15) days of receipt of such payment remit the full amount of such payment to
Seller.  In the case of the receipt by
Purchaser of any payment from any obligor of both Seller and Purchaser then,
unless otherwise (i) specified by such obligor, or (ii) provided in or as
evident from the documentation or circumstances related to such payment, such
payment shall be applied first to amounts owed to Seller (and remitted to
Seller) with the excess, if any, retained by Purchaser. In the event that,
subsequent to the Closing, Seller or Seller’s Affiliates receives any payments
from any obligor with respect to an account receivable of Purchaser for any
period after the Closing Date, then Seller shall within fifteen (15) days of
receipt of such payment remit the full amount of such payment to
Purchaser.  In the case of the receipt by
Seller of any payment from any obligor of both Seller and Purchaser, unless
otherwise (i) specified by such obligor, or (ii) provided in or as evident from
the documentation or circumstances related to such payment, then such payment
shall be applied first to amounts owed to Seller with the excess, if any,
remitted to Purchaser.

 28
 

5.7          Regulatory Approvals.

(a)           Generally.  Seller and Purchaser each agree to use
commercially reasonable efforts to effect the transfer of all applicable
regulatory approvals contemplated hereby, including the transfer from Seller to
Purchaser, within ninety (90) days of the Closing Date, of all Seller’s rights,
title and interest to the Governmental Authorizations.

(b)           Submissions
to Governmental Entities.  Subject to
Section 5.7(h), Seller and Purchaser each agree to prepare and file
whatever filings, requests or applications are required or deemed advisable to
be filed with any Governmental Entity in connection with the transactions
contemplated by this Agreement, including the FDA Transfer of Ownership Letters
with respect to the transfer of the BLA from Seller to Purchaser, and to
cooperate with one another as reasonably necessary to accomplish the foregoing.

(c)           Further
Assurances.  Subject to Section
5.7(h), Seller and Purchaser shall: (i) diligently take, or fully
cooperate in the taking of, all necessary and proper steps to make such filings
as required or deemed advisable pursuant to Section 5.7(b);
(ii) take, or cause to be taken, all actions, and to do or cause to be
done, and to assist and cooperate with the other Party in doing all things
reasonably necessary, proper, and/or advisable under applicable law or
otherwise (A) to consummate and make effective the transactions contemplated by
this Agreement and (B) obtain from any Governmental Entity any non-actions,
clearances, waivers, consents, approvals, authorizations, permits or orders
required to be obtained in connection with the execution and performance of
this Agreement or the transactions contemplated by this Agreement.

(d)           Assumption
of Regulatory Compliance Responsibilities. 
Except as otherwise provided in this Agreement and the Transition
Services Agreement, from and after the Effective Time, Purchaser shall assume
all regulatory responsibilities in connection with the Products and the
Governmental Authorizations, including responsibility for (i) all periodic and
annual reports or other regulatory filings with the FDA with respect to the
2006 calendar year, (ii) reporting any product quality complaints and adverse
drug events in connection with the BLA, and (iii) compliance with the
Federal Food, Drug and Cosmetic Act and the Public Health Service Act, as the
same may be amended from time to time. 
Seller and Purchaser agree that pending completion of the transfer of
the Government Authorizations as contemplated hereunder, Seller shall perform
certain regulatory compliance responsibilities on behalf of Purchaser in
connection with the Products as more particularly set forth in the Transition
Services Agreement.

(e)           Responsibility
of Seller.  From and after the
Effective Time, Seller shall have no obligation whatsoever in connection with
any regulatory filings, requests or applications related to the Product, except
as otherwise provided herein and except for actions of Seller reasonably
required by a Governmental Entity in connection therewith.

 29
 

(f)            Product
Complaints.  From and after the Effective
Time, Seller shall direct all complaints or inquiries concerning the Product to
Purchaser to the attention of:

ZLB Behring

1020 First Avenue

King of Prussia,
Pennsylvania  19406

Attention: Customer Service

or
such other person or persons as Purchaser may specify from time to time by
written notice to Seller.

(g)           Governmental Entity Fees.  From and after the Effective Time, Purchaser
shall have all responsibility for any and all Governmental Entity fee
obligations for holders or owners of the Governmental Authorizations that
relate to periods on or after the Effective Time, and Seller shall retain
responsibility for such fee obligations relate to periods prior to the
Effective Time.  Each Party shall
promptly reimburse the other to the extent a Party pays amounts that are the
responsibility of the other Party hereunder.

(h)           Dealings
With Governmental Entities.  From and
after the Effective Time, Purchaser shall have the sole authority and
responsibility to respond to any Governmental Entities, to respond to product
technical complaints and medical complaints and, subject to Section 5.7(i),
to handle all recalls, market withdrawals and field corrections of the Product
in accordance with applicable Laws, all at Purchaser’s sole cost and expense.

(i)            Product
Recalls.  Beginning at the Effective
Time and ending one year thereafter, Purchaser shall promptly (but in any case,
within forty-eight (48) hours) notify Seller in writing of (i) any decision,
order, request or directive of a court or other Governmental Entity to recall,
withdraw, or field correct the Product and (ii) any quality control test
results that would require look-back review of any Product labeled with Seller’s
NDC number.  Except as otherwise provided
in the following sentence, Purchaser has the sole authority and responsibility
for determining if and when to issue any recall, withdrawal, or field
correction or look-back disposal (but shall comply with all applicable laws,
rules, regulations, directives and orders in making such determination), and
for the cost and expense of any such recall, withdrawal, or field correction or
look-back disposal, with respect to any Product included in any Purchaser
Lot.  Seller has the sole authority and
responsibility for determining if and when to issue any recall, withdrawal, or
field correction or look-back disposal, (but shall be required to comply with
all applicable laws, rules, regulations, directives and orders in making such
determination), and shall be responsible for the cost and expense of any such
recall, withdrawal, or field correction or look-back disposal, with respect to
any Product included in any Seller Lot, and in such event, Seller shall
promptly (but in any case, within forty-eight (48) hours) notify Purchaser in
writing of any decision, order, request or directive of a court or other
Governmental Entity to recall, withdraw, or field correct Product.

 30

5.8          Tax Matters.

(a)           All transfer Taxes (including,
without limitation, sales, use, stamp and recordation taxes but not including
income tax measured by gain, if any, realized by Seller from the sale of the
Acquired Assets) shall be paid by Purchaser. 
Seller shall use commercially reasonable efforts to provide Purchaser
with any documentation requested by Purchaser to establish an exemption from
any such transfer Tax under applicable Tax Law. 
Seller and Purchaser shall cooperate in preparing and timely filing all
Tax Returns and other documentation relating to such transfer Taxes as may be
required by applicable Tax Law.

(b)           Seller and Purchaser hereby waive
compliance with any “bulk sales” Laws (including any requirement to withhold
any amount from payment of the Purchase Price) applicable to the sale to
Purchaser of the Acquired Assets by Seller.

5.9          Government Multi-Product Contracts.  After the Effective Time,
Purchaser shall honor the pricing for the Product under Seller’s
Government Multi-Product Contracts as reflected on Schedule 5.9, until
such time as Purchaser has obtained its own NDC number with respect to the
Product.  Seller may enter into a
separate agreement with such government party, provided
that such agreements do not contain any provisions relating to the Product or
the Product-Related Business.  Seller
shall terminate the rights and obligations of Seller with respect to the
Product under each such Government Multi-Product Contract, to the extent permitted
by the terms thereof and to the extent permitted by, and in accordance with,
applicable Law, as soon as reasonably practicable after Purchaser has obtained
its own NDC number with respect to the Product. 
Purchaser shall use commercially reasonable efforts to add the Product
into its existing applicable agreements with Governmental Entities achieving
similar purposes as the Government Multi-Product Contracts as soon as
practicable after the Effective Time.

5.10        Inventory.  From and after the Effective Time, Purchaser
shall at all times handle, warehouse, store, market, sell, distribute and
otherwise dispose of the Inventory in accordance with customary industry
practice and in strict compliance with all applicable laws, rules and
regulations, including current good manufacturing practices and product
labeling and specifications.  Without
limiting the foregoing, Purchaser represents that it has all applicable
licenses, registrations and permits necessary to take control of the Inventory.

5.11        Further Assurances.  Each Party shall from time to time after the
Effective Time, without additional consideration, execute and deliver such
further instruments and take such other action as may be reasonably requested
by the other Party to make effective the transactions contemplated by this
Agreement, each Related Instrument and each Ancillary Agreement. With respect
to all documents, information and other materials included in the Acquired
Assets, in addition to paper and other tangible copies, Seller shall, upon
Purchaser’s request, also provide to Purchaser electronic copies of such
documents, information and other materials, provided, that, Seller or its
Affiliates or their respective agents have electronic copies thereof. The
foregoing requirement shall only apply to such documents, information and other
material exclusively related to the Acquired Assets, and Seller shall have no
obligation to reformat or otherwise alter or modify any such materials in order
to provide them to Purchaser.

 31
 

5.12        Post-Effective Time Cooperation.

(a)           Except as otherwise provided in the
Transition Services Agreement, Purchaser and Seller shall cooperate with each
other, and shall cause their officers, employees, agents, auditors, Affiliates
and Representatives to cooperate with each other, for a period of sixty (60)
days after the Closing to ensure the orderly transition of the Acquired Assets
from Seller to Purchaser and to minimize any disruption to the marketing,
distribution and sale of the Product and the other respective businesses of
Seller and Purchaser that might result from the transactions contemplated
hereby.  After the Effective Time, upon
reasonable written notice, Purchaser and Seller shall furnish or cause to be
furnished to each other and their employees, counsel, auditors and
Representatives access, during normal businesses hours, to such information and
assistance relating to the marketing, distribution and sale of the Product (to
the extent within the control of such Party) as is reasonably requested for
financial reporting and accounting matters.

(b)           After the Effective Time, upon
reasonable written notice, Purchaser and Seller shall furnish or cause to be
furnished to each other, as promptly as practicable, such information and
assistance (to the extent within the control of such Party) relating to the Acquired
Assets (including access to books and records) as is reasonably requested for
the filing of all Tax Returns, and making of any election related to Taxes, the
preparation for any audit by any Taxing authority, and the prosecution or
defense of any claim, suit or proceeding related to any Tax Return.  Seller and Purchaser shall cooperate with
each other in the conduct of any audit or other proceeding relating to Taxes
involving the Acquired Assets. Purchaser shall retain the books and records of
Seller and its Affiliates included in the Acquired Assets for a period of seven
years after the Effective Time. After the end of such seven-year period, before
disposing of such books or records, Purchaser shall give notice to such effect
to Seller and shall give Seller, at Seller’s cost and expense, an opportunity
to remove and retain all or any part of such books or records as Seller may
select.

(c)           Each Party shall reimburse the other
for reasonable out-of-pocket costs and expenses incurred in assisting the other
pursuant to this Section 5.12. 
Neither Party shall be required by this Section 5.12 to take any
action that would unreasonably interfere with the conduct of its business or
unreasonably disrupt its normal operations (or, in the case of Purchaser, the marketing,
distribution and sale of the Product).

5.13        No
Active Solicitation of Returns.  To the extent that the Product does not
have any safety or efficacy issues, Purchaser agrees that it shall not
actively solicit any customers to return Product.

5.14        Insurance.  From and after the Effective Time until the
third (3rd) anniversary of the Effective Time, Purchaser shall maintain product
liability insurance with a coverage amount of no less than [*****] in excess of
the deductible.

 32
 

5.15        Non-Competition.  From and after the Closing Date until
the earlier of [*****] (the “Restricted Period”),
except as provided below, Seller shall not engage, directly or indirectly as a
proprietor, equityholder, investor (except as an investor holding not more than
[*****] of the outstanding capital stock or other securities of a publicly held
company), lender, partner, director, officer, employee, consultant, or
representative, or in any other capacity, in a business that owns or is
developing, marketing or selling a [*****] intravenous product.  Except as provided below, during the
Restricted Period, Seller shall not directly or indirectly solicit, divert,
take away, or attempt to divert or take away, from the Purchaser or any of their
Affiliates any of the business or patronage of any of their respective
customers, clients, accounts, vendors, or suppliers with respect to the
Product-Related Business, and the Seller shall not assist any other Person to
do so, or be a proprietor, equityholder, investor (except as an investor holding
not more than [*****] of the capital stock or other securities of a publicly
held company), lender, partner, director, officer, employee, consultant, or
representative of any Person who does or attempts to do so.  Notwithstanding anything herein to the
contrary, Seller and its Affiliates shall be permitted, in any of the
capacities described above, to make venture (through its wholly owned venture
capital subsidiary), merger, acquisition or alliance investments where such
investment does not involve the acquisition of, or any investment in, any
entity which derives more than [*****] of its revenue from [*****] intravenous
product or related rights.  Seller hereby
acknowledges that any breach by it of its obligations under this Section
5.15 would cause substantial and irreparable damage to the Purchaser and
its Affiliates; and that money damages would be an inadequate remedy therefor,
and accordingly, Seller acknowledges and agrees that each of the Purchaser or
any of its Affiliates shall be entitled to an injunction, specific performance,
and/or other equitable relief to prevent the breach of such obligations (in
addition to all other rights and remedies to which such party may be entitled
in respect of any such breach).  In the
event that a court of competent jurisdiction determines that any of the
provisions of this Section 5.15 would be unenforceable as written
because they cover too extensive a geographic area, too broad a range of
activities, or too long a period of time, or otherwise, then such provisions
shall automatically be modified to cover the maximum geographic area, range of
activities, and period of time as may be enforceable, and in addition, such
court or arbitrators are hereby expressly authorized so to modify this
Agreement and to enforce it as so modified. 
No invalidity or enforceability of any section of this Agreement or any
portion thereof shall affect the validity or enforceability of any other
section or of the remainder of such section.

6.                                      CONDITIONS PRECEDENT TO OBLIGATIONS OF SELLER.

The
obligations of Seller under this Agreement are subject to the fulfillment, at
or prior to the Closing, of each of the following conditions, and failure to
satisfy any such condition shall excuse and discharge all obligations of Seller
to carry out the provisions of this Agreement, unless such failure is waived or
agreed to in writing by Seller:

6.1          Representations and Warranties.  The representations and warranties made
by Purchaser in this Agreement shall be true and complete when made and,
in all material respects (provided, however,
that the foregoing materiality qualifier shall be ignored with respect to any
representation or warranty already qualified by materiality or Material Adverse
Effect) as of the Effective Time as though such representations and warranties
were made on and as of such time, except for any changes expressly permitted by
this Agreement.

6.2          Performance.  Purchaser shall have performed and complied
with all covenants and agreements required by this Agreement, Related
Instruments and Ancillary Agreements to be performed or complied with by
Purchaser prior to the Closing.

 33
 

6.3          Legal Proceedings.  No preliminary or permanent injunction or
other order has been issued by any court or by any Governmental Entity
which enjoins, restrains, prohibits or makes illegal pursuant to applicable Law
the Acquisition on the Closing Date.

6.4          Consents.  All consents,
authorizations and approvals of Governmental Entities which are required
to be obtained in order to consummate the transactions contemplated hereby,
including, without limitation, the expiration or termination of any applicable
waiting periods under the HSR Act, and all Required Consents listed on Schedule
6.4, shall have been duly obtained and shall be in full force and effect on
the Closing Date.

6.5          Purchase Price.  Purchaser shall have delivered to Seller (or
such Affiliates of Seller as designated by Seller in writing in advance of
Closing), the Closing Payment, by wire transfer of immediately available United
States dollars.

6.6          Purchaser’s Certificates.  Purchaser shall have delivered to Seller (a)
a certificate, dated as of the Closing Date and executed by a senior
officer of Purchaser, certifying to the fulfillment of the conditions set forth
in Sections 6.1 and 6.2, and (b) a certified copy of the resolutions adopted by the
Board of Directors of Purchaser authorizing the transactions contemplated by
this Agreement.

6.7          Assumption
Agreement.  Purchaser
shall have delivered to Seller the Assumption Agreement executed by Purchaser.

6.8          Ancillary
Agreements.  Purchaser
shall have delivered to Seller each of the Ancillary Agreements executed by
Purchaser.

6.9          Governmental
Authorizations. 
Purchaser shall have delivered to each relevant Governmental Entity and
to Seller a copy of Purchaser’s FDA Transfer of Ownership Letter, and each
other document required to initiate transfer of any Governmental
Authorizations, executed by Purchaser.

6.10        Purchaser
Financial Information. 
Purchaser shall have delivered to Seller such information regarding
Purchaser’s financial position and financial ability to perform its obligations
hereunder as Seller may reasonably request.

6.11        Parent
Guaranty.  Purchaser
shall have delivered to Seller the Parent Guaranty  executed by Purchaser Parent in the form
attached hereto as Exhibit G.

7.                                      CONDITIONS PRECEDENT TO OBLIGATIONS OF PURCHASER.

The
obligations of Purchaser under this Agreement are subject to the fulfillment,
at or prior to the Closing, of each of the following conditions, and failure to
satisfy any such condition shall excuse and discharge all obligations of
Purchaser to carry out the provisions of this Agreement, unless such failure is
agreed to in writing by Purchaser:

7.1          Representations
and Warranties.  The representations and warranties made by
Seller in this Agreement shall
be true and complete when made and, in all material respects (provided, however, that
the foregoing materiality qualifier shall be ignored with respect to any
representation or warranty already qualified by materiality or Material Adverse
Effect) as of the Effective Time as though such representations and warranties
were made on and as of such time, except for any changes expressly permitted by
this Agreement.

 34
 

7.2          Performance.  Seller shall have performed and complied with
all covenants and agreements required by this Agreement to be
performed or complied with by Seller prior to the Closing.

7.3          Legal
Proceedings.  No
preliminary or permanent injunction or other order has been issued by any
court or by any Governmental Entity which enjoins, restrains, prohibits or
makes illegal pursuant to applicable Law the Acquisition on the Closing Date.

7.4          Consents.  All consents, authorizations and approvals of
Governmental Entities which are required to be obtained in order to consummate
the transactions contemplated hereby, including, without limitation, the
expiration or termination of any applicable waiting periods under the HSR Act,
and all Required Consents listed on Schedule 6.4, shall have been duly
obtained and shall be in full force and effect on the Closing Date.

7.5          Seller’s
Certificates. 
Seller shall have delivered to Purchaser (a) a
certificate, dated as of
the Closing Date and executed by a senior officer of Seller, certifying to the
fulfillment of the conditions set forth in Sections 7.1
and 7.2, (b) a
certified copy of the resolutions adopted by the Board of Directors of Seller
authorizing the transactions contemplated by this Agreement, and (c) a
certificate, dated as of the Closing Date and executed by an officer of Seller,
stating that Seller is not a “foreign person” within the meaning of Section
1445(b)(2) of the Code.

7.6          Related
Instruments.  Seller
shall have delivered to Purchaser each of the Related Instruments executed by
Seller.

7.7          Ancillary
Agreements.  Seller
shall have delivered to Purchaser each of the Ancillary Agreements
executed by Seller.

7.8          Governmental
Authorizations.  Seller
shall have delivered to each relevant Governmental Entity and to Purchaser
a copy of Seller’s FDA Transfer of Ownership Letter, and each other document
required to initiate transfer of any Governmental Authorizations, executed by
Seller.

7.9          Baxter/PPS
Matters.  No event
(other than a plasma shortage that does not disproportionately affect the
Product-Related Business) shall have occurred that would reasonably be expected
to prevent or materially impair the performance or otherwise result in the
nonperformance of either (i) Precision Pharma Services, Inc. (“PPS”) under that certain Manufacturing Services Agreement by
and between Seller and PPS, made as of June 18, 2005, or (ii) Baxter
Pharmaceutical Solutions LLC (“Baxter”) under
that certain Commercial Supply Agreement by and between Baxter and Seller,
entered into and effective as of September 29, 2006 (in each case as compared
to other businesses for blood plasma-related products).

7.10        Product
Removal Notice.  Seller
shall not have received any notice from a Governmental Entity that would
reasonably be expected to result in removal or withdrawal of the Product from
the U.S. market, nor shall have any event occurred which would reasonably be
expected to result in the Product being removed or withdrawn from the U.S.
market.

 35
 

8.                                      SURVIVAL; INDEMNIFICATION.

8.1          Survival
of Representations. 
The representations and warranties contained in this Agreement, in any
Ancillary Agreement and Related Instrument and in any other document delivered
in connection herewith or therewith, unless otherwise specified in such
document(s), shall survive the Effective Time solely for purposes of this Section
8 and shall terminate at the close of business on the [*****] anniversary
of the Closing, except for Seller’s representations and warranties in Sections
2.4 and 2.5(a), which shall survive indefinitely.  The covenants and
agreements contained in this Agreement that require by their terms performance
or compliance on and after the Effective Time shall continue in force
thereafter in accordance with their terms or if no term is specified,
indefinitely.

8.2          Indemnification by Seller.

(a)           Subject
to Section 8.8, Seller shall indemnify Purchaser and its Affiliates and
each of their respective officers, directors, employees, stockholders, agents
and Representatives (“Purchaser Indemnitees”)
against, and hold them harmless from, any actual and direct loss (including a
diminution in value of the Acquired Assets), liability, claim, damage or
expense (including reasonable legal fees and expenses) (“Losses”),
as incurred (payable promptly upon written request), to the extent arising
from:

(i)            any breach of any representation or
warranty of Seller that survives the Effective Time and is contained in this
Agreement  or in any Related Instrument
or Ancillary Agreement; provided that
Seller shall not be required to indemnify any Person, and shall not have any
liability under this Section 8.2(a)(i) to the extent the liability or
obligation is directly caused by any action taken or omitted to be taken by any
Purchaser Indemnitee;

(ii)           any breach of any covenant of Seller
contained in this Agreement or in any Related Instrument;

(iii)          any Excluded Liability; and

(iv)          any fees, expenses or other payments
incurred or owed by Seller to any brokers, financial advisors or comparable
other Persons retained or employed by it in connection with the transactions
contemplated by this Agreement or by any Related Instrument or Ancillary
Agreement.

 36
 

(b)           Seller
shall have no indemnification obligations pursuant to Section 8.2
(a)(i), except to the extent that the aggregate amount of Losses incurred
or suffered by Purchaser that Seller is otherwise responsible for under Section
8.2(a)(i) exceeds [*****] (the “Deductible”),
at which time Purchaser shall be entitled to assert claims against Seller for
Losses in excess of, but excluding, the Deductible; provided,
that the maximum liability of Seller for all claims by Purchaser under Section
8.2(a)(i) shall not in any case exceed [*****].  Notwithstanding the foregoing, (i) there
shall be no Deductible and the maximum liability shall be the Purchase Price
with respect to any indemnifiable Losses arising out of Seller’s breach of its
representations or warranties in Sections 2.2, 2.4 or 2.5(a);
(ii) the maximum liability for indemnifiable product liability Losses shall be
[*****], and (iii) Seller shall indemnify Purchaser for all Losses based on fraud
or intentional misconduct on the part of Seller.  When calculating the amount of Losses arising
out of or relating to any breach of a representation or warranty by Seller for
purposes of determining whether the Deductible provided in this section has
been satisfied, references to “Material Adverse Effect” or other materiality
qualifications (or correlative terms) will be disregarded.

(c)           Purchaser
shall have no right to offset any claim for indemnification pursuant to this Section
8.2 against any Milestone Payment or other amount that Purchaser is
obligated to pay Seller pursuant to this Agreement, any Ancillary Agreement,
any Related Instrument, or any other agreement or undertaking.

8.3          Indemnification
by Purchaser.  Subject
to Section 8.8, Purchaser shall indemnify Seller, its Affiliates and
each of their respective officers, directors, employees, stockholders, agents
and Representatives (“Seller Indemnitees”)
against, and agrees to hold them harmless from, any Loss, as incurred (payable
promptly upon written request), to the extent arising from or in connection
with or otherwise with respect to:

(a)           any
breach of any representation or warranty of Purchaser that survives the
Effective Time and is contained in this Agreement or in any Related Instrument
or Ancillary Agreement; provided that Purchaser shall not be required to indemnify any
Person, and shall not have any liability under this Section 8.3(a) to
the extent the liability or obligation is directly caused by any action taken
or omitted to be taken by any Seller Indemnitee;

(b)           any
breach of any covenant of Purchaser contained in this Agreement or in any
Related Instrument;

(c)           any Assumed
Liability; and

(d)           any
fees, expenses or other payments incurred or owed by Purchaser to any brokers, financial
advisors or other comparable Persons retained or employed by it in connection
with the transactions contemplated by this Agreement or by any Related
Instrument.

(e)           Purchaser shall have no
indemnification obligations pursuant to Section 8.3(a), except to the
extent that the aggregate amount of Losses incurred or suffered by Seller that
Purchaser is otherwise responsible for under Section 8.3(a) exceeds
[*****] (the “Deductible”), at which time Seller
shall be entitled to assert claims against Purchaser for Losses in excess of,
but excluding, the Deductible; provided, that
the maximum liability of Purchaser for all claims by Seller under Section
8.3(a) together shall not in any case exceed [*****].  Notwithstanding the foregoing, (i) there
shall be no Deductible with respect to any indemnifiable Losses arising out of
Purchaser’s breach of its representations or warranties in Section 3.2;
and (ii) Purchaser shall indemnify Seller for all Losses based on fraud,  or intentional misconduct on the part of
Purchaser.  When calculating the amount
of Losses arising out of or relating to any breach of a representation or
warranty by Purchaser for purposes of determining whether the Deductible
provided in this section has been satisfied, references to “Material Adverse
Effect” or other materiality qualifications (or correlative terms) will be
disregarded.

 37
 

8.4          Calculation
of Losses.  The amount
of any Loss for which indemnification is provided under clause (i) of Section
8.2(a) or clause (a) of Section 8.3 shall be net of any amounts
actually recovered by the Indemnified Party (as defined below) under insurance
policies with respect to such Loss and shall be (a) increased to take account
of any net Tax cost incurred by the Indemnified Party arising from the receipt
of indemnity payments hereunder (grossed up for such increase) and (b) reduced
to take account of any net Tax benefit immediately realized by the Indemnified
Party in cash arising from the incurrence or payment of any such Loss. In
computing the amount of any such Tax cost or Tax benefit, the Indemnified Party
shall be deemed to recognize all other items of income, gain, loss deduction or
credit before recognizing any item arising from the receipt of any indemnity
payment under clause (i) of Section 8.2(a) or clause (a) of Section
8.3 or the incurrence or payment of any indemnified Loss. Any indemnity
payment under clause (i) of Section 8.2(a) or clause (a) of Section
8.3 shall be treated as an adjustment to the Purchase Price for Tax
purposes, unless a final determination (which shall include the execution of a
Form 870-AD or successor form) with respect to the Indemnified Party or any of
its Affiliates causes any such payment not to be treated as an adjustment to
such price for federal income Tax purposes.

8.5          Termination
of Indemnification. 
The obligations to indemnify and hold harmless any Party, (a) pursuant
to Section 8.2(a)(i) or Section 8.3(a), shall terminate on the
[*****] anniversary of the Effective Time (except to the extent that pursuant
to Section 8.1 any representation or warranty survives past such
anniversary) and (b) pursuant to the other clauses of Section 8.2 and Section
8.3, shall not terminate; provided, however,
that such obligations to indemnify and hold harmless shall not terminate with respect
to any item as to which the Person to be indemnified shall have, before the
expiration of the applicable period, previously made a claim by delivering a
notice of such claim (stating in reasonable detail the basis of such claim)
pursuant to Section 8.6 to the Party to be providing the
indemnification.

8.6          Procedures.

(a)           In order for a party (the “Indemnified Party”) to be entitled to any
indemnification provided for under this Agreement in respect of, arising out of
or involving a claim made by any Person against the Indemnified Party (a “Third Party Claim”), such Indemnified Party
must notify the indemnifying party (the “Indemnifying
Party”) in writing (and in reasonable detail) of the Third Party
Claim within fifteen (15) business days after receipt by such Indemnified Party
of notice of the Third Party Claim; provided, however,
that failure to give such notification shall not affect the indemnification
provided hereunder except to the extent the Indemnifying Party shall have been
actually prejudiced as a result of such failure (except that the Indemnifying
Party shall not be liable for any expenses incurred during the period in which
the Indemnified Party failed to give such notice). Thereafter, the Indemnified
Party shall deliver to the Indemnifying Party, within five (5) business days
after the Indemnified Party’s receipt thereof, copies of all notices and
documents (including court papers) received by the Indemnified Party relating
to the Third Party Claim.

 38
 

(b)           If a Third Party Claim is made against
an Indemnified Party, the Indemnifying Party shall be entitled to participate
in the defense thereof and, if it so chooses, to assume the defense thereof
with counsel selected by the Indemnifying Party. Should the Indemnifying Party
so elect to assume the defense of a Third Party Claim, the Indemnifying Party
shall be deemed to have accepted the corresponding obligation to defend and
indemnify the Indemnified Party, and in such case, the Indemnifying Party shall
not be liable to the Indemnified Party for any legal expenses subsequently
incurred by the Indemnified Party through counsel not employed by the
Indemnifying Party in connection with the defense.  If the Indemnifying Party assumes such
defense, the Indemnified Party shall have the right to participate in the
defense thereof and to employ counsel, at its own expense, separate from the
counsel employed by the Indemnifying Party, it being understood that the
Indemnifying Party shall control such defense. The Indemnifying Party shall be
liable for the fees and expenses of counsel employed by the Indemnified Party
for any period during which the Indemnifying Party has not assumed the defense
thereof (other than during any period in which the Indemnified Party shall have
failed to give notice of the Third Party Claim as provided above). If the
Indemnifying Party chooses to defend or prosecute a Third Party Claim, all the
indemnified parties shall cooperate in the defense or prosecution thereof. Such
cooperation shall include the retention and (upon the Indemnifying Party’s
request) the provision to the Indemnifying Party of records and information
that are reasonably relevant to such Third Party Claim, and making employees
available on a mutually convenient basis to provide additional information and
explanation of any material provided hereunder. So long as the Indemnifying
Party assumes the defense of a Third Party Claim, the Indemnified Party shall
not admit any liability with respect to, or settle, compromise or discharge,
such Third Party Claim without the Indemnifying Party’s prior written consent
(which consent shall not be unreasonably withheld). If the Indemnifying Party
assumes the defense of a Third Party Claim, the Indemnified Party shall agree
to any settlement, compromise or discharge of a Third Party Claim that the
Indemnifying Party may recommend and that by its terms obligates the
Indemnifying Party to pay the full amount of the liability in connection with
such Third Party Claim, which releases the Indemnified Party completely in
connection with such Third Party Claim and that would not otherwise materially
adversely affect the Indemnified Party.

(c)           In the event any Indemnified Party
should have a claim against any Indemnifying Party under Section 8.2 or Section
8.3 that does not involve a Third Party Claim being asserted against or
sought to be collected from such Indemnified Party, the Indemnified Party shall
deliver notice of such claim with reasonable promptness to the Indemnifying
Party and in any event prior to the expiration of the underlying
representations and warranties, if applicable. The failure by any Indemnified
Party so to notify the Indemnifying Party shall not relieve the Indemnifying
Party from any liability that it may have to such Indemnified Party under Section 8.2
or Section 8.3, except to the extent that the Indemnifying Party
demonstrates that it has been prejudiced by such failure. If the Indemnifying
Party disputes its liability with respect to such claim, the Indemnifying Party
and the Indemnified Party shall proceed in good faith to negotiate a resolution
of such dispute and, if not resolved through negotiations, such dispute shall
be resolved by litigation in an appropriate court of competent jurisdiction.

 39

8.7          Sole Remedy; No Additional
Representations.

(a)           Except as otherwise specifically
provided in Section 8.6(c) or in any Related Instrument or Ancillary
Agreement, each of Purchaser and Seller acknowledges and agrees that its sole
and exclusive remedy after the Effective Time with respect to any and all
claims and causes of action relating to this Agreement (including the
Schedules), the Related Instruments, the Ancillary Agreements, the Acquisition
and the other transactions contemplated hereby and thereby, the Acquired Assets
and the Assumed Liabilities (other than claims of, or causes of action arising
from, fraud or relating to breaches of covenants requiring performance after
the Agreement Date) shall be pursuant to the indemnification provisions set forth
in this Section 8 or as provided in Section 10.9. In furtherance
of the foregoing, each of Purchaser and Seller hereby waives to the fullest
extent permitted under applicable law, any and all rights, claims and causes of
action relating to this Agreement (including the Schedules), the Related
Instruments, the Ancillary Agreements, the Acquisition and the other
transactions contemplated hereby and thereby, the Acquired Assets and the
Assumed Liabilities (other than claims of, or causes of action arising from,
fraud or intentional misconduct on the part of a Party or relating to breaches
of covenants requiring performance after the Agreement Date) it may have
against the other Party hereto arising under or based upon any applicable law
or arising under or based upon common law or otherwise (except pursuant to the
indemnification provisions set forth in Section 8.2 or Section 8.3,
as applicable).

(b)           Purchaser acknowledges that it and
its Representatives have been permitted full and complete access to the books
and records, facilities, equipment, Tax Returns, contracts, insurance policies
(or summaries thereof) and other properties and assets of the Seller relating
to the Product and the Product-Related Business, that it and its
Representatives have desired or requested to see or review, and that it and its
Representatives have had a opportunity to meet with the officers and employees
of Seller to discuss the Acquired Assets.

(c)           Purchaser acknowledges that none of
Seller, its Affiliates or any other Person (i) has made any representation or
warranty, express or implied, as to the accuracy or completeness of any
information regarding the Acquired Assets furnished or made available to
Purchaser and its Representatives, except as expressly set forth in this Agreement
(including the Schedules), the Related Instruments, or the Ancillary
Agreements, and (ii) shall have or be subject to any liability to Purchaser or
any other Person resulting from the distribution to Purchaser, or Purchaser’s
use of, any such information, documents or material made available to Purchaser
in any “data rooms”, management presentations or in any other form in
expectation of the transactions contemplated hereby except to the extent such
information, documents or materials is included in the representations or
warranties of the Seller set forth in this Agreement (including the Schedules),
the Related Instruments or the Ancillary Agreements.

(d)           Purchaser also acknowledges that
except as expressly set forth in the representations and warranties set forth
in Section 2 of this Agreement (including the Schedules), the Related
Instruments and the Ancillary Agreements, there are no representations or
warranties by Seller of any kind, express or implied, with respect to the
Acquired Assets, and that Purchaser is purchasing the Acquired Assets “as is”, “where
is” and “with all faults.”  Without
limiting the generality of the foregoing, except as expressly set forth in the
representations and warranties set forth in Section 2 of this Agreement
(including the Schedules), the Related Instruments or the Ancillary Agreements,
THERE ARE NO EXPRESS OR IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A
PARTICULAR PURPOSE.

 40
 

8.8          Limitations
on Liability.

(a)           Notwithstanding any provision herein,
neither Seller nor Purchaser shall in any event be liable to the other Party or
its Affiliates, officers, directors, employees, stockholders, agents or
Representatives on account of any indemnity obligation set forth in Section
8.2(a)(i) or Section 8.3(a) or on account of any other obligation
imposed by this Agreement, for any indirect, consequential or punitive damages
(including, but not limited to, lost profits, loss of use, damage to goodwill
or loss of business), provided, however, that the foregoing shall not limit a
Party’s ability to recover for diminution in value of the Acquired Assets or to
introduce evidence of such diminution in value based on admissible
valuation methods (including discounted cash flow calculations based on
lost profits, loss of use, damage to goodwill or loss of business, if such
evidence would be otherwise admissible to establish diminution in value of the
Acquired Assets), and provided further that the Party seeking such recovery
uses commercially reasonable efforts to mitigate Losses, including any alleged
diminution in value, as set forth in Section 8.8(b).

(b)           Seller and Purchaser shall cooperate
with each other in resolving any claim or liability with respect to which one
Party is obligated to indemnify the other under this Agreement, including
without limitation, by making commercially reasonable efforts to mitigate
Losses or resolve any such claim or liability.

9.                                      TERMINATION.

9.1          Termination.  This Agreement may be terminated at any time
before the Closing under any one or more of the following circumstances:

(a)           Purchaser and Seller may terminate
this Agreement by mutual written consent at any time prior to the Closing;

(b)           Seller may terminate this Agreement
by giving written notice to Purchaser at any time prior to the Closing if the
Closing shall not have occurred on or before December 31, 2006 by reason of the
failure of any condition precedent under Section 6 hereof for any reason
other than the failure to meet the conditions set forth in Section 6.4
because the expiration or termination of any applicable waiting periods under
the HSR Act has not yet occurred, in which case Seller may terminate by giving
written notice to Purchaser at any time prior to the Closing if the Closing
shall not have occurred on or before February 15, 2007, unless in either case
the failure of any condition precedent under Section 6 results primarily
from Seller’s breach of any representation, warranty or covenant contained in
this Agreement; or

(c)           Purchaser may terminate this
Agreement by giving written notice to Seller at any time prior to the Closing
if the Closing shall not have occurred on or before December 31, 2007 by reason of the failure of any
condition precedent under Section 7 hereof for any reason other than the
failure to meet the conditions set forth in Section 7.4 because the
expiration or termination of any applicable waiting periods under the HSR Act
has not yet occurred, in which case Purchaser may terminate by giving written
notice to Seller at any time prior to the Closing if the Closing shall not have
occurred on or before February 15, 2007, unless in either case the failure of
any condition precedent under Section 7 results primarily from Purchaser’s
breach of any representation, warranty or covenant contained in this Agreement.

 41
 

(d)           The date on which any such
termination is effected shall be referred to herein as the “Termination Date.”

9.2          Effect
of Termination.  If Seller or Purchaser terminates
this Agreement pursuant to Section 9.1,
all obligations of the Parties hereunder, except for the obligations set forth
in this Section 9.2 and in Section 10,
shall terminate on the Termination Date without any liability of any Party to
any other Party, except that nothing contained in this Section 9.2 shall alter, affect, modify or restrict any
Party’s rights to rely on and/or seek indemnification for any willful or
intentional breach of any of the representations, warranties or covenants of
any of the Parties contained in this Agreement or for fraud.

10.                               MISCELLANEOUS.

10.1        Amendment
and
Waivers.  This
Agreement may not be amended except by an instrument in writing signed on
behalf of each of the Parties hereto. By an instrument in writing Purchaser, on
the one hand, or Seller, on the other hand, may waive compliance by the other
Party with any term or provision of this Agreement that such other Party was or
is obligated to comply with or perform.

10.2        Notices.  All notices and other communications
hereunder shall be in writing and shall be deemed given upon receipt if
delivered personally, or when sent if 
mailed by registered or certified mail (return receipt requested) or by
reputable overnight express courier (charges prepaid) or transmitted by
facsimile (with confirmation of transmittal) to the Parties at the following
addresses (or at such other address for a Party as shall be specified by like
notice):

(a)           if to Seller, to:

Legal Department

Attention:  General Counsel

MedImmune, Inc.

One MedImmune Way

Gaithersburg, MD  20878

Telephone:  (301) 398-4625

Telecopier: 
(301) 398-9625

and a copy (which shall not constitute notice) to:

Hogan & Hartson
L.L.P.

555 13th Street, NW

Washington, DC  20004

Telephone:  (202) 637-8675

Telecopier:  (202) 637-5910

Attention: 
Michael C. Williams

 42
 

(b)           if
to Purchaser, to:

ZLB Behring

1020 First Avenue

King of Prussia,
Pennsylvania 19406

Telephone:  (610) 878-4405

Facsimile:  (610) 878-4013

Attention: 
President

with a copy (which
shall not constitute notice) to:

ZLB Behring

1020 First Avenue

King of Prussia,
Pennsylvania 19406

Telephone:  (610) 878-4532

Facsimile:  (610) 878-4221

Attention: 
General Counsel

and a copy (which
shall not constitute notice) to:

Ballard Spahr Andrews
& Ingersoll, LLP

1735 Market Street, 51st
Floor

Philadelphia, Pennsylvania 19103-7599

Telephone:  (215) 864-8615

Facsimile:  (215) 864-9043

Attention: 
Brian D. Doerner, Esq.

10.3        Definitions; Interpretation.

(a)           For purposes of this Agreement,
capitalized terms used herein without definition shall have the respective
meanings assigned thereto in Annex A attached hereto and incorporated
herein for all purposes of this Agreement. The definitions of the terms herein
and in Annex A shall apply equally to the singular and plural forms of
the terms defined.

(b)           In the event of an ambiguity or a
question of intent or interpretation arises, this Agreement shall be construed
as if drafted jointly by the Parties and no presumption or burden of proof
shall arise favoring or disfavoring any Party by virtue of the authorship of
any provisions of this Agreement. Whenever the context may require, any pronoun
shall include the corresponding masculine, feminine and neuter forms. The words
“include”, “includes” and “including” shall be deemed to be followed by the
phrase “without limitation.” The word “will” shall be construed to have the
same meaning and effect as the word “shall.” Unless the context requires
otherwise (A) any definition of or reference to any agreement, instrument or
other document herein shall be construed as referring to such agreement,
instrument or other document as from time to time amended, supplemented or
otherwise modified (subject to any restrictions on such amendments, supplements
or modifications set forth herein); (B) any reference herein to any Person
shall be construed to include the Person’s successors and assigns; (C) the words
“herein”, “hereof” and “hereunder”, and words of similar import, shall be
construed to refer to this Agreement in its entirety and not to any particular
provision hereof; and (D) all references herein to Articles, Sections, Exhibits
or Schedules shall be construed to refer to Articles, Sections, Exhibits and
Schedules of this Agreement.

 43
 

10.4        Descriptive
Headings.  The
descriptive headings herein are inserted for convenience only and are not
intended to be part of or to affect the meaning or interpretation of this
Agreement.

10.5        Counterparts.  This Agreement may be executed in one or more
counterparts, all of which shall be considered one and the same agreement,
and shall become effective when one or more such counterparts have been signed
by each of the Parties and delivered to the other Party.  Signatures transmitted by facsimile or
telecopy shall be binding on the Parties as if originally executed

10.6        Entire
Agreement.  This
Agreement the Related Instruments, the Ancillary Agreements and the Confidentiality
Agreement, along with the Schedules and Exhibits hereto and thereto, contain
the entire agreement and understanding between the Parties with respect to the
subject matter hereof and supersede all prior agreements and understandings
relating to such subject matter. Neither Party shall be liable or bound to any
other Party in any manner by any representations, warranties or covenants
relating to such subject matter except as specifically set forth herein
(including the Schedules), in the Related Instruments, in the Ancillary
Agreements or in the Confidentiality Agreement.

10.7        Fees
And Expenses.  Each
Party shall bear its own fees and expenses incurred in connection with the
transactions contemplated by this Agreement, the Related Instruments and the
Ancillary Agreements, including any fees payable to UBS and Merrill Lynch.

10.8        Governing
Law.  This Agreement
shall be governed by and construed in accordance with the internal laws of the
State of Maryland applicable to agreements made and to be performed entirely
within such state, without regard to the conflicts of law principles of such
state.

10.9        Specific
Performance.  The
Parties hereto agree that if any of the provisions of this Agreement were not
performed in accordance with their specific terms or were otherwise breached,
irreparable damage would occur, no adequate remedy at law would exist and
damages would be difficult to determine, and that the Parties shall be entitled
to seek specific performance of the terms hereof, in addition to any other
remedy at law or equity.

10.10      Assignment.  This Agreement may not be assigned by any
Party hereto without the prior written consent of the other Party.  Any attempted assignment in violation of this
Section 10.10 shall be void.

10.11      Successors
and Assigns.  This
Agreement shall be binding upon and inure solely to the benefit of the Parties
hereto, their successors and permitted assigns, and nothing in this Agreement,
express or implied, is intended to or shall confer upon any other person or
persons any right, benefits or remedies of any nature whatsoever under or by
reason of this Agreement.

 44
 

10.12      Severability.  In the event that any one or more of the
provisions contained herein, or the application thereof in any circumstances,
is held invalid, illegal or unenforceable in any respect for any reason, the
Parties shall negotiate in good faith with a view to the substitution therefor
of a suitable and equitable solution in order to carry out, so far as may be
valid and enforceable, the intent and purpose of such invalid provision; provided, however, that the validity, legality and
enforceability of any such provision in every other respect and of the
remaining provisions contained herein shall not be in any way impaired thereby,
it being intended that all of the rights and privileges of the Parties hereto
shall be enforceable to the fullest extent permitted by law.

10.13      Consent
to Jurisdiction.  Each
Party hereto irrevocably submits to the exclusive jurisdiction of (a) the
Circuit Courts of Montgomery County, Maryland, and (b) the United States
District Court for the District of Maryland, Southern Division, for the
purposes of any suit, action or other proceeding arising out of this Agreement,
any Related Instrument, any Ancillary Agreement or any transaction contemplated
hereby or thereby. Each Party hereto agrees to commence any such action, suit
or proceeding either in the United States District Court for the District of
Maryland, Southern Division or if such suit, action or other proceeding may not
be brought in such court for jurisdictional reasons, in the Circuit Courts of
Montgomery County, Maryland. Each Party hereto further agrees that service of
any process, summons, notice or document by U.S. registered mail to such Party’s
respective address set forth above shall be effective service of process for
any action, suit or proceeding in Maryland with respect to any matters to which
it has submitted to jurisdiction in this Section 10.13. Each Party
hereto irrevocably and unconditionally waives any objection to the laying of
venue of any action, suit or proceeding arising out of this Agreement, any
Related Instrument or the transactions contemplated hereby and thereby in (i)
the Circuit Courts of Montgomery County, Maryland or (ii) the United States
District Court for the District of Maryland, Southern Division, and hereby and
thereby further irrevocably and unconditionally waives and agrees not to plead
or claim in any such court that any such action, suit or proceeding brought in
any such court has been brought in an inconvenient forum.

10.14      Waiver of Jury Trial. 
EACH PARTY HERETO HEREBY WAIVES TO THE FULLEST EXTENT PERMITTED BY
APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT TO ANY
LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH
THIS AGREEMENT OR ANY RELATED INSTRUMENT. EACH PARTY HERETO (A) CERTIFIES THAT
NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED,
EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION,
SEEK TO ENFORCE THAT FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT AND THE
OTHER PARTIES HERETO HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT, THE
RELATED INSTRUMENTS AND THE ANCILLARY AGREEMENTS, AS APPLICABLE, BY, AMONG
OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 10.14.

[SIGNATURE PAGE FOLLOWS]

 45

 

IN WITNESS WHEREOF, the parties hereto have executed
this Asset Purchase Agreement as of the date first written above.

	
  

  	
   

  	
  SELLER

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  MEDIMMUNE, INC.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ David M. Mott

  
	
   

  	
   

  	
  Name:

  	
   

  	
  David M. Mott

  
	
   

  	
   

  	
  Title:

  	
   

  	
  President and Chief Executive Officer

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  PURCHASER:

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  ZLB BEHRING AG

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Peter Turner

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Peter Turner

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Director

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
  /s/ Uwe Jocham

  
	
   

  	
   

  	
  Name:

  	
   

  	
  Uwe Jocham

  
	
   

  	
   

  	
  Title:

  	
   

  	
  Senior V.P. and General Manager

  

 

ANNEX A

DEFINED TERMS

“Accounts Receivable” means all accounts receivable, notes
receivable and other indebtedness due and owed by any third party to Seller or
its Affiliates arising or held in connection with the Acquired Assets as of the
close of business on the Agreement Date.

“Acquired Assets” has the meaning provided in Section
1.2(a) of the Agreement.

“Acquisition” has the meaning provided in Section 1.1
of the Agreement.

“Acquisition Proposal” means a proposal from a third party
relating to any transaction involving the acquisition, in whole or in part, of
the Product and Product-Related Business. 
A proposal for the acquisition of assets or securities of Seller
including the Product and/or Product-Related Business, but of which acquisition
the Product and/or Product-Related Business represent less than fifty percent
(50%) of the value of such assets or securities, shall not constitute an
Acquisition Proposal.

“Affiliate” means, with respect to any Person, any Person
that, directly or indirectly, controls, is controlled by, or is under common
control with, the specified Person. For purposes of this definition, the term “control”
as applied to any Person, means the possession, directly or indirectly, of the
power to direct or cause the direction of the management of that Person,
whether through ownership of voting securities or otherwise.

“Agreement” has the meaning provided in the Introductory
Paragraph of the Agreement.

“Agreement Date” has the meaning provided in the Introductory
Paragraph of the Agreement.

“Allocation Schedule” has the meaning provided in Section
1.9(a)(i) of the Agreement.

“Ancillary Agreements” means the Transition Services
Agreement, the Bill of Sale, the Assumption Agreement and the Trademark
Assignment Agreement.

“Assigned Contracts” means those contracts listed on Schedule
1.2(a)(v).

“Assumed Liabilities” has the meaning provided in Section
1.3(a) of the Agreement.

“Assumption Agreement” means the Assumption Agreement to be
dated as of the Closing by and between the Seller or the appropriate Affiliate
of Seller and the Purchaser, substantially in the form attached to the
Agreement as Exhibit A.

“Average Manufacturers Price” has the meaning provided in Section
5.5(b)(iii) of the Agreement.

“Average Sales Price” has the meaning provided in Section
5.5(b)(ii) of the Agreement.

“Best Price” has the meaning provided in Section
5.5(b)(iii) of the Agreement.

“Bill of Sale” means a bill of sale for transfer of the
Acquired Assets in the form attached hereto as Exhibit H.

“BLA” means the biologic license applications for the Product
described in Schedule 1.2(a)(ii) to the Agreement including any
amendments or supplements thereto, reports, correspondence and other
submissions related thereto and the regulatory and clinical files and data pertaining
to the foregoing in the possession or control of Seller or its Affiliates as of
the Effective Time.  For purposes of the
determination of Cumulative Net Sales, the term BLA shall include any separate
biologic license application approved in the future and covering the Product.

“Cash Amount” has the meaning provided in Section
1.6(a)(ii) of the Agreement.

“Change of Control” means a merger,
consolidation or other corporate reorganization, or similar transaction or
series of transactions in which in excess of 50% of an entity’s voting power is
transferred to a non-Affiliate of such entity or in which all or substantially
all of the assets of an entity are sold or licensed, or a transaction or series
of transactions (including, without limitation, an asset sale) in which the
Product-Related Business is sold, assigned, licensed or transferred by
Purchaser to a party other than an Affiliate of Purchaser.

“Chargeback Claims”
has the meaning provided in Section 5.5(d) of the Agreement.

“Closing” has
the meaning provided in Section 1.4 of the Agreement.

“Closing Date”
has the meaning provided in Section 1.4 of the Agreement.

“Closing Payment”
has the meaning provided in Section 1.6(c) of the Agreement.

“Code” means the 
Internal Revenue Code of 1986, as amended, and the regulations
promulgated thereunder.

“Combination Product”
has the meaning provided in Section 1.7(b) of the Agreement.

“Confidentiality Agreement”
has the meaning provided in Section 5.1(a) of the Agreement.

“Cumulative Net Sales”
means (a) cumulative Net Sales of the Product and (b) to the extent not
included in clause (a) above, Sublicense Revenue calculated (with respect to
both (a) and (b)) from and after the Effective Time.  Sales between Purchaser and its Affiliates
shall be excluded from the computation of Cumulative Net Sales.  Cumulative Net Sales shall include sales
between Purchaser and sublicensees or resellers.  To the extent that Seller invoices or sells
Product on behalf of Purchaser pursuant to the Transition Services Agreement,
such invoices and sales shall be included in the calculation of Cumulative Net
Sales.  Monetary
conversion from the currency of a foreign country, in which the Product is
sold, into United States currency shall be calculated at the actual average
rates of exchange for the year to date as used by Purchaser in producing its
quarterly and annual accounts.  For
purposes of calculating Cumulative Net Sales, the term Product shall include:
(a) any product covered by the BLA, (b) any product Distributed under a Product
Trademark (including CytoGam), and (c) any product covered by the Product
Patent Rights.

 2
 

“Deductible” has
the meaning provided in Section 8.2(b) of the Agreement.

“Distribution”
means any and all activities related to the distribution, marketing, promoting,
offering for sale and selling of the Product, including advertising, detailing,
educating, planning, promoting, conducting reporting, storing, handling,
shipping and communicating with Governmental Entities and third parties in
connection therewith.

“Effective Time”
has the meaning provided in Section 1.4 of the Agreement.

“Equipment Payment”
has the meaning provided in Section 1.6(b) of the Agreement.

“Escrow Agreement”
has the meaning provided in Section 1.7(e) of the Agreement.

“Escrow Deposit”
has the meaning provided in Section 1.7(e) of the Agreement.

“Estimated Inventory Value”
has the meaning provided in Section 1.8(a) of the Agreement.

“Excluded Assets”
has the meaning provided in Section 1.2(b) of the Agreement.

“Excluded Liability”
has the meaning provided in Section 1.3(b) of the Agreement.

“Excluded Tax Liability”
has the meaning provided in Section 1.3(b)(vi) of the Agreement.

“FDA” means the
United States Food and Drug Administration, or any successor agency thereto.

“FDA Transfer of Ownership
Letter” means the letter submitted by each of the Parties and the
application form submitted by Purchaser to the FDA notifying the agency of the
change in ownership of the BLA in accordance with
21 C.F.R. § 314.72.

“Financial Statements”
has the meaning provided in Section 3.9.

“First Milestone”
has the meaning provided in Section 1.6(d)(i) of the Agreement.

“First  Milestone Payment” has the meaning provided in Section
1.6(d)(i) of the Agreement.

“GAAP” means
United States generally accepted accounting principles as in effect on the date
hereof, as consistently applied by Seller.

“Government Multi-Product
Contracts” means all contracts by which Seller dispenses the Product
through a Government Entity, together with other  products of Seller.

 3
 

“Governmental
Authorizations” means those authorizations of Governmental Entities
described on Schedule 1.2(a)(ii), including the BLA and the NOC.

“Governmental Entity”
means any Federal, state, local or non-U.S. government or any court of
competent jurisdiction, legislature, governmental agency, administrative agency
or commission or other governmental authority or instrumentality, U.S. or
non-U.S.

“Governmental Investigation”
has the meaning provided in Section 2.8(a) of the Agreement.

“HSR Act” means
the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and all
laws and regulations promulgated pursuant thereto or in connection therewith.

“Indemnified Party”
has the meaning provided in Section 8.6(a) of the Agreement.

“Indemnifying Party”
has the meaning provided in Section 8.6(a) of the Agreement.

“Independent Accounting
Firm” has the meaning provided in Section 1.8(a)(ii) of the
Agreement.

“Independent Audit
Accounting Firm” has the meaning provided in Section 1.7(d)(ii)
of the Agreement.

“Initial Inventory Payment”
has the meaning provided in Section 1.6(c) of the Agreement.

“Interim Financial
Statements” has the meaning provided in Section 3.9.

“Inventory”
means all inventory of finished product that has six (6) months or more of
remaining shelf life and that is formulated, labeled, packaged or otherwise
intended for use, sale or offer for sale under the Product Trademarks owned by
Seller or its Affiliates as of the Effective Time and which inventory meets the
specifications for the Product as set out in the BLA together with all
work-in-progress and all materials or ingredients (including plasma) owned by
Seller or its Affiliates as of the Effective Time for which value is attributed
pursuant to the calculation set forth on Schedule 1.8 used for determining
the Inventory Value, or, if the Inventory Value is not yet calculated, the
Estimated Inventory Value.

“Inventory Value” has the meaning provided in Section
1.8(a) of the Agreement.

“Inventory Variance” has the meaning provided in Section
1.8(b) of the Agreement.

“IRS” has the
meaning provided in Section 1.9(d) of the Agreement.

“Knowledge”
means (i) with respect to Seller, the actual knowledge of any executive officer
of Seller, and (ii) with respect to Purchaser, the actual knowledge of any
executive officer of Purchaser.

 4
 

“Law” means each
provision of any currently existing federal, provincial, state, local or
foreign law, statute, ordinance, order, code, rule or regulation, promulgated
or issued by any Governmental Entity, as well as any judgments, decrees,
injunctions or agreements issued or entered into by any Governmental Entity
specifically with respect to Seller or the Product.

“Liability”
means, collectively, any indebtedness, guaranty, endorsement, claim, loss,
damage, deficiency, cost, expense, obligation or responsibility, fixed or
unfixed, known or unknown, choate or inchoate, liquidated or unliquidated,
secured or unsecured, direct or indirect, matured or unmatured, or absolute,
contingent or otherwise, including any product liability.

“Liens and Encumbrances”
means, with respect to the Acquired Assets, any mortgage, lien, license,
pledge, charge, security interest or encumbrance of any kind, including,
without limitation, the interest of a vendor or lessor under any conditional
sale agreement, capital lease or other title retention agreement relating to
such asset.

“Logos” means
all registered and common law trademark, trade dress, copyright and other
rights to the graphic patterns associated with the Product Trademarks as set
forth in Schedule 1.2(a)(i), and all goodwill associated therewith.

“Losses” has the
meaning provided in Section 8.2(a) of the Agreement.

“Marketing Material”
means those items described on Schedule 1.2(a)(iv).

“Material Adverse Effect”
means any change or effect that is materially adverse to the Product-Related
Business taken as a whole, or the condition (financial or otherwise) thereof,
taken as a whole, or the Acquired Assets and Assumed Liabilities, taken as a
whole, but shall exclude any change, effect or circumstance resulting or
arising from: (a) events, circumstances, changes or effects that generally
affect the pharmaceutical industry or specifically affect the industry for
blood plasma-related products (including legal and regulatory changes), so long
as the Product-Related Business is not disproportionately affected in
comparison to either such industry, (b) general economic or political
conditions or events, circumstances, changes or effects affecting the
securities markets generally, (c) changes caused by a material worsening
of current conditions caused by acts of terrorism or war (whether or not
declared) occurring after the Agreement Date, (d) changes arising from the
consummation of the Acquisition, or the announcement of the execution of, the
Agreement, the Ancillary Agreements or any other agreement in connection with
the Acquisition, including (i) any actions of competitors, (ii) any actions of
customers, (iii) any actions taken by or losses of employees or (iv) any delays
or cancellations of orders for Products or services, (e) any reduction in
the price of the Product offered by the Product-Related Business in response to
the reduction in price of comparable products offered by a competitor or
potential competitor, (f) any change in accounting practices or policies of
Seller as required by GAAP, (g) any changes in Law, or (h) any circumstance,
change or effect that results from any action taken pursuant to or in
accordance with the Agreement, the Ancillary Agreements or at the request of
Purchaser.

“Milestone Acceleration
Event” has the meaning provided in Section 1.7(f)(i).

“Milestone Allocation”
has the meaning provided in Section 1.9(c) of the Agreement.

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“Milestone Notice”
has the meaning provided in Section 1.7(a) of the Agreement.

“Milestone Payments”
has the meaning provided in Section 1.6(d)(iii) of the Agreement.

“Milestones” has
the meaning provided in Section 1.6(d)(iii) of the Agreement.

“Names” means “MedImmune,
Inc.” and variations and derivatives thereof and any other logos or trademarks,
trade names or service marks of Seller or its Affiliates other than “CytoGam”
and any variations and derivations thereof, including but not limited to the
Product Trademarks.

“Net Sales” means
the sum of all gross amounts invoiced by Purchaser and its Affiliates to third
parties (including sublicensees) for the sale of Product to such third parties,
less (in each case, with respect to such
gross amounts invoiced) amounts included for the following:

(a)         the following credits, commissions,
refunds, rebates, chargebacks, retroactive price adjustments, or credits to the
extent actually taken as reductions to gross amounts received during such
period in accordance with generally accepted accounting principles in the
United States of America, consistently applied (GAAP), which effectively reduce
the net selling price to third parties (but only to the extent not already
deducted from the invoice) for:

(1)           any discounts or allowances customary in the trade including, but not
limited to, trade discounts, cash discounts, quantity discounts, volume
discounts, fees paid to group purchasing organizations or managed care entities
or prompt payment discounts;

(2)           any chargebacks or rebates including, but not limited to, cash,
governmental and managed care rebates and hospital or other buying group
chargebacks; and

(3)           any amounts repaid or credited to such third parties for returned,
rejected, recalled or damaged Product;

(b)        the cost of shipping the Product from
Purchaser to the third party, including, but not limited to shipping-related
freight and insurance costs, in all cases to the extent such costs are included
in the gross amount invoiced for sales of a Product;

(c)         Taxes, other than income taxes,
specifically associated with the sale of a Product including, but not limited
to, sales, excise, turnover, inventory, value-added and similar taxes along
with duties or other governmental tariffs assessed on the sale of a Product;

(d)        any free goods or samples; and

(e)         reasonable allowances for doubtful
accounts, as recorded in accordance with GAAP and only to the extent not
otherwise deducted pursuant to any of the deductions permitted under subsection
(a) above.

 6
 

“NOC” means the
Notice of Compliance for the Product described in Schedule 1.2(a)(ii) to
the Agreement including any amendments or supplements thereto, reports,
correspondence and other submissions related thereto and the regulatory and
clinical files and data pertaining to the foregoing in the possession or
control of Seller or its Affiliates as of the Effective Time, including any and
all information, data, know-how, formulations, assays, good will or
intellectual computing contained in the NOC.

“Ordinary Course of Business” means ordinary
course of business consistent with past practices.

“Parent Guaranty”
means that certain Guaranty made by Purchaser Parent in favor of Seller in the
form attached hereto as Exhibit G, pursuant to which Purchaser Parent
guaranties the full and punctual payment when due of all financial and
indemnity obligations of Purchaser under this Agreement including, without
limitation, the obligation to make the Milestone Payments when due, as provided
therein.

“Parties” means
the Seller and the Purchaser.

 “Permitted Liens” means, collectively (a) Liens and
Encumbrances for taxes or assessments that are not delinquent or are being
contested in good faith by appropriate proceedings and for which Seller has
established adequate reserves, (b) statutory mechanics, warehousemen’s,
materialmens, contractors, workmen’s, repairmen’s and carriers liens, and other
similar Liens and Encumbrances arising in the ordinary course for obligations
that are not delinquent, and (c) the rights, if any, of third parties,
appearing in product advertisements for the Product being transferred as part
of the Acquired Assets; in each case, only where such liens do not materially
impair the current use or the value of the assets subject to such liens.

“Person” means
any individual, group, corporation, partnership, trust or other organization or
entity (including any Governmental Entity).

“Pre-Effective Time Tax
Period” means all taxable periods ending on or before the Effective
Time and the portion ending on the Effective Time of any taxable period that
includes (but does not end on) the Effective Time.

“Proceeding” has
the meaning provided in Section 2.8(a) of the Agreement.

“Product” has the meaning provided in the Recitals of the
Agreement.

“Product Copyrights” means those copyrights owned by Seller in
works of authorship solely and exclusively related to the Product-Related
Business.

“Product Documentation”
means those items describe on Schedule 1.2(a)(iii).

“Product Domain Names”
means the domain name “CYTOGAM.com” and other “CYTOGAM” domain names involving
other domains or registrars, and all goodwill associated therewith.

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“Product Intellectual
Property” means (i) the Product Trademarks, (ii) the Logos, (iii)
the Product Patent Rights, (iv) the Product Copyrights, (v) the Product
Know-How, (vi) the Product Trade Dress and (vii) the Product Domain Names.

“Product Know-How”
means as owned or licensed by Seller and exclusively related to the Product and
Product-Related Business, the research and development information, validation
methods and procedures, unpatented inventions, know-how, trade secrets,
technical or other data or information, or other materials, methods,
procedures, processes, materials, developments or technology, including all
biological, chemical, clinical, manufacturing, marketing, sales and/or other
information or data, other than such know-how which is or becomes the subject
of a Product Patent Right.

“Product Patent Rights”
means those United States and international patents, patent applications and
statutory invention registrations specifically described in Schedule
1.2(a)(i) to the Agreement or otherwise solely related to the Product,
which, for the purpose of this Agreement, will be deemed to include any current
or future reissues, divisions, continuations, continuations-in-part,
examinations and reexaminations thereof, and including any counterparts or equivalents
of any of the foregoing in any country of the world in which such counterparts
or equivalents exist.

“Product Percentage” has the meaning provided in Section
1.7(b)(i) of the Agreement.

“Product Records”
means to the extent permitted by Law, all books and records relating primarily
or exclusively to the Product, including copies of all material customer and
supplier lists, account lists, call data, sales history, call notes, marketing
studies, consultant reports, physician databases, and correspondence (excluding
invoices) with respect to the Product or the Product-Related Business to the
extent maintained by Seller, and all complaint files and adverse event files
with respect to the Product, provided, however,
that (a) in each case, Seller may exclude any intellectual property
contained therein that is not used primarily in connection with the Product,
which excluded intellectual property shall continue to be owned by Seller, (b)
Seller may retain: (i) a copy of any such books and records to the extent
necessary for Tax, accounting, litigation or other valid business purposes,
(ii) a copy of any such books and records to the extent such books and records
relate primarily but not exclusively to the Product or Product-Related
Business, (iii) all books, documents, records and files (A) prepared in
connection with or relating to the Acquisition, including bids received from
other parties and strategic, financial or Tax analyses relating to the
divestiture of the Acquired Assets, the Assumed Liabilities, the Product and
the Product-Related Business, or (B) maintained by Seller and/or its
Representatives, agents or licensees in connection with their respective Tax,
legal, regulatory or reporting requirements, and (iii) any attorney work
product, attorney-client communications and other items protected by privilege
shall be excluded, and (c) Seller shall be entitled to redact from any
such books and records any information that does not relate exclusively to the
Product or Product-Related Business.

“Product Trade Dress”
means the trade dress, package designs, product inserts, labels, logos and
associated artwork owned by, licensed to or otherwise held by Seller and used
exclusively in connection with the Product or the packaging therefor and all
goodwill associated therewith, but specifically excluding any Seller trademarks
other than the Product Trademarks.

 8
 

“Product Trademarks”
means the United States and international trademarks used to identify or
promote the Product and the Product-Related Business, including all
registrations for the Product described on Schedule 1.2(a)(i), and all
other statutory, common law or other trademark rights existing throughout the
world to CYTOGAM and any other trademarks, tag lines or promotional phrases
exclusively used to identify or promote the Product, and all amendments
thereto, and all goodwill associated therewith.

“Product-Related Business” means Seller’s rights in the Product
and the Distribution thereof.

“Purchase Deposit” has the meaning provided in Section 1.5(a)
of the Agreement.

“Purchase Price” has the meaning provided in Section
1.6 of the Agreement.

“Purchaser” has
the meaning provided in the Preamble of the Agreement.

“Purchaser Indemnitees” has the meaning provided in Section
8.2(a) of the Agreement.

“Purchaser Lot”
has the meaning provided in Section 1.3(a)(i) of the Agreement.

“Purchaser Parent”
means CSL Limited, an Australian Capital Territory corporation, the ultimate
parent company of Purchaser.

“Quarterly Sales Report”
has the meaning provided in Section 1.7(a)(ii) of the Agreement.

“Related Instruments”
means the Assumption Agreement and Trademark Assignment Agreement.

“Representatives”
means, with respect to any Person, the directors, officers, managers,
employees, independent contractors, agents or consultants of such Person.

“Required Consents”
means those consents to assignment of certain of the Assigned Contracts, as
listed on Schedule 6.4.

“Retained Information”
means any and all books and records prepared and maintained by Seller or its
Affiliates in connection with the Acquired Assets, including all regulatory
files (including correspondence with regulatory authorities), research data,
marketing data, laboratory books, batch records, Product complaint records and
stability studies, that do not relate exclusively to the Acquired Assets,
provided, however, that to the extent any such information relates to both
Acquired Assets and Excluded Assets, each party shall have appropriate rights
thereto.

“Revised Allocation”
has the meaning provided in Section 1.9(b) of the Agreement.

“Sales Records”
has the meaning provided in Section 1.7(d)(i) of the Agreement.

“Second Milestone”
has the meaning provided in Section 1.6(d)(ii) of the Agreement.

 9
 

“Second  Milestone Payment” has the meaning provided in Section 1.6(d)(ii)
of the Agreement.

“Seller” has the
meaning provided in the Preamble of the Agreement.

“Seller Indemnitees” has the meaning provided in Section
8.3 of the Agreement.

“Seller Lot” has
the meaning provided in Section 1.3(a)(i) of the Agreement.

“Statement of Inventory
Value” has the meaning provided in Section 1.8(a)(i) of the
Agreement.

“Straddle Period”
has the meaning provided in Section 1.3(b)(vi) of the Agreement.

“Sublicense Revenue”
means all amounts paid to Purchaser and its Affiliates as a result of a grant
of rights, or any other arrangement to market, sell or otherwise distribute the
Products, including, without limitation, license fees, milestone payments,
premiums on equity, premiums on payment for research and development, and
royalties, but excluding amounts paid on account of purchases of Product if
such purchase is for resale.

“Taxes”, or “Tax” in the singular form, means any and all taxes, levies
or other like assessments, including, but not limited to, income, transfer,
gains, gross receipts, excise, inventory, property (real, personal or
intangible), custom duty, sales, use, license, withholding, payroll,
employment, capital stock and franchise taxes, imposed by the United States, or
any state, local or foreign government or subdivision or agency thereof,
including any interest or penalties with respect to such taxes.

“Tax Return”
means any report, return or other information filed with any taxing authority
with respect to Taxes imposed upon or attributable to the operations of the Acquired
Assets.

“Termination Date”
has the meaning provided in Section 9.1(d) of the Agreement.

“Third Milestone”
has the meaning provided in Section 1.6(d)(iii) of the Agreement.

“Third  Milestone Payment” has the meaning provided in Section
1.6(d)(iii) of the Agreement.

“Third Party”
means a Person who or which is neither a Party nor an Affiliate of a Party.

“Third Party Claim”
has the meaning provided in Section 8.6(a) of the Agreement.

“Trademark Assignment
Agreement” means the Assignment of All Rights in Cytomegalovirus
Immune Globulin Intellectual Property to be dated as of the Closing by and
between the Seller and the Purchaser substantially in the form attached hereto
as Exhibit C.

“Transition Services
Agreement” means that certain Transition Services Agreement to be
entered into as of the Closing by Seller and Purchaser, substantially in the
form attached hereto as Exhibit E.

 

 10

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