Document:

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    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

    

    DEVELOPMENT
AND SUPPLY AGREEMENT

    

    between

    

    LONZA
SALES AG

    

    and

    

    MICROMET
AG

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
       

      ***Text
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      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

    

     

    Table
of Contents

     

    
      
        
          	
                  1.

                	
                  Definitions
      and Interpretation

                	
                  3

                
	
                  2.

                	
                  Provision
      of the Works and Services

                	
                  9

                
	
                  3.

                	
                  Micromet's
      Obligations

                	
                  12

                
	
                  4.

                	
                  Governance

                	
                  13

                
	
                  5.

                	
                  Inspections;
      Person in Plant

                	
                  15

                
	
                  6.

                	
                  Delivery,
      Transportation of Product and Testing

                	
                  16

                
	
                  7.

                	
                  Price
      and Terms of Payment

                	
                  17

                
	
                  8.

                	
                  Intellectual
      Property

                	
                  18

                
	
                  9.

                	
                  Warranties
      and Indemnification

                	
                  20

                
	
                  10.

                	
                  Confidentiality

                	
                  24

                
	
                  11.

                	
                  Option
      for Commercial Supply Agreement

                	
                  26

                
	
                  12.

                	
                  Termination
      of the Agreement, Termination of Certain Works and Services or
      Slots

                	
                  26

                
	
                  13.

                	
                  Non-Compete

                	
                  28

                
	
                  14.

                	
                  Technology
      Transfer and License

                	
                  28

                
	
                  15.

                	
                  Force
      Majeure

                	
                  29

                
	
                  16.

                	
                  Governing
      Law, Jurisdiction and Enforceability

                	
                  29

                
	
                  17.

                	
                  Notices

                	
                  30

                
	
                  18.

                	
                  Illegality

                	
                  31

                
	
                  19.

                	
                  Quality
      Agreement

                	
                  31

                
	
                  20.

                	
                  Miscellaneous

                	
                  32

                
	 
      	 
      	 
      
	
                  List
      of Schedules:

                	
                  32

                

        

      

    

    
        

      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
 

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    
      ***Text
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      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

       

    

    THIS
DEVELOPMENT AND SUPPLY AGREEMENT is made the 23rd day of
November 2009 (the "Effective
Date")

    

    BETWEEN

    

    
      	
              1.

            	
              LONZA
      SALES AG, of Muenchensteinerstrasse 38, CH-4002 Basel, Switzerland (herein
      after referred to as "Lonza")
    and

            

    

    

    
      	
              2.

            	
              MICROMET
      AG, of Staffelseestrasse 2, D-81477 Munich, Germany (herein after referred
      to as "Micromet").

            

    

     

    WHEREAS

    

    
      	
              A.

            	
              Micromet
      is the proprietor of the single-chain bispecific anti-CD19 antibody (CD19
      BiTE®)
      known as Blinatumomab or MT103 and controls a manufacturing process and a
      cell line for manufacture of MT103;
and

            

    

    

    
      	
              B.

            	
              Lonza
      has the expertise in the evaluation and production of monoclonal
      antibodies for therapeutic use using different processes and cell lines in
      accordance with international regulatory requirements;
  and

            

    

    

    
      	
              C.

            	
              Micromet
      and Lonza have previously entered into a Services Agreement dated
      September 28, 2009 regarding the performance of
      a  [***]  to  [***]  for the
      manufacturing of Micromet’s MT103 by Lonza;
and

            

    

    

    
      	
              D.

            	
              Micromet
      wishes to contract Lonza for services relating to the development of the
      Process (as defined herein) including all documentation, in each case,
      suitable to obtain regulatory approval for commercialization of MT103 as a
      therapeutic product and the manufacture of MT103 as described in this
      Agreement, and

            

    

    

    
      	
              E.

            	
              Lonza
      is prepared to perform such services for Micromet on the terms and
      conditions set out herein.

            

    

     

    NOW IT IS
AGREED AS FOLLOWS:

     

    
      	
              1.

            	
              Definitions
      and Interpretation

            

    

    

    The
following terms shall have the following meanings unless the context requires
otherwise:

    

    
      
        
          
            	
                    "Affiliate"

                  	 
      	
                    means
      any company, partnership or other entity which directly or indirectly
      Controls, is Controlled by or is under common Control with the relevant
      Party to this Agreement. "Control" or "Controlled" means the
      ownership of more than fifty per cent (50%) of the issued share capital or
      the legal power to direct or cause the direction of the general management
      and policies of the Party in
question;

                  

          

        

      

    

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    

    
      ***Text
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      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      
        
          
            	
                    "Agreement"

                  	 
      	
                    means
      this Development and Supply Agreement and the Schedules hereto, as amended
      or varied from time to time by written agreement of the
      Parties;

                  
	 
      	 
      	 
      
	
                    "Batch"

                  	 
      	
                    means
      the total Product (Drug Substance) obtained from one fermentation and
      associated purification using the Process.  Batches which are to
      be produced in accordance with cGMP are also referred to as "cGMP
      Batches";

                  
	 
      	 
      	 
      
	
                    "Batch
      Release"

                  	 
      	
                    means
      a release of any Batch by a Qualified Person for distribution or further
      processing confirming that the Batch is in accordance with the relevant
      requirements for human use (as defined in Directive 2001/83/EC for
      medicinal products for human use);

                  
	 
      	 
      	 
      
	
                    "Cell
    Line"

                  	 
      	
                    means
      the cell line controlled by Micromet and selected by Micromet for the
      production of the Product, particulars of which are set out in Schedule
      1;

                  
	 
      	 
      	 
      
	
                    "CEO"

                  	 
      	
                    means
      chief executive officer;

                  
	 
      	 
      	 
      
	
                    "cGMP"

                  	 
      	
                    means
      current good manufacturing practices and general biologics products
      standards as promulgated under the European Commission Directives
      91/356/EEC, as amended by Directive 2003/94/EC, and 91/412/EEC
      respectively; the International Committee for Harmonisation (ICH) Q7A
      Guideline on Good Manufacturing Practice for Active Pharmaceutical
      Ingredients; the U.S. Federal Food, Drug and Cosmetic Act found in Title
      21 of the U.S. Code of Federal Regulations (CFR), including but not
      limited to Parts 210, 211 and Parts 11,  310 et seq., 600 to
      610, the European Commission Guidelines of Good Manufacturing Practices
      for Medicinal Products as promulgated under European Directive 2003/94/EC
      (Eudralex – Volume 4) and the respective Japanese directives and
      guidelines by the Japanese authorities, as applicable. Lonza meets EU GMP
      requirements as defined in Eudralex - Volume 4 Good Manufacturing
      Guidelines by the European Commission for medicinal products for human and
      veterinary use (EU-GMP Guidelines);

                  
	 
      	 
      	 
      
	
                    "cGMP
      Product"

                  	 
      	
                    means
      Product which is required under Schedule 2 to
      be manufactured in accordance with cGMP;

                  
	 
      	 
      	 
      
	
                    "COO"

                  	 
      	
                    means
      chief operating
officer;

                  

          

        

      

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
  

      

    

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    

      ***Text
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      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

       

      "Deliver", "Delivered" or "Delivery" has the meaning
given to it in Clause 6;

    

    

    
      
        
          
            	
                    "Deliverables"

                  	 
      	
                    means
      the reports, documentation, information, material and Product which Lonza
      is to make available to Micromet during the Project. The Deliverables and
      the timelines to provide the Deliverables are set forth in the Project
      Plan in Schedules 8 A and 8
      B hereto;

                  
	 
      	 
      	 
      
	
                    "Engineering
      Batch"

                  	 
      	
                    means
      the first Batch at scale after the pilot Batch in which Lonza will use
      commercially reasonable efforts but does not warrant to meet
      cGMP;

                  
	 
      	 
      	 
      
	
                    "External
      Laboratories"

                  	 
      	
                    means
      any Third Party instructed by Lonza, with Micromet’s consent, to conduct
      activities required to complete the Works and Services, including but not
      limited to, Third Parties that synthesise DNA or perform tests on the Cell
      Line, Product or materials derived therefrom; [***]

                  
	
                    "Intellectual
      Property"/"IP"

                  	 
      	
                    means
      all intellectual property rights, including (without limitation) patents,
      patent applications, divisions, continuations, continuation-in-part
      applications, divisionals, substitutions, confirmations, supplementary
      protection certificates, reissues, utility models, trademarks, database
      rights and copyrights and all inventions, know-how, trade secrets,
      techniques and confidential information and other proprietary knowledge
      and information which may subsist anywhere in the world, in each case for
      their full term, and together with any renewals or
    extensions;

                  
	 
      	 
      	 
      
	
                    "Lonza"

                  	 
      	
                    means
      Lonza Sales AG and its Affiliates Lonza Biologics plc of Slough, England,
      Lonza Biologics Inc of Portsmouth, NH, USA, and Lonza Biologics Porriño
      S.L. of Pontevedra-Galicia, Spain, and their successors in title and
      lawful assigns;

                  
	 
      	 
      	 
      
	
                    "Lonza Confidential
      Information"

                  	 
      	
                    means
      and includes Lonza Technology, any trade secrets or other confidential
      information relating to Lonza's technology, business affairs or finances
      of Lonza, or of any suppliers, agents, distributors, licensees or other
      customers of Lonza and the commercial terms of this
    Agreement;

                  
	 
      	 
      	 
      
	
                    "Lonza Know
      How"

                  	 
      	
                    means
      all technical and other information relating directly or indirectly to the
      Lonza Process and/or the performance of the Works and Services, known to
      Lonza from time to time, other than Micromet Confidential Information,
      Micromet Know How and information in the public domain.  Without
      limiting the foregoing, the Lonza Know How is identified in Schedule 4
      hereto;

                  

          

        

      

    

         

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
  

      

    

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    
      ***Text
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Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

            

    

    
      
        
          
            
              	
                      "Lonza Patent
      Rights"

                    	 
      	
                      means
      all patents, patent applications, divisions, continuations,
      continuation-in-part applications, divisionals, extensions, substitutions,
      renewals, confirmations, supplementary protection certificates and
      reissues, throughout the world relating to the Lonza Process and/or the
      performance of the Works and Services which from time to time Lonza is the
      owner of or is entitled to use, and that is used in the performance of the
      Works and Services.  Without limiting the foregoing, the Lonza
      Patent Rights as of the Effective Date are listed in Schedule 5
      hereto;

                    
	 
      	 
      	 
      
	
                      "Lonza
      Process"

                    	 
      	
                      means
      the proprietary process of Lonza, including any modifications and
      improvements, which is used for the manufacture of the Product
      hereunder;

                    
	 
      	 
      	 
      
	
                      "Lonza
      Technology"

                    	 
      	
                      means
      the Lonza Know How and the Lonza Patent Rights;

                    
	 
      	 
      	 
      
	
                      "
      [***] "

                    	 
      	
                      means  [***]
      ;

                    
	 
      	 
      	 
      
	
                      "
      [***] "

                    	 
      	
                      means
      the [***] Agreement between [***] and [***] dated [***] and attached
      hereto at Schedule 9;

                    
	 
      	 
      	 
      
	
                      "Micromet"

                    	 
      	
                      means
      Micromet AG and its existing Affiliates which are engaged in the research
      and development of BiTE®
      antibodies, and their successors in title and lawful
    assigns;

                    
	 
      	 
      	 
      
	
                      "Micromet
      Confidential

                    	 
      	 
      
	
                      Information"

                    	 
      	
                      means
      and includes Micromet Materials, Micromet Technology and the Results, any
      trade secrets or other confidential information relating to Micromet's
      technology, development strategies, business affairs or finances of
      Micromet, or of any licensors, suppliers, agents, distributors or other
      contractors of Micromet, and the commercial terms of this
      Agreement;

                    
	 
      	 
      	 
      
	
                      "Micromet Know
      How"

                    	 
      	
                      means
      all technical and other information relating directly or indirectly to the
      Micromet Process, the Cell Line and the Micromet Materials, known to
      Micromet from time to time, other than Lonza Confidential Information,
      Lonza Know How and information in the public domain.  Without
      limiting the foregoing, the Micromet Know How is identified in Schedule 6
      hereto;

                    
	 
      	 
      	 
      
	
                      "Micromet
      Materials"

                    	 
      	
                      means
      the materials and documentation supplied by Micromet to Lonza (including
      but not limited to  [***] and  [***]
      ).  Without limiting the foregoing, the Micromet Materials to be
      transferred are listed in Schedule 1
      hereto;

                    

            

          

        

      

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

          
            
               

            

            
              6

              
                

              

            

            
               

            

          

        

      

    

    
        

      ***Text
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      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

    

       

    
      
        
          
            
              	
                      "Micromet Patent
      Rights"

                    	 
      	
                      means
      all patents, patent applications, divisions, continuations,
      continuation-in-part applications, divisionals, extensions, substitutions,
      renewals, confirmations, supplementary protection certificates and
      reissues, throughout the world relating to the Micromet Process, the Cell
      Line and the Micromet Materials which from time to time Micromet is the
      owner of or is entitled to use, and that is used in the performance of the
      Works and Services.  Without limiting the foregoing, the
      Micromet Patent Rights as of the Effective Date are listed in Schedule 7
      hereto;

                    
	 
      	 
      	 
      
	
                      "Micromet
      Process"

                    	 
      	
                      means
      the process (including but not limited to the  [***] process and
      the  [***] process) for the production of Product which is owned
      or Controlled by Micromet and made available to Lonza hereunder
      for  [***] with the  [***] , further improvement
      and/or production of the Product;

                    
	 
      	 
      	 
      
	
                      "Micromet
      Technology"

                    	 
      	
                      means
      the Micromet Know How and the Micromet Patent Rights;

                    
	 
      	 
      	 
      
	
                      " [***] "

                    	 
      	
                      means
      any  [***] of  [***] , including  [***]
      and  [***] ;

                    
	 
      	 
      	 
      
	
                      "MT103"

                    	 
      	
                      means
      Micromet's single-chain bispecific anti-CD19 antibody (CD19 BiTE®)
      also known as Blinatumomab;

                    
	 
      	 
      	 
      
	
                      "Party"/"Parties"

                    	 
      	
                      shall
      mean Lonza or Micromet, or Lonza and Micromet, as the context
      admits;

                    
	 
      	 
      	 
      
	
                      "Price"

                    	 
      	
                      means
      the price specified in Schedule 3 for
      the Works and Services;

                    
	 
      	 
      	 
      
	
                      "Process"

                    	 
      	
                      means
      the process used by Lonza for the production of Product from the Cell Line
      in accordance with this Agreement, which may combine elements of the
      Micromet Process and of the Lonza Process, and is modified and/or improved
      hereunder;

                    
	 
      	 
      	 
      
	
                      "Product"

                    	 
      	
                      means
      MT103 manufactured under this Agreement (including any sample thereof),
      particulars of which are set out in Schedule 1 and
      includes all derivatives thereof;

                    
	 
      	 
      	 
      
	
                      "Project"

                    	 
      	
                      means
      the program described in the Project Plan;

                    
	 
      	 
      	 
      
	
                      "Project
      Manager"

                    	 
      	
                      means
      a Party's representative who is responsible for the coordination and
      supervision of the Project in accordance with Clause 4.1
      below;

                    

            

          

        

      

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
  

      

    

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

    

        

    
      
        
          
            
              
                
                  
                    
                      	
                              "Project
      Plan"

                            	 
      	
                              means
      the plan describing all activities to be performed under this Agreement,
      including any update and amendment of the Project Plan the Parties may
      agree from time to time, and attached hereto as Schedules 8 A and 8
      B;

                            
	 
      	 
      	 
      
	
                              "Project
      Team"

                            	 
      	
                              means
      the working group described in Clause 4.2;

                            
	 
      	 
      	 
      
	
                              "Qualified Person"/"QP"

                            	 
      	
                              means
      a person confirming that the Batch is in accordance with the relevant
      requirements (as defined in Directive 2001/83/EC for medicinal products
      for human use);

                            
	 
      	 
      	 
      
	
                              "Results"

                            	 
      	
                              means
      the Product, any inventions, discoveries, know how, data, Deliverables,
      documentation, reports, materials, writings, processes, methods and other
      information, recorded in any form, that are discovered, conceived, reduced
      to practice, developed or otherwise generated by Lonza, which are related
      to the Works and Services and conceived through the performance of the
      Works and Services, and any Intellectual Property pertaining to any of the
      foregoing (including the  [***] Intellectual Property), provided, however, that
      "Results" shall exclude  [***] and  [***] Intellectual
      Property;

                            
	 
      	 
      	 
      
	
                              "Service
      Agreement"

                            	 
      	
                              means
      the agreement between the Parties dated September 28, 2009 regarding
      the  [***] of  [***]  for the production of
      Product using the  [***] and the  [***]
    ;

                            
	 
      	 
      	 
      
	
                              "Specifications"

                            	 
      	
                              means
      the specifications for Drug Substance.  The Specifications and
      the specifications for Drug Product regarding the testing of Drug Product
      by Lonza are set out in Schedule
      2;

                            
	 
      	 
      	 
      
	
                              "Steering
      Committee"

                            	 
      	
                              means
      the committee described in Clause 4.3;

                            
	 
      	 
      	 
      
	
                              "Terms of
      Payment"

                            	 
      	
                              means
      the terms of payment specified in Schedule
      3;

                            
	 
      	 
      	 
      
	
                              "Third
    Party"

                            	 
      	
                              means
      any party other than Lonza and Micromet;

                            
	 
      	 
      	 
      
	
                              "Works and
      Services"

                            	 
      	
                              means
      all or any part of the works and services which are the subject of this
      Agreement, particulars of which are set out in Schedules 8 A and 8
      B.

                            

                    

                  

                

              

            

          

        

      

    

    

    References
to the singular number include the plural and vice versa, references to Clauses
and Schedules are references to clauses and schedules to this
Agreement.

         

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

          
    

    

    
      	
              2.

            	
              Provision
      of the Works and Services

            

    

    

    
      	
              2.1

            	
              Lonza
      shall diligently carry out the Works and Services as provided in Schedule 8 A –
      and in Schedule
      8 B, once it is finalized - and shall use all reasonable efforts to
      achieve the estimated timescales set out in that Schedule.  The
      Parties agree that the Works and Services set forth in Schedule 8 B are
      rough estimates only, and the Parties shall updated and refine such
      Schedule 8 B after the transfer of the Micromet Materials and
      establishment of the Process at Lonza.  Lonza shall perform the
      Works and Services under this Agreement according to the current industry
      standards and subject to terms and conditions as set out
      herein.  Lonza shall at all times use reasonable and adequate
      safety and protection measures to ensure, as far as is reasonably
      possible, that the Results are not endangered by an interruption of
      Lonza's research and development
activities.

            

    

    

    
      	
              2.2

            	
              Lonza
      shall do all that is reasonably possible to meet the objectives under the
      Project Plan, including diligence obligations and commercially reasonable
      flexibility regarding alternative work packages and capacity reservations
      under this Agreement.

            

    

    

    
      	
              2.3

            	
              Micromet
      shall make available to Lonza a data package comprising the Micromet Know
      How which is reasonably required to perform the Works and Services and the
      Parties shall collaborate to assist Lonza in evaluating such Micromet Know
      How.  Without undue delay upon completion of the Services
      Agreement and delivery of such Micromet Know How, however, no later than
      within  [***]  thereafter, Lonza shall inform Micromet
      whether the  [***] , the  [***]  and
      the  [***]  meet the particulars set out in Schedule 1 and
      are suited for the performance of the Works and Services
      hereunder.  If the  [***] ,
      the  [***]  and/or the  [***]  do
      not meet the particulars set out in Schedule 1,
      Lonza and Micromet shall enter into good faith discussions in order to
      identify a  [***] , a  [***]  or
      other  [***]  for the Works and Services and to agree
      on the terms and conditions and adjustments to the Project Plan to
      minimize any delay.  If the Parties are unable to agree on
      an  [***]  or  [***]  and the
      terms and conditions to use such  [***] or  [***]
      within  [***]  after completion of the later of (i)
      completion of services under the Services Agreement or (ii) transfer of
      the Micromet Materials and Micromet Technology,  [***] shall
      have the option to  [***] in accordance with  [***]
      and without further  [***] or to  [***]
      under  [***]

            

    

    

    
      	
              2.4

            	
              Lonza
      shall manufacture cGMP Product to meet the Specifications provided that there
      shall be  [***] to meet the Specifications in respect of the
      [***] and the  [***]  manufactured or in respect of
      the  [***] following any change in the  [***]
      .  If the  [***]  or a combination of
      the  [***]  and the  [***]  is
      used, then in addition to the above, Lonza shall be under no obligation to
      meet certain  [***] in  [***]  in respect
      of  [***] until a  [***] does meet  [***]
      .  In the event the  [***]  does not meet
      the Specifications, the Parties shall promptly meet through the Steering
      Committee to discuss and agree on how to ensure that the Specifications
      can be met, which agreement may include a modification of the Project
      Plan.

            

    

    

    
      	
              2.5

            	
              Owing
      to the unpredictable nature of the biological processes involved in the
      Works and Services, the timescales set down for the performance of the
      Works and Services (including without limitation the dates for production
      and Delivery of Product) and the quantities of Product for Delivery set
      out in Schedules
      8 A and 8 B are estimated only.  In the event any Party
      realizes that the Project Plan needs to be changed, e.g., for a delay of
      Works and Services owing to technical or scientific difficulties, such
      Party shall immediately inform the Project Team hereof and the Parties,
      through the Steering Committee (if needed), shall use commercially
      reasonable efforts to come to an adequate solution and agree on an
      adequate amendment of the Project Plan.  In particular, Lonza
      will use commercially reasonable efforts to  [***]  as
      early as possible, in the event any of the  [***] , provided always
      that  [***]  are taken into
      account.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           
    

    

    
      	
              2.6

            	
              Lonza
      will use its reasonable efforts to perform any additional work which may
      become necessary to manufacture Product for  [***]
      .  If such additional work leads to additional costs, Lonza will
      provide a quotation for such additional work.  In case the
      Parties agree on the additional work and the costs for such additional
      work, Lonza shall perform additional work to sustain the progress of the
      Project on terms and conditions to be agreed by the Parties and defined in
      an amendment to the Project Plan.  If further quantities of
      Product are required for  [***]  which are not part of
      this Agreement, the Parties will discuss in good faith how Lonza can
      satisfy Micromet's needs for such additional
  quantities.

            

    

    

    
      	
              2.7

            	
              Without
      prejudice to Lonza’s obligations under Clauses 2.1 and 2.2 and the
      termination rights under Clause 12,
      Micromet  [***]  of the Works and Services or
      to  [***] the Works and Services on grounds of late performance,
      late Delivery or failure to produce the estimated quantities of Product
      for Delivery.  Lonza shall not be liable for any loss, damage,
      costs or expenses of any nature, whether direct or consequential,
      occasioned by:

            

    

    

    (a)           
[***] ; or

    

    (b)           
[***] .

    

    However,
and to the extent, that (i) a  [***] to  [***]
the  [***] of  [***] for  [***] , or (ii)
the  [***] are  [***] to  [***]
by  [***] the  [***]
on  [***]   [***] .

    

    
      	
              2.8

            	
              Lonza
      shall comply with all applicable laws and regulations regarding the cGMP
      production, including but not limited to the EU-GMP Guidelines (Eudralex –
      Vol. 4), FDA regulations, Japanese regulations and the International
      Committee for Harmonisation regulatory requirements from time to time
      applicable to the Works and Services as set out in Schedules 8 A and 8
      B.

            

    

    

    
      	
              2.9

            	
              Lonza
      shall not use the Cell Line, the Process (not including the Lonza
      Process), the Micromet Materials or the Micromet Technology (or any part
      thereof) for any purpose other than the performance of the Works and
      Services under this Agreement.

            

    

    

    
      	
              2.10 

            	
              Lonza
      shall:

            

    

    

    
      	
               
      

            	
              (a)

            	
              at
      all times use all reasonable endeavours to keep the Cell Line and/or the
      Micromet Materials secure and safe from loss and damage in such manner as
      Lonza stores its own material of similar nature during the term of this
      Agreement, and obtain and maintain an appropriate insurance against the
      risks of loss and damage;

            

    

    

    
      	
               
      

            	
              (b)

            	
              during
      the performance of the Works and Services, inform Micromet as soon as
      reasonably possible upon request about all ongoing
    activities;

            

    

    

    
      	
               
      

            	
              (c)

            	
              not
      part with possession of the Cell Line and/or the Micromet Materials or the
      Product, save for the purpose of activities at the External Laboratories
      or as otherwise authorised in writing by
  Micromet;

            

    

    

    
      	
               
      

            	
              (d)

            	
              store
      Micromet Materials in accordance with applicable laws, industry standards
      and the specifications set forth in Schedule 1,
      furthermore, store the Cell Line and the cell banks ( [***]
      and  [***] ) at at least two (2) different and controlled sites
      under cGMP conditions;

            

    

    
    

    
      
         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
 

      

    

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

          
   

    

    
      	
               
      

            	
              (e)

            	
              audit
      all External Laboratories in accordance with GxP guidelines and confirm
      the performance of such audit to Micromet in writing;
  and

            

    

    

    
      	
               
      

            	
              (f)

            	
              procure
      that all External Laboratories are subject to obligations of confidence
      substantially in the form of those obligations of confidence imposed on
      Lonza under this Agreement.

            

    

    

    
      	
              2.11

            	
              Lonza
      will not (i) directly or indirectly, take any steps to ascertain
      the  [***] of any  [***]  provided by
      Micromet and or a  [***] , and (ii) use
      Micromet's  [***]  for any purpose other than
      manufacturing the Product.  In the event Lonza ascertains or
      receives the recipe of any of
      Micromet's  [***]  through no fault of its own, Lonza
      shall promptly inform Micromet of such event and destroy such
      information.

            

    

    

    
      	
              2.12

            	
              Lonza
      and Micromet will exchange details of the  [***]  in
      order to  [***]  that will be used  [***]
      .  Lonza will obtain Micromet's consent regarding
      its  [***] , which Micromet shall not unreasonably
      withhold.  Lonza shall use reasonable commercial endeavours to
      ensure continuity of supply, through the  [***] of
      a  [***]  where possible,  [***]
      establishment  [***] second source  [***] same
      supplier (e.g. second production site)  [***]
      establishment  [***] supply  [***] emergency
      plan/security stock.

            

    

    

    
      	
              2.13

            	
              Lonza
      agrees to maintain proper records (the "Records") in respect of
      its performance of the Works and Services, including any Results made as
      part of the Works and Services.  Upon written request by
      Micromet, Lonza shall provide copies of the Records or any part(s)
      thereof, redacted with regards
      to  [***]  and  [***]  to
      Micromet.  As part of keeping the Records, Lonza shall ensure
      that all of its personnel and all of its agents abide by the regulations
      of the International Committee for Harmonisation as per Clause
      2.8.

            

    

    

    
      	
              2.14

            	
              Lonza
      shall:

            

    

    

    
      	
               
      

            	
              (a)

            	
              make
      available to Micromet the Deliverables set forth in the Project
      Plan;

            

    

    

    
      	
               
      

            	
              (b)

            	
              make
      available to Micromet (i) upon completion of any milestone as outlined in
      the Project Plan and or (ii)  [***] of the  [***] of
      the Works and Services and upon reasonable request of Micromet, (i.e., if
      Micromet requires such documentation for regulatory purposes or for own
      development purposes and provided that such
      documentation – in Lonza's reasonable opinion – is accurate); copies of
      all relevant documentation and information resulting from the Works and
      Services and relating to the Product in order to enable Micromet to
      evaluate the status and to meet any statutory or regulatory
      requirements.  The documentation and information shall be
      provided in the CTD format.  The documentation and information
      shall include but not be limited to the  [***]
      of  [***] and the  [***] , a  [***]
      of  [***] of the  [***] , a  [***] ,
      including a  [***] and a [***] issued by and in responsibility
      of a  [***] ,  [***] of  [***] and
      the  [***] of  [***] for the  [***] or
      equivalent in other  [***] ) in  [***] and
      for  [***] of such  [***] to the  [***]
      .  For the avoidance of doubt, the preceding sentence does not
      require  [***] to provide  [***] with  [***]
      of the  [***] or other  [***]  except if
      requested by  [***] ;
[***]

            

    

    

    
      	
               
      

            	
              (c)

            	
              support
      IND updates and CTAs as well as the submission of dossiers for NDA/MAA
      approval;

            

    

    

    
      	
               
      

            	
              (d)

            	
              make
      available to Micromet, upon completion of each stage as outlined in the
      Project Plan and upon request of Micromet, material ( [***] and the like)
      resulting from the Works and Services in order to enable Micromet to test
      the supernatant, antibody, cells, Product, and the
  like;

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

             

    

    
      	
               
      

            	
              (e)

            	
              assist
      Micromet in respect to regulatory requirements concerning the CMC-part,
      including but not limited to the  [***] for  [***]
      and  [***] ;

            

    

    

    
      	
               
      

            	
              (f)

            	
              reasonably
      support Micromet regarding regulatory matters.  Such support
      shall include an obligation to make Micromet aware of any specific
      regulatory requirements relating to Lonza’s activities, to accompany
      Micromet to meetings with the regulatory authorities
      upon  [***]  prior written notice by Micromet (or use
      reasonable commercial endeavours to support Micromet where shorter notice
      is provided by a regulatory authority), to prepare such meetings jointly
      with Micromet, and to actively participate in scientific advice meetings;
      and

            

    

    

    
      	
               
      

            	
              (g)

            	
              promptly
      inform Micromet about any existing or potential future issues
      with  [***] that  [***] regarding any  [***]
      or  [***]
used  [***]

            

    

    

    
      	
               
      

            	
              The
      Deliverables and the provision of the Deliverables are defined in more
      detail in the Project Plan.

            

    

    

    
      	
              2.15

            	
              Lonza
      shall from time to time offer to Micromet  [***] of
      its  [***] and  [***]  (as identified in
      Schedule 4).  Such new version shall be made available at the
      price set forth in the Technology Transfer and License Agreement in Schedule 14
      hereto, if applicable, with the only further compensation being for
      additional Works and Services which may be required to implement such
      improvement or new version for the manufacture of the
    Product.

            

    

    

    
      	
              2.16

            	
              Any
      subcontracting of Works and Services to be performed hereunder by Lonza to
      Third Parties requires the prior written consent of
    Micromet.

            

    

       

    
      	
              3.

            	
              Micromet's
      Obligations

            

    

    

    
      	
              3.1

            	
              Following
      the Effective Date (if not already forwarded to Lonza during the Services
      Agreement) and upon conclusion of  [***] the  [***] of
      some of the  [***] and  [***]  attached
      hereto as Schedule 9,
      Micromet shall supply to Lonza the Micromet Know How, together with full
      details of any hazards relating to the Cell Line, the Micromet Process
      and/or the Micromet Materials, their storage and use, in each case, to the
      extent required by Lonza to perform the Works and Services.  For
      the avoidance of doubt, the  [***]  is embodied in
      the  [***] the  [***] and
      the  [***]  and is not disclosed as a separate set of
      documents.  On review and approval by Lonza’s safety committee
      of this Micromet Technology, the Cell Line, the Micromet Process and/or
      the Micromet Materials shall be provided to Lonza at Lonza’s
      request.  Property in the Cell Line, the Micromet Process and/or
      the Micromet Materials and/or the Micromet Technology supplied to Lonza
      shall remain vested in Micromet.

            

    

    

    
      	
              3.2

            	
              Unless
      the Parties agree otherwise during the term of this Agreement, Micromet or
      Micromet's Third Party supplier will supply to Lonza the  [***]
      and  [***]  necessary for the manufacture of
      Product.  Lonza shall not, directly or indirectly, take any
      steps to  [***] the  [***] of any
      such  [***] and  [***]  provided by
      Micromet.   Similarly, should the Lonza Process be used in
      the manufacture of the Product, Micromet shall not, directly or
      indirectly, take any steps to  [***] the  [***] of
      any  [***] and  [***]  provided by
      Lonza.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

         

    

    
      	
              3.3

            	
              Micromet
      shall pay the Price set out in Schedule 3 for
      provision of the Works and Services together with any additional costs and
      expenses that fall due under this Agreement in accordance with the Terms
      of Payment.

            

    

    

    
      	
              3.4

            	
              Micromet
      hereby grants Lonza the non-exclusive right to use the Cell Line, the
      Micromet Process, the Micromet Materials, and the Micromet Technology
      during the term of this Agreement and solely for the purpose of this
      Agreement.  Micromet acknowledges that Lonza does not require a
      separate licence to Micromet Confidential Information as all necessary
      licences are contained in the first sentence of this clause
      3.4.

            

    

    

    
      	
              3.5

            	
              From
      time to time, as soon as reasonably possible and with at
      least  [***]  advance notice, Lonza may submit to
      Micromet a written request to provide or have provided consulting services
      to Lonza with respect to the Micromet Process, which request will include
      the specifics of the consulting services being requested, and Micromet
      will use reasonable efforts to provide or have provided such consulting
      services.

            

    

     

    
      	
              4. 

            	
              Governance

            

    

    

    
      	
              4.1

            	
              Designation of Project
      Manager:  Lonza and Micromet shall each identify a
      Project Manager who will be responsible for the coordination and
      supervision of the Project including communication of all instructions and
      information concerning the Project to the other Party.  A
      written protocol of such communication shall be provided by the Project
      Managers.  Each Project Manager will be available on an agreed
      weekly basis for consultation at prearranged times during the course of
      the Project.  In the absence of the Project Manager, a
      substitute shall be appointed.  Additional modes or methods of
      communication and decision making may be implemented with the written
      consent of each Party.

            

    

    

    
      	
              4.2

            	
              Project
      Team:  The Parties shall form a Project Team to which
      Micromet will delegate professionally and technically qualified
      representatives (e.g., qualified in upstream process, downstream process,
      analytics, quality assurance and regulatory matters).  Each
      Project Team member shall have knowledge and ongoing familiarity with the
      Project and will possess the authority to make decisions on matters raised
      in the Project Team.  Each Party shall have the right to
      substitute different representatives as its members of the Project Team as
      needed from time to time.  Each Party shall also be entitled to
      invite other employees as ad hoc guests to address specific technical or
      commercial issues related to the Project.  Consultants of a
      Party or other Third Parties may be invited, provided that they are
      bound by a confidentiality obligation which is substantially similar to
      the Parties' obligations under Clause 10
below.

            

    

    

    The
Project Team shall meet within  [***]  after written request
for such meeting by either Party, or sooner, if required, and meetings shall
take place on a  [***] , and at least one face-to-face meeting shall
take place  [***] .

    

    
      	
               
      

            	
              The
      Project Team shall oversee the Project.  Prior to each meeting
      of the Project Team the Parties will distribute to each other written
      copies of all materials, data and information arising out of the conduct
      of their activities hereunder.  Unless otherwise agreed, Lonza
      shall present any suggestions regarding the Project Plan and/or
      specifications of the Project to the Project Team for discussion and
      approval by Micromet.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

            

    

    
      	
               
      

            	
              Each
      Party shall bear its own travel and accommodation costs.  The
      meetings of the Project Team may also be held by telephone or video
      conference if mutually agreed by the Project Team members.  It
      is the right of each Party to call for a Project Team meeting upon written
      request at any time.  In that case the meeting will be held at a
      time and location to be agreed between the Project Team
      members.

            

    

    

    
      	
               
      

            	
              The
      inviting Party shall prepare minutes of the meeting which shall be
      circulated promptly following the
meeting.

            

    

    

    
      	
              4.3

            	
              Steering
      Committee:  The Parties shall form a Steering Committee
      to which each Party will delegate two (2) executive employees, who are
      familiar with the Project.  The Steering Committee shall have
      general oversight and review of the activities of the Project Team and
      shall be responsible for resolving any issues referred to the Steering
      Committee by the Parties.

            

    

    

    
      	
               
      

            	
              The
      Steering Committee shall meet in person or via teleconferences
      within  [***]  after a written request by either Party
      to the other Party, or sooner, if required, and calendar quarterly, if
      possible towards the end of a stage of the Project.  The request
      shall describe the matter in dispute and the solution which the requesting
      Party proposes to be decided.

            

    

    

    
      	
               
      

            	
              The
      Steering Committee will take action by unanimous consent of its members,
      with each representative having a single vote, or by a written resolution
      signed by all of the representatives.  If the Steering Committee
      is unable to reach unanimous consent on a particular matter, then the
      matter will be referred to a personal face-to-face meeting between
      Lonza's  [***]  and the  [***]  of
      Micromet, who in each case may not be a member of the Steering Committee
      and both of whom shall act in good faith and discuss the issue to seek a
      resolution amicably acceptable to both Parties and if resolved the
      resolution shall be binding and final.  The meeting shall take
      place within  [***]  of the relevant
      referral.  In case such persons cannot agree within
      further  [***]  after such face-to-face meeting, then
      the following shall apply:

            

    

    

    
      	
               
      

            	
              (i)

            	
              If
      the dispute is predominantly concerned with scientific or technical issues
      then the entire dispute shall be referred to independent experts on who
      the Parties agree as set forth hereinafter:  Each Party is
      entitled to propose one (1) independent expert and the other Party shall
      not unreasonably withhold its consent to the appointment of such
      expert.  The Parties will make available the same set of
      documents to both experts and both experts shall provide their expert
      opinion in English language within  [***]  after the
      second expert has been appointed.  If the two (2) experts come
      to dissenting opinions and are unable to solve the dispute among
      themselves, a third expert shall be appointed either jointly by the
      Parties or by the President of the German Association of the
      Pharmaceutical Industry (Bundesverband der Pharmazeutischen Industrie,
      BPI), if the Parties cannot agree, who is an expert in the particular
      scientific or technical area at issue and who shall act as an expert and
      not an arbitrator.  Such third expert shall have access to the
      written opinions of the two other experts as well as to all documents
      which were made available to the two experts.  The third expert
      shall then approve either one of the two opinions of the first two
      experts, and such opinion approved by the third expert shall be considered
      final and binding on the Parties except if there has been a manifest error
      on the face of the decision whereupon the Parties may revert to their
      respective remedies under Clause 16 below.  The reasonable costs
      of the experts shall be paid or refunded, as the case may be, by the
      non-prevailing Party.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

           

    

    
      	
               
      

            	
              (ii)

            	
              If
      the dispute is predominantly concerned with an issue other than scientific
      or technical then it shall be resolved in accordance with Clause 16
      below.

            

    

     

    
      	
              5. 

            	
              Inspections;
      Person in Plant

            

    

    

    
      	
              5.1

            	
              As
      more fully set out in the Quality Agreement in Schedule 10
      hereto, Lonza grants to Micromet and/or its consultant the right to
      inspect and audit Lonza's Affiliate’s facility located in Slough,
      Berkshire, United Kingdom ("Facility") as well as
      the documentation generated in connection with the manufacture and testing
      of Product including all relevant standard operating procedures. 
      Lonza grants the right to perform  [***] standard cGMP
      compliance audit per year, not to exceed  [***]
      and  [***]  at a time mutually agreed between Micromet
      and Lonza.  Micromet can perform  [***]  cGMP
      batch documentation audit per cGMP batch which would be scheduled as
      appropriate in the project plan.  Moreover, Micromet is entitled to
      perform additional audits in the event of complaints, major or critical
      deviations or other enquiries by regulatory authorities without any fee,
      and if necessary, on short-term notice.  Micromet will discuss the
      results of any inspection with Lonza.  Any inspection by Micromet
      does not relieve Lonza of its obligations to comply with all applicable
      laws and does not constitute a waiver of any right otherwise available to
      Micromet.  As more fully set out in Clause
      5.3,  [***]  is also entitled to attend all production
      campaigns of the Product at the
Facility.

            

    

    

    
      	
              5.2

            	
              As
      more fully set out in the Quality Agreement in Schedule 10
      hereto, an employee and/or consultant and /or successor of Micromet or
      Micromet’s sublicensee(s) of the Product will have the right to be present
      as a silent observer at any announced visit to Lonza by any regulatory
      authority relating to the manufacture of Product for clinical trials.
      Furthermore, Lonza will inform Micromet of the results of any inspection
      by a regulatory authority (subject to any restraints placed on Lonza by
      such regulatory authority, Lonza Confidential Information which Micromet
      does not require for purposes of this Agreement or customer
      confidentiality) that does or could reasonably be expected to affect the
      manufacture of Products.

            

    

    

    
      	
              5.3

            	
              Lonza
      agrees to have an employee or consultant of Micromet be present at the
      Facility in order to observe the Works and Services performed by Lonza or
      its Affiliate ("Person-in-Plant" or
      "PiP") in
      accordance with this Clause 5.3.  Upon request of Micromet,
      Lonza shall grant the PiP access to the Facility where the Works and
      Services are performed.  Such visits, shall last not longer
      than  [***] , will take place no more than  [***]
      a  [***]  during regular business hours and
      upon  [***]  prior notice to Lonza, provided, however, that
      PiP will be entitled to perform additional visits that could last up to
      the full length of a cGMP Batch's (and/or consolidation and/or pilot
      Batch's) manufacturing process subject to Lonza’s consent not to be
      unreasonably withheld or delayed, and further provided that PiP will be
      entitled to perform visits upon immediate notice in the event of
      complaints or failures which may endanger the
  Project.

            

    

    

    
      	
              5.4

            	
              Notwithstanding
      Clauses 5.1, 5.2 and 5.3, Micromet acknowledges and accepts that the
      Facility is a multi-customer facility, and that the PiP’s movement about
      and access to the Facility may be restricted and shall be subject to
      supervision by Lonza.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

         

    

    
      	
              6. 

            	
              Delivery,
      Transportation of Product and
Testing

            

    

    

    
      	
              6.1

            	
              Subject
      to Clause 2.4, Product shall be Delivered in accordance with the
      Specifications.  Delivery shall be
      made  [***]  (as defined by Incoterms 2000) which
      means (a) when  [***] places  [***] at
      the  [***] at  [***]
      and  [***]  and (b) risk and title to Product
      pass  [***] .  Subject to Clause 6.2, Lonza shall
      deliver to Micromet the Certificate of Analysis, the Certificate of
      Compliance, issued by and in responsibility of a Qualified Person (Batch
      Release) and such other documentation as is reasonably required to meet
      all applicable statutory and regulatory requirements not later than the
      date of Delivery.  Transportation of Product, whether or not
      under any arrangements made by Lonza on behalf of Micromet, shall be made
      at the  [***] of  [***]
..

            

    

    

    
      	
              6.2

            	
              At
      Micromet's request, Lonza will Deliver Product  [***] prior to
      delivery of the  [***] and
      the  [***]   Such request shall be accompanied by
      Micromet's written acknowledgement that the Product has been Delivered
      without the transmittal to Micromet of the Certificate of Analysis and the
      Batch release documents (QP release), that accordingly the Product cannot
      be administered to humans until transmittal of the Certificate of
      Analysis, Certificate of Compliance (possibly in one document) and the
      Batch release documents (QP release) and that Micromet nevertheless
      accepts full risk of loss, title and ownership of the
      Product.  The Delivery of Product in quarantine shall be subject
      to such testing requirements as Lonza may reasonably require, and
      the  [***]  period referred to in Clause 6.9 shall run
      from Delivery in quarantine of the Product to
  Micromet.

            

    

    

    
      	
              6.3

            	
              Unless
      otherwise agreed, Lonza shall package and label Product for Delivery in
      accordance with its standard operating procedures.  It shall be
      the responsibility of Micromet to inform Lonza in writing in advance of
      any special packaging and labeling requirements for
      Product.  All additional costs and expenses of whatever nature
      incurred by Lonza in complying with such special requirements shall be
      charged to Micromet in addition to the
Price.

            

    

    

    
      	
              6.4

            	
              If
      requested in writing by Micromet, Lonza will (acting as agent for
      Micromet) arrange for storage in accordance with the storage conditions in
      Schedule
      1 and for insurance of Product whilst held by Lonza after Delivery
      (awaiting transportation) for up to  [***]  after QP
      release of the Batch, and in exceptional cases for a maximum
      of  [***] , on terms equivalent to those under which Lonza
      stores and insures product prior to Delivery.  All additional
      costs and expenses of whatever nature incurred by Lonza in arranging such
      storage and insurance shall be charged to Micromet in addition to the
      Price.

            

    

    

    
      	
              6.5

            	
              If
      requested in writing by Micromet, Lonza will (acting as agent of Micromet
      for such purpose) arrange the transportation of Product from Lonza’s
      premises to the destination indicated by Micromet together with insurance
      cover for Product in transit at its invoiced value.  All
      additional costs and expenses of whatever nature incurred by Lonza in
      arranging such transportation and insurance shall be charged to Micromet
      in addition to the Price.

            

    

    

    
      	
              6.6

            	
              Where
      Lonza has made arrangements for the transportation of Product, Micromet
      shall diligently examine the Product as soon as practicable after
      receipt.  Notice of all claims (time being of the essence)
      arising out of:

            

    

    

    
      	
               
      

            	
              (a)

            	
              visible
      damage (i.e., visible without inspection and testing) to or total or
      partial loss of Product in transit shall be given in writing to Lonza and
      the carrier within  [***]  of receipt by Micromet;
      or

            

    

    

    
      	
               
      

            	
              (b)

            	
              non-Delivery
      shall be given in writing to Lonza
      within  [***]  after the date of Lonza’s dispatch
      notice.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
    

      

    

    
      
         

      

      
        16

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              6.7

            	
              Any
      Product Delivered hereunder shall, at the time of Delivery conform to the
      Specifications (subject to Clause 2.4 above) and have been manufactured in
      accordance with cGMP (not including the pilot Batch and Engineering Batch)
      and applicable laws.  Lonza and Micromet shall use all
      commercially reasonable efforts to resolve a non-conformity issue and
      resume re-delivery of Products at the earliest time
      possible.  Any dispute regarding the conformity of Products
      which cannot be settled within  [***]  after receipt
      of a detailed written notice of rejection shall be submitted for
      resolution to the Steering
Committee.

            

    

    

    
      	
              6.8

            	
              Micromet
      shall make damaged Product and associated packaging materials available
      for inspection and shall comply with the requirements of any insurance
      policy covering the Product notified by Lonza to
      Micromet.  Lonza shall offer Micromet all reasonable assistance
      (at the cost and expense of Micromet) in pursuing any claims arising out
      of the transportation of Product.

            

    

    

    
      	
              6.9

            	
              Promptly
      following receipt of Product or any sample thereof, Micromet may carry out
      any of the agreed tests outlined or referred to in Schedule
      11.  Subject to Clause 2.4, if such tests show that the
      Product fails to meet Specifications, Micromet shall give Lonza written
      notice thereof within  [***]  from the date of
      Delivery and shall return samples of such Product to Lonza’s premises for
      further testing and Micromet shall store the remainder of Product in
      quarantine.  In the absence of such written notice and subject
      to any hidden defect which did not appear in the tests carried out by
      Micromet in accordance with Schedule 11,
      Product shall be deemed to have been accepted by Micromet as meeting the
      Specifications.  Subject to Clause 2.4, if Product returned to
      Lonza fails to meet the Specifications and if such failure is not due (in
      whole or in part) to acts or omissions of Micromet or any Third Party
      after Delivery,  [***] shall at  [***]
      discretion  [***] that  [***] to  [***] of
      such  [***] or  [***] and  [***] and
      further  [***] all  [***] regarding
      the  [***] to  [***] In the event  [***]
      to  [***] such  [***] shall use  [***]
      to  [***] with the  [***] to its  [***]
      to  [***] in the  [***]
..

            

    

    

    
      	
              6.10

            	
              Subject
      to Clause 2.4, if there is any dispute concerning whether Product returned
      to Lonza fails to meet the Specifications or whether such failure is due
      (in whole or in part) to acts or omissions of Micromet or any Third Party
      after Delivery, such dispute shall be referred for decision to an
      independent expert (acting as an expert and not as an arbitrator) to be
      appointed and paid in accordance with Clause 4.3 (i)
  above.

            

    

    

    
      	
              6.11

            	
              The
      provisions of Clauses 6.9 and 6.10 shall be the sole remedy available to
      Micromet in respect of Product that fails to meet the
      Specifications.

            

    

     

    
      	
              7. 

            	
              Price
      and Terms of Payment

            

    

    

    
      	
              7.1

            	
              Unless
      otherwise indicated in writing by Lonza, all prices and charges are
      exclusive of Value Added Tax or of any other applicable taxes, levies,
      imposts, duties and fees of whatever nature imposed by or under the
      authority of any government or public authority, which shall be paid by
      Micromet (other than taxes on Lonza’s income).  Payments shall
      be made in accordance with the Terms of Payment in Schedule 3
      hereto.  Lonza will provide to Micromet in regular intervals
      upon amendments to the Project Plan updated payment plans.  All
      invoices are strictly net and payment must be made
      within  [***]  of date of invoice.  Payment
      shall be made without deduction, deferment, set-off, lien or counterclaim
      of any nature.

            

    

       

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

    
      
         

      

      
        17

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

        

      
        	
                7.2 

              	
                In
      default of payment on due
date:

              

      

    

    

    
      	
               
      

            	
              (a)

            	
              interest
      shall accrue on any amount overdue at the rate
      of  [***]  above the base lending rate from time to
      time of National Westminster Bank plc, interest to accrue on a day to day
      basis both before and after judgment;
and

            

    

    

    
      	
               
      

            	
              (b)

            	
              Lonza
      shall, at its sole discretion, and without prejudice to any other of its
      accrued rights, be entitled to suspend the provision of the Works and
      Services or to treat this Agreement as repudiated on not less
      than  [***]  prior notice in writing to Micromet given
      at any time thereafter.

            

    

     

    
      	
              8. 

            	
              Intellectual
      Property

            

    

    

    
      	
              8.1

            	
              Neither
      Party will, as a result of this Agreement, acquire any right, title, or
      interest in any Intellectual Property that the other Party owns or
      Controls as of the Effective Date, or that the other Party obtains
      ownership or Control of separate and apart from the performance of the
      Works and Services under this
Agreement.

            

    

    

    
      	
              8.2

            	
              [***]
      acknowledges and agrees that, subject to Clause 8.3, any and
      all  [***] shall  [***] shall promptly and
      fully  [***] all  [***] to  [***]
      and  [***] to  [***] that  [***]
      and  [***] or  [***] may  [***]
      and  [***] and  [***] to  [***] to
      the  [***] of  [***]
    and  [***]

            

    

    

    
      	
              8.3

            	
              [***]  shall
      own all right, title and interest in  [***]  which as
      used in this Agreement means Intellectual Property that  [***] ,
      contractors or agents develops, conceives, invents, reduces to practice or
      makes in the course of performance of the Works and Services and that (i)
      arises from or relates to  [***]  or  [***]
      ; and (ii) is severable from
      the  [***]  and  [***] ; and (iii) does not
      reveal or disclose the  [***] , or Works and Services performed
      under this Agreement.   [***]  shall
      provide  [***]  with a general description of
      any  [***] Intellectual Property in the event that any is
      developed, in order to enable  [***]  to make an
      assessment as to whether  [***]  would like to use
      the  [***] Intellectual Property under the  [***]
      .

            

    

    

    
      	
              8.4

            	
              Except
      for and not including the  [***] Intellectual Property, Micromet
      shall own all right, title, and interest in any and all  [***]
      and  [***] that  [***] conceives, invents, reduces to
      practice, develops or makes, solely or jointly with Micromet or others, in
      the course of performance of the Works and Services or as a result
      of  [***] of  [***] or  [***] (collectively,
      the " [***] Intellectual
      Property"). [***] hereby assigns and transfers to Micromet and
      shall continue to assign and transfer to  [***] of its right,
      title and interest in any  [***] Intellectual Property,
      and  [***] hereby accepts such assignment and transfer. [***]
      shall promptly disclose  [***] in writing all  [***]
      Intellectual Property. [***] shall execute, and shall
      require  [***] personnel  [***] to execute, any
      documents required to confirm  [***] ownership of the
      New  [***] Intellectual Property, and any documents required to
      apply for, maintain and enforce any patent or other right in
      the  [***] Intellectual
      Property.  Upon  [***] request and at  [***]
      and at  [***] shall assist  [***] as may be necessary
      to apply for, maintain and enforce any patent or other right in the
      [***]  Intellectual Property.  For the avoidance of
      doubt, the Parties agree that the term " [***] Intellectual Property"
      shall not under any circumstances be interpreted or defined to include any
      " [***] Intellectual Property".

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
    

      

    

    
      
         

      

      
        18

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              8.5

            	
              In
      relation only to
      the  [***]  and  [***]  (and no
      other product),  [***]  hereby grants  [***]
      , and  [***]  hereby
      accepts  [***]  under and to all  [***]
      Intellectual Property, to the extent such  [***] Intellectual
      Property are necessary or useful to research, develop, have developed,
      conduct clinical trials for, formulate, manufacture, have manufactured,
      test, seek regulatory approval for, market, have marketed, commercialize,
      have commercialized, make, have made, use, sell, have sold import, have
      imported and distribute and have
      distributed  [***]  or  [***]
      .  For the avoidance of doubt, the nature of the above exclusive
      licence is as follows:

            

    

    

    
      	
               
      

            	
              ·

            	
              [***]  ownership
      of  [***] Intellectual Property as set
      out  [***]  is not
affected;

            

    

    

    
      	
               
      

            	
              ·

            	
              [***]  use
      of the  [***] Intellectual Property is limited to use on
      the  [***]  and  [***] ;
  and

            

    

    

    

    
      	
               
      

            	
              ·

            	
              [***]  can
      grant further licences of the  [***] Intellectual Property to
      any third party, but may not do so in relation to
      the  [***]  and the  [***]
  .

            

    

    

     [***]  is
entitled to  [***] to (i) Third Parties registered and operating, with
respect of the manufacturing of Product,  [***]  and (ii)
Third Parties  [***]   [***]  assessed and
approved by  [***]  on a case-by-case basis, such approval
by  [***]  not be unreasonably withheld or
delayed.   [***]  shall execute all documents, give all
declarations regarding the licenses granted under this Clause 8.5 and reasonably
cooperate with  [***]  to the extent such documents,
declarations and/or cooperation are required for the recordal or registration of
the licenses granted hereunder at the various patent offices for the benefit
of  [***]  and
at  [***]  cost.

    

    
      	
              8.6

            	
              The
      Parties shall reasonably assist each other in defending themselves against
      a Third Party claim which would impair the exploitation
      of  [***]  Patent Rights,  [***]
      Intellectual Property and/or  [***]  Intellectual
      Property for the production of the Product.  Each Party shall
      furnish the other with timely written notice of any and all infringements
      and other unauthorized uses by any other person, firm, corporation or
      other entity of any of  [***]  Patent
      Rights,  [***] Intellectual Property or  [***]
      Intellectual Property.  Furthermore, the Parties shall promptly
      inform each other in the event either Party receives notice from any Third
      Party or becomes otherwise aware that
      the  [***]  Patent Rights, the  [***]
      Intellectual Property or the  [***] Intellectual Property may
      infringe Third Party Intellectual
Property.

            

    

    

    
      	
              8.7

            	
              In
      relation only to
      the  [***]  and  [***]  (and no
      other product), to the extent that Lonza Technology (a) is incorporated
      within the  [***]  or  [***] , or (b) has
      been used in the manufacture of
      the  [***]  or  [***] , Lonza hereby grants
      Micromet, and Micromet hereby accepts
      a  [***]  license under and to Lonza Technology, to
      research, develop, have developed, conduct clinical trials for, formulate,
      manufacture, have manufactured, test, seek regulatory approval for,
      market, have marketed, commercialize, have commercialized, make, have
      made, use, sell, have sold import, have imported and distribute and have
      distributed  [***]  or  [***]
      .  For the avoidance of doubt, the nature of the above licence
      is as follows:

            

    

    

    
      	
               
      

            	
              (i)

            	
              Lonza’s
      ownership of Lonza Technology is not affected, and except as set out in
      item (iv) below,  [***] ;

            

    

    

    
      	
               
      

            	
              (ii)

            	
              There
      is no  [***]  to
Micromet;

            

    

    

    
      	
               
      

            	
              (iii)

            	
              Micromet’s
      use of the Lonza Technology is limited to use on the Product and Modified
      Product; and

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        19

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
               
      

            	
              (iv)

            	
              Lonza
      shall not  [***] in relation to the  [***] and
      the  [***] .

            

    

     

    
      	
              9. 

            	
              Warranties
      and Indemnification

            

    

    

    
      	
              9.1 

            	
              Lonza
      warranty:  Lonza warrants
that:

            

    

    

    
      	
               
      

            	
              (a)

            	
              the
      Works and Services shall be performed in accordance with Clause
      2;

            

    

    

    
      	
               
      

            	
              (b)

            	
              unencumbered
      title (save for any Intellectual Property which may exist) to Product and
      Results will be conveyed to Micromet upon
  Delivery;

            

    

    

    
      	
               
      

            	
              (c)

            	
              on
      the Effective Date the Lonza Technology is owned by Lonza or Lonza is
      otherwise entitled to use it for the purposes of providing Works and
      Services under this Agreement and during the term of this Agreement Lonza
      shall not do or cause anything to be done which would adversely affect
      their ownership or entitlement to use the same for those
      purposes;

            

    

    

    
      	
               
      

            	
              (d)

            	
              Lonza
      has the necessary corporate authorisations to enter into this
      Agreement;

            

    

    

    
      	
               
      

            	
              (e)

            	
              on
      the Effective Date and to the best of Lonza's knowledge and belief in the
      context of absence of data regarding the Micromet Process, the estimated
      timescales, dates for production, delivery etc., as set out in the Project
      Plan, are realistic, provided, however,
      that Micromet
      reasonably cooperates with Lonza and provides the permissions necessary to
      progress, and Lonza has the resources available which are required to
      perform the Works and Services in a timely
  manner;

            

    

    

    
      	
               
      

            	
              (f)

            	
              on
      the Effective Date and to the best of Lonza's knowledge and believe in the
      context of absence of data regarding the Micromet Process, no additional
      work is required to achieve the
Deliverables;

            

    

    

    
      	
               
      

            	
              (g)

            	
              on
      the Effective Date to the best of Lonza’s knowledge and belief, the use by
      Lonza of the Lonza Process (excluding any modifications or steps made or
      developed by Micromet, the Micromet Materials and Micromet Technology) and
      Lonza Technology for the performance of the Works and Services as provided
      herein will not infringe any rights (including without limitation any
      intellectual or industrial property rights) vested in any Third Party
      (provided, however,
      that Micromet shall waive any breach of this warranty which arises
      if a court of competent jurisdiction determines that the use by Lonza of
      the Lonza Process, the Lonza Technology for the Works and Services
      infringes the Intellectual Property of a Third Party, provided that and for so long as
      Lonza actually indemnifies Micromet pursuant to Clause 9.4
      below);

            

    

    

    
      	
               
      

            	
              (h)

            	
              subject
      to Clause 2.4, the Product will meet the
  Specifications;

            

    

    

    
      	
               
      

            	
              (i)

            	
              Lonza
      shall not use the Micromet Confidential Information, Micromet Materials,
      the Micromet Technology, the Process and the  [***] Intellectual
      Property for any purposes other than the Works and Services to be
      performed for Micromet hereunder;
and

            

    

    

    
      	
               
      

            	
              (j)

            	
              Lonza
      will notify Micromet in writing immediately if it receives or is notified
      of a claim from a Third Party that the use by Lonza of the Process and/or
      the Lonza Technology or  [***] Intellectual Property for Works
      and Services infringes any Intellectual Property vested in such Third
      Party.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

           

      

    

    
      
         

      

      
        20

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              9.2 

            	
              Micromet
      warranty:  Micromet warrants
  that:

            

    

    

    
      	
               
      

            	
              (a)

            	
              on
      the Effective Date to the best of Micromet's knowledge and belief,
      Micromet has the right to supply the Cell Line, the Micromet Process, the
      other Micromet Materials and the Micromet Technology to Lonza and the
      necessary rights to licence or permit Lonza to use the same for the
      purpose of the Works and Services;

            

    

    

    
      	
               
      

            	
              (b)

            	
              Micromet
      has the necessary corporate authorisations to enter into this
      Agreement;

            

    

    

    
      	
               
      

            	
              (c)

            	
              any
      of the Cell Line, the Micromet Process, other Micromet Materials, and
      Micromet Technology not owned by Micromet are licensed to Micromet under a
      licence which will permit their use by Lonza to perform the Works and
      Services;

            

    

    

    
      	
               
      

            	
              (d)

            	
              Micromet
      has the right to disclose the Micromet Confidential Information and to
      allow the use of the Micromet Confidential Information by Lonza for the
      purposes of and in accordance with the terms of this Agreement, and the
      disclosure of the Micromet Confidential Information from Micromet to Lonza
      and the use of such Micromet Confidential Information by Lonza in
      accordance with the terms of this Agreement does not
      constitute  [***] ;

            

    

    

    
      	
               
      

            	
              (e)

            	
              Micromet
      has agreed to indemnify  [***]  regarding the transfer
      of Micromet Technology and Micromet Materials and such indemnification
      obligations correspond to (or go beyond) the obligations in Section 3.6 of
      the  [***] ;

            

    

    

    
      	
               
      

            	
              (f)

            	
              on
      the Effective Date and to the best of Micromet's knowledge and belief, the
      timescales as set out in the Project Plan are realistic and Micromet will
      be able to provide the Micromet Technology and the Micromet Materials to
      perform the Works and Services in a timely
  manner;

            

    

    

    
      	
               
      

            	
              (g)

            	
              on
      the Effective Date and to the best of Micromet's knowledge and belief, no
      additional work is required to achieve the
  Deliverables;

            

    

    

    
      	
               
      

            	
              (h)

            	
              on
      the Effective Date and to the best of Micromet's knowledge and belief, the
      use by Lonza of the Cell Line, the Micromet Process, other Micromet
      Materials and the Micromet Technology for the Works and Services
      (including without limitation the manufacture of the Product and excluding
      any modifications or steps made or developed by Lonza and the Lonza
      Technology) will not infringe any Intellectual Property of any Third Party
      (provided, however,
      that Lonza shall waive any breach of this warranty which arises if
      a court of competent jurisdiction determines that the use by Lonza of the
      Cell Line, other Micromet Materials or the Micromet Technology for the
      Works and Services infringes the Intellectual Property of a Third Party,
      provided that and
      for so long as Micromet actually indemnifies Lonza pursuant to Clause 9.5
      below);

            

    

    

    
      	
               
      

            	
              (i)

            	
              the
      Micromet Process had been used to manufacture Product in accordance with
      cGMP and the Specifications; and

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

      

    
   

    
      
         

      

      
        21

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
               
      

            	
              (j)

            	
              Micromet
      will promptly notify Lonza in writing if it receives or is notified of a
      claim from a Third Party that the Cell Line, the Micromet Process, other
      Micromet Materials, the Micromet Confidential Information, Micromet
      Technology or that the use by Lonza thereof for the provision of the Works
      and Services infringes any Intellectual Property of such Third
      Party.

            

    

    

    
      	
               
      

            	
              For
      the avoidance of doubt, Section 3.3 of
      the  [***]  does in no way limit the warranties given
      under this Clause 9.2.

            

    

    

    
      	
              9.3

            	
              Disclaimer:  THE
      WARRANTIES EXPRESSLY SET FORTH IN THIS AGREEMENT ARE IN LIEU OF ALL OTHER
      WARRANTIES, AND, EXCEPT FOR THE WARRANTIES EXPRESSLY SET FORTH IN THIS
      AGREEMENT, ALL OTHER WARRANTIES, BOTH EXPRESS AND IMPLIED, ARE EXPRESSLY
      DISCLAIMED, INCLUDING WITHOUT LIMITATION ANY WARRANTY OF MERCHANTABILITY
      OR FITNESS FOR A PARTICULAR
PURPOSE.

            

    

    

    
      	
              9.4

            	
              Indemnification by
      Lonza: Subject to Clause 9.6 below, Lonza shall defend,
      indemnify and hold harmless each of Micromet, its Affiliates, and their
      directors, officers, and employees and the successors and assigns of any
      of the foregoing (each a "Micromet Indemnitee")
      from and against any Third Party claims, actions, liabilities, costs and
      expenses (including court costs and legal fees on a full indemnity basis)
      that Micromet may suffer arising directly out
of

            

    

    

    
      	
               
      

            	
              (a)

            	
              any
      breach of the warranties given by Lonza in Clause 9.1 above;
      or

            

    

    

    
      	
               
      

            	
              (b)

            	
              any
      claims alleging that Lonza’s use of the Lonza Process (i.e., claims which
      do not allege that the Micromet Process is infringing), the Lonza
      Technology and/or  [***] Intellectual Property (i.e., claims
      which do not allege that the use of  [***]  and/or
      the  [***]  is infringing) infringes any rights
      (including without limitation any Intellectual Property) vested in a Third
      Party (whether or not Lonza knows or ought to have known the same), provided that there
      shall be excluded from this indemnity all Micromet revenue;
    or

            

    

    

    
      	
               
      

            	
              (c)

            	
              any
      negligent or willful act or omission of Lonza in relation to the
      Product.

            

    

     

    
      	
              9.5

            	
              Indemnification by
      Micromet:  Subject to Clause
      9.6 below, Micromet shall defend, indemnify and hold harmless each of
      Lonza, its Affiliates, and their directors, officers, and employees and
      the successors and assigns of any of the foregoing (each a "Lonza Indemnitee") from
      and against any Third Party claims, actions, liabilities, costs and
      expenses (including court costs and legal fees on a full indemnity basis),
      that Lonza may suffer arising directly out
of

            

    

    

    
      	
               
      

            	
              (a)

            	
              any
      breach of the warranties given by Micromet in Clause 9.2 above;
      or

            

    

    

    
      	
               
      

            	
              (b)

            	
              any
      claims alleging Lonza’s use of the Cell Line, the Micromet Process, the
      Micromet Materials or the Micromet Technology infringes any rights
      (including, without limitation, any Intellectual Property) vested in any
      Third Party (whether or not Micromet knows or ought to have known about
      the same) provided
      that there shall be excluded from this indemnity all Lonza actual
      or potential revenues other than those which are an integral part of any
      Price or fees which Micromet is obliged to pay to Lonza under this
      Agreement; or

            

    

    

    
      	
               
      

            	
              (c)

            	
              any
      negligent or wilful act or omission of Micromet in relation to the
      Product; or

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        22

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
               
      

            	
              (d)

            	
              any
      claims raised by  [***]  against Lonza under Section
      3.6 (b) and/or (c) of the  [***] , and any claims resulting from
      an early termination of
      the  [***]  by  [***] , provided that
      Micromet is not required to indemnify Lonza of such claims under Clause
      9.4 above.

            

    

    

    
      	
              9.6

            	
              Indemnification
      Procedure: If a Lonza Indemnitee or Micromet Indemnitee (the
      "Indemnitee")
      intends to claim indemnification under this Clause 9, it shall promptly
      notify the other Party (the "Indemnitor") in writing
      of such alleged liability.  The Indemnitor shall have the right
      to control the defence thereof with counsel of its choice as long as such
      counsel is reasonably acceptable to Indemnitee; provided, however, that
      any Indemnitee shall have the right to retain its own counsel at its own
      expense, for any reason, including if representation of any Indemnitee by
      the counsel retained by the Indemnitor would be inappropriate due to
      actual or potential differing interests between such Indemnitee and any
      other Party reasonably represented by such counsel in such
      proceeding.  The Indemnitee, its employees and agents, shall
      reasonably cooperate with the Indemnitor and its legal representatives in
      the investigation of any liability covered by this Clause
      9.  The obligations of this Clause 9.6 shall not apply to
      amounts paid in settlement of any claim, demand, action or other
      proceeding if such settlement is effected without the consent of the
      Indemnitor, which consent shall not be withheld or delayed
      unreasonably.  The failure to deliver written notice to the
      Indemnitor within a reasonable time after the commencement of any such
      action, if prejudicial to its ability to defend such action, shall relieve
      the Indemnitor of any obligation to the Indemnitee under this Clause
      9.  It is understood that only Lonza or Micromet may claim
      indemnity under this Clause 9 (on its own behalf or on behalf of its
      Indemnitees), and other Indemnitees may not directly claim indemnity
      hereunder.

            

    

    

    
      	
              9.7

            	
              Disclaimer of Consequential
      Damages:  Subject to the second sentence of this Clause
      9.7, in no event shall either Party be liable to the other Party for
      incidental, indirect, special, punitive or consequential damages arising
      from or related to breach of this Agreement.  The foregoing
      disclaimer of damages shall not apply in the case of (a) breach of Clause
      10 (Confidentiality), (b) personal injury or death, or (c) grossly
      negligent or intentionally wrongful acts or
  omissions.

            

    

    

    
      	
              9.8

            	
              Limitation of
      Liability:  Subject to clause 9.7 and to the second
      sentence of this clause 9.8, in no event shall Lonza’s liability to
      Micromet for direct damages arising from or related to breach of this
      Agreement exceed the total maximum aggregate sum payable under this
      Agreement by Micromet.  The foregoing limitation of liability
      shall not apply in the case of (a) breach of clause 10 (Confidentiality),
      (b) personal injury or death, or (c) negligent or intentionally wrongful
      acts or omissions.

            

    

    

    
      	
              9.9

            	
              Insurance:  Lonza
      and Micromet shall obtain and maintain during the term of this Agreement
      and for  [***]  thereafter general liability insurance
      with a reputable and solvent insurance provider in the amount
      of  [***]  per event or linked events.  Such
      general liability insurance shall insure against all mandatory liability
      including liability for personal injury, physical injury and property
      damage.  The Parties shall provide each other with written proof
      of the existence of such insurance upon
request.

            

    

    

    
      	
              9.10

            	
              [***] :  In
      order to execute this Agreement, Micromet has required Lonza to enter into
      the  [***] .  Micromet acknowledges and agrees that
      Lonza has no liability to Micromet under this Agreement or otherwise,
      should any action or step be taken by  [***]  and/or
      Lonza in compliance with the  [***]
..

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        23

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              10. 

            	
              Confidentiality

            

    

    

    
      	
              10.1

            	
              Micromet
      acknowledges that Lonza Confidential Information, and Lonza acknowledges
      that Micromet Confidential Information (jointly the "Confidential
      Information") with which they are supplied by the other pursuant to
      the Agreement are supplied, subject to Clause 10.5, in circumstances
      imparting an obligation of confidence and each agrees to keep such
      Confidential Information secret and confidential and to respect the
      other's proprietary rights therein and not at any time for any reason
      whatsoever to disclose or permit such Confidential Information to be
      disclosed to any Third Party save as expressly provided
      herein.

            

    

    

    
      	
              10.2

            	
              Micromet
      and Lonza shall each procure that all their respective employees,
      consultants, contractors and persons for whom it is responsible having
      access to Lonza Confidential Information or Micromet Confidential
      Information shall be subject to the same obligations of confidence as the
      principals pursuant to Clauses 10.1 and 10.3 and shall be bound by secrecy
      agreements in support of such
obligations.

            

    

    

    
      	
              10.3

            	
              Lonza
      and Micromet each undertake not to disclose or permit to be disclosed to
      any Third Party other than to those of its officers, employees, agents,
      consultants, licensees and financial investors that have a need to know
      the Confidential Information of the disclosing Party for purposes of this
      Agreement, provided
      that such disclosure will be made under a confidentiality
      non-disclosure agreement comprising of terms at least as stringent as the
      confidentiality provisions under this Clause 10.  Furthermore,
      Micromet will be entitled to disclose the Process and the terms and
      conditions of this Agreement to (i) potential licensees or collaboration
      partners regarding the Product, and to (ii) potential acquirers of
      Micromet, provided,
      however, that such potential licensees, collaboration partners or
      acquirers are in an advanced due diligence stage, that such disclosure is
      necessary to evaluate the respective project, that such potential licensee
      or collaboration partner is one of the fifty (50) leading pharmaceutical
      companies in the world, based on annual sales, and has its headquarters in
      the permitted territories listed in Schedule 12
      (but may not be disclosed to Affiliates outside these permitted
      territories) and that such disclosure will be made under a confidentiality
      non-disclosure agreement comprising of terms at least as stringent as the
      confidentiality provisions under this Clause 10.  With respect
      to any other potential licensees, collaboration partners and acquirers
      disclosure can only be made upon Lonza's prior written consent, such
      consent not to be unreasonably withheld or delayed.  The Parties
      shall take responsibility for any infringement of confidentiality by any
      Third Party to which the receiving Party discloses Confidential
      Information of the disclosing
Party.

            

    

    

    
      	
              10.4

            	
              Notwithstanding
      Clause 10.3, Lonza and Micromet each undertake not to otherwise make use
      of or permit to be made use of the Confidential Information of the other
      Party or except to the extent that the same is required to be disclosed
      pursuant to subpoena, court order, judicial process or otherwise by law,
      provided that the
      receiving Party provides prompt notice to the disclosing Party of such
      requirement in order to give the disclosing Party an opportunity to timely
      seek a protective order or other appropriate judicial
      relief.  In the event the disclosing Party is unable to obtain a
      protective order or other appropriate judicial relief, the receiving Party
      shall disclose only that portion of the disclosing Party’s Confidential
      Information which is legally required to be disclosed, and ensure that all
      such Confidential Information of the disclosing Party shall be redacted to
      the fullest extent permitted by law prior to such disclosure and that the
      disclosing Party shall be given an opportunity to review the Confidential
      Information prior to its
disclosure.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        24

        
          

        

      

      
         

      

    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              10.5

            	
              The
      obligations of confidence referred to in this Clause 10 shall not extend
      to any information for which the receiving Party can prove by written
      evidence that:

            

    

    

    
      	
               
      

            	
              (a)

            	
              it
      was or became generally available to the public otherwise than by reason
      of a breach by the receiving Party of the provisions of this Clause
      10;

            

    

    

    
      	
               
      

            	
              (b)

            	
              it
      was known to the receiving Party and is at its free disposal prior to its
      receipt from the disclosing Party;

            

    

    

    
      	
               
      

            	
              (c)

            	
              it
      was subsequently disclosed to the receiving Party without being made
      subject to an obligation of confidence by a Third
  Party;

            

    

    

    
      	
               
      

            	
              (d)

            	
              Lonza
      or Micromet are required to disclose under any statutory, regulatory or
      similar legislative requirement, subject to the imposition of obligations
      of secrecy wherever possible in that relation;
  or

            

    

    

    
      	
               
      

            	
              (e)

            	
              it
      was developed by any servant or agent of the receiving Party without
      access to or use or knowledge of the information by the disclosing
      Party.

            

    

    

    
      	
              10.6 

            	
              The
      Parties acknowledges that:

            

    

    

    
      	
               
      

            	
              (a)

            	
              without
      prejudice to any other rights and remedies that the Parties may have, the
      Parties agree that the Lonza Confidential Information and Micromet
      Confidential Information is valuable and that damages may not be an
      adequate remedy for any breach of the provisions of this Clause
      10.  The Parties agree that the relevant Party will be entitled
      without proof of special damage to seek the remedies of an injunction and
      other equitable relief for any actual or threatened breach by the other
      Party;

            

    

    

    
      	
               
      

            	
              (b)

            	
              save
      as provided herein Lonza shall not at any time have any right, title,
      licence or interest in or to the Micromet Technology or any other
      Intellectual Property vested in Micromet or to which Micromet is entitled;
      and

            

    

    

    
      	
               
      

            	
              (c)

            	
              save
      as provided herein Micromet shall not at any time have any right, title,
      licence or interest in or to Lonza Confidential Information, the Lonza
      Technology or any other Intellectual Property relating to the Process
      which are vested in Lonza or to which Lonza is otherwise
      entitled.

            

    

    

    
      	
              10.7

            	
              All
      Confidential Information is and shall remain the sole and exclusive
      property of the disclosing Party.  The receiving Party agrees
      that upon termination of this Agreement and subject to Micromet's right to
      retain certain Confidential Information under the Technology Transfer and
      License Agreement, within  [***]  thereafter, the
      receiving Party shall:  (a) cease any use of the Confidential
      Information, including any  [***] , and all copies of the
      foregoing or any portion thereof, in whatever form or medium stored, and
      (b) transfer all Confidential Information of the disclosing Party,
      including all documents, samples, summaries, extracts, records or other
      materials that contain any Confidential Information, in whatever form or
      medium stored, to the disclosing Party or its designee, and such designee
      shall be subject to legally binding nondisclosure and use restrictions
      that are at least as restrictive as the terms of this Agreement, and (c)
      upon completion of such transfer, certify in writing that such transfer is
      complete.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        25

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

           

    

    
      	
              11. 

            	
              Option
      for  [***]

            

    

     

    
      	
              11.1

            	
              Lonza
      hereby grants to Micromet an option to conclude
      a  [***]  for the  [***] .  The
      terms and conditions of such  [***]  shall be
      negotiated in good faith and based on the conditions provided in Schedule
      13.  On a regular basis during the term of this
      Agreement, Lonza will inform Micromet about the lead times for
      reservations of slots for the  [***]  and the Parties
      will agree on any reasonable updates to Schedule 13, such first update to
      be agreed after establishment of the Process at
  Lonza.

            

    

    

    
      	
              11.2

            	
              Due
      to the need of  [***] , Micromet will  [***]
      for  [***] at the latest  [***] prior to
      the  [***] of  [***] .  In the event that
      such  [***]  is not concluded before regulatory
      approval for the Product is granted, Micromet's option under this Clause
      11 will expire.

            

    

     

    
      	
              12. 

            	
              Termination
      of the Agreement, Termination of Certain Works and Services or
      Slots

            

    

    

    
      	
              12.1

            	
              This
      Agreement shall commence on the Effective Date and shall expire upon
      completion of the Works and Services, unless earlier terminated in
      accordance with this Clause 12.

            

    

    

    
      	
              12.2

            	
              If
      it becomes apparent to either Lonza or Micromet at any stage in the
      provision of the Works and Services that it will not be possible to
      complete the Works and Services for scientific or technical reasons, such
      issue shall be discussed in the Steering Committee and
      a  [***]  period shall be allowed for good faith
      discussion and attempts to resolve such problems or to agree on a mutual
      termination of this Agreement. If such problems are not resolved within
      such period, Micromet shall be entitled to terminate the Agreement
      forthwith by notice in writing and with immediate
      effect.  Furthermore, Micromet may in its sole discretion
      terminate this Agreement in whole or terminate certain Works and Services
      or production slots of the Project Plan at any time for any reason by
      giving not less than  [***]  notice in writing to
      Lonza.  In the event of any such termination outlined above,
      Micromet shall pay to Lonza a termination sum calculated by reference to
      all the Works and Services performed by Lonza prior to such termination
      (including a pro rata proportion of the Price for any stage of the Works
      and Services which is in process at the date of termination) and all
      expenses reasonably incurred by Lonza in giving effect to such
      termination, including the costs of terminating any commitments entered
      into under the Agreement, provided, however, that
      Lonza will make all reasonable efforts to use any materials and services
      intended for Micromet for other purposes.  The termination sum
      shall not exceed the unpaid Price for the stage in process and any prior
      stages and no re-imbursement to Lonza is owed by Micromet in the event
      notice to terminate Works and Services pursuant to this Clause 12.2 is
      issued to Lonza more than  [***]  before Lonza's then
      estimated start date for any stage.

            

    

    

    
      	
              12.3

            	
              In
      the event of termination pursuant to Clause 12.2 and subject to Clauses
      12.5, 12.6 and 12.7 Micromet shall pay Lonza a termination sum regarding
      terminated production slots calculated in accordance with the principles
      of Clause 12.2 above plus:

            

    

    

    
      	
               
      

            	
              (a)

            	
              in
      the event notice to terminate Works and Services pursuant to this Clause
      12.3 is issued to Lonza  [***]  or less before Lonza’s
      then estimated start date for any stage of those Works and Services which
      include activities in Lonza’s cGMP fermentation and/or purification
      facilities (i.e., the cGMP Batches), or is issued to Lonza at any time
      during any such stage, Micromet shall pay Lonza a sum equal
      to  [***]   [***] , which payment to Lonza shall
      become due on the date of termination of such Works and Services;
      or

            

    

        

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

    

    
      
         

      

      
        26

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

           

    

    
      	
               
      

            	
              (b)

            	
              in
      the event notice to terminate Works and Services pursuant to this Clause
      12.3 is issued to Lonza more than  [***]  but not more
      than  [***]  before Lonza’s then estimated start date
      for any stage of those Works and Services which include activities in
      Lonza’s cGMP fermentation and/or purification facilities (i.e. the cGMP
      Batches), Micromet shall pay Lonza a sum equal
      to  [***]   [***] ; which payment to Lonza shall
      become due on the date of termination of such Works and Services;
      or

            

    

    

    
      	
               
      

            	
              (c)

            	
              in
      the event notice to terminate Works and Services pursuant to this Clause
      12.3 is issued to Lonza more than  [***]  but not more
      than  [***]  months before Lonza’s then estimated
      start date for any stage of those Works and Services which include
      activities in Lonza’s cGMP fermentation and/or purification facilities
      (i.e. the cGMP Batches), Micromet shall pay Lonza a sum equal
      to  [***]   [***] ; which payment to Lonza shall
      become due on the date of termination of such Works and
      Services.

            

    

    

    
      	
               
      

            	
              The
      price of the  [***]  shall not include
      the  [***] .  Any  [***]  ordered
      at the time of termination which cannot be used by Lonza for other
      purposes will be paid by Micromet and Micromet may request transfer of
      such  [***]  to
Micromet.

            

    

    

    
      	
               
      

            	
              No
      re-imbursement to Lonza is owed by Micromet in the event notice to
      terminate Works and Services pursuant to this Clause 12.3 is issued to
      Lonza more than  [***]  months before Lonza's then
      estimated start date for any Batch.  Furthermore and for the
      avoidance of doubt, no re-imbursement to Lonza is owed by Micromet in the
      event a  [***] is  [***] but has to  [***]
      to  [***] to a  [***] in the  [***] of
      the  [***] , unless such  [***] is
      subsequently  [***]

            

    

    

    
      	
              12.4

            	
              Lonza
      shall use commercially reasonable efforts to otherwise use any capacities
      and  [***] fully or partly, which have been  [***]
      for  [***] and which are  [***] to
      the  [***] of certain  [***] and  [***] or
      the  [***]   The obligation to make payment under
      Clause12.3 shall be reduced (retrospectively, and hence Lonza shall make
      an appropriate refund to Micromet) to the extent that Lonza mitigates its
      loss in this regard (and Lonza shall promptly notify Micromet of any such
      mitigation).  This provision shall not entitle Micromet to be
      refunded an amount greater than that paid by Micromet to Lonza pursuant to
      this Clause 12 and Lonza shall be entitled to deduct from the amount due
      to be refunded to Micromet its reasonable personnel and associated costs
      in attempting to mitigate its loss.

            

    

    

    
      	
              12.5

            	
              For
      the avoidance of doubt activities relating to cGMP fermentation shall be
      deemed to commence with the date of removal of the vial of cells from
      frozen storage for the performance of the
  fermentation.

            

    

    

    
      	
              12.6

            	
              The
      Parties may each terminate the Agreement forthwith by notice in writing to
      the other Party if the other commits a material breach of the Agreement
      (which shall include a breach of the warranties set out in Clause 9 above)
      which in the case of a breach capable of remedy is not remedied
      within  [***]  in the event of a breach of payment
      obligations, and within  [***]  in the event of any
      other breach, of the receipt by the other of notice identifying the breach
      and requiring its remedy.

            

    

    

    
      	
              12.7

            	
              Micromet
      may terminate this Agreement forthwith by notice in writing to Lonza upon
      the occurrence of any of the following
events:

            

    

    

    
      	
               
      

            	
              (a)

            	
              Lonza
      is unable  [***] set forth in  [***] and
      incurs  [***] for reasons other than  [***]
      the  [***] and/or the  [***] or  [***] in
      accordance with this Agreement; or

            

    

    
      
        
          	
                	
                   [***] (b)

                	
                  the
      use of  [***] for the manufacture of Product [***] provided, however,
      that  [***] pay the termination fees under Clauses 12.2
      and 12.3 above if at  [***] that the [***] ; or [***] (c)

                    Lonza  [***]
      or  [***] of the  [***] or  [***]
      .

                  

                

        

      

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        27

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

           

    

    
      	
              12.8 

            	
              Upon
      the termination of this Agreement for whatever
  reason:

            

    

    

    
      	
               
      

            	
              (a)

            	
              Lonza
      shall promptly return to Micromet all Micromet Know How and shall dispose
      of or return to Micromet the Micromet Materials, the Micromet Cell Line
      and the Micromet Process and any materials therefrom, as directed by
      Micromet;

            

    

    

    
      	
               
      

            	
              (b)

            	
              Micromet
      shall promptly return to Lonza all Lonza Confidential Information it has
      received from Lonza;

            

    

    

    
      	
               
      

            	
              (c)

            	
              Lonza
      shall summarize all Works and Services performed up to the termination of
      the Agreement and provide such summary documents to
    Micromet;

            

    

    

    
      	
               
      

            	
              (d)

            	
              subject
      to Clause 14 below, Micromet shall not thereafter use or exploit the Lonza
      Technology in any way whatsoever;
and

            

    

    

    
      	
               
      

            	
              (e)

            	
              Lonza
      and Micromet shall do all such acts and things and shall sign and execute
      all such deeds and documents as the other may reasonably require to
      evidence compliance with this Clause
12.8.

            

    

    

    
      	
              12.9

            	
              Termination
      of this Agreement for whatever reason shall not affect the accrued rights
      of either Lonza or Micromet arising under or out of this Agreement and all
      provisions which are expressed to survive the Agreement shall remain in
      full force and effect.

            

    

     

    
      	
              13. 

            	
              [***]

            

    

    

    Lonza
agrees that for so long as  [***]  of
the  [***]  for
the  [***]  or  [***] , it shall not, directly or
indirectly:

    

    
      	
               
      

            	
              (a)

            	
              engage
      in, continue in or carry on [***] any  [***] of  [***]
      which contain the same  [***]  as
      the  [***]  or  [***] ,
      including  [***] any  [***] in
      any  [***]  or other form
      of  [***]  which is so
  engaged;

            

    

    

    
      	
               
      

            	
              (b)

            	
              consult
      with, advise or assist in any way, whether or not for consideration, any
      corporation or other business organization which  [***]
      or  [***] containing the same  [***]  as
      the  [***]  or  [***]
  ;

            

    

    

    
      	
               
      

            	
              (c)

            	
              engage
      in any practice the purpose of which is to evade the provisions of
      this  [***] ;

            

    

    

    
      	
               
      

            	
              provided, however, that
      the foregoing prohibition does not extend
      to  [***]  of the  [***]  of
      the  [***] .

            

    

    

    
      	
              14. 

            	
              Technology
      Transfer and License

            

    

    

    
      	
               
      

            	
              At
      any time during the course of this Agreement and  [***] (except
      in the case of  [***] , Micromet has the option to conclude the
      Technology Transfer and License Agreement between Micromet and Lonza
      attached hereto as Schedule 14, in
      order to allow Micromet (or a Third Party designated by Micromet) to
      replicate the Process (as it exists at the date of such request) in the
      manufacture of the Product in order to either establish a second source
      for supply or to transfer manufacturing to a Third Party, provided, however, that
      if Micromet is or has been in insolvency proceedings at the time Micromet
      [***] under this Clause 14, it shall  [***] if  [***]
      by  [***] and/or other  [***] which
      are  [***] and operating, with respect of
      the  [***]  of the  [***] (but not
      by  [***] ,  [***] and/or other  [***]
      ).  Following exercise of the option and
      provided  [***]  of Lonza have been used for the
      manufacture of Product, Lonza shall supply to Micromet such information
      and assist Micromet regarding access to  [***]
      and  [***] , as is agreed
therein.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        28

        
          

        

      

      
         

      

    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              15. 

            	
              Force
      Majeure

            

    

    

    
      	
              15.1

            	
              If
      Lonza is prevented or delayed in the performance of any of its obligations
      under the Agreement by Force Majeure and shall give written notice thereof
      to Micromet specifying the matters constituting Force Majeure together
      with such evidence as Lonza reasonably can give and specifying the period
      for which it is estimated that such prevention or delay will continue,
      Lonza shall be excused from the performance or the punctual performance of
      such obligations as the case may be from the date of such notice for so
      long as such cause of prevention or delay shall
  continue.

            

    

    

    
      	
              15.2

            	
              The
      expression "Force
      Majeure" shall be deemed to include any cause affecting the
      performance by Lonza of the Agreement arising from or attributable to
      acts, events, acts of God, omissions or accidents beyond the reasonable
      control of Lonza.

            

    

     

    
      	
              16. 

            	
              Governing
      Law, Jurisdiction and
Enforceability

            

    

    

    
      	
              16.1

            	
              The
      construction, validity and performance of the Agreement shall be governed
      by the laws of Switzerland.

            

    

    

    
      	
              16.2

            	
              No
      failure or delay on the part of either Lonza or Micromet to exercise or
      enforce any rights conferred on it by the Agreement shall be construed or
      operate as a waiver thereof nor shall any single or partial exercise of
      any right, power or privilege or further exercise thereof operate so as to
      bar the exercise or enforcement thereof at any time or times
      thereafter.

            

    

    

    
      	
              16.3

            	
              Any
      disputes relating to issues arising from this Agreement shall, in the
      absence of resolution within  [***]  of the dispute
      arising, be referred to the  [***]  of Micromet and
      Lonza, who shall discuss the matter and attempt to resolve it by mutual
      consent.  The  [***]  of Micromet and Lonza
      shall meet once face-to-face within  [***]  to discuss
      and resolve the dispute.  If the dispute cannot be resolved
      within  [***] , either Party may, by written notice to the other
      Party, invoke the mediation procedure set out in Clause 16.4
      below.

            

    

    

    
      	
              16.4

            	
              If
      a dispute arises between the Parties that the Parties cannot resolve
      pursuant to Clause 16.3 above, the Parties agree to try to solve such
      dispute amicably by mediation.  The Parties shall conduct a
      mediation procedure according to the ICC ADR Rules of the International
      Chamber of Commerce (ICC) in effect on the date of the commencement of the
      mediation proceedings.  The location of the mediation
      proceedings will be Basel. The number of mediators will be one
      (1).  The language of the mediation proceeding will be
      English.  If the dispute has not been settled pursuant to the
      said rules within  [***]  following the filing of a
      request for mediation or within such other period as the Parties may agree
      in writing, either Party may submit the dispute to final and binding
      arbitration.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
    

      

    

    
      
         

      

      
        29

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              16.5

            	
              Any
      dispute relating to the validity, performance, construction or
      interpretation of this Agreement, which cannot be resolved amicably
      between the Parties, shall be submitted to arbitration in accordance with
      the ICC Arbitration Rules of the International Chamber of
      Commerce.  The decision of the arbitrators shall be final and
      binding upon the Parties (absent manifest error on the part of the
      arbitrator(s)) and enforceable in any court of competent
      jurisdiction.  The location of arbitration will be
      Basel.  The arbitration will be heard and determined by one (1)
      arbitrator, who will be jointly selected by Lonza and
      Micromet.  If, within  [***]  following the
      date upon which a claim is received by the respondent, the Parties cannot
      agree on a single arbitrator, the arbitration will be heard and determined
      by three (3) arbitrators, with one arbitrator being appointed by each
      Party and the third arbitrator being selected by the two Party-appointed
      arbitrators.  If either Party fails to select an arbitrator, or
      if the Party-appointed arbitrators cannot agree on a third arbitrator
      within  [***]  of the respondent receiving the claim,
      such arbitrator will be appointed by the International Court of
      Arbitration according to the ICC Rules.  The arbitration award
      that is consistent with the provisions of this Agreement that is so given
      will be binding upon the Parties, accompanied by a reasoned opinion in
      writing (in English), and the judgment on the award may be entered in any
      court having competent jurisdiction thereof.  Each Party will
      bear its own costs and expenses (including its attorney’s fees) associated
      with any arbitration initiated under this section, and each Party will
      bear an equal share of the arbitrators’ and administrative fees associated
      with any arbitration initiated under this section.  The language
      of the arbitration proceeding will be English.  Notwithstanding
      the provisions of this Clause 16.5, each Party shall have the right to
      seek preliminary or permanent injunctive or other equitable relief in any
      court of competent jurisdiction as such Party deems necessary to preserve
      its rights and to protect its
interests.

            

    

    

    
      	
              16.6

            	
              Nothing
      in this Clause 16 shall prevent a Party from exercising any right under
      this Agreement, including the right of termination under Clause 12
      above.

            

    

     

    
      	
              17. 

            	
              Notices

            

    

    

    
      	
              17.1

            	
              Any
      notice or other communication to be given under this Agreement shall be
      delivered personally or sent by facsimile transmission, or if facsimile
      transmission is not available, by first class pre-paid post addressed as
      follows:

            

    

    

    
      
        	
                (a)

              	
                If
      to Lonza to:

              	
                Lonza
      Sales AG

              
	 
      	 
      	
                Muenchensteinerstrasse
      38

              
	 
      	 
      	
                CH-4402
      Basel

              
	 
      	 
      	
                Switzerland

              
	 
      	 
      	
                Facsimile:
      +41 61 316 8329

              
	 
      	 
      	
                Attention:
      The Head of Legal Services

              
	 
      	 
      	 
      
	 
      	
                with
      a copy to:

              	
                Lonza
      Biologics plc

              
	 
      	 
      	
                228
      Bath Road

              
	 
      	 
      	
                Slough

              
	 
      	 
      	
                Berkshire
      SL1 4DX

              
	 
      	 
      	
                England

              
	 
      	 
      	
                Facsimile:
      +44 1753 777001

              
	 
      	 
      	
                Attention:  The
      Head of Legal Services

              

      

    

        

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
    

          
            
               

            

            
              30

              
                

              

            

            
               

            

          

        

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      
        	
                (b)

              	
                If
      to Micromet to:

              	
                Micromet
      AG

              
	 
      	 
      	
                Staffelseestrasse
      2

              
	 
      	 
      	
                D-81477
      Munich

              
	 
      	 
      	
                Germany

              
	 
      	 
      	
                Facsimile:
      +49-89-895 277 205

              
	 
      	 
      	
                Attention:
      Head of Business Development

              
	 
      	 
      	 
      
	 
      	
                with
      a copy to:

              	
                Micromet,
      Inc.

              
	 
      	 
      	
                6707
      Democracy Boulevard

              
	 
      	 
      	
                Suite
      505

              
	 
      	 
      	
                Bethesda,
      MD 20817

              
	 
      	 
      	
                United
      States of America

              
	 
      	 
      	
                Attention:
      General Counsel

              
	 
      	 
      	
                Facsimile:
      +1 240 752-1425

              

      

    

    

    or to
such other destination as either Party hereto may hereafter notify to the other
in accordance with the provisions of this Clause 17.

    

    
      	
              17.2 

            	
              All
      such notices or other communications shall be deemed to have been served
      as follows:

            

    

    

    
      	
               
      

            	
              (a)

            	
              if
      delivered personally, at the time of such
  delivery;

            

    

    

    
      	
               
      

            	
              (b)

            	
              if
      sent by facsimile, upon receipt of the transmission confirmation slip
      showing completion of the
transmission;

            

    

    

    
      	
               
      

            	
              (c)

            	
              if
      sent by first class pre-paid post, ten (10) business days (Saturdays,
      Sundays and Bank or other public holidays excluded) after being placed in
      the post.

            

    

     

    
      	
              18. 

            	
              Illegality

            

    

    

    
      	
              18.1

            	
              If
      any provision or term of this Agreement or any part thereof shall become
      or be declared illegal, invalid or unenforceable for any reason whatsoever
      including but without limitation by reason of the provisions of any
      legislation or other provisions having the force of law or by reason of
      any decision of any Court or other body or authority having jurisdiction
      over the Parties hereto or this Agreement including the EC Commission or
      the European Court of Justice:

            

    

     

    
      	
               
      

            	
              (a)

            	
              such
      provision shall, so far as it is illegal, invalid or unenforceable, be
      given no effect by the Parties and shall be deemed not to be included in
      this Agreement;

            

    

    

    
      	
               
      

            	
              (b)

            	
              the
      other provisions of this Agreement shall be binding on the Parties as if
      such provision was not included therein;
and

            

    

    

    
      	
               
      

            	
              (c)

            	
              the
      Parties agree to negotiate in good faith to amend such provision to the
      extent possible for incorporation herein in such reasonable manner as most
      closely achieves the intention of the Parties without rending such
      provision invalid or unenforceable.

            

    

     

    
      	
              19. 

            	
              Quality
      Agreement

            

    

    

    
      	
               
      

            	
              Simultaneously
      with the execution of this Agreement, the Parties will enter into a
      separate quality agreement as annexed hereto as Schedule 10
      ("Quality
      Agreement").  The Quality Agreement and its Exhibits
      supplement this Agreement.  To the extent that inconsistencies
      exist between the contents of the Quality Agreement and this Agreement,
      the stipulations of this Agreement shall
  prevail.

            

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        31

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

          

    

    
      	
              20. 

            	
              Miscellaneous

            

    

    

    
      	
              20.1

            	
              Lonza
      shall be entitled to instruct one or more of its Affiliates to perform any
      of Lonza’s obligations contained in this Agreement, but Lonza shall remain
      fully responsible in respect of those obligations.  Subject
      thereto, neither Party shall be entitled to assign, transfer, charge or in
      any way make over the benefit and/or the burden of this Agreement without
      the prior written consent of the other which consent shall not be
      unreasonably withheld or delayed, save that either Party shall be entitled
      without the prior written consent of the other Party to assign, transfer,
      charge, sub-contract, deal with or in any other manner make over the
      benefit and/or burden of this Agreement to a successor of that Party’s
      business by reason of merger, sale or license of all or substantially all
      of its assets related to this Agreement or any other form of
      acquisition.

            

    

    

    
      	
              20.2

            	
              The
      obligations of the Parties under Clauses 8 (Intellectual Property), 9
      (Warranties and Indemnification), 10 (Confidentiality), and 12.8 and 12.9
      (consequences of termination) and 14 (Technology Transfer and License)
      shall survive the termination of this Agreement for any
      reason.

            

    

    

    
      	
              20.3

            	
              The
      press releases that Micromet and Lonza will issue upon execution of this
      Agreement are attached hereto as Schedule
      15.  The text of any further press release or other
      further communication to be published by or in the media concerning the
      subject matter of the Agreement shall require the prior written approval
      of Lonza and Micromet.

            

    

    

    
      	
              20.4

            	
              The
      Agreement embodies the entire understanding of Lonza and Micromet and
      there are no promises, terms, conditions or obligations, oral or written,
      expressed on implied, other than those contained in the
      Agreement.  The terms of the Agreement shall supersede all
      previous agreements (if any) which may exist or have existed between Lonza
      and Micromet relating to the Works and
Services.

            

    

    

    
      	
              20.5

            	
              The
      Parties to this Agreement do not intend that any term hereof should be
      enforceable by any person who is not a Party to this
      Agreement.

            

    

    

    
      	
              20.6

            	
              No
      variation of or addition to this Agreement or any part thereof shall be
      effective unless in writing and signed on behalf of both
      Parties.  Notwithstanding the above the Parties hereby confirm
      that amendments to the Specifications shall be effective if reduced to
      writing and signed by the quality and/or regulatory representative of both
      Parties, which quality and/or regulatory representative shall be nominated
      from time to time by each Party.

            

    

    

    List
of Schedules:

    

    
      
        
          
            	
                    Schedule
      1:

                  	 
      	
                    Micromet
      Materials including Cell Line Particulars

                  
	
                    Schedule
      2:

                  	 
      	
                    Product
      Specifications

                  
	
                    Schedule
      3:

                  	 
      	
                    Prices
      and Terms of Payment

                  
	
                    Schedule
      4:

                  	 
      	
                    Identification
      of Lonza Know How

                  
	
                    Schedule
      5:

                  	 
      	
                    List
      of Lonza Patent
Rights

                  

          

        

      

    

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

      

    

        

    
      
        
           

        

        
          32

          
            

          

        

        
           

        

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

           

         
   

        	
                Schedule
      6:

              	 
      	
                Identification
      of Micromet Know-How

              
	
                Schedule
      7:

              	 
      	
                List
      of Micromet Patent Rights

              
	
                Schedule
      8 A:

              	 
      	
                Project
      Plan up to Stage 30

              
	
                Schedule
      8 B:

              	 
      	
                Project
      Plan for pre-LA (as of Stage 31)

              
	
                Schedule
      9:

              	 
      	
                 [***]  Agreement

              
	
                Schedule
      10:

              	 
      	
                Quality
      Agreement

              
	
                Schedule
      11:

              	 
      	
                Testing
      of Product

              
	
                Schedule
      12:

              	 
      	
                Territories

              
	
                Schedule
      13:

              	 
      	
                Terms
      and Conditions for  [***]

              
	
                Schedule
      14:

              	 
      	
                Technology
      Transfer and License Agreement

              
	
                Schedule
      15:

              	 
      	
                Micromet
      Press Release and Lonza Press
Release

              

      

    

     

    AS
WITNESS the hands of the duly authorised representatives of the Parties hereto
the day and year first above written.

     

    
      
        
          	
                  Micromet
      AG

                	 
      	
                  Lonza
      Sales AG

                
	 
      	 
      	 
      	 
      	 
      
	
                  Signature:

                	
                  /s/ Jens Hennecke

                	 
      	
                  Signature:

                	
                  /s/ Una Hultry

                
	
                  Printed Name:

                	
                  Jens Hennecke

                	 
      	
                  Printed Name:

                	
                  Una Hultry

                
	
                  Title:

                	
                  SVP Business Development

                	 
      	
                  Title:

                	
                  Authorized Signatory

                
	 
      	 
      	 
      	 
      	 
      
	
                  Signature:

                	
                  /s/ Patrick Baeuerle

                	 
      	
                  Signature:

                	
                  /s/ Gerry Kennedy

                
	
                  Printed
      Name:

                	
                  Patrick Baeuerle

                	 
      	
                  Printed
      Name:

                	
                  Gerry Kennedy

                
	
                  Title:

                	
                  SVP, Chief Scientific
    Officer

                	 
      	
                  Title:

                	
                  Authorized
  Signatory

                

        

      

    

        

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        33

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

            

    

    SCHEDULE
1

    

    Micromet Materials including
Cell Line Particulars

    

    [***]

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

       

    SCHEDULE
2

    

    Product
Specifications

    
    

    [***]

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    
    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
   

    

    SCHEDULE
3

    

    Price and Terms of
Payment

    
 

    [***]

        

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
    

    

    SCHEDULE
4

    

    Identification of Lonza Know
How

    (to
be licensed to Micromet under Schedule 14)

     

    [***]

     

    *** Certain confidential information contained in this document, marked by
brackets, has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
 

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
    

    

    SCHEDULE
5

    

    List of Lonza Patent
Rights

    
 

    [***]

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
   

    

    SCHEDULE
6

    

    Identification of Micromet
Know-How

    

    

    [***]

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
    

    

    SCHEDULE
7

    

    List of Micromet Patent
Rights

    

    
      
        
          
            
              
                
                  
                    	
                            Application

                            Number

                          	 
      	
                            Application

                            Filing Date

                          	 
      	 
      	
                            Country

                          	 
      	 
      	
                            Title of Application

                          	 
      	 
      	
                            Status

                          	 
      	 
      	
                            Patent Number

                          	 
      
	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      	 
      

                  

                

              

            

          

        

      

    

    [***]

        

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

      

    
   

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
   

    

    SCHEDULE 8
A

    

    Project
Plan

     

    [***]

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

      

    
    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    
    

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
   

    

    SCHEDULE 8
B

    

    Project Plan for pre-LA (as
of Stage 31)

       

    [***]

       

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
   

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2
   

    

    SCHEDULE
9

    

    [***]  Agreement

    
    

    [***]

         

    
      
        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
    

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    SCHEDULE
10

    

    TO
THE DEVELOPMENT AND SUPPLY AGREEMENT

    Dated
November 23, 2009

     

    LONZA
SALES AG

     

    AND

     

    MICROMET
AG

     

    
      
        

      

       

      QUALITY AGREEMENT

       

      
        

      

       

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    THIS
QUALITY AGREEMENT is made

    

    BETWEEN

    

    
      	
              1.

            	
              LONZA SALES AG, of
      Muenchensteinerstrasse 38, CH-4002, Basel, Switzerland (hereinafter
      referred to as "Lonza")
    and

            

    

    

    
      	
              2.

            	
              MICROMET AG, of
      Staffelstrasse 2, D-81477, Munich, Germany (hereinafter referred to as
      "Micromet")

            

    

    

    WHEREAS:

    

    
      	
              A

            	
              Lonza
      and Micromet have entered into a Development and Supply Agreement pursuant
      to which Lonza agreed to provide Micromet with development, manufacturing
      and supply services ("Works and Services") for
      Micromet's Intermediate Biological (Investigational) Medicinal Product
      (IB(I)MP) MT103 (also known as Blinatumomab) for use as proprietary
      investigational medicinal product (the "Product").

            

    

    

    
      	
              B.

            	
              The
      Parties now wish to further define the pharmaceutical roles and
      responsibilities of each Party for the Manufacture, testing and Release of
      Product with respect to relevant current Good Manufacturing Practices
      ("cGMP") and
      Applicable Laws. Nothing in this Quality Agreement shall limit a Party’s
      obligation to comply with cGMP and Applicable Laws (as defined below) on
      the occasion that Lonza Manufactures Product for Micromet for further
      manufacturing use in the preparation of human drug products for clinical
      trial supply.

            

    

    

    
      	
              C

            	
              This
      Quality Agreement takes the form of a detailed checklist of the activities
      associated with the production, analysis, release, and distribution of
      Product. Responsibility for each activity is assigned to either Lonza
      and/or Micromet in the appropriate box in the delegation responsibility
      checklist that follows. To facilitate routine communications between the
      Parties, a list of key contacts is provided in Annex 1. For each
      responsibility listed, the respective Party is required to put into effect
      all applicable procedures and to take all necessary actions to execute
      that responsibility in accordance with cGMP and Applicable
      Laws.

            

    

    

    
      	
              D.

            	
              The
      Parties wish that Lonza, having particular expertise in the activities
      contained in this Quality Agreement (as defined below), may perform the
      activities and obligations set forth in this Quality
      Agreement.

            

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    Table
of Contents

    

    
      
        
          
            
              	
                      1.

                    	
                      Preface
      / Overall Responsibilities

                    	
                      4

                    
	
                      2.

                    	
                      Definitions
      and Interpretation

                    	
                      5

                    
	
                      3.

                    	
                      Facilities
      / Materials Controls

                    	
                      8

                    
	 
      	
                      3.1

                    	
                      Organization
      and Key Personnel

                    	
                      8

                    
	 
      	
                      3.2

                    	
                      Buildings,
      Facilities, Utilities and Equipment

                    	
                      9

                    
	 
      	
                      3.3

                    	
                      Raw
      Materials Controls

                    	
                      10

                    
	
                      4.

                    	
                      Process
      Controls

                    	
                      11

                    
	 
      	
                      4.1

                    	
                      Cell
      Banks

                    	
                      11

                    
	 
      	
                      4.2

                    	
                      Product
      Specification

                    	
                      11

                    
	 
      	
                      4.3

                    	
                      Production,
      Process Handling and Process Control

                    	
                      11

                    
	 
      	
                      4.4

                    	
                      Product
      Storage, Labeling, Packaging and Shipment

                    	
                      13

                    
	
                      5.

                    	
                      Quality
      Control Laboratories

                    	
                      13

                    
	 
      	
                      5.1

                    	
                      QC
      Laboratory Controls

                    	
                      13

                    
	
                      6.

                    	
                      Quality
      Assurance / Quality Management Systems

                    	
                      15

                    
	 
      	
                      6.1

                    	
                      Complaints,
      Recalls and Adverse Events

                    	
                      15

                    
	 
      	
                      6.2

                    	
                      Batch
      Review and Product Disposition

                    	
                      16

                    
	 
      	
                      6.3

                    	
                      Records
      Retention

                    	
                      16

                    
	 
      	
                      6.4

                    	
                      Deviations
      / Investigation Reports

                    	
                      17

                    
	 
      	
                      6.5

                    	
                      Change
      Control Procedures

                    	
                      17

                    
	
                      7.

                    	
                      Regulatory
      Authorizations and Inspections

                    	
                      18

                    
	 
      	
                      7.1

                    	
                      Regulatory
      Agency Inspections

                    	
                      18

                    
	 
      	
                      7.2

                    	
                      Regulatory
      Authorizations / Submissions

                    	
                      18

                    
	
                      8.

                    	
                      Micromet
      Oversight

                    	
                      19

                    
	 
      	
                      8.1

                    	
                      Audit
      Allowance

                    	
                      19

                    
	 
      	
                      8.2

                    	
                      Periodic
      Review of Quality Agreement

                    	
                      20

                    
	
                      9.

                    	
                      Term

                    	
                      21

                    
	
                      10.

                    	
                      Miscellaneous

                    	
                      21

                    
	 
      	
                      Annex
      1 - Key Contacts

                    	
                      23

                    
	 
      	
                      Annex
      2 - Multi Site Responsibilities Matrix

                    	
                      24

                    
	 
      	
                      Annex
      3 - Additional Considerations  for IB(I)MP Intended for
      Commercial Use

                    	
                      25

                    
	 
      	
                      Annex
      4 - Information to be provided to Micromet

                    	
                      26

                    

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    NOW IT IS
AGREED as follows:

    

    
      	
              1. 

            	
              Preface
      / Overall Responsibilities

            

    

    

    
      	
              1.1

            	
              This
      Quality Agreement outlines the responsibilities of Micromet and Lonza with
      respect to the quality assurance of Product Manufactured by Lonza for
      Micromet under the terms of the Development and Supply Agreement and in
      accordance with cGMP and Applicable
Laws.

            

    

    

    
      	
              1.2

            	
              Micromet
      acknowledges that certain activities and obligations under the Quality
      Agreement may be performed by Lonza’s Affiliates having expertise in the
      relevant areas, provided that (i) Lonza shall remain responsible to
      Micromet for the acts and omissions of their Affiliates; and (ii) Micromet
      is at any time informed which of Lonza's Affiliates is in charge of that
      certain activities and obligations.

            

    

    

    
      	
              1.3

            	
              The
      following delegation responsibility checklist describes generic quality
      activities that are to be performed by both Parties for Product used by
      Micromet for further manufacturing use in the preparation of human drug
      products for clinical trial supply / in market supply.  The
      specific Works and Services to be provided by Lonza are set out in the
      Development and Supply Agreement (and any amendments to the Development
      and Supply Agreement) on Price and other terms accepted by both
      Parties.

            

    

    

    
      	
              1.4

            	
              Lonza
      is responsible for ensuring that the quality requirements for Product are
      as specified in the approved Product Specification and that Product is
      Manufactured in accordance with cGMP and all Applicable
    Laws.

            

    

    

    
      	
              1.5

            	
              Lonza
      is responsible for final review, approval and QP certification of the
      Product for further processing.

            

    

    

    
      	
              1.6

            	
              LONZA
      is responsible for analytical testing of the Product and the further
      processed Drug Product.

            

    

    

    
      	
              1.7

            	
              Micromet
      or its designee is responsible for shipping and the final review, approval
      and Release of the final Drug Product for use in clinical trial
      supply.

            

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      	
              2. 

            	
              Definitions
      and Interpretation

            

    

    

    For
purposes of this Quality Agreement, the following terms shall have the following
meanings unless the context requires otherwise. Capitalized terms used herein
and not defined herein shall have the meaning as defined in the Development and
Supply Agreement.

    

    
      	
               
      

            	
              Applicable
      Laws

            	
              means
      all applicable provisions of all statutes, laws, rules, regulations,
      administrative codes, permits and licenses from regulatory authorities or
      agencies applicable to the Manufacture of the
  Product;

            

    

    

    
      	
               
      

            	
              Batch

            	
              means
      the total Product (Drug Substance) obtained from the fermentation and
      associated purification using the Process and carried out in accordance
      with cGMP and Applicable Laws;

            

    

    

    
      	
               
      

            	
              Batch
      Records

            	
              means
      the completed documentation associated with the manufactured Product on
      each Batch for official and cGMP compliant documentation
      purposes;

            

    

    

    
      	
               
      

            	
              Certification

            	
              means
      a certification of any Batch by a Qualified Person for further processing
      confirming that the Batch is manufactured in accordance with the relevant
      requirements for human use (as defined in Directive 2001/83/EC for
      medicinal products for human use), commonly known as “QP batch
      release”;

            

    

    

    
      	
               
      

            	
              CofA

            	
              means
      Certificate of Analysis;

            

    

    

    
      	
               
      

            	
              CofC

            	
              means
      Certificate of Compliance;

            

    

    

    
      	
               
      

            	
              cGMP

            	
              means
      current Good Manufacturing Practice and general biologics products
      standards as promulgated under the European Commission Directives
      91/356/EEC, as amended by Directive 2003/94/EC, and 91/412EEC
      respectively; the International Committee for Harmonisation (ICH) Q7
      Guideline on Good Manufacturing Practice for Active Pharmaceutical
      Ingredients; the U.S. Federal Food, Drug and Cosmetic Act found in Title
      21 of the U.S. Code of Federal Regulations (CFR), including but not
      limited to Parts 210, 211 and Parts 11, 310 et seq., 600 to 610, the
      European Commission Guidelines of Good Manufacturing Practices for
      Medicinal Products as promulgated under European Directive 2003/94/EC
      (Eudralex – Volume IV) and the respective Japanese directives and
      guidelines by the Japanese authorities, as applicable. Lonza meets EU GMP
      requirements as defined in Eudralex - Volume IV Good Manufacturing
      Guidelines by the European Commission for medicinal products for human and
      veterinary use (EU-GMP Guidelines);

            

    

    

    
      	
               
      

            	
              Development and Supply
      Agreement

            	
              means
      the Development and Supply Agreement to which this
      Quality Agreement is attached as Schedule
  10;

            

    

    
      
      

    

    

    
      	
               
      

            	
              Drug
    Product

            	
              Product
      or a combination of Product with other substances being in its final
      container suitable for administration to human beings (bulk unlabeled and
      final product labeled).

            

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      	
            	
              Drug Product
      Specification

            	
              means
      the specification for Drug Product, set forth under Sections B and C of
      Schedule 2 of the Development and Supply Agreement, and any amendments to
      any of the foregoing specifications regarding the Drug Product as agreed
      upon by the Parties from time to
time;

            

    

    

    
      	
               
      

            	
              Facility/
      Facilities

            	
              means
      the facilities of Lonza where the Product is Manufactured in compliance
      with cGMP and Applicable Laws. Facilities of sub-contractors of Lonza
      shall only be deemed Facilities under this Quality Agreement upon prior
      written approval of Micromet;

            

    

    

    
      	
               
      

            	
              FDA

            	
              means
      U.S. Food and Drug Administration;

            

    

    

    
      	
               
      

            	
              FEFO

            	
              means
      First Expired First Out;

            

    

    

    
      	
               
      

            	
              FIFO

            	
              means
      First In First Out;

            

    

    

    
      	
               
      

            	
              ICH

            	
              means
      International Conference on
Harmonization;

            

    

    

    
      	
               
      

            	
              IB(I)MP

            	
              means
      Intermediate Biological (Investigational) Medicinal Product also known as
      Drug Substance;

            

    

    

    
      	
            	
              Manufacture /
      Manufacturing

            	
              means
      and includes all operations of the Process used by Lonza for the
      production of the Product in accordance with the Product Specification and
      cGMP, i.e., receipt of materials, production, packaging, repackaging,
      labeling, relabeling, quality control, quality assurance, Release, storage
      and distribution of the Product;

            

    

    

    
      	
               
      

            	
              Product

            	
              means
      IB(I)MP of MT103 Manufactured under the Development and Supply Agreement
      in accordance with the Product Specifications, cGMP and Applicable
      Laws;

            

    

    

    
      	
               
      

            	
              Product
      Specification

            	
              means
      the receiving, in-process and finished Product specification for Drug
      Substance, set forth in Section A of Schedule 2 of the Development and
      Supply Agreement applicable to the Product, as amended in accordance with
      the Development and Supply Agreement and this Quality Agreement, and any
      amendments to any of the foregoing specifications regarding the Product as
      agreed upon by the Parties from time to
time;

            

    

    

    
      	
               
      

            	
              Qualified Person/
      QP

            	
              means
      a person qualified pursuant to Applicable Laws confirming that the Batch
      is in accordance with the relevant requirements (as defined in Directive
      2001/83/EC for medicinal products for human
  use);

            

    

    

    
      	
               
      

            	
              Quality
      Agreement

            	
              means
      this Quality Agreement which is attached to the Development and Supply
      Agreement as Schedule 10;

            

    

    

    
      	
               
      

            	
              Raw
      Materials

            	
              means
      all raw materials, supplies, components and packaging necessary to
      Manufacture the Product in accordance with the Product Specification, but
      not including the Product

            

    

    

    
      	
               
      

            	
              Reprocessing

            	
              means
      the process by which a lot or portion of a lot is purified through repeat
      of established and approved Manufacturing steps to produce Product that
      meets appropriate standards, specifications and any other relevant control
      limit criteria;

            

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      	
               
      

            	
              SOP(s)

            	
              means
      the standard operating procedures in effect at Lonza which are applicable
      to the Manufacture of the Product and which comply with cGMP and
      applicable Laws;

            

    

    

    
      	
               
      

            	
              TSE/BSE

            	
              means
      Transmissible Spongiform Encephalopathy / Bovine Spongiform
      Encephalopathy.

            

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      3.            
Facilities
/ Materials Controls

    

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    	
                                            3.1          Organization and Key Personnel

                                          
	 
	
                                            Lonza Responsibility

                                          	 	
                                            Micromet Responsibility

                                          
	 	 	 
	
                                            ·     Will
      maintain a quality unit that is independent of the production unit and has
      the responsibility and authority to approve or reject components, Raw
      Materials/ [***], bulk packaging materials, Product, SOPs, master Batch
      Records, deviation/investigations, and executed production Batch
      Records.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      provide and document initial and on-going cGMP and process specific
      technical training of employees involved in GMP
operations.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      ensure that the use of consultants is supported by documented verification
      that the consultant(s) has(have) the sufficient education, training,
      experience, or any combination thereof, to advise on the subject for which
      they are retained.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Ensure
      and allocate adequate number of personnel have appropriate training,
      skills, knowledge and experience to perform and supervise the Manufacture
      and testing of the Product and the Drug Product in accordance to cGMP and
      Applicable Laws.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      ensure that responsibilities and procedures applicable to the quality unit
      are documented in writing and consistently followed.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      conduct internal audits of all relevant activities to ensure compliance
      with cGMP and applicable SOPs. Audit findings and corrective actions will
      be documented, brought to the attention of Lonza’s Facility management,
      and resolved in a timely and effective manner.

                                          	 	
                                            N/A

                                          

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    	
                                            3.2           Buildings,
      Facilities, Utilities and Equipment

                                          
	 
	
                                            Lonza Responsibility

                                          	 	
                                            Micromet Responsibility

                                          
	 	 	 
	
                                            ·     Ensure
      Facilities, premises, environment, utilities, equipment and computerised
      systems are properly designed, validated and maintained in accordance with
      cGMP and Applicable Laws.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      be responsible for ensuring that any Facility owned and operated by a
      sub-contractor who performs GMP relevant work operates in compliance with
      cGMP and Applicable Laws. Will inform Micromet in advance of its intent to
      sub-contract. Will sub-contract only upon written approval from Micromet
      for sub-contracting.

                                          	 	
                                            ·     Approval
      of Facilities.

                                          
	 	 	 
	
                                            ·     Provide
      a list, upon request, to Micromet of any sub-contractors used to perform
      GMP operations, or GMP support operations.

                                          	 	
                                            ·     Review
      list.

                                          
	 	 	 
	
                                            ·     Maintain
      controlled access to Facilities.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Via
      change control will notify Micromet as soon as reasonably practicable of
      any known changes in ownership of sub-contractors used by Lonza (See Change Control Section
      under Section 6.5 for further details).

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Ensures
      appropriate separation and controls are in place for operation of
      multi-product Facilities. An example of a multi site responsibilities
      matrix is attached hereto as Annex 2.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Review
      data provided by Micromet.

                                          	 	
                                            ·     Upon
      request, will provide Lonza with Product data/samples required to conduct
      cleaning studies.

                                          
	 	 	 
	
                                            ·     Label
      and store any Product dedicated equipment to adequately prevent unintended
      use for other products.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Maintain
      an environmental water and clean steam monitoring program to ensure
      compliance with environmental monitoring regulations and
    SOPs.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      qualify, maintain and calibrate equipment and utility services associated
      with Manufacturing the Product in accordance with cGMP, Applicable Laws,
      and SOPs.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      ensure, via validation or verification, that cleaning processes carried
      out on Product contact surfaces between batches of different products and
      Raw Materials/[***] are adequate to prevent contamination.

                                          	 	
                                            N/A

                                          
	 	 	 
	
                                            ·     Will
      maintain complete and accurate cleaning and use logs of equipment used for
      the Manufacture of Product

                                          	 	
                                            N/A

                                          

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      
                                        	
                                                3.3           Raw
      Materials Controls

                                              
	 
	
                                                Lonza Responsibility

                                              	 	
                                                Micromet Responsibility

                                              
	 	 	 
	
                                                ·     Source,
      test and release Raw Materials and/or primary packaging of appropriate
      quality for processing of Product

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Ensure
      that all animal derived Raw Materials used for Product are appropriately
      tested in line with cGMP and Applicable Laws.

                                              	 	
                                                ·     As
      applicable, provide information to Lonza on any known animal derived Raw
      Materials requested for use in the Manufacturing.

                                              
	 	 	 
	
                                                ·     Assess
      and approve Suppliers of Raw Materials and components in accordance with
      the relevant Lonza SOPs.

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Retain
      representative samples of critical Raw Materials, as appropriate and in
      accordance with the relevant SOP(s) and cGMP for retention
      samples;

                                                  

                                                ·     Store,
      under appropriate conditions, a quantity sufficient to perform at least
      two (2) full analyses, according to the relevant SOP.

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Establish
      and maintain specifications for GMP materials as per SOPs.

                                              	 	
                                                ·     As
      applicable, specify any special requirements for specifications of GMP
      materials used in the process.

                                              
	 	 	 
	
                                                ·     Utilize
      either FEFO or FIFO strategy for consumption of GMP
    materials.

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Use
      Product bulk packaging and labelling information specified by
      Micromet;

                                                  

                                                ·     If
      not specified by Micromet, utilize Lonza generic bulk packaging and
      labelling configurations as per SOP(s).

                                              	 	
                                                ·     Approve Product bulk
      packaging and information on the label

                                              
	 	 	 
	
                                                ·     Will
      be responsible for maintenance of specifications of the Raw Materials /
      [***].

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                N/A

                                              	 	
                                                ·     Will
      approve all sources of Raw Materials/ [***] and other materials used in
      the process.

                                              
	 	 	 
	
                                                ·     Will
      be responsible for procurement, storage, sampling, testing, release,
      assigning expiration or re-test dating, and maintaining records for each
      delivery of Raw Materials/[***].

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Will
      maintain a program to audit (if required) and qualify suppliers
      of  critical Raw Materials/ [***] used in the Manufacturing
      of   Product to ensure full compliance with cGMP and
      Applicable Laws and to verify the status of Raw Materials/[***] of animal
      origin with respect to Transmissible Spongiform Encephalopathy (TSE)
      issues.

                                              	 	
                                                N/A

                                              

                                      

                                    

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    4.    
        Process Controls

    

    
      
        
          
            
              
                
                  
                    
                      
                        	
                                4.1          Cell
      Banks

                              
	 
	
                                Lonza Responsibility

                              	 	
                                Micromet Responsibility

                              
	 	 	 
	
                                ·     Review
      and approve characterisation data and store working stock of
      Cell Banks in accordance with the Development and Supply Agreement
      and Applicable Laws.

                              	 	
                                ·     Supply
      Cell Banks and characterisation data.

                              
	 	 	 
	
                                ·     Discuss
      any unexpected result with Micromet and agree action(s) to be
      taken.

                              	 	
                                ·     If
      Cell Banks are tested by any other organisation other than Lonza, any
      unexpected results must be reported to Lonza within
  [***].

                              
	 	 	 
	
                                ·     Review
      data.

                              	 	
                                ·     Provide
      shipping validation for shipping container used to ship Cell
      Banks.

                              
	 	 	 
	
                                ·     Will
      store the [***] (as well as the [***] [***] after generation through
      Lonza) [***].

                              	 	
                                N/A

                              
	 	 	 
	
                                ·     Prepare,
      characterize and store [***] per SOPs.

                              	 	
                                N/A

                              

                      

                    

                  

                

              

            

          

        

      

    

    

    
      
        
          
            
              
                
                  	
                          4.2          Product
      Specification

                        
	 
	
                          Lonza Responsibility

                        	 	
                          Micromet Responsibility

                        
	 	 	 
	
                          ·     Jointly
      review, approve  and issue the following
      Product Specification(s) as required per Development and Supply
      Agreement:

                           

                          ·     IB(I)MP

                           

                          ·     Drug
      Product.

                           

                        	 	
                          ·     Jointly
      review and approve, via the Micromet approval form, the following
      Product Specification(s) as required per Development and Supply
      Agreement:

                           

                          ·     IB(I)MP

                           

                          ·     Drug
      Product.

                           

                          ·     Complete
      review, resolution of any questions and approval of Product Specification
      within [***] from date of receipt or within another timeline that has been
      mutually agreed by Micromet and Lonza.

                        
	 	 	 
	
                          ·     In
      accordance with Lonza Quality Standard GROUP-2500, jointly review, approve
      and issue the master certification documents (e.g. CofA, CofC...etc), as
      required per Micromet.

                        	 	
                          ·     Review
      and approve, via the Micromet approval form, the required master
      certification documents, as applicable;

                           

                          ·     Complete
      review, resolution of any questions and approval of master product
      certification documents within [***] from date of receipt or within
      another timeline that has been mutually agreed by Micromet and
      Lonza.

                        

                

              

            

          

        

      

    

    

    
      
        
          
            
              
                
                  	
                          4.3           Production,
      Process Handling and Process Control

                        
	 
	
                          Lonza Responsibility

                        	 	
                          Micromet Responsibility

                        
	 	 	 
	
                          ·     Prepare,
      approve and maintain process documents relating to facility, equipment and
      test methods.

                        	 	
                          N/A

                        
	 	 	 
	
                          ·     Will
      develop, optimize and scale up Manufacturing processes in compliance with
      the requirements set forth in the guideline ICH Q8,R1 (Pharmaceutical
      Development) and make use of Quality by Design.

                        	 	
                          N/A

                        

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      
                                        	
                                                ·     Will
      perform quality risk management as Part of development in compliance with
      the requirements set forth in chapter II.3 of the guideline ICH Q9
      (Pharmaceutical Development) and therefore will:

                                                 

                                                ·     assess
      the critical attributes of Raw Materials;

                                                 

                                                ·     identify
      critical process parameters and establish manufacturing
      controls.

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Will
      compile a development report in a form suitable for incorporation into
      regulatory submissions (i.e. IMPD/IND).

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Will
      ensure that Product Manufactured is appropriately tested according to
      agreed upon sampling and testing plans, Product Specification and approved
      procedures.

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Jointly
      review, approve and issue process descriptions.

                                              	 	
                                                ·     Complete
      review of technical content, resolution of any questions and approval of
      process description within [***] from date of receipt or within another
      timeline that has been mutually agreed by Micromet and Lonza. Approval to
      be captured via the Micromet approval Form;

                                                 

                                                ·     Subsequent
      updates to technical content will be captured by change control (see under Section 6.5
      below).

                                              
	 	 	 
	
                                                ·     Prepare
      master Batch Records for each processing step and make available for
      Micromet to review during audit or other mutually defined
      frequency.

                                              	 	
                                                ·     Review
      master Batch Records for accuracy of technical content for each processing
      step and agree.

                                              
	 	 	 
	
                                                ·     Define
      specifications and perform in-process controls and testing
      program.

                                              	 	
                                                ·     Agree
      in-process testing strategy.

                                              
	 	 	 
	
                                                ·     With
      Micromet, define process validation plans and timing for Product including
      analytical validation and stability studies;

                                                 

                                                ·     Annex 3 contains
      additional considerations for Product intended for commercial
      use.

                                              	 	
                                                ·     With
      Lonza, define process validation plans and timing for Product including
      analytical validation and stability studies;

                                                 

                                                ·     Annex 3 contains
      additional considerations for Product intended for commercial
      use.

                                              
	 	 	 
	
                                                ·     Designate
      unique Batch numbers for Raw Materials, process materials and
      Product.

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Maintain
      the Specifications file for Product

                                                 

                                                ·     Notify
      Micromet of any changes to the Specifications file;

                                                 

                                                ·     Assurance
      of consistency of current Specifications file and IMPD/ IND versions and
      notify Micromet.

                                              	 	
                                                N/A

                                              
	 	 	 
	
                                                ·     Unless
      due to emergency whereby product integrity is at risk, Lonza will not
      Reprocess Product without prior notification and written approval of
      Micromet.

                                              	 	
                                                ·     If
      notification received prior to Reprocessing by Lonza, complete review,
      resolution of any questions and approval of Reprocessing requests within
      [***];

                                                 

                                                ·     Following
      emergency Reprocessing by Lonza, complete review, resolution of any
      questions and approval of Reprocessing deviation/investigation within
      [***].

                                              

                                      

                                    

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            	
                    ·     Provide
      documented reason and justification for Reprocessing
event.

                  	 	
                    N/A

                  
	 	 	 
	
                    ·     With
      Micromet, agree the appropriate testing required prior to the release of
      processed or Reprocessed Product.

                  	 	
                    ·     With
      Lonza, agree the appropriate testing required prior to the release of
      processed or Reprocessed
Product.

                  

          

        

      

    

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      	
                                              4.4           Product
      Storage, Labeling, Packaging and Shipment

                                            
	 
	
                                              Lonza Responsibility

                                            	 	
                                              Micromet Responsibility

                                            
	 	 	 
	
                                              ·     Will
      maintain procedures to ensure Product is stored under appropriate
      environmental conditions as defined by Micromet.

                                            	 	
                                              ·     Specify
      to Lonza all applicable storage requirements for
  Product.

                                            
	 	 	 
	
                                              ·     Store,
      label and package (including transport packaging) Product as defined in
      the Product Specification.

                                            	 	
                                              N/A

                                            
	 	 	 
	
                                              ·     Notify
      Micromet of proposed shipment date.

                                            	 	
                                              ·     Agree
      shipment date.

                                            
	 	 	 
	
                                              ·     Ship
      Product on behalf of Micromet to locations designated by
      Micromet.

                                            	 	
                                              ·     Acknowledge
      receipt of Product in writing within [***] of receipt.

                                            
	 	 	 
	
                                              ·     Provide
      generic shipping validation data, where available, for Product if
      requested by Micromet.

                                            	 	
                                              ·     Provide
      Product specific shipping validation OR, where applicable, request in
      writing to utilize Lonza generic shipping validation for
      Product.

                                            
	 	 	 
	
                                              ·     If
      Product is to be shipped under quarantine ensure written confirmation
      received from Micromet to authorise shipment of Product under quarantine
      prior to shipment.

                                            	 	
                                              ·     Provide
      Lonza with written confirmation to authorise shipment of Product under
      quarantine.

                                            

                                    

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    5.           
Quality Control Laboratories

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            	
                                    5.1          QC
      Laboratory Controls

                                  
	 
	
                                    Lonza Responsibility

                                  	 	
                                    Micromet Responsibility

                                  
	 	 	 
	
                                    ·     Assess
      and approve contract testing laboratories for Raw Material, Cell Banks,
      Product Release testing and Drug Product testing.

                                  	 	
                                    N/A

                                  
	 	 	 
	
                                    ·     Notify
      Micromet of contract testing laboratories used for Product Release testing
      and Drug Product testing.

                                  	 	
                                    ·     Agree
      proposed use of contract testing laboratories.

                                  
	 	 	 
	
                                    ·     Audit
      contract testing laboratories in accordance with GxP guidelines and
      confirm audit to Micromet in writing.

                                  	 	
                                    N/A

                                  
	 	 	 
	
                                    ·     Facilitate audit by Micromet
      if requested.

                                  	 	
                                    ·     May
      perform audits of Lonza contract testing laboratories providing Micromet
      is authorized to do so by the contract laboratory and accompanied by a
      Lonza representative.

                                  
	 	 	 
	
                                    ·     Review
      and approve Micromet strategy and deliverables for establishing analytical
      methods for process.

                                     

                                  	 	
                                    ·     Define
      strategy and deliverables for establishing analytical methods to be used
      in support of process, including:

                                     

                                    o     Methods to be
      developed by Lonza;

                                     

                                    o     Methods to be
      transferred to Lonza from
external

                                  

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              	
                                      ·     Will
      submit any proposed major changes to analytical methods related to the
      testing of Product and Drug Product to Micromet for review and approval
      prior to the implementation of such changes. Change request notification
      and approval will be documented according to the applicable
      SOP.

                                    	 	
                                      ·     Will
      submit any proposed major changes to analytical methods related to the
      Drug Product and Product to Lonza for review and approval prior to the
      implementation of such changes. Change request notification and approval
      will be documented.

                                    
	 	 	 
	
                                      ·     Will
      not implement proposed major changes until written approval is received
      from Micromet.

                                    	 	
                                      N/A

                                    
	 	 	 
	
                                      ·     Will
      be responsible for performing [***] identification test on each lot of Raw
      Materials in accordance with approved analytical methods and
      specifications, compendial methods and SOPs.

                                    	 	
                                      N/A

                                    
	 	 	 
	
                                      ·     Will
      be responsible for performing all in-process testing in accordance with
      approved procedures.

                                    	 	
                                      N/A

                                    
	 	 	 
	
                                      ·     Will
      provide Micromet with a Certificate of Analysis and a Certificate of
      Compliance as well as a QP Certification statement individually or as
      combined documentation.

                                    	 	
                                      N/A

                                    
	 	 	 
	
                                      ·     Perform
      Product and Drug Product testing against Product and Drug Product
      Specification.

                                    	 	
                                      N/A

                                    
	 	 	 
	
                                      ·     Notify
      Micromet of confirmed out of Specification results (OOS) regarding Product
      Release testing and Drug Product testing.within target of [***], not to
      exceed [***], of the OOS being confirmed.

                                    	 	
                                      ·     Complete
      review, resolution of any questions and approval of investigation reports
      within [***] regarding any out of Specification result (OOS) of Product
      and Drug Product

                                       

                                      ·     For
      target specifications agree impact on quality and safety of Product and
      Drug Product.

                                    
	 	 	 
	
                                      ·     Will
      provide Micromet with a written report on the investigation and resolution
      of the OOS test result within [***] of confirmation of the result, unless
      granted approval by Micromet for a longer period.

                                    	 	
                                      N/A

                                    
	 	 	 
	
                                      ·     Take
      bulk Product retention samples from each Batch with sufficient volume for
      at least [***] full biochemical Product Specification analyses for
      use in the event of an investigation on Product Released for clinical
      trial supply.

                                    	 	
                                      ·     Define
      number of samples required to complete full biochemical
      analysis.

                                    
	 	 	 
	
                                      ·     Store
      retains under appropriate conditions for the period defined in
      SOPs.

                                    	 	
                                      N/A

                                    
	 	 	 
	
                                      ·     Upon
      completion of sample retention period notify Micromet of option to either
      destroy or ship retention in accordance with SOPs.

                                    	 	
                                      ·     Within
      [***] respond in writing to Lonza and approve destruction of samples or
      request receipt of
samples.

                                    

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            	
                                    ·     Jointly
      agree to analytical method development and/or method transfer strategy for
      Product and Drug product testing;

                                     

                                    ·     Strategy
      to include deliverables for all applicable methods to be developed,
      validated, transferred and qualified, as applicable.

                                  	 	
                                    ·     Jointly
      agree to analytical method development and/or method transfer strategy for
      Product testing;

                                     

                                    ·     Strategy
      to include deliverables for all applicable methods to be developed,
      validated, transferred and qualified, as applicable.

                                  
	 	 	 
	
                                    ·     Will
      be responsible for qualifying and maintaining all laboratory equipment
      used for all testing applicable to the Manufacture of
    Product.

                                  	 	
                                    N/A

                                  
	 	 	 
	
                                    ·     Perform
      Product stability testing according to Development and Supply
      Agreement;

                                     

                                    ·     Prepare
      stability protocols.

                                  	 	
                                    ·     Jointly
      define stability testing requirements and responsibilities;

                                     

                                    ·     Approve
      stability protocols.

                                  
	 	 	 
	
                                    ·     Notify
      Micromet within target of [***], not to exceed [***], of any confirmed
      stability failure of the Product at the intended storage
      temperature.

                                  	 	
                                    ·     Acknowledge
      receipt of Lonza notification, in writing, within
[***].

                                  
	 	 	 
	
                                    ·     Prepare,
      characterise and store Product reference standard per
SOPs.

                                  	 	
                                    ·     Agree
      to reference characterisation package.

                                  
	 	 	 
	
                                    ·     Provide
      reference standard characterisation report to Micromet.

                                  	 	
                                    ·     Agree
      to reference characterisation package.

                                  
	 	 	 
	
                                    ·     Store
      characterised Product reference standard under appropriate conditions as
      per SOPs.

                                  	 	
                                    ·     Supply
      characterised Product reference standard with
      Certificate of Analysis.

                                  

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    6.            
Quality Assurance / Quality Management Systems

    

    
      
        
          
            
              
                
                  
                    	
                            6.1          Complaints,
      Recalls and Adverse Events

                          
	 
	
                            Lonza Responsibility

                          	 	
                            Micromet Responsibility

                          
	 	 	 
	
                            ·     Upon
      request, support Micromet in their Product complaint or adverse event
      investigations for events possibly related to Lonza;

                             

                            ·     Jointly
      agree to investigation plan, actions and time lines for response, as
      applicable.

                          	 	
                            ·     Receive
      and investigate Product complaint and adverse events and request Lonza
      support, as applicable;

                             

                            ·     Jointly
      agree to investigation plan, actions and time lines for response, as
      applicable;

                             

                            ·     Responsible
      for all notifications to regulatory agencies, as applicable, related to
      product complaints or adverse events.

                          
	 	 	 
	
                            ·     Upon
      request, support Micromet in activities related to Product recall where
      recall relates to Lonza.

                          	 	
                            ·     Responsible
      for decision to initiate a Product recall;

                             

                            ·     Responsible
      for overall management of Product recall
  activities.

                          

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          	
                                  6.2          Batch
      Review and Product Disposition

                                
	 
	
                                  Lonza Responsibility

                                	 	
                                  Micromet Responsibility

                                
	 	 	 
	
                                  ·     Review
      Batch Record for compliance to cGMP, SOPs and the Product
      Specification.

                                	 	
                                  N/A

                                
	 	 	 
	
                                  ·     Will
      provide Micromet upon its request, one (1) agreed copy of Product Batch
      documentation for each production Batch (as detailed in Annex 4). This will
      include Product analysis as defined in the Product Specification, a
      summary of Batch related deviations, environmental monitoring summaries,
      TSE / BSE statements, Certificate of Compliance, Release certificate.
      Proprietary information such as media and feed preparations may be
      excluded. Lonza to provide information directly to regulatory
      authorities.

                                	 	
                                  N/A

                                
	 	 	 
	
                                  ·     Prepare
      Certificate of Analysis for Product as specified by
      Micromet.

                                	 	
                                  N/A

                                
	 	 	 
	
                                  ·     Responsible
      for Certification of Product to Micromet "for use in further
      manufacturing" of clinical trial materials by a Qualified
      Person.

                                	 	
                                  ·     Responsible
      for Certification of Product for use in clinical trials and/or markets
      supplied (unless otherwise specified contractually with
      Lonza).

                                

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    
      
        
          
            
              
                
                  
                    	
                            6.3          Records
      Retention

                          
	 
	
                            Lonza Responsibility

                          	 	
                            Micromet Responsibility

                          
	 	 	 
	
                            ·     Retain
      records associated with Manufacture of Product and testing of Product and
      Drug Product, including records associated with the inspection and Release
      of Raw Materials and primary packaging components, for minimum of [***]
      from date of Manufacture of Product.

                          	 	
                            N/A

                          
	 	 	 
	
                            ·     Notify
      Micromet of intent to destroy records with option to send records (Lonza
      proprietary information will be omitted) to Micromet

                             

                            OR

                             

                            ·     Agree
      terms with Micromet for future storage.

                          	 	
                            ·     Approve
      destruction or request receipt of
records.

                          

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        16

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  
                    
                      
                        	
                                6.4          Deviations
      / Investigation Reports

                              
	 
	
                                Lonza Responsibility

                              	 	
                                Micromet Responsibility

                              
	 	 	 
	
                                ·     Deviation
      handling, investigation and clarification of any cell culture
      contamination, any deviation potentially bearing a risk of a defective
      batch run, potential loss of a batch due to technical defects or operator
      errors

                                 

                                ·     General
      deviation handling in accordance with Lonza procedures, initiate
      deviations/investigations, evaluate and define follow up actions and final
      approval of deviations / investigation reports.

                              	 	
                                N/A

                              
	 	 	 
	
                                ·     Notify
      Micromet of all significant deviations within target of [***], not to
      exceed [***] of the event;

                                 

                                ·     A
      significant deviation is as defined as per Lonza’s relevant
      SOPs;

                                 

                                ·     Upon
      request, provide Micromet with copy of draft report of significant
      deviation for review and comments.

                              	 	
                                ·     Acknowledge
      receipt of significant deviation draft report, in writing, within
      [***];

                                 

                                ·     Provide
      any questions/comments to draft Lonza report within
  [***].

                              
	 	 	 
	
                                ·     Notify
      Micromet of failed Batches within target of [***], not to exceed [***] of
      failure being identified.

                              	 	
                                ·     Acknowledge
      receipt of failure investigation draft report, in writing, within
      [***];

                                 

                                ·     Provide
      any questions/comments to draft Lonza report within
  [***].

                              
	 	 	 
	
                                ·     Within
      target of [***], not to exceed [***], notify Micromet of any events noted
      which may impact Batches previously shipped or Released;

                                 

                                ·     Upon
      request, provide Micromet with copy of draft report of noted deviation for
      review and comments.

                              	 	
                                ·     Acknowledge
      receipt of notification, in writing, within [***];

                                 

                                ·     Provide
      any questions/comments to draft Lonza report within
  [***].

                              

                      

                    

                  

                

              

            

          

        

      

    

    

    
      
        
          
            
              
                
                  
                    
                      	
                              6.5           Change
      Control Procedures

                            
	 
	
                              Lonza Responsibility

                            	 	
                              Micromet Responsibility

                            
	 	 	 
	
                              ·     For
      a Product specific change proposed by Micromet: process change through
      change control and notify Micromet of change approval.  If
      change rejected discuss reasons for rejection with
    Micromet.

                            	 	
                              ·     Propose
      Micromet changes and provide rationale in writing.

                            
	 	 	 
	
                              ·     Will
      provide Micromet with all information required to evaluate the proposed
      changes and, if necessary, obtain amended clinical trial applications, as
      applicable.

                            	 	
                              N/A

                            
	 	 	 
	
                              ·     Lonza
      will not implement major changes (i.e., changes which are relevant for
      regulatory approval) until written change request approval is received
      from Micromet.

                            	 	
                              ·     Approval of major change or
      rejection.

                            
	 	 	 
	
                              ·     For
      major changes proposed by Lonza, Lonza will provide Micromet with all
      information required to evaluate such proposed changes and, if necessary,
      to obtain amended clinical trial applications, as
    applicable.

                            	 	
                              N/A

                            

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        17

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                	
                        ·     Notify
      Micromet, through change control, of any proposed changes to Product or
      process specific attributes prior to implementation.

                      	 	
                        ·     Complete
      review, resolution of any questions and approval within [***] of receipt
      of change controls.

                      
	 	 	 
	
                        ·     Inform
      Micromet of changes to key personnel.

                      	 	
                        N/A

                      
	 	 	 
	
                        ·     Notify
      Micromet, through change control, of relevant changes to major equipment,
      premises and utilities used for Manufacture of Product.

                      	 	
                        ·     Acknowledge
      receipt of notification, in writing, within [***].

                      
	 	 	 
	
                        ·     With
      Micromet, define strategy for notifying change to regulatory agency
      as appropriate.

                      	 	
                        ·     With
      Lonza, define strategy for notifying changes
      to regulatory agency as
appropriate.

                      

              

            

          

        

      

    

    

    7.            
Regulatory Authorizations and Inspections

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          	
                                  [***]      [***]

                                
	 
	
                                  Lonza Responsibility

                                	 	
                                  Micromet Responsibility

                                
	 	 	 
	
                                  ·     Provide
      Micromet with daily verbal debriefs of inspection scope during
      inspections.

                                	 	
                                  ·     Provide
      required technical, quality and regulatory representatives on site for
      pre-approval inspections, as agreed with Lonza;

                                   

                                  ·     Provide
      up to [***] ([***] to be agreed by Lonza) to be present directly in
      meetings with agency inspectors.

                                
	 	 	 
	
                                  ·     Provide
      copies of inspection reports and notify Micromet of proposed responses and
      corrective action plans regarding the Product, process or systems relating
      to Product.

                                	 	
                                  ·     Agree
      on proposed inspection responses to observations relevant to
      Product.

                                
	 	 	 
	
                                  ·     Inform
      Micromet of any regulatory agency inspections at
    Facilities.

                                	 	
                                  ·     For
      regulatory agency inspections regarding Product provide assistance to
      Lonza.

                                
	 	 	 
	
                                  ·     Notify
      Micromet of inspection observations (including deficiency letters)
      regarding the Product, process or systems relating to the
      Product.

                                	 	
                                  ·     Agree
      on proposed inspection responses to observations relevant to
      Product.

                                
	 	 	 
	
                                  ·     Will
      permit an employee and/ or consultant and/or successor of Micromet or
      Micromet's sublicensee(s) to be present as silent
observer.

                                	 	
                                  N/A

                                
	 	 	 
	
                                  ·     Will
      appropriately and promptly correct verifiable complaints of regulatory
      agencies;

                                   

                                  ·     Will
      implement appropriate actions as agreed upon by the
    Parties.

                                	 	
                                  ·     Agree
      on proposed actions to complaints by regulatory
  agencies.

                                

                        

                      

                    

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        18

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    
      

      
        
          
            
              
                
                  
                    	
                            7.2           Regulatory
      Authorizations / Submissions

                          
	 
	
                            Lonza Responsibility

                          	 	
                            Micromet Responsibility

                          
	 	 	 
	
                            ·     Maintain
      all licenses and authorizations as are required by Applicable Laws to
      operate a cGMP pharmaceutical bulk manufacturing, packaging, and/or
      testing facility.

                          	 	
                            N/A

                          
	 	 	 

                  

                

              

            

          

        

      

    

    
      
        
          
            
              
                
                  
                    	
                            ·     Will
      provide copies of all documentation necessary for Micromet to respond to
      inquiries by regulatory agencies relating to Product.

                          	 	
                            ·     Will
      provide copies of all documentation necessary for Lonza to respond to
      inquiries by regulatory agencies relating to Product.

                          
	 	 	 
	
                            ·     Provide
      data pack to Micromet covering activities performed by Lonza (Lonza
      proprietary information will be omitted) for review and
      comment;

                             

                            ·     Provide
      Micromet with final copy of data pack.

                          	 	
                            ·     Review
      and comment on draft data pack.

                          
	 	 	 
	
                            ·     For
      US submissions, provide letter authorising cross referral to [***] if
      requested by Micromet.

                          	 	
                            ·     Provide
      Lonza with copy of relevant sections of regulatory application as
      submitted to regulatory agency.

                          
	 	 	 
	
                            ·     Review
      and comment on relevant sections of Micromet’s regulatory
      application.

                          	 	
                            ·     Prepare
      and provide Lonza with copy of relevant sections of regulatory application
      for review and comment prior to submission to regulatory
      agency.

                          
	 	 	 
	
                            N/A

                          	 	
                            ·     Provide
      Lonza with copy of relevant sections of regulatory application as
      submitted to regulatory agency.

                          
	 	 	 
	
                            ·     Attend
      teleconferences and meetings between Micromet and regulatory agencies
      arranged to specifically discuss topics relating to Lonza’s
      responsibilities, if requested by Micromet.

                          	 	
                            ·     Arrange
      for Lonza personnel to have option to attend teleconferences and meetings
      between Micromet and regulatory agencies to specifically discuss
      topics relating to Lonza’s
responsibilities.

                          

                  

                

              

            

          

        

      

    

    

    8.           
 Micromet Oversight

    

    
      
        
          
            
              
                	
                        8.1          Audit
      Allowance

                      
	 
	
                        Lonza Responsibility

                      	 	
                        Micromet Responsibility

                      
	
                        ·     [***] standard
      cGMP compliance audit permitted per [***] and per [***], not to exceed
      [***] and [***];

                         

                        ·     Will
      permit Micromet's Person-in-Plant (PiP) observe Works and Services in
      accordance with the Development and Supply Agreement;

                         

                        ·     Micromet
      may request ‘for cause’ audits and investigations to address Product
      quality issues after prior notification.

                      	 	
                        ·     Provide
      reasonable notice of intention to audit;

                         

                        ·     Hold
      an exit meeting to discuss observations;

                         

                        ·     Provide
      an audit report within [***] of completion of audit.

                      
	 	 	 
	
                        ·     Permit
      Micromet representatives or third parties commissioned by Micromet for a
      permitted audit to have access to GMP warehousing, manufacturing areas,
      laboratories and Manufacturing documents including all standard operating
      procedures (Lonza proprietary information will be omitted) for audit
      purposes;

                         

                        ·     Micromet
      representatives to be escorted at all times by Lonza
      personnel.

                      	 	
                        N/A

                      

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    

    
      
         

      

      
        19

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                	
                        ·     Per
      lot, allow a [***] on site review for up to [***] to review completed
      process Batch Records, if requested by Micromet.

                      	 	
                        ·     Per
      lot, provide reasonable notice of intention to review executed Batch
      Records.

                      
	 	 	 
	
                        ·     Provide
      a written response to all audit findings that require corrective action
      within [***] of receipt of the audit report.  Response to
      include expected timelines.

                      	 	
                        N/A

                      
	 	 	 
	
                        ·     Will
      appropriately and promptly correct any defects found by audits and
      inspections and take any necessary action.

                      	 	
                        N/A

                      
	 	 	 
	
                        ·     The
      QP responsible for final Release or [***] is entitled to attend all
      production campaigns of Product at the Facility as detailed in the
      Development and Supply Agreement.

                      	 	 
      

              

            

          

        

      

    

    

    
      
        
          
            
              
                
                  
                    	
                            8.2          Periodic
      Review of Quality Agreement

                          
	 
	
                            Lonza Responsibility

                          	 	
                            Micromet Responsibility

                          
	 	 	 
	
                            ·     Jointly
      review Quality Agreement and revise, as necessary, at least every
      [***].

                          	 	
                            ·     Jointly
      review Quality Agreement and revise, as necessary, at least every
      [***].

                          
	 	 	 
	
                            ·     Written
      approval from both Parties for any amendments to the Quality
      Agreement.

                          	 	
                            ·     Written approval from both
      Parties for any amendments to the Quality Agreement.

                          
	 	 	 
	
                            ·     Will
      provide revision control of the Quality Agreement and issue a revised
      document as appropriate.

                          	 	
                            N/A

                          

                  

                

              

            

          

        

      

    

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        20

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      	
              9.

            	
              Term

            

    

    

    This
Quality Agreement becomes effective on the Effective Date of the Development and
Supply Agreement and runs for the term of the Development and Supply Agreement.
This Quality Agreement automatically terminates upon expiry or termination of
the Development and Supply Agreement, unless the Parties agree to extend the
Quality Agreement.

    

    
      	
              10.

            	
              Miscellaneous

            

    

    

    
      	
              10.1

            	
              Sections
      1 (Definitions and Interpretation), 5 (Inspections; Person in Plant), 10
      (Confidentiality), 15 (Force Majeure), 16 (Governing Law, Jurisdiction and
      Enforceability), 17 (Illegality) and 20.1 (Affiliates; Assignment) of the
      Development and Supply Agreement shall also apply to this Quality
      Agreement.

            

    

    

    
      	
              10.2

            	
              In
      case of conflicts between this Quality Agreement and the Development and
      Supply Agreement, the provisions of the Development and Supply Agreement
      shall govern and control.

            

    

    

    
      	
              10.3

            	
              No
      variation of or addition to this Quality Agreement or any part thereof
      shall be effective unless in writing and signed on behalf of both
      Parties.  Notwithstanding the above the Parties hereby confirm
      that amendments to the Product Specification and the Drug Product
      Specifications shall be effective if reduced to writing and signed by the
      quality and/or regulatory representative of both Parties, which quality
      and/or regulatory representative shall be nominated from time to time by
      each Party.

            

    

    

    AS
WITNESS the hands of the duly authorised representatives of the
Parties.

    

    
      
        
          
            
              
                	
                        Micromet
      AG

                      	 	
                        Lonza
      Sales AG

                      
	 
      	 	 
      
	
                        Signature:

                      	
                           /s/ Jens
      Hennecke

                      	 	
                        Signature:

                      	
                          /s/ Una
  Hultry

                      
	
                        Printed
      Name:  Jens Hennecke

                      	 	
                        Printed
      Name:    Una Hultry

                      
	
                        Title:      SVP
      Business Development

                      	 	
                        Title:
      Authorized Signatory

                      
	 
      	 	 
      
	
                        Signature:

                      	
                           /s/ Patrick
      Baeuerle

                      	 	
                        Signature:

                      	
                           /s/ Gerry
      Kennedy

                      
	
                        Printed
      Name:  Patrick Baeuerle

                      	 	
                        Printed
      Name:     Gerry Kennedy

                      
	
                        Title:  SVP,
      Chief Scientific Officer

                      	 	
                        Title:  Authorized
      Signatory

                      

              

            

          

        

      

    

    

    [Signature
Page to the Quality Agreement]

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        21

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

    

    
      
        
          
            
              
                
                  	
                          Micromet

                        	 	
                          Lonza

                        
	
                          Head
      of Quality: Klaus Buchweitz

                        	 	
                          Head
      of Quality (LBP): Sue Crowe

                        
	 
      	 	 
      
	
                          Signature:

                        	
                               /s/ Klaus
      Buchweitz

                        	 	
                          Signature:

                        	
                              /s/ Sue
      Crowe

                        
	 
      	 
      	 	 
      	 
      
	
                          Head
      of Manufacturing: Thomas Urbig

                        	 	
                          Head
      of Operations: Gordon Bates

                        
	 
      	 	 
      
	
                          Signature:

                        	
                              /s/ Thomas
      Urbig

                        	 	
                          Signature:

                        	
                              /s/ Gordon
      Bates

                        
	 
      	 
      	 	 
      	 
      
	
                          Head
      of Quality Control: Andreas Wolf

                        	 	
                          Head
      of Quality Control: Kym Baker

                        
	 
      	 	 
      
	
                          Signature:

                        	
                              /s/ Andreas
      Wolf

                        	 	
                          Signature:

                        	
                              /s/ Kym
      Baker

                        

                

              

            

          

        

      

    

    

    [Page
of Quality Signatures]

     

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.
 

    
      
         

      

      
        22

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    Schedule
10

     

    
      Annex
1 - Key Contacts 

        
          

        

      

    

     

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              	
                                      Micromet

                                    	 	
                                      Lonza

                                    
	
                                      Head
      of Site: N/A

                                    	 	
                                      Head
      of Site: [***]

                                    
	 
      	 	 
      
	 
      	 	
                                      Tel:

                                    	
                                      [***]

                                    
	 
      	 	
                                      Fax:

                                    	
                                      [***]

                                    
	 
      	 	
                                      Email:

                                    	
                                      [***]

                                    
	
                                      Head
      of Quality: [***]

                                    	 	
                                      Head
      of Quality: [***]

                                    
	 
      	 	 
      
	
                                      Tel:

                                    	
                                      [***]

                                    	 	
                                      Tel:

                                    	
                                      [***]

                                    
	
                                      Fax:

                                    	
                                      [***]

                                    	 	
                                      Fax:

                                    	
                                      [***]

                                    
	
                                      Email:

                                    	
                                      [***]

                                    	 	
                                      Email:

                                    	
                                      [***]

                                    
	
                                      Head
      of Manufacturing: [***]

                                    	 	
                                      Head
      of Operations: [***]

                                    
	 
      	 	 
      
	
                                      Tel:

                                    	
                                      [***]

                                    	 	
                                      Tel:

                                    	
                                      [***]

                                    
	
                                      Fax:

                                    	
                                      [***]

                                    	 	
                                      Fax:

                                    	
                                      [***]

                                    
	
                                      Email:

                                    	
                                      [***]

                                    	 	
                                      Email:

                                    	
                                      [***]

                                    
	
                                      Head
      of Quality Control: [***]

                                    	 	
                                      Head
      of Quality Control: [***]

                                    
	 
      	 
      	 	 
      
	
                                      Tel:

                                    	
                                      [***]

                                    	 	
                                      Tel:

                                    	
                                      [***]

                                    
	
                                      Fax:

                                    	
                                      [***]

                                    	 	
                                      Fax:

                                    	
                                      [***]

                                    
	
                                      Email:

                                    	
                                      [***]

                                    	 	
                                      Email:

                                    	
                                      [***]

                                    

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        23

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    
       

      Annex
2 - Multi Site Responsibilities Matrix 

        
          

        

      

    

     

    Where
multiple Lonza sites are involved in supporting any GMP operations for a
Micromet Product/process it is recommended that a matrix be appended to the
Quality Agreement which details site specific responsibilities, as
applicable.  An example of such a matrix is provided
below.  In the event of multi site responsibilities being applicable
to a given Quality Agreement then all affected parties should approve the
Quality Agreement in writing.  Additionally, the key contacts
identified in Annex 1
should include the appropriate contacts for each affected Lonza
Facility.

     

    The
content provided in this matrix is for example only and may be altered, as
necessary, to highlight multi site specific responsibilities:

     

    
      
        
          	
                  Site Specific Responsibility

                	 
      	
                  Responsible Lonza Facility

                	 
      	
                  Comments

                
	 	 	 	 	 
	
                  GMP
      Manufacture, process development, cell bank creation and
      storage

                	 
      	
                  [***]

                	 
      	
                  Primary
      Manufacturing Facility ([***])

                
	 
      	 
      	 
      	 
      	 
      
	
                  Serve
      as back-up storage facility for Micromet's cell banks

                	 
      	
                  [***]

                	 
      	
                  Storage
      facility for Micromet cell banks

                
	 
      	 
      	 
      	 
      	 
      
	
                  Pre-Licence
      Stability Studies and Bioassays

                	
                    

                	
                  [***]

                	
                    

                	
                  Primary
      Facility for stability studies and bioassays for Product produced at the
      slough Facility

                

        

      

    

    
      1

    

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        24

        
          

        

      

      
         

      

    

     

    ***Text
Omitted and Filed Separately

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Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    
       

      Annex
3 - Additional Considerations 

    

    
      for
IB(I)MP Intended for Commercial Use 

        
          

        

      

    

    
      2

    

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      	
                                              [***]

                                            
	
                                              Lonza Responsibility

                                            	 	 	

                                              Micromet Responsibility

                                            
	
                                              ·

                                            	For
      Lonza supplied materials, finalize critical supplier and critical Raw
      Material qualifications for the Product	 	
                                              ·

                                            	For
      Micromet supplied materials, finalize critical supplier and critical Raw
      Material qualifications for the Product.
	 	 	 	 	 
	
                                              [***]

                                            
	
                                              Lonza Responsibility

                                            	 	 	
                                              Micromet Responsibility

                                            
	
                                              ·

                                            	Jointly
      with Micromet, define strategy and responsibilities for process validation
      activities including (but not limited to):	 	
                                              ·

                                            	Jointly
      with Lonza, define strategy and responsibilities for process validation
      activities including (but not limited to):
	 	 	 	 	 

                                    

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

    
      
        
          
            	
                    o

                  	
                    Process
      validation master plan,

                  	
                    o

                  	
                    Process
      validation master plan, protocols and reports;

                  
	 	
                    protocols
      and reports (issued before

                  	
                    o

                  	
                    Product  specific
      assay validations;

                  
	 	
                    phase
      III material is manufactured);

                  	
                    o

                  	
                    Cleaning
      validation of the  Product

                  
	
                    o

                  	
                    Product  specific
      assay validations;

                  	
                    o

                  	
                    Hold
      times for buffers/medias used in process;

                  
	
                    o

                  	
                    Cleaning
      validation of the  Product

                  	
                    o

                  	
                    Product
      stability;

                  
	
                    o

                  	
                    Hold
      times for buffers/medias used in process;

                  	
                    o

                  	
                    Product
      yield specifications.

                  
	
                    o

                  	
                    Intermediate  Product
      stability;

                  	 	 
	
                    o

                  	
                    Product
      yield specifications.

                  	 	 

          

        

      
 

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        25

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    
       

      Annex
4 – Information to be provided to Micromet 

        
          

        

      

    

     

    This
Annex describes what Batch record documentation and other information Lonza will
provide to Micromet during the manufacture of MT103 and the route by which this
information is provided.  The information may be provided as separate
documents or within existing documentation. Any additional requests for
information will be progressed through the Project Team on a case by case
basis.

     

    [***]

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        26

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    SCHEDULE
11

    

    Testing of
Product

    

    [***]

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    SCHEDULE
12

    

    Territories

    

    [***]

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    SCHEDULE
13

    

    Terms and Conditions
for  [***]

    

    [***]

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

     

    
      
        SCHEDULE
14

        

        TO
THE DEVELOPMENT AND SUPPLY AGREEMENT

        DATED
NOVEMBER 23, 2009

         

        LONZA
SALES AG

         

        and

         

        MICROMET
AG

         

          
            

          

        

        
           

          TECHNOLOGY
TRANSFER AND LICENSE AGREEMENT 

           

          
            

          

        

         

        
          ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

           

        

        
          
            
               

            

            
               

              
                

              

            

            
               

            

          

        

        

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        BETWEEN:

         

        
          	
                  (1)

                	
                  LONZA SALES AG, of
      Muenchensteinerstrasse 38, CH-4004, Basel, Switzerland (hereinafter
      referred to as “the
      Licensor”).

                

        

         

        
          	
                  (2)

                	
                  MICROMET AG, of
      Staffelseestrasse 2, D-81477 Munich, Germany (hereinafter referred to as
      “the Licensee”).

                

        

         

        WHEREAS:

         

        
          	
                  (A)

                	
                  Pursuant
      to the Development Agreement (as defined below), the Licensor has
      performed certain development and manufacturing services on behalf of the
      Licensee relating to the Product, and accordingly the Licensor possesses
      confidential and proprietary information and data concerning the
      manufacture of the Product.

                

        

         

        
          	
                  (B)

                	
                  The
      Licensor and the Licensee have previously entered into the Development
      Agreement dated November 23, 2009 relating to, inter alia, the Licensee’s
      use of certain Intellectual Property of the Licensor in the research,
      development and manufacture of the
Product.

                

        

         

        
          	
                  (C)

                	
                  The
      Licensor has agreed to transfer the Product specific documentation and
      appropriate information and grant the licenses needed for the Licensee and
      its Permitted Sublicensees (as defined below) to replicate the Process in
      the event Licensee or its successor exercises its option for a technology
      transfer and license as set forth in Clause 14 of the Development
      Agreement.  Upon exercise of the option, the Licensor shall make
      available to the Licensee such confidential and proprietary information
      and shall grant to the Licensee a non exclusive licence to use the
      Licensed Know-How, the Licensed Patents and other Intellectual Property
      for the further development and manufacture of the
  Product.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              2

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        IT
IS HEREBY AGREED AS FOLLOWS:

         

        
          	
                  1

                	
                  INTERPRETATION

                

        

         

        
          	
                   
      

                	
                  1.1

                	
                  The
      definitions and rules of interpretation in this Clause apply in this TTL
      Agreement.

                

        

         

        
          	
                   
      

                	
                  1.1.1

                	
                  Affiliate means any
      company, corporation, limited liability company, partnership or other
      entity which directly or indirectly Controls, is Controlled by or is under
      common control, directly or indirectly, with the relevant Party to this
      Agreement.  Control for purposes of
      this Clause 1.1.1 shall mean the ownership of more than fifty percent
      (50%) of the issued share capital of the Party in question or the legal
      power to direct or cause the direction of the general management and
      policies of the Party in question.

                

        

         

        
          	
                   
      

                	
                  1.1.2

                	
                  Approved Purpose means,
      in relation to the Product only (and no other product), the further
      development of the Process and the manufacture of the Product using the
      Process and the Intellectual Property, the Licensed Know-How and the
      Licensed Patents by the Licensee and/or its Permitted Sublicensees, and
      the sale and use of the Product for any
purpose.

                

        

         

        
          	
                   
      

                	
                  1.1.3

                	
                  Control or Controlled means with
      respect to any (i) item of Information, including, without limitation,
      know-how, or (ii) Intellectual Property, the possession (whether by
      ownership or license, other than pursuant to this TTL Agreement) by a
      Party of the ability to grant to the other Party access or a license as
      provided herein under such item or right without violating the terms of
      any agreement or other arrangements with any Third
  Party.

                

        

         

        
          	
                   
      

                	
                  1.1.4

                	
                  Development Agreement
      means that certain agreement dated November 23, 2009 between the
      Licensor and the Licensee relating to the development of the Process and
      the manufacture of the Product.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              3

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  1.1.5

                	
                  Disclose includes
      discussion (or any communication) or disclosure, by whatever means, and
      Disclosed, Discloses,
      Disclosing and Disclosure are to be
      construed accordingly, and in relation to an obligation to Disclose means
      the most appropriate form of
Disclosure.

                

        

         

        
          	
                   
      

                	
                  1.1.6

                	
                  Effective Date of this TTL
      Agreement means the date on which the Licensee exercises the option
      for a technology transfer and license in accordance with Clause 14 of the
      Development Agreement.

                

        

         

        
          	
                   
      

                	
                  1.1.7

                	
                  Improvement means any
      addition, alteration, change, development, enhancement, improvement or
      modification to and non-severable from the Licensed Know-How and/or
      Licensed Patents, and includes all Information in respect of the same, to
      the extent severable from the Product and the Licensee’s patents and
      know-how.

                

        

         

        
          	
                   
      

                	
                  1.1.8

                	
                  Information means any
      information, including technical information and know-how, obtained from
      development, experimentation, observation and operation by the Disclosing
      Party or on its behalf or to which it is or becomes entitled and all
      analyses, assessments, data, designs, details, diagrams, drawings,
      opinions, specifications and statements in the Control and possession or
      within the knowledge of the Disclosing
Party.

                

        

         

        
          	
                   
      

                	
                  1.1.9

                	
                  Intellectual Property
      means all intellectual property rights, including (without
      limitation) patents, patent applications, divisions, continuations,
      continuation-in-part applications, divisionals, substitutions,
      confirmations, supplementary protection certificates, reissues, utility
      models, trademarks, database rights and copyrights and all inventions,
      know-how, trade secrets, techniques and confidential information and other
      proprietary knowledge and information which may subsist anywhere in the
      world, in each case for their full term, and together with any renewals or
      extensions.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

         

        
          
            
               

            

            
              4

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          
            	
                  	
                    1.1.10

                  	
                    Licensed Know-How means
      all technical and other Information or data owned or Controlled by the
      Licensor and used in the development and/or manufacture of the
      Product.  Licensed Know-How shall include but not be limited to
      scientific, technical, and commercial information relating to the Process,
      such as specifications, know-how, technologies, manufacturing processes,
      research, inventions and the Licensor’s commercial activities, and further
      including any know-how comprised in the New General Application
      Intellectual Property, as defined in the Development Agreement as well as
      know-how comprised in the Improvements.  In the event the
      Licensee exercises its option under Clause 14 of the Development Agreement
      also for a technology transfer and license of the [***], Licensed Know-How
      shall also include the [***].  Without limiting the foregoing,
      the Lonza Know How as of the effective date of the Development Agreement
      is identified in Schedule A and
      Schedule
      C hereto.

                  

          

        

         

        
          
            	
                  	
                    1.1.11

                  	
                    Licensed
      Patents means patents and patent applications, divisions,
      continuations, continuation-in-part applications, divisionals, extensions,
      substitutions, renewals, confirmations, supplementary protection
      certificates and reissues, throughout the world owned or Controlled by the
      Licensor and used in the development and/or manufacture of the
      Product.  Licensed Patents shall also include, but not be
      limited to patents and patent applications that cover the New General
      Applications Intellectual Property, as defined in the Development
      Agreement, as well as patents and patent applications comprised in the
      Improvements.  In the event the Licensee exercises its option
      under Clause 14 of the Development Agreement also for a technology
      transfer and license of the [***], Licensed Patents shall also include the
      [***].  Short particulars of the Licensed Patents as of the
      effective date of the Development Agreement are set out in Schedule B
      hereto.

                  

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              5

              
                

              

            

            
               

            

          

        

         

        
          ***Text
Omitted and Filed Separately

          Confidential
Treatment Requested

          Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

        

        

        
          	
                   
      

                	
                  1.1.12

                	
                  Lonza means Lonza Sales
      AG and its Affiliates Lonza Biologics plc of Slough, England, Lonza
      Biologics Inc of Portsmouth, NH, USA, and Lonza Biologics Porriño S.L. of
      Pontevedra-Galicia, Spain.

                

        

         

        
          	
                   
      

                	
                  1.1.13

                	
                  Micromet means Micromet
      AG and its existing Affiliates which are engaged in the research and
      development of BiTE®
      antibodies, and their successors in title and lawful
    assigns;

                

        

         

        
          	
                   
      

                	
                  1.1.14

                	
                  Net Selling Price means
      all monies received by or on behalf of the Licensee or its sublicensee
      hereunder in respect of the sale of Product in the Territory to a Third
      Party in a bona fide arm's length transaction, less the following items to
      the extent that they are paid or allowed and included in the invoice
      price, whether or not invoiced separately, and determined in accordance
      with consistently applied and recognized accounting
    standards:

                

        

         

        
          	
                   
      

                	
                  (a)

                	
                  normal
      discounts actually granted, including without limitation, quantity, trade,
      cash and other discounts, rebates and charge-backs, including government
      rebates, governmental price reductions and
  charges;

                

        

         

        
          	
                   
      

                	
                  (b)

                	
                  amounts
      refunded or credits allowed for Product or other goods returned or not
      accepted by customers;

                

        

         

        
          	
                   
      

                	
                  (c)

                	
                  packaging,
      transportation and prepaid insurance charges on shipments or deliveries to
      customers; and

                

        

         

        
          	
                   
      

                	
                  (d)

                	
                  taxes,
      tariffs, customs duties, surcharges and other governmental charges
      actually incurred and paid by Licensee or its sublicensee hereunder in
      connection with the sale, exportation, importation or delivery of Product
      or other goods to customers.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              6

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        In the
event Product is sold as part of combination product with either one or more
other pharmaceutically active ingredient(s) or with a product or device for
delivery of the Product (a Combination Product), the Net
Selling Price of the Product, for the purposes of determining royalty payments,
shall be determined by multiplying the Net Selling Price of the Combination
Product by the fraction, A/A+B where A is the average sale price of Product when
sold separately and B is the average sale price of the other part of the
Combination Product sold separately.  If such average sales price
cannot be determined for both the Product and the other part of the Combination
Product, the Net Selling Price for purposes of determining royalty payments
shall be calculated by multiplying the Net Selling Price of the Combination
Product by the fraction C/C+D where C is the cost of goods of Product and D is
the cost of goods of the other part of the Combination Product, determined in
accordance with the method of accounting normally employed by the Licensee in
computing cost of goods.

         

        If the
sale of a Product by or on behalf of Licensee or its sublicensee referenced
above is not exclusively for money but partly or in whole for other
consideration, then the average Net Selling Price, on a country by country
basis, of Licensee or its sublicensee if sold exclusively for money shall be
deemed to be the Net Selling Price for such sales of Product. If no such average
Net Selling Price exists in a particular country, the average Net Selling Price
in the EU, and if no such average Net Selling Price exists in the EU, the
average Net Selling Price in the USA shall be considered the Net Selling Price
of such sales of Product.

         

        For the
avoidance of doubt, the supply of Product free of charge as commercial samples,
or for use in clinical studies, or to Third Parties for evaluation purposes,
shall not be included in this provision.

         

        
          	
                   
      

                	
                  1.1.15

                	
                  Party / Parties means Licensor
      or Licensee, or Licensor and Licensee, as the context
    permits;

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              7

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  1.1.16

                	
                  Permitted Sub-licensee
      means a Third Party collaboration partner of the Licensee or a Third Party
      who manufactures the Product on behalf of the Licensee or the Third Party
      collaboration partner of the Licensee subject to a sublicense in
      accordance with Clause 2.3 below;

                

        

         

        
          	
                   
      

                	
                  1.1.17

                	
                  Process means the
      process (including but not limited to the fermentation process and the
      downstream process) for the production of Product which is owned or
      Controlled by Licensor and was further developed and/or improved and used
      for the manufacture of Product by the Licensor under the Development
      Agreement.

                

        

         

        
          	
                   
      

                	
                  1.1.18

                	
                  Product means Licensee's
      single-chain bispecific anti-CD19 antibody (CD19 BiTE®)
      also known as Blinatumomab or MT103, and any [***], including
      [***].

                

        

         

        
          	
                   
      

                	
                  1.1.19

                	
                  [***] means Licensor’s
      chemically defined, [***] consisting of the [***] used either in
      combination or individually, as it is used in the development and/or
      manufacture of the Product and owned or Controlled by
      Licensor.

                

        

         

        
          	
                   
      

                	
                  (a)

                	
                  [***] means [***], as
      more fully set out in Schedule
      C;

                

        

         

        
          	
                   
      

                	
                  (b)

                	
                  [***] means [***], as
      more fully set out in Schedule
      C;

                

        

         

        
          	
                   
      

                	
                  (c)

                	
                  [***] means the [***]
      set out in Schedule
      C;

                

        

         

        
          	
                   
      

                	
                  (d)

                	
                  [***] means any
      Information specifically relating to the [***].  The [***] as of
      the effective date of the Development Agreement is identified in more
      detail in Schedule C
      hereto;

                

        

         

        
          	
                   
      

                	
                  (e)

                	
                  [***] means any patents
      and applications covering the [***].  The [***] as of the
      effective date of the Development Agreement are identified in more detail
      in Schedule
      C hereto;

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              8

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  (f)

                	
                  [***] means the [***],
      as more fully set out in Schedule
      C.

                

        

         

          [***]
forms part of the Licensed Patents and the Licensed Know-How.

         

        
          	
                   
      

                	
                  1.1.20

                	
                  Territory means
      worldwide.

                

        

         

        
          	
                   
      

                	
                  1.1.21

                	
                  Third Party means any
      party other than the Licensor and the
Licensee.

                

        

         

        
          	
                   
      

                	
                  1.1.22

                	
                  TTL Agreement means this
      Technology Transfer and License
Agreement.

                

        

         

        
          	
                   
      

                	
                  1.1.23

                	
                  Valid Claim means an
      issued claim of an issued patent that has not (i) expired or been
      cancelled, (ii) been declared invalid by a decision of a court or other
      appropriate body of competent jurisdiction, from which no appeal is or can
      be taken, (iii) been admitted to be invalid or unenforceable through
      reissue, disclaimer or otherwise, or (iv) been abandoned or
      disclaimed.

                

        

         

        
          	
                   
      

                	
                  1.2

                	
                  Any
      reference to a Clause is to a Clause of this TTL Agreement, unless it
      expressly refers to the Development
Agreement.

                

        

         

        
          	
                   
      

                	
                  1.3

                	
                  Clause
      headings do not affect the interpretation of this TTL
      Agreement.

                

        

         

        
          	
                   
      

                	
                  1.4

                	
                  Words
      in the singular include the plural and in the plural include the
      singular.

                

        

         

        
          	
                   
      

                	
                  1.5

                	
                  A
      reference to one gender includes a reference to the other
      gender.

                

        

         

        
          	
                   
      

                	
                  1.6

                	
                  A
      person includes a corporate or unincorporated
  body.

                

        

         

        
          	
                   
      

                	
                  1.7

                	
                  A
      reference to a particular law is a reference to it as it is in force for
      the time being taking account of any amendment, extension, application or
      re-enactment and includes any subordinate legislation for the time being
      in force made under it.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              9

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  1.8

                	
                  Writing
      or written includes faxes but not
e-mail.

                

        

         

        
          	
                  2

                	
                  GRANT

                

        

         

        
          	
                   
      

                	
                  2.1

                	
                  All
      Intellectual Property in and to the Licensed Know-How and the Licensed
      Patents and the [***] are and shall remain the exclusive property of the
      Licensor.  Neither this TTL Agreement nor any Disclosure of the
      Intellectual Property, the Licensed Know-How, the Licensed Patents, and
      the [***] shall be deemed by implication or otherwise to vest in the
      Licensee any present or future rights in any Intellectual Property, the
      Licensed Know-How, the Licensed Patents, and the [***] and no licence is
      granted except as explicitly stated in this TTL
  Agreement.

                

        

         

        
          	
                   
      

                	
                  2.2

                	
                  The
      Licensor hereby grants to the Licensee, and the Licensee accepts, in
      relation only to the Product, a non exclusive licence to use the
      Intellectual Property, the Licensed Know-How, the Licensed Patents and/or
      the [***] to develop, have developed, to manufacture, have manufactured,
      to supply, have supplied, to import, have imported, to use, have used, and
      to sell and have sold, the Product in the Territory for the Approved
      Purpose only.

                

        

         

        
          	
                   
      

                	
                  2.3

                	
                  The
      Licensee shall have the right to authorize and grant sub-licences through
      multiple tiers under this TTL Agreement to specific [***] and any other
      Third Party registered and operating within the permitted territories (but
      not to [***], their Affiliates or any other Third Party registered and
      operating outside the permitted territories) listed in Schedule D (any
      [***] or Third Party other than those named, or outside those territories
      listed, are to be assessed and consented to by Licensor on a case by case
      basis, provided
      that such consent by the Licensor shall not be unreasonably
      withheld or delayed) with respect to the rights and licences granted under
      this TTL Agreement, and further provided
      that:

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              10

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        the
Licensee shall ensure that there are included in the terms of any sub-licence
the like obligations and undertakings on the part of the sub-licensee as are
contained in this TTL Agreement, including in particular, but not limited to,
this Clause 2.3 (obligations on the sublicensee for sub-sublicensing) and Clause
6 (Confidentiality) and shall further ensure that all sub-licensees duly observe
and perform the same;

         

        
          	
                   
      

                	
                  2.3.1

                	
                  the
      Licensee shall at all times indemnify and keep indemnified the Licensor
      against all or any cost, claims, damages or expenses incurred by the
      Licensor or for which the Licensor may become liable as a result of the
      default or negligence of any sub-licensee, (including sub-sub-licensees,
      and as further sub-licensed as the case may be), relating to this TTL
      Agreement; and/or

                

        

         

        
          	
                   
      

                	
                  2.3.2

                	
                  each
      sub-license, (including sub-sub-licensees, and as further sub-licensed as
      the case may be), shall be expressly subject and subordinate to the terms
      of this TTL Agreement, and it shall be the Licensee's responsibility to
      ensure the strict adherence by any sublicensee hereunder to the terms and
      conditions of this TTL Agreement.

                

        

         

        
          
            	 	
                    2.4

                  	
                    With
      regard to the [***] and provided
      that the Licensee exercises its option regarding the [***] under
      Clause 14 of the Development Agreement, the following provisions shall
      apply:

                  

          

        

         

        
          	
                   
      

                	
                  2.4.1

                	
                  The
      Licensor shall offer to Licensee [***].  Such new version shall
      be made available at the price set forth in Clause 7.2 below, with the
      only additional compensation being for additional Works and Services which
      may be required to implement such improvement or new version for the
      manufacture of the Product.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              11

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  2.4.2

                	
                  The
      Licensor shall provide the Licensee with details of a Third Party
      supplier, from whom the Licensee and/or the Permitted Sub-licensee will be
      able to purchase [***] to enable the Licensee and/or the Permitted
      Sub-licensee, to make and use the [***], and the Licensor shall also
      provide the Licensee or at Licensee's direction the Permitted Sublicensee
      with the [***] to the extent required by the Licensee and/or the Permitted
      Sub-licensee to use the [***], and to make and use the [***] for the
      Approved Purpose.

                

        

         

        
          	
                   
      

                	
                  2.4.3

                	
                  For
      the avoidance of doubt, the formulation of the [***] and/or the [***] will
      not be Disclosed to the Licensee, and the Licensee hereby confirms that it
      shall not perform any analysis, test, experiment, modification or
      reverse-engineering on the [***].  With regard to any regulatory
      filings necessary to support the Product, the Licensor shall file such
      formulations directly with the appropriate regulatory
      authority.

                

        

         

        
          	
                   
      

                	
                  2.4.4

                	
                  Upon
      the request of Licensee, Licensor shall provide to the Licensee or
      directly to the appropriate regulatory authority (as the case may be),
      such documents and reasonable assistance regarding the [***] as may be
      required to be submitted by Licensee in filings with any applicable
      regulatory authorities for the
Product.

                

        

         

        
          	
                   
      

                	
                  2.4.5

                	
                  The
      Licensor will provide to certain designated safety experts of the Licensee
      or at the Licensee's direction its Permitted Sublicensee with [***] in
      order to enable the Licensee or the Permitted Sublicensee to evaluate the
      safety of the [***].

                

        

         

        
          	
                   
      

                	
                  2.4.6

                	
                  The
      Licensor shall use reasonable commercial endeavours to ensure continuity
      of supply of the [***] and [***], through the establishment of a second
      supplier where possible, the establishment of a second source from the
      same supplier (e.g. second production site) or the establishment of supply
      through an emergency plan/security
stock.

                

        

         

        
          	
                   
      

                	
                  2.4.7

                	
                  The
      Licensee acknowledges that, subject only to [***]; certain Licensor
      proprietary information (including the formulation for any elements of
      [***]) may be a Licensor trade secret and will only be supplied [***] and
      not to [***].

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              12

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  2.5

                	
                  No
      right or licence is granted by the Licensor to the Licensee by this TTL
      Agreement, except as expressly set out in this Clause
  2.

                

        

         

        
          	
                   
      

                	
                  2.6

                	
                  The
      Licensor shall execute all documents, give all declarations regarding the
      licenses granted under this Clause 2 and reasonably cooperate with the
      Licensee to the extent such documents, declarations and/or cooperation are
      required for the recordal or registration of the licenses granted
      hereunder at the various patent offices for the benefit of the Licensee
      and at the Licensee’s cost.

                

        

         

        
          	
                  3

                	
                  TECHNOLOGY
      TRANSFER; PROVISION OF TECHNICAL
ASSISTANCE

                

        

         

        
          	
                   
      

                	
                  3.1

                	
                  The
      Licensor shall transfer and make available to the Licensee, or at the
      Licensee's direction to a Permitted Sub-licensee within [***] after the
      Effective Date of this TTL Agreement (subject only to Clause 3.2) and from
      time to time regarding the [***] a data package that shall include all of
      the Information, Licensed Know-How, the Licensed Patents and, upon
      exercise of the option regarding the [***] also the [***], in order to
      enable the Licensee and/or the Permitted Sub-licensee, to develop,
      manufacture, sell and use the Process and the Product.  The
      Licensee and the Permitted Sub-licensee shall not use any of the know-how
      furnished by the Licensor under this Clause 3 for any purpose whatsoever,
      except for the Approved Purpose, or as otherwise specifically authorized
      in writing by the Licensor.  In the event that the Licensee
      reasonably believes that the Licensed Know-How, to the extent applicable,
      included in the data package furnished by the Licensor under this Clause 3
      is incomplete, the Licensee shall provide written notice thereof to the
      Licensor, and the Licensor shall undertake reasonable efforts to furnish
      the missing materials or amended copies of the missing know how and to
      answer all reasonable questions received from the Licensee regarding the
      Licensed Know How as soon as reasonably possible after receipt of the
      Licensee's written notice.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              13

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  3.2

                	
                  Upon
      completion of the technology transfer under Clause 3.1, at the latest
      [***] after the Effective Date of this TTL Agreement, the Parties shall
      meet to discuss the status of the technology transfer, any missing
      know-how and information and the assistance to be provided by the Licensor
      in order to allow the Licensee or its Permitted Sub-licensee to
      manufacture the Product using the Process.  The Licensee may
      invite representatives of its Permitted Sub-licensees to participate in
      such meeting.

                

        

         

        
          	
                   
      

                	
                  3.3

                	
                  After
      the Effective Date of this TTL Agreement and until [***] after the meeting
      as set forth in Clause 3.2 above took place, the Licensor shall transfer
      to the Licensee, or at the Licensee's discretion to its Permitted
      Sub-licensee the [***].  Clause 3.1 above shall apply
      respectively for the transfer of such
[***].

                

        

         

        
          	
                   
      

                	
                  3.4

                	
                  During
      the term of this TTL Agreement, the Licensor shall reasonably make
      available to the Licensee as outlined in the following sentence, the
      services of fully qualified and experienced members of its staff to advise
      the Licensee on the use of the Information, the Licensed Know-How, the
      Licensed Patents and the [***] for the Approved Purpose.  Upon
      prior written notice of the Licensee of at least [***] FTEs of the
      Licensor will be available for technical assistance for the first [***]
      after the Effective Date of this TTL Agreement.  Thereafter,
      Licensor will be available for at least [***] during any [***]
      period.

                

        

         

        The
technical assistance will be provided on the following conditions:

         

        
          	
                   
      

                	
                  3.4.1

                	
                  the
      Licensee reimburses the preapproved reasonable travel, hotel and living
      expenses of such persons for the period from departure to
      return;

                

        

         

        
          	
                   
      

                	
                  3.4.2

                	
                  the
      Licensee pays to the Licensor a fee for the services of such person in
      relation to time spent with the Licensee and in travelling to and from the
      Licensee at the Licensor’s then commercial daily
      rate.  Licensor's commercial daily rate on the effective date of
      the Development Agreement is [***] subject to annual UK's PPI
      adjustments;

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              14

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  3.4.3

                	
                  the
      Licensor's representative shall act merely in an advisory capacity and
      neither the Licensor nor such person shall be liable in any manner for any
      loss (including, but not limited to, consequential loss, pecuniary loss
      and loss of profits), damage or injury, other than (i) liability for death
      or personal injury resulting from the implementation of or reliance on any
      actual or alleged advice or assistance of such person or (ii) liability
      resulting from the Licensor's or its representatives' negligence or wilful
      misconduct.

                

        

         

        
          	
                   
      

                	
                  3.4.4

                	
                  For
      the avoidance of doubt, the Licensor is not required to allow any
      Permitted Sub-licensee access to its facilities and/or its trade
      secrets.

                

        

         

        
          	
                  4

                	
                  LICENSEE'S
      OBLIGATIONS

                

        

         

        
          	
                   
      

                	
                  The
      Licensee shall at all times indemnify, and keep indemnified, the Licensor
      against all or any costs, claims, damages, liabilities or expenses
      incurred by the Licensor or for which the Licensor may become liable with
      respect to any product liability claim relating to the Product
      manufactured by the Licensee, its sub-licensee or the Third Party contract
      manufacturer of Licensee or its sub-licensee.  The Licensee
      shall maintain adequate product liability insurance and shall supply to
      the Licensor the policy on request.

                

        

         

        
          	
                  5

                	
                  IMPROVEMENTS

                

        

         

        
          	
                   
      

                	
                  5.1

                	
                  The
      Licensee undertakes that subject to any obligations as to confidence, the
      Licensee must immediately Disclose to the Licensor any Improvements
      created or developed by, for or on behalf of the Licensee upon it becoming
      aware that an Improvement has been or may be created or
      developed.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              15

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  5.2

                	
                  In
      consideration of the rights granted under Clause 2 with respect to
      Disclosure of the Licensed Know-How, Licensed Patents, and/or the [***]
      all Intellectual Property in Improvements shall vest in and be owned by
      the Licensor.  The Licensee hereby assigns to the Licensor, with
      full title guarantee (subject only to the obligation to assign to
      Licensor), such rights, title and interest in and to any Intellectual
      Property in any Improvements it owns or will own, together with any
      related rights and powers arising or accrued, including but not limited to
      the rights to sue for damages (and the right to retain any damages
      obtained) for all past infringements.  To the extent that any
      assignment of future rights is prevented by law, the Licensee shall hold
      any such right on trust for the Licensor absolutely until such purported
      transfer of rights is perfected.  The Licensee further agrees to
      execute or procure the execution of such deeds or documents and do or
      procure the doing of such acts and things as may be necessary or desirable
      to perfect the transfer of title to the Licensor or effect the recording
      or registration of the assignment of any such Intellectual Property to the
      Licensor (all reasonable costs incurred by the Licensee in providing such
      co-operation shall be paid for by the Licensor).  Any such
      Improvement transferred to the Licensor hereunder shall be considered
      Licensed Know-How and/or Licensed Patents for purposes of this TTL
      Agreement.

                

        

         

        
          	
                  6

                	
                  CONFIDENTIALITY

                

        

         

        
          	
                   
      

                	
                  6.1

                	
                  The
      Licensed Know-How and/or Licensed Patents may be Disclosed in electronic,
      oral, written or other tangible form.  Any Information which is
      orally or visually Disclosed to the Licensee shall constitute Licensed
      Know-How:

                

        

         

        
          	
                   
      

                	
                  6.1.1

                	
                  if
      it would be apparent to a reasonable person, familiar with the Licensor’s
      business and the industry in which it operates, that such Information is
      of a confidential or proprietary nature the maintenance of which is
      important to the Licensor; or

                

        

         

        
          	
                   
      

                	
                  6.1.2

                	
                  if
      the Licensor, within [***] after such Disclosure, delivers to the Licensee
      a written document or documents describing such Information and
      referencing the place and date of such oral, visual or written Disclosure
      and the names of the persons at the receiving Party to whom such
      Disclosure was made.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              16

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  6.2

                	
                  The
      Licensee hereby represents to the Licensor that it shall not, without the
      prior written consent of the
Licensor:

                

        

         

        
          	
                   
      

                	
                  6.2.1

                	
                  use
      the Licensed Know-How and/or Licensed Patents for any purpose other than
      the Approved Purpose; or

                

        

         

        
          	
                   
      

                	
                  6.2.2

                	
                  Disclose
      the Licensed Know-How to any Third Party for any purpose, except as
      provided for in Clause 6.5; or

                

        

         

        
          	
                   
      

                	
                  6.2.3

                	
                  publish
      the Licensed Know-How or otherwise place the Licensed Know-How in the
      public domain; or

                

        

         

        
          	
                   
      

                	
                  6.2.4

                	
                  duplicate
      the Licensed Know-How or produce extracts or documents containing Licensed
      Know-How except for limited copies, extracts or documents made as needed
      and provided on a need-to-know
basis.

                

        

         

        
          	
                   
      

                	
                  6.3

                	
                  Furthermore,
      the Licensee undertakes not to engage in or to procure the decompilation,
      disassembly, or otherwise reverse engineering of any or all of the
      Licensed Know-How and/or Licensed Patents, except and only to the extent
      that such activity is expressly permitted by applicable law
      notwithstanding this limitation.  The terms of this Clause 6.3
      shall continue to apply notwithstanding termination of this TTL Agreement
      or any other cessation of any business relationship between the
      Parties.

                

        

         

        
          	
                   
      

                	
                  6.4

                	
                  The
      Licensee shall limit access to the Licensed Know-How to those of its
      employees, consultants and Permitted Sub-licensees who need to receive it
      for the Approved Purpose and then only to the extent deemed
      necessary.  The Licensee shall ensure that such employees,
      consultants and Permitted Sub-licensees are made aware of its obligations
      to maintain the Licensed Know-How in confidence and shall not Disclose
      Licensed Know-How to any Third Party except as permitted by this TTL
      Agreement.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              17

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  6.5

                	
                  The
      Licensee undertakes not to Disclose or permit to be Disclosed to any Third
      Party other than to those of its officers, employees, agents, consultants,
      licensees and financial investors that have a need to know the Licensed
      Know-How of the Licensor for purposes of this Agreement, provided that such
      Disclosure will be made under a confidentiality non-Disclosure agreement
      comprising of terms at least as stringent as the confidentiality
      provisions under this Clause 6.  Furthermore, the Licensee will
      be entitled to Disclose the Process and the terms and conditions of this
      Agreement to (i) potential licensees or collaboration partners regarding
      the Product, and to (ii) potential acquirers of the Licensee, provided, however, that
      such potential sub-licensees, collaboration partners or acquirers are in
      [***], that such Disclosure is necessary to evaluate the respective
      project , that such potential sub-licensee or collaboration partner is
      [***], based on [***], and is organised and operating in the permitted
      territories listed in Schedule D (but
      may not be disclosed to Affiliates outside these permitted
      territories)  and that such Disclosure will be made under a
      confidentiality non-Disclosure agreement comprising of terms at least as
      stringent as the confidentiality provisions under this Clause
      6.  With respect to any other potential sub-licensees,
      collaboration partners and acquirers Disclosure can only be made upon the
      Licensor's prior written consent, such consent not to be unreasonably
      withheld or delayed.  For the avoidance of doubt, Licensee shall
      remain fully liable for any disclosure by Licensee’s potential
      sub-licensee, collaboration partner or acquirer of their respective
      confidentiality obligations.

                

        

         

        
          	
                   
      

                	
                  6.6

                	
                  The
      foregoing restrictions on Disclosure and use shall not be applicable to
      any Licensed Know-How which the Licensee can
  demonstrate:

                

        

         

        
          
            	 	
                    6.6.1

                  	
                    was
      rightfully in its possession prior to the date of
    Disclosure;

                  

          

        

         

        
          
            	 	
                    6.6.2

                  	
                    was
      in the public domain prior to the date of
  Disclosure;

                  

          

        

         

        
          
            	 	
                    6.6.3

                  	
                    has
      subsequently entered into the public domain by publication or other means,
      except by means of an unauthorised act or omission by the
      Licensee;

                  

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              18

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  6.6.4

                	
                  was
      supplied to the Licensee without restriction on use or Disclosure by a
      Third Party who was under no restriction directly or indirectly to the
      Licensor or any of its Affiliates regarding the use or Disclosure of said
      information;

                

        

         

        
          	
                   
      

                	
                  6.6.5

                	
                  that
      the Licensee is required by law to Disclose, provided that the
      Licensor is given prompt written notice of any such requirement prior to
      any Disclosure of Licensed Know-How so that it may contest such
      requirement, if necessary; or

                

        

         

        
          	
                   
      

                	
                  6.6.6

                	
                  was
      independently developed by the Licensee or its Affiliates without access
      to the Licensed Know-How and/or Licensed Patents, as evidenced by
      documentary records.

                

        

         

        Provided, however, that the
foregoing exceptions shall not apply to

         

        
          	
                   
      

                	
                  (a)

                	
                  Licensed
      Know-How contained within more general Information that may fall within
      one or more of the exceptions; or

                

        

         

        
          	
                   
      

                	
                  (b)

                	
                  any
      combination of features or items of Licensed Know-How where one or more of
      the relevant individual features or items (but not the combination itself)
      may fall within one or more of the
exceptions.

                

        

         

        
          	
                   
      

                	
                  6.7

                	
                  The
      non-disclosure and non-use provisions under this TTL Agreement shall
      continue in force unless and until the Licensed Know-How enters the public
      domain, other than through a breach of this TTL Agreement by the
      Licensee.

                

        

         

        
          	
                   
      

                	
                  6.8

                	
                  In
      consideration of the Licensee receiving the Licensed Know-How and/or
      Licensed Patents, the Licensee acknowledges that a breach of the
      provisions of this TTL Agreement by the Licensee, or any of its employees
      could result in serious damage being sustained by the Licensor and as a
      result the Licensee hereby agrees:

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              19

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  6.8.1

                	
                  to
      indemnify the Licensor fully for any losses, damages or expenses that may
      be occasioned by any such breach;
and

                

        

         

        
          	
                   
      

                	
                  6.8.2

                	
                  that
      since money damages alone may be a wholly inadequate measure of the loss,
      the Licensor shall be entitled to specific enforcement of the terms hereof
      (by injunction or otherwise) on such terms as any court with jurisdiction
      may deem just and proper.

                

        

         

        
          	
                  7

                	
                  PAYMENTS

                

        

         

        
          	
                   
      

                	
                  7.1

                	
                  In
      the event the Process is based on the Lonza Process, as defined in the
      Development Agreement, the Licensee shall pay within [***] after the first
      regulatory approval of the Product in the United States, in the European
      Union or in Japan a non-refundable and irrevocable disclosure fee in the
      amount of

                

        

         

        
          	
                   
      

                	
                  (a)

                	
                  £[***]
      if the [***] of such Lonza Process is
used,

                

        

         

        
          	
                   
      

                	
                  (b)

                	
                  £[***]
      if the [***] of such Lonza Process is
used,

                

        

         

        
          	
                   
      

                	
                  (d)

                	
                  no
      additional payment if the [***] of such Lonza Process are being
      used,

                

        

         

        
          	
                   
      

                	
                  provided, however, that
      if [***], the Licensee shall only be required to pay a pro-rata amount
      corresponding [***] , and further provided that each of
      the payments under this Clause 7.1 shall only be made once and the total
      payments shall in no event exceed
[***].

                

        

         

        
          	
                   
      

                	
                  7.2

                	
                  In
      consideration of the rights granted under Clause 2 regarding the [***],
      and upon termination of the Development Agreement (i.e., in the event the
      Licensor does no longer develop and manufacture the Product on behalf of
      the Licensee) the Licensee shall pay to the
  Licensor:

                

        

         

        
          
            	
                  	
                    (a)

                  	
                    within
      [***] of the date of this TTL Agreement the sum of [***];
    and

                  

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              20

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          
            	
                  	
                    (b)

                  	
                    a
      royalty of [***] on a country-by-country basis of the Net Selling Price of
      each Product sold in the Territory by the Licensee (or its sublicensee),
      such royalty being payable for as long as the manufacture, use or sale of
      the Product (or any other infringing act) is covered under a Valid Claim
      within the [***] (with the exception only of Improvements assigned to
      Licensor under Clause 5 above);
or

                  

          

        

         

        
          
            provided,
however, that regarding [***] the following shall apply: although [***] is not
covered by a Valid Claim, the Parties have agreed to link the duration of
royalty payments to a Valid Claim, and Licensee shall pay as follows: a royalty
of [***] on a country-by-country basis of the Net Selling Price of each Product
sold in the Territory by the Licensee (or its sublicensee), for as long as
royalties under Clause 7.2 would be payable as if the Product was covered under
a Valid Claim of the patent in Schedule B hereto; and

          

        

         

        
          
            and that
regarding [***] the following shall apply: in the event of no Valid Claim within
[***] subsisting on the Effective Date; a royalty of [***] of the Net Selling
Price of each Product sold in the Territory by the Licensee (or its
sublicensee), for a period of [***] post first commercial sale of the
Product.

          

        

         

        
          	
                   
      

                	
                  7.3

                	
                  To
      the extent the Licensee requires a license to any Licensed Patents and/or
      Licensed Know-How which is generated by the Licensor during the term of
      this TTL Agreement, the Parties shall agree in good faith on any
      reasonable consideration for such license, if
  any.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              21

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  7.4

                	
                  The
      Licensee shall keep true and accurate records and books of account
      containing all data necessary for the calculation of royalties payable to
      the Licensee under Clause 7.2 above.  Such records and books of
      account shall, upon reasonable notice having been given by the Licensor
      (which in no event shall be less than [***] prior notice), be open at all
      reasonable times during regular business hours for inspection by
      independent, certified and internationally recognized auditors selected by
      the Licensor and reasonably acceptable to the Licensee.  Such
      independent auditors shall agree to maintain the confidentiality of the
      information and materials disclosed during the audit.  Any such
      audit shall be conducted during regular business hours, in a manner that
      does not interfere unreasonably with the operations of the Licensee’s
      business and, save for cause, not more often than once every calendar
      year.  Each audit shall begin upon reasonable prior written
      notice to the Licensor and shall be completed as soon as reasonably
      practicable.  The Licensor shall pay the costs of the
      independent auditors conducting such audit, unless the results of the
      audit reveal an underpayment of [***] or more by the Licensee, in which
      case, the Licensee shall pay the reasonable costs of the independent
      auditors.  If an audit concludes that an overpayment or
      underpayment has occurred during the audited period, such payment shall be
      remitted by the Party responsible for such payment to the other Party
      within [***] after the date such auditor’s written report identifying the
      overpayment or underpayment is delivered to the Party responsible for such
      payment.

                

        

         

        
          	
                   
      

                	
                  7.5

                	
                  The
      Licensee shall prepare a statement in respect of each calendar quarter
      which shall show for the immediately preceding quarter details of the
      sales of Product and the royalty due and payable to the Licensor
      thereon.  Such statement shall be submitted to the Licensor
      within [***] after the end of the calendar quarter to which it relates,
      together with a remittance for the royalties due to the
      Licensor.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              22

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          
            	  	
                    7.6

                  	
                    All
      sums due under this TTL
Agreement:

                  

          

        

         

        
          
            	
                  	
                    7.6.1

                  	
                    shall
      be made in pounds sterling to the Licensor.  Payments due to the
      Licensor in currencies other than pounds sterling shall first be
      calculated in the relevant local currency before being calculated at the
      rate of exchange in effect at the close of business on the day payment is
      due or made, whichever is earlier, provided always that
      where payment is made after the date provided therefore herein conversion
      shall be at the rate in effect at the date of payment if this is more
      favourable to the Licensor.  The rate of exchange shall be the
      mean value of the Pound Spot Rate in London first published in the
      Financial Times on the day following the day for determining such
      rates;

                  

          

        

         

        
          
            	
                  	
                    7.6.2

                  	
                    are
      exclusive of any Value Added Tax or of any other applicable taxes, levies,
      imposts, duties and fees of whatever nature imposed by or under the
      authority of any government or public authority, and shall be paid by the
      Licensee (other than taxes on the Licensor’s income).  The
      Parties agree to co-operate in all respects reasonably necessary to take
      advantage of such double taxation treaties as may be
      available.

                  

          

        

         

        
          
            	
                  	
                    7.7

                  	
                    In
      the event of any delay in effecting payment due under this TTL Agreement
      by the due date, the Licensee shall pay to the Licensor interest
      calculated on a daily basis on the overdue payment, from the date after
      such payment was due to the date of actual payment, at a rate of
      [***].

                  

          

        

         

        
          
            	
                    8

                  	
                    PROTECTION
      OF THE LICENSED KNOW-HOW

                  

          

        

         

        
          
            	
                  	
                    8.1

                  	
                    In
      the event that any unlicensed activities are carried on by any Third Party
      which could constitute unauthorised Disclosure or the misuse of any of the
      Licensed Know-How, the Party becoming aware of such a matter shall
      immediately notify the other of it, and the Licensee shall join the
      Licensor in taking all steps (if any) as, in the total discretion of the
      Licensor, shall be desirable for the protection of the Licensor's rights
      under the Licensed Know-How.  The expenses incurred in taking
      such steps, and any profits or damages which may be obtained, shall be (in
      the absence of any agreement to the contrary) for the account of the
      Licensor.

                  

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              23

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          
            	
                  	
                    8.2

                  	
                    Subject
      only to Clause 9 below, nothing in this TTL Agreement shall constitute any
      representation that the Products or the use of the Licensed Know-How does
      not fall within the scope of any Third Party Intellectual
      Property.

                  

          

        

         

        
          
            	
                    9

                  	
                    WARRANTIES
      AND INDEMNITIES

                  

          

        

         

        
          
            	
                  	
                    9.1

                  	
                    Each
      of the Parties warrants that it has full power and authority to carry out
      the actions contemplated under this TTL Agreement, and that its entry into
      and performance under the terms of this TTL Agreement will not infringe
      the rights of any Third Party or cause it to be in breach of any
      obligations to a Third Party.

                  

          

        

         

        
          
            	
                  	
                    9.2

                  	
                    The
      Licensor warrants to the Licensee
that:

                  

          

        

         

        
          
            	
                  	
                    9.2.1

                  	
                    all
      Information, data and materials provided by it to the Licensee hereunder
      will be, to the best of its knowledge, accurate and complete in all
      material respects, and it is entitled to provide the same to the Licensee
      without recourse to any Third Party;
and

                  

          

        

         

        
          
            	
                  	
                    9.2.2

                  	
                    to
      the best of its knowledge and belief, the Information, the Licensed
      Know-How, the Licensed Patents and/or the [***] do not infringe, the
      rights of any Third Party, and no Third Party has threatened or, so far as
      it is aware, is currently threatening proceedings in respect of such
      infringement, and none of its Information, the Licensed Know-How, the
      Licensed Patents and/or the [***] is the subject of any actual or, so far
      as it is aware, threatened challenge or opposition or revocation
      proceedings; and

                  

          

        

         

        
          
            
              	
                    	
                      9.2.3

                    	
                      to
      the best of its knowledge and belief, the [***] if used per the
      instructions provided by the Licensor is suitable for the Approved
      Purpose.  If during the term of this TTL Agreement Licensor
      learns that the [***] is not suitable for the Approved Purpose or causes
      adverse effects, the Licensor shall promptly inform the Licensee hereof;
      and

                    

            

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              24

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  9.2.4

                	
                  to
      the best of its knowledge and belief, the suppliers of [***] and [***]
      will be able and willing to supply such [***] to the Licensee or its
      sublicensee or Third Party contract manufacturer of Licensee or
      sublicensee for the manufacture of the Product for clinical and commercial
      supply at terms and conditions of supply customary in the
      industry.

                

        

         

        
          	
                   
      

                	
                  9.3

                	
                  Each
      Party (“Indemnifying
      Party”) shall defend, indemnify and hold harmless the other Party
      (“Indemnified
      Party”) and its directors, officers, employees and agents and the
      successors and assigns of any of the foregoing at all times from and
      against any Third Party claims actions, liabilities, costs and expenses
      (including court costs and legal fees on a full indemnity basis) that the
      Indemnified Party may suffer arising directly out of the Indemnifying
      Party’s breach of this TTL Agreement, including breach of representations
      and warranties, violation of applicable law, or the Indemnifying Party's
      negligent or wilful act or
omission.

                

        

         

        
          	
                   
      

                	
                  9.4

                	
                  With
      respect to liability claims or proceedings, the following shall apply; (a)
      except to the extent provided in (b) below, the Licensee shall indemnify
      and hold harmless the Licensor and its directors, officers, employees and
      agents and the successors and assigns of any of the foregoing at all times
      from any against any Third Party claims, actions, liabilities, costs and
      expenses (including court costs and legal fees on a full indemnity basis)
      that the Indemnified Party may suffer as a direct result of any tortious
      claims or proceedings of death or bodily injury relating to the Product
      and this TTL Agreement, and (b) the Licensor shall indemnify and hold
      harmless the Licensee and its directors, officers, employees and agents
      and the successors and assigns of any of the foregoing at all times from
      any against any Third Party claims, actions, liabilities, costs and
      expenses (including court costs and legal fees on a full indemnity basis)
      that the Indemnified Party may suffer as a direct result of any tortious
      claims or proceedings of death or bodily injury relating to the Product to
      the extent such claims or proceedings result from defects in the
      Information, the Licensed Know-How or the Licensed Patents, or from
      Licensor's breach of this TTL
Agreement.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              25

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  9.5

                	
                  If
      an Indemnified Party intends to claim indemnification under this Clause 9,
      it shall promptly notify the Indemnifying Party in writing of such alleged
      liability.  The Indemnifying Party shall have the right to
      control the defence thereof with counsel of its choice as long as such
      counsel is reasonably acceptable to Indemnified Party; provided, however,
      that the
      Indemnified Party shall have the right to retain its own counsel at its
      own expense, for any reason, including if representation of the
      Indemnified Party by the counsel retained by the Indemnifying would be
      inappropriate due to actual or potential differing interests between such
      Indemnified Party and any the Indemnifying Party.  The
      Indemnified Party, its employees and agents, shall reasonably cooperate
      with the Indemnifying Party and its legal representatives in the
      investigation of any liability covered by this Clause 9.  The
      obligations of this Clause 9 shall not apply to amounts paid in settlement
      of any claim, demand, action or other proceeding if such settlement is
      effected without the consent of the Indemnifying Party, which consent
      shall not be withheld or delayed unreasonably.  The failure to
      deliver written notice to the Indemnifying Party within a reasonable time
      after the commencement of any such action, if prejudicial to its ability
      to defend such action, shall relieve the Indemnifying Party of any
      obligation to the Indemnified Party under this Clause 9.  It is
      understood that only the Licensor and the Licensee may claim indemnity
      under this Clause 9 (on its own behalf or on behalf of its indemnitees),
      and other indemnitees may not directly claim indemnity
      hereunder.

                

        

         

        
          	
                   
      

                	
                  9.6

                	
                  Any
      condition or warranty other than those set forth in Clause 9.2 and/or
      relating to title which might otherwise be implied or incorporated within
      this TTL Agreement by reason of statute or common law or otherwise is
      hereby expressly excluded.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              26

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  9.7

                	
                  IN
      NO EVENT (OTHER THAN WILFUL MISCONDUCT) SHALL EITHER PARTY BE LIABLE TO
      THE OTHER PARTY FOR LOSS OF PROFITS, SPECIAL, INDIRECT, INCIDENTAL,
      PUNITIVE OR CONSEQUENTIAL DAMAGES ARISING OUT OF THIS TTL
      AGREEMENT.

                

        

         

        
          
            	
                    10

                  	
                    DURATION
      AND TERMINATION

                  

          

        

         

        
          	
                   
      

                	
                  10.1

                	
                  This
      TTL Agreement shall come into force on the Effective Date of this TTL
      Agreement and shall, unless terminated in accordance with Clause 10.2 or
      10.3 below, remain in force until the Licensee has no further need to use
      the Information, the Licensed Know-How, the Licensed Patents and/or the
      [***].

                

        

         

        
          	
                   
      

                	
                  10.2

                	
                  The
      Licensee shall be entitled to terminate this TTL Agreement at any time by
      giving [***] prior written notice.

                

        

         

        
          	
                   
      

                	
                  10.3

                	
                  The
      Licensor shall have the right to terminate this TTL Agreement immediately
      by notice in writing to the
Licensee

                

        

         

        
          
            	
                  	
                    (i)

                  	
                    in
      the event that the Licensee fails to perform or observe any of the
      obligations on its part to be performed or observed under this TTL
      Agreement, provided, that, in a case where the breach is remediable, such
      notice from the Licensor shall also require the Licensee to remedy such
      breach and if the Licensee so remedies within [***], in the event of a
      breach of [***], and within [***], in the event of any other breach, of
      such notice being served, such notice to terminate this TTL Agreement
      shall be deemed to be void and of no effect;
or

                  

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              27

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          
            	
                  	
                    (ii)

                  	
                    in
      the event an interim order is applied for or made, or a voluntary
      arrangement approved, or a petition for a bankruptcy order is presented or
      a bankruptcy order is made against the Licensee, or a receiver or trustee
      in bankruptcy is appointed of the Licensee's estate or a voluntary
      arrangement is proposed or approved or an administration order is made, or
      a receiver or administrative receiver is appointed of any of the
      Licensee's assets or undertaking, or a winding-up resolution or petition
      is passed or presented (otherwise than for the purposes of reconstruction
      or amalgamation), or any circumstances arise which entitle the court, a
      creditor, the company or its directors to appoint a receiver,
      administrative receiver or administrator or to present a winding-up
      petition or make a winding-up order or other similar or equivalent action
      is taken against or by the Licensee by reason of its insolvency or in
      consequence of debt, and
      provided that following such proceedings the Licensee is Controlled
      by companies, partnerships and/or other entities which are registered and
      operating, with respect to the manufacturing of the Product, outside the
      permitted territories listed in Schedule
      D.

                  

          

        

         

        
          	
                   
      

                	
                  10.4

                	
                  Upon
      termination of this Agreement in accordance with Clause 10.3 (i), the
      Licensee shall offer to each sublicensee and/or sub-sublicensee a direct
      license agreement on substantially the same the terms and conditions as
      this TTL Agreement, provided, however, that
      the Licensor is not required to grant such direct licence if the
      sublicensee is in breach of its sublicense agreement at the time such
      direct licence is to be granted.

                

        

         

        
          	
                   
      

                	
                  10.5

                	
                  In
      the event of expiry or termination of this TTL Agreement for any reason,
      and subject to any express provisions set out elsewhere in this TTL
      Agreement:

                

        

         

        
          
            	
                  	
                    10.5.1

                  	
                    all
      rights and licences shall
cease;

                  

          

        

         

        
          
            	
                  	
                    10.5.2

                  	
                    the
      Licensee shall cease all exploitation of the Licensed Know-How and/or
      Licensed Patents and any other know-how provided by the Licensor to the
      Licensee, except insofar as the Licensed Know-How, or such other know-how,
      ceases or has ceased to be confidential, unless this is or was as a
      consequence of the default of the
Licensee;

                  

          

        

         

        
          
            	
                  	
                    10.5.3

                  	
                    the
      Licensee shall return promptly to the Licensor all technical material in
      its possession relating to the Information, the Licensed Know-How and/or
      the Licensed Patents and all copies of such material to the extent that
      such material remains
confidential;

                  

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              28

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  10.5.4

                	
                  the
      Licensee shall have the right to dispose of all stocks of the Product in
      its possession and all Product in the course of manufacture at the date of
      termination; and

                

        

         

        
          	
                   
      

                	
                  10.5.5

                	
                  irretrievably
      delete any Licensed Know-How, stored on any magnetic or optical disk or
      memory and all matter derived from such sources which is in its possession
      or under its control.

                

        

         

        
          
            	
                  	
                    10.6

                  	
                    The
      expiry or termination of this Agreement for any reason shall be without
      prejudice to the provisions of this Clause 10 and to any rights of either
      Party which may have accrued by, at or up to the date of such
      termination.

                  

          

        

         

        
          	
                  11

                	
                  ASSIGNMENT

                

        

         

        Neither
Party shall assign, transfer, charge nor deal in any other manner with this TTL
Agreement or its rights under it or part of it, or purport to do any of the same
under this TTL Agreement without the prior written consent of the other Party
(which consent not to be unreasonably withheld or delayed) save that the Parties
may at any time and at its absolute discretion assign or transfer its rights
under the TTL Agreement (i) to an Affiliate; or (ii) to a Third Party which
acquires all or substantially all of the such Party's assets which are covered
under and necessary for this TTL Agreement.

         

        
          	
                  12

                	
                  SEVERANCE

                

        

         

        In the
event that any clause or any part of any clause in this TTL Agreement is
declared invalid or unenforceable by the judgment, decree by consent or
otherwise of a court of competent jurisdiction from whose decision no appeal is
or can be taken, all other clauses or parts of clauses contained in this TTL
Agreement shall remain in full force and effect and shall not be affected by
such finding for the term of this TTL Agreement.  The invalid or
unenforceable clause shall be replaced by a valid and enforceable clause which
best meets the commercial intent of the invalid or unenforceable
clause.

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              29

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                  13

                	
                  NO
      WAIVER

                

        

         

        No
relaxation, forbearance, delay or indulgence by either Party in enforcing any of
the terms and conditions of this TTL Agreement or the granting of time by either
Party to the other shall prejudice, affect or restrict the rights and powers of
that Party, nor shall any waiver by either Party of any breach of this TTL
Agreement operate as a waiver of or in relation to any subsequent or any
continuing breach of it.

         

        
          	
                  14

                	
                  VARIATION

                

        

         

        This TTL
Agreement may only be amended by a document in writing signed by a duly
authorised officer of each Party.

         

        
          	
                  15

                	
                  FURTHER
      ASSURANCE

                

        

         

        The
Parties shall execute all further documents as may be necessary or desirable to
give full effect to the terms of this TTL Agreement and to protect the rights of
the Parties under it.

         

        
          	
                  16

                	
                  ENTIRE
      AGREEMENT; SURVIVAL

                

        

         

        
          	
                   
      

                	
                  16.1

                	
                  This
      TTL Agreement and the documents referred to in it, constitute the entire
      agreement and understanding of the Parties and upon the Effective Date of
      this TTL Agreement supersede any previous agreement between the Parties
      relating to the subject matter of this TTL Agreement.  For the
      avoidance of doubt, the [***] dated [***] shall not apply to the
      manufacture of the Product.

                

        

         

        
          	
                   
      

                	
                  16.2

                	
                  Each
      of the Parties acknowledges and agrees that, in entering into this TTL
      Agreement and the documents referred to in it, it does not rely on, and
      shall have no remedy in respect of, any statement, representation,
      warranty or understanding (whether negligently or innocently made) of any
      person (whether party to this TTL Agreement or not) other than as
      expressly set out in this TTL Agreement as a warranty or
      representation.  The only remedy available to it for breach of
      such warranties or representations shall be for breach of contract under
      the terms of this TTL Agreement.  Nothing in this clause shall
      operate to limit or exclude any liability for
  fraud.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              30

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  16.3

                	
                  The
      obligations of the Parties under Clauses 4 (The Licensee's Obligations), 5
      (Improvements), 6 (Confidentiality), 9 (Warranties and Indemnities) and
      10.4 (consequences of termination) shall survive the termination of this
      Agreement for any reason.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              31

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                  17

                	
                  NOTICE

                

        

         

        
          	
                   
      

                	
                  17.1

                	
                  Any
      notice or other communication to be given under this TTL Agreement shall
      be delivered personally or sent by facsimile transmission, or if facsimile
      transmission is not available, by first class pre-paid post addressed as
      follows:

                

        

         

        
          
            
              
                	
                        (a)

                      	
                        If
      to Lonza to:

                      	
                        Lonza
      Sales AG

                      
	 
      	 
      	
                        Muenchensteinerstrasse
      38

                      
	 
      	 
      	
                        CH-4402
      Basel

                      
	 
      	 
      	
                        Switzerland

                      
	 
      	 
      	
                        Facsimile:
      +41 61
      316 8329

                      
	 
      	 
      	
                        Attention:  The
      Head of Legal Services

                      
	 
      	 
      	 
      
	 
      	
                        with
      a copy to:

                      	
                        Lonza
      Biologics plc

                      
	 
      	 
      	
                        228
      Bath Road

                      
	 
      	 
      	
                        Slough

                      
	 
      	 
      	
                        Berkshire
      SL1 4DX

                      
	 
      	 
      	
                        England

                      
	 
      	
                        Facsimile:

                      	
                        +44
      1753 777001

                      
	 
      	
                        For
      the attention of:

                      	
                        The
      Head of Legal Services

                      
	 
      	 
      	 
      
	
                        (b)

                      	
                        If
      to Micromet to:

                      	
                        Micromet
      AG

                      
	 
      	 
      	
                        Staffelseestrasse
      2

                      
	 
      	 
      	
                        D-81477
      Munich

                      
	 
      	 
      	
                        Germany

                      
	 
      	
                        Facsimile:

                      	
                        +49-89-895
      277 205

                      
	 
      	
                        For
      the attention of:   

                      	
                        Head
      of Business
Development

                      

              

            

          

        

          

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              32

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

        
 

        
          
            
              
                
                  	 
      	
                          with
      a copy to:    

                        	
                          Micromet,
      Inc.

                        
	 
      	 
      	
                          6707
      Democracy Boulevard

                        
	 
      	 
      	
                          Suite
      505

                        
	 
      	 
      	
                          Bethesda,
      MD 20817

                        
	 
      	 
      	
                          United
      States of America

                        
	 
      	
                          Attention:

                        	
                          General
      Counsel

                        
	 
      	
                          Facsimile:

                        	
                          +1
      240
752-1425

                        

                

              

            

          

        

         

        
          	
                   
      

                	
                  or
      to such other destination as either Party hereto may hereafter notify to
      the other in accordance with the provisions of this Clause
    17.

                

        

         

        
          	
                   
      

                	
                  17.2

                	
                  All
      such notices or other communications shall be deemed to have been served
      as follows:

                

        

         

        
          	  	
                  (a) 

                	
                  if
      delivered personally, at the time of such
  delivery;

                

        

         

        
          	
                   
      

                	
                  (b)

                	
                  if
      sent by facsimile, upon receipt of the transmission confirmation slip
      showing completion of the
transmission;

                

        

         

        
          	
                   
      

                	
                  (c)

                	
                  if
      sent by first class pre-paid post, ten (10) business days (Saturdays,
      Sundays and Bank or other public holidays excluded) after being placed in
      the post.

                

        

         

        
          	
                  18

                	
                  GOVERNING
      LAW, DISPUTE RESOLUTION

                

        

         

        
          	
                   
      

                	
                  18.1

                	
                  The
      construction, validity and performance of the TTL Agreement shall be
      governed by the laws of
Switzerland.

                

        

         

        
          	
                   
      

                	
                  18.2

                	
                  No
      failure or delay on the part of either Licensor or Licensee to exercise or
      enforce any rights conferred on it by this TTL Agreement shall be
      construed or operate as a waiver thereof nor shall any single or partial
      exercise of any right, power or privilege or further exercise thereof
      operate so as to bar the exercise or enforcement thereof at any time or
      times thereafter.

                

        

         

        
          	
                   
      

                	
                  18.3

                	
                  Any
      disputes relating to issues arising from this TTL Agreement shall, in the
      absence of resolution within [***] of the dispute arising, be referred to
      the CEOs of Licensee and COO of Licensor, who shall discuss the matter and
      attempt to resolve it by mutual consent.  The CEOs of Licensee
      and COO of Licensor shall meet once face-to-face within [***] to discuss
      and resolve the dispute.  If the dispute cannot be resolved
      within [***], either Party may, by written notice to the other Party,
      invoke the mediation procedure set out in Clause 18.4
    below.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              33

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  18.4

                	
                  If
      a dispute arises between the Parties that the Parties cannot resolve
      pursuant to Clause 18.3 above, the Parties agree to try to solve such
      dispute amicably by mediation.  The Parties shall conduct a
      mediation procedure according to the ICC ADR Rules of the International
      Chamber of Commerce (ICC) in effect on the date of the commencement of the
      mediation proceedings.  The location of the mediation
      proceedings will be Basel.  The number of mediators will be one
      (1).  The language of the mediation proceeding will be
      English.  If the dispute has not been settled pursuant to the
      said rules within [***] following the filing of a request for mediation or
      within such other period as the Parties may agree in writing, either Party
      may submit the dispute to final and binding
  arbitration.

                

        

         

        
          	
                   
      

                	
                  18.5

                	
                  Any
      dispute relating to the validity, performance, construction or
      interpretation of this TTL Agreement, which cannot be resolved amicably
      between the Parties, shall be submitted to arbitration in accordance with
      the ICC Arbitration Rules of the International Chamber of
      Commerce.  Save in the face of manifest error, the decision of
      the arbitrators shall be final and binding upon the Parties and
      enforceable in any court of competent jurisdiction.  The
      location of arbitration will be Basel.  The arbitration will be
      heard and determined by one (1) arbitrator, who will be jointly selected
      by Licensor and Licensee.  If, within [***] following the date
      upon which a claim is received by the respondent, the Parties cannot agree
      on a single arbitrator, the arbitration will be heard and determined by
      three (3) arbitrators, with one arbitrator being appointed by each Party
      and the third arbitrator being selected by the two Party-appointed
      arbitrators.  If either Party fails to select an arbitrator, or
      if the Party-appointed arbitrators cannot agree on a third arbitrator
      within [***] of the respondent receiving the claim, such arbitrator will
      be appointed by the International Court of Arbitration according to the
      ICC Rules.  The arbitration award that is consistent with the
      provisions of this TTL Agreement that is so given will be binding upon the
      Parties, accompanied by a reasoned opinion in writing (in English), and
      the judgment on the award may be entered in any court having competent
      jurisdiction thereof.

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              34

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        
          	
                   
      

                	
                  18.6

                	
                  Each
      Party will bear its own costs and expenses (including its attorney’s fees)
      associated with any arbitration initiated under this Clause, and each
      Party will bear an equal share of the arbitrators’ and administrative fees
      associated with any arbitration initiated under this
      Clause.  The language of the arbitration proceeding will be
      English.  Notwithstanding the foregoing, Parties agree that the
      non-prevailing Party shall reimburse the costs of the prevailing
      Party.

                

        

         

        
          	
                   
      

                	
                  18.7

                	
                  Notwithstanding
      the provisions of Clause 18.5, each Party shall have the right to seek,
      without proof of special damage, a preliminary, permanent injunctive or
      other equitable relief in any court of competent jurisdiction as such
      Party deems necessary to preserve its rights and to protect its
      interests.

                

        

         

        19           RIGHTS
OF THIRD PARTIES

         

        Parties
intend that no term of this TTL Agreement shall be enforceable by any Third
Party, but this does not affect any right or remedy of a Third Party which
exists or is available under the laws of Switzerland.

         

        This TTL
Agreement has been entered into on the date stated at the beginning of
it.

         

        
          	
                  Signed
      by

                  for
      and on behalf of LONZA
      SALES AG

                   

                	
                  .......................................

                   

                
	
                  Signed
      by

                  for
      and on behalf of LONZA
      SALES AG

                   

                	
                  .......................................

                   

                
	
                  Signed
      by

                  for
      and on behalf of MICROMET
      AG

                	
                  .......................................

                   

                   

                
	
                  Signed
      by

                  for
      and on behalf of MICROMET
      AG

                	
                  .......................................

                   

                

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              35

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

        SCHEDULE
A – LICENSED KNOW-HOW

         

        [***]

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              36

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

        

        SCHEDULE B- LICENSED
PATENTS

        

        [***]

         

        [***]

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              37

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

        

        
          SCHEDULE C – THE
[***]

        

        

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              38

              
                

              

            

            
               

            

          

        

         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

        

        
          [***]SCHEDULE
D

        

        Territories

         

        
          	
                   
      

                	
                  ·

                	
                  USA

                

        

         

        
          	
                   
      

                	
                  ·

                	
                  EU,
      EFTA and Switzerland

                

        

         

        
          	
                   
      

                	
                  ·

                	
                  Japan

                

        

         

        
          	
                   
      

                	
                  ·

                	
                  Australia

                

        

         

        
          	
                   
      

                	
                  ·

                	
                  New
      Zealand

                

        

         

        
          	
                   
      

                	
                  ·

                	
                  Canada

                

        

        

        Approved Contract
Manufacturing Organizations*

        

        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      
                                        
                                          
                                            
                                              
                                                
                                                  	
                                                          Contract
      Manufacturing Organization

                                                          (and
      their Affiliates in the permitted territories listed
above)

                                                        	
                                                          Company
      Details

                                                        
	
                                                          [***]

                                                        	
                                                           

                                                          [***]

                                                           

                                                        
	
                                                          [***]

                                                        	
                                                           

                                                          [***]

                                                           

                                                        
	
                                                          [***]

                                                        	
                                                           

                                                          [***]

                                                           

                                                        
	
                                                          [***]

                                                        	
                                                           

                                                          [***]

                                                           

                                                        
	
                                                          [***]

                                                        	
                                                          [***]

                                                        
	
                                                          [***]

                                                        	
                                                          [***]

                                                        
	
                                                          [***]

                                                        	
                                                          [***]

                                                        
	
                                                          [***]

                                                        	
                                                          [***]

                                                        

                                                

                                              

                                            

                                          

                                        

                                      

                                    

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

         

        *
Approved CMOs shall include Affiliates of the above listed CMOs which are
registered and operate in the territories set forth above.

        

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

        

        
          
            
               

            

            
              39

              
                

              

            

            
               

            

          

        

      

    
 

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    SCHEDULE
15

    

    Lonza Press
Release

    

    News
Release

    

    Lonza
and Micromet Enter into Agreement for the Manufacture of
Blinatumomab

    

    Basel,
Switzerland, 23 November 2009 – Lonza Group Ltd, a market leading custom
manufacturer of Biopharmaceuticals, announces that it has entered into an
agreement with Micromet, Inc. for the process development and manufacture of
Micromet’s blinatumomab (MT103). Micromet is a biopharmaceutical company
developing novel, proprietary antibodies for the treatment of cancer,
inflammation and autoimmune diseases.

    

    Under the
terms of the agreement, Lonza will manufacture blinatumomab for clinical trials.
In addition, Lonza will develop the commercial scale process and will supply
blinatumomab for the market if so requested by Micromet.

    

    Blinatumomab
(MT103) is a BiTE antibody for the treatment of various hematologic cancers.
Blinatomumab has achieved the primary endpoint in a phase 2 clinical trial for
the treatment of patients with acute lymphoblastic leukemia (ALL), and has shown
significant clinical activity in an ongoing phase 1 clinical trial for the
treatment of patients with non-Hodgkin's lymphoma (NHL).

    

    About
Lonza

    Lonza is
one of the world's leading suppliers to the pharmaceutical, healthcare and life
science industries. Its products and services span its customers’ needs from
research to final product manufacture. Lonza is the global leader in the
production and support of active pharmaceutical ingredients both chemically as
well as biotechnologically. Biopharmaceuticals are one of the key growth drivers
of the pharmaceutical and biotechnology industries. Lonza has strong
capabilities in large and small molecules, peptides, amino acids and niche
bioproducts which play an important role in the development of novel medicines
and healthcare products. Lonza is a leader in cell-based research, endotoxin
detection and cell therapy manufacturing. Lonza is also a leading provider of
value chemical and biotech ingredients to the nutrition, hygiene, preservation,
agro and personal care markets.

    

    Lonza is
headquartered in Basel, Switzerland and is listed on the SIX Swiss Exchange. In
2008, Lonza had sales of CHF 2.937 billion. Further information can be found at
www.lonza.com.

    

    For
further Information

    

    
      
        	
                Lonza
      Group Ltd

              	
                Lonza
      Group Ltd

              	
                Lonza
      Group Ltd

              
	
                Head
      Corporate Communications

              	
                Media
      Relations

              	
                Investor
      Relations

              
	
                Michael
      Frizberg

              	
                Dominik
      Werner

              	
                Dirk
      Oehlers

              
	
                Tel
      +41 61 316 8624

              	
                Tel
      +41 61 316 8798

              	
                Tel
      +41 61 316 8540

              
	
                Fax
      +41 61 316 9624

              	
                Fax
      +41 61 316 9798

              	
                Fax
      +41 61 316 9540

              
	
                michael.frizberg@lonza.com

              	
                dominik.werner@lonza.com

              	
                dirk.oehlers@lonza.com

              

      

    

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    SCHEDULE
15

    

    Micromet Press
Release

    

    PRESS
RELEASE

    

    Micromet
Enters into Agreement with Lonza for the Manufacture of
Blinatumomab

     

    BETHESDA, MD— November 23, 2009 —
Micromet, Inc. (NASDAQ: MITI), a biopharmaceutical company developing
novel, proprietary antibodies for the treatment of cancer, inflammation and
autoimmune diseases today announced that it has entered into an agreement for
the process development and manufacture of blinatumomab (MT103) with Lonza AG, a
market leading custom manufacturer of antibodies and other
biologics.

     

    Under the
terms of the agreement, Lonza will manufacture blinatumomab for clinical trials.
In addition, Lonza will develop the commercial scale process and will supply
blinatumomab for the market if so requested by Micromet.

     

    Blinatumomab
(MT103) is a BiTE antibody for the treatment of various hematologic cancers.
Blinatomumab has achieved the primary endpoint in a phase 2 clinical trial for
the treatment of patients with acute lymphoblastic leukemia (ALL), and has shown
significant clinical activity in an ongoing phase 1 clinical trial for the
treatment of patients with non-Hodgkin's lymphoma (NHL). Micromet controls the
worldwide rights to develop and commercialize blinatumomab after it reacquired
MedImmune’s remaining rights to this product candidate on November 4,
2009.

    

    About
BiTE Antibodies

    

    BiTE®
antibodies are designed to direct the body's cytotoxic, or cell-destroying, T
cells against tumor cells, and represent a new therapeutic approach to cancer
therapy. Typically, antibodies cannot engage T cells because T cells lack the
appropriate receptors for binding antibodies. BiTE antibodies have been shown to
bind T cells to tumor cells, ultimately inducing a self-destruction process in
the tumor cells referred to as apoptosis, or programmed cell death. In the
presence of BiTE antibodies, T cells have been demonstrated to serially
eliminate tumor cells, which explains the activity of BiTE antibodies at very
low concentrations. Through the killing process, T cells start to proliferate,
which leads to an increased number of T cells at the site of
attack.

    

    About
Micromet, Inc.

    

    Micromet,
Inc. is a biopharmaceutical company developing novel, proprietary antibodies for
the treatment of cancer, inflammation and autoimmune diseases. Its product
development pipeline includes novel antibodies generated with its proprietary
BiTE® antibody platform, as well as conventional monoclonal antibodies. Two of
Micromet’s BiTE antibodies and three of its conventional antibodies are
currently in clinical trials.  Micromet's preclinical product pipeline
includes several novel BiTE antibodies generated with its proprietary BiTE
antibody platform technology.  Micromet’s collaboration partners
include sanofi-aventis, Bayer Schering Pharma, Nycomed, Merck Serono, and
MedImmune.

    

    Forward-Looking
Statements

    

    This
release contains certain forward-looking statements that involve risks and
uncertainties that could cause actual results to be materially different from
historical results or from any future results expressed or implied by such
forward-looking statements. These forward-looking statements include statements
regarding the manufacture of blinatumomab for clinical trials and the
development of a commercial manufacturing process for this product candidate.
You are urged to consider statements that include the words "ongoing," "may,"
"will," "believes," "potential," "expects," "plans," "anticipates," "intends,"
or the negative of those words or other similar words to be uncertain and
forward-looking. Factors that may cause actual results to differ materially from
any future results expressed or implied by any forward-looking statements
include the risk that the manufacturing process for blinatumomab cannot be
successfully established at Lonza AG, that blinatumomab does not demonstrate
safety and/or efficacy in future clinical trials, or that we will not obtain
approval to market blinatumomab, and the risks associated with reliance on
outside financing to meet capital requirements. These factors and others are
more fully discussed in Micromet's Quarterly Report on Form 10-Q for the fiscal
quarter ended September 30, 2009, filed with the SEC on November 6, 2009, as
well as other filings by the company with the SEC.

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

       

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    Contact
Information

    

    
      
        
          
            	
                    US
      Media:

                  	
                    European
      Media:

                  
	
                    Andrea
      tenBroek/Chris Stamm

                  	
                    Ludger
      Wess

                  
	
                    (781)-684-0770

                  	
                    +49
      (40) 8816 5964

                  
	
                    micromet@schwartz-pr.com

                  	
                    ludger@akampion.com

                  
	 
      	 
      
	
                    US
      Investors:

                  	
                    European
      Investors:

                  
	
                    Susan
      Noonan

                  	
                    Ines-Regina
      Buth

                  
	
                    (212)
      966-3650

                  	
                    +49
      (30) 2363 2768

                  
	
                    susan@sanoonan.com

                  	
                    ines@akampion.com

                  

          

        

      

    

     

    
      ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    Amendment
No. 1

    

    
      
        	
                Between

              	
                Bayer
      Schering Pharma AG

              
	 
      	
                Müllerstrasse  178

              
	 
      	
                13353
      Berlin, Germany

              
	 
      	 
      
	 
      	
                (hereinafter
      referred to as “Bayer“)

              
	 
      	 
      
	
                and

              	
                Micromet
      AG

              
	 
      	
                Staffelseestrasse
      2

              
	 
      	
                81477
      Munich, Germany

              
	 
      	 
      
	 
      	
                (hereinafter
      referred to as “Micromet”)

              
	 
      	 
      
	 
      	
                (each
      hereafter referred to as a “Party” or collectively referred to as the
      “Parties”)

              

      

    

    

    WHEREAS:

    

    Bayer and
Micromet entered into an Option, Collaboration and License Agreement relating to
BiTE antibodies on January 12, 2009 (hereinafter referred to as “the
Agreement”).

    

    Whereby
the Parties wish to agree on certain clarifications and modifications to the
Agreement in connection with the exercise by Bayer of the option under the
Agreement.

    

    Now,
THEREFORE the Parties hereby agree as follows in this Amendment No. 1 (the
“Amendment”):

    

    
      	
              1.

            	
              DEFINITIONS

            

    

    Unless
otherwise defined herein, capitalized terms shall have the same meaning as set
forth in the Agreement.

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    
      	
              2.

            	
              EXERCISE
      OF THE OPTION; EFFECTIVENESS OF
AMENDMENT

            

    

    Effective
as of the date hereof, Bayer has exercised the Option pursuant to that separate
letter delivered by Bayer and attached hereto.  The Parties hereby
agree and acknowledge that notwithstanding anything else stated in Section 2.3
of the Agreement Bayer will be granted the rights in the Agreement and all of
the terms and conditions of the Agreement (as amended herein) will be binding on
the Parties as of the date of this Amendment, which shall be considered the
License Effective Date.  Notwithstanding anything else stated in
Section 2.3 of the Agreement, the Option Exercise Fee shall be payable, subject
to receipt of a proper invoice, on January 8, 2010, irrespective of the date of
the License Effective Date.

    

    
      	
              3.

            	
              [***]  DEVELOPMENT
      PLAN

            

    

    Notwithstanding
anything else stated in Section 4.1 or 4.3 of the Agreement, the Parties hereby
agree to an updated  [***]  Development Plan which is
attached to this Amendment and shall replace in its entirety the original Exhibit
B.

    

    
      	
              4.

            	
              EXHIBIT
      C

            

    

    Exhibit C shall be
replaced in its entirety by the updated version attached to this
Amendment.

    

    
      	
              5.

            	
              PAYMENTS
      UNDER THIRD PARTY AGREEMENTS

            

    

    
      	
              5.1

            	
              The
      second sentence of Section 8.4.1 shall be
      amended to read as follows:

            

    

     

    “[...]In
addition, Bayer will be responsible for (i) the payments that become due under
any future agreement Bayer enters into with a Third Party with regard to the
Product, except as set forth in Section 8.4.2; and
(ii)  [***]  ( [***] ) of any payments that become due under
any potential license to or acquisition of one or more Patents from a Third
Party listed on Attachment 4 (whether
entered into by Bayer or by Micromet), provided that with regard to royalty
payments, Bayer’s share of the payment obligations under this subsection (ii)
for such Third Party agreement shall be limited to a royalty rate
of  [***]  percent.  Bayer and Micromet will
continuously consult with each other during the negotiation of and jointly
approve any license or acquisition agreement covered by subsection (ii) above,
such approval not to be unreasonably withheld; it being understood that, subject
to Section 4.8 with respect to any subsequent negotiation right of
Bayer,  Micromet shall have the first right to obtain such license
under commercially reasonable terms, including but not limited to a reasonable
allocation of early and late payments in accordance with industry standards and
similar to the allocation of early and late payments from Bayer to Micromet
under this Agreement, as the Parties may determine.

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    
      	
              5.2

            	
              The
      second sentence of Section 8.4.2 shall be
      amended to read as follows:

            

    

     

    “[...] In
addition, Micromet will be responsible for (i) the payments that become due
under any license to or acquisition of Patents (whether entered into by Bayer or
by Micromet) from a Third Party (including a  [***] ) to the extent
payments are payable for a license to or acquisition of Patents owned by a Third
Party that would  [***]  by  [***] of
an  [***] in a [***] listed on  [***] , except excluding any
such invention relating to the  [***]  and
(ii)  [***]  ( [***] ) of any payments that become due under
any potential license to or acquisition of one or more Patents from a Third
Party listed on Attachment 4 (whether
entered into by Bayer or by Micromet), provided that with regard to royalty
payments, Micromet’s share of the payment obligations under this subsection (ii)
for such Third Party agreement shall be limited to a royalty rate
of  [***]  percent.”

     

    
      	
              5.3

            	
              The
      following sentence shall be added to Section 8.4.2 and read as
      follows:

            

    

     

    “Upon
execution by Micromet of an agreement relating to a license to or acquisition of
one or more Patents listed on Attachment 4 or any
other agreements with Third Parties for which Micromet is financially
responsible in accordance with the cost allocation described in Section 8.4.2,
such Patents Controlled by Micromet shall become part of the Sublicensed
Technology and be included in the licenses granted to Bayer under the Agreement,
subject to the terms and conditions of the agreement with the Third Party and
without additional payment obligations of Bayer other than those set out in
Section 8.4.1 and subject to those payment obligations described in the last
sentence of the first paragraph of this Section 8.4.2.

     

    5.4         The
Parties agree that a license granted to Bayer under one or more Patents listed
in Attachment 4
shall not extend the royalty term for royalties payable according to Section
8.3.1. Section 8.3.2 (b) shall therefore be amended to read as
follows:

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    “(b)    Royalties
due under the preceding Section 8.3.1 will commence upon First Commercial Sale
of a Product in a particular country in the Territory and will expire on a
country-by-country and Product-by-Product basis upon the later of: (i) the
expiration of the last-to-expire Patent within the Licensed Technology
containing a Valid Claim claiming or covering the use or sale of such Product in
such country, or (ii)  [***]  ( [***] )  [***]  from
the First Commercial Sale of such Product in such country; provided, however,
that once the use or sale of a Product in a particular country is only claimed
or covered by a Valid Claim within the Patents listed in Attachment 4, and
the  [***]  period pursuant to the preceding subsection (ii)
has expired, Bayer shall no longer pay to Micromet royalties according to
Section 8.3.1 for such country, but only such royalties that Micromet has to pay
to a Third Party for the use of those Patents by virtue of Bayer’s
Commercialization of the Product.

    

    
      	
              6.

            	
              EFFECTS
      OF TERMINATION

            

    

    
      	
              6.1

            	
              Section
      13.1.1 (i) shall be amended to read as
follows:

            

    

     

     “(i)   [***]
to  [***]  a  [***] with the  [***]
to  [***] and  [***] the  [***]
of  [***] under any [***] related to any of the items described in
Section [***]  and under any  [***] or  [***]
by  [***]  that would be  [***] or
is  [***] by the  [***] or  [***] of
the  [***] to  [***] for  [***]
and  [***] the  [***] in the  [***] provided that
where  [***] has to [***] to a  [***] for
the  [***] of any  [***] or  [***] to
be  [***] to  [***] under this Section 13.1.1(i), such [***]
shall only be  [***] if  [***] to  [***]
to  [***] any  [***] which  [***] to
the  [***] to the extent  [***] to the  [***]
or  [***] of the  [***] by or on behalf of  [***]
”

     

    
      	
              6.2

            	
              The
      first sentence of Section 13.1.2 shall be deleted and replaced by the
      following:

            

    

    

    “If the
Agreement is terminated by Micromet under  [***]  or by
Bayer under  [***]  in its entirety or with respect to any
Terminated Territory after the  [***] of the  [***] in
the  [***] , in consideration of the Program Transfer, Micromet will
make to Bayer payments according to the following schedule until such time as
Bayer has received an amount equivalent to  [***]  times
the  [***] and  [***] (including, but not limited to [***]
)  [***] by it or paid to  [***]  pursuant to this
Agreement for the Product in respect of such Terminated Territory, but, for
clarity, excluding any milestone or royalty payments paid to Micromet (“the
Compensation”): [...]”

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    
      	
              7.

            	
              PRESS
      RELEASE UPON OPTION EXERCISE

            

    

    On the
License Effective Date or first Business Day thereafter, each Party may issue
the press release regarding the exercise of the Option in the form attached in
Attachment
5.

     

    
      	
              8.

            	
              CONFIRMATION
      OF TERMS

            

    

    Except as
expressly amended by the terms hereof, all provisions of the Agreement shall
remain in full force and effect.

    

    In
witness whereof the Parties have executed this Amendment No. 1 as of the dates
set forth below.

    

    
      
        
          	
                  Bayer
      Schering Pharma AG

                	 
      	
                  Micromet
      AG

                
	 
      	 
      	 
      
	
                  Date:  November
      25, 2009

                	 
      	
                  Date:
      November 25, 2009

                
	 
      	 
      	 
      
	
                  By:

                	
                  /s/ Andreas Fibig

                	 
      	
                  By:

                	
                  /s/ Jens Hennecke

                
	
                  Name:  Andreas
      Fibig

                	 
      	
                  Name:
      Jens Hennecke

                
	
                  Function:
      Chairman of the Board

                	 
      	
                  Function:
      SVP Business Development

                
	
                  of
      Management

                	 
      	 
      
	 
      	 
      	 
      
	
                  By:

                	
                  /s/ Andreas Busch

                	 
      	
                  By:

                	
                  /s/ Patrick Baeuerle

                
	
                  Name:  Prof.
      Dr. Andreas Busch

                	 
      	
                  Name:
      Patrick Baeuerle

                
	
                  Function:
      Member of the Board of

                	 
      	
                  Function:
      SVP R&D, CSO

                
	
                  Management

                	 
      	 
      

        

      

    

    

    Attachments:

    1.  Updated
Exhibit B

    2.  Updated
Exhibit C

    3.  Option
Exercise Letter

    4.  Patent
List

    5.  Micromet
and Bayer Press Release

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    ATTACHMENT
1

    

    Updated
Exhibit B

    

    [Attachment
follows]

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

      

    

    [***]

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    ATTACHMENT
2

    

    Exhibit
C

     

    Micromet
Technology Patents

    

     [***]

     

    
      
        
          
            
              
                
                  
                    
                      
                        
                          	
                                  Application

                                  Number

                                	 	
                                  Application

                                  Filing Date

                                	 	
                                  Country

                                	 	
                                  Title of Application

                                	 	
                                  Status

                                	 	
                                  Patent Number

                                
	
                                   

                                   [***]

                                	 	
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     [***]

     

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              	
                                      Application

                                      Number

                                    	 	
                                      Application

                                      Filing Date

                                    	 	
                                      Country

                                    	 	
                                      Title of Application

                                    	 	
                                      Status

                                    	 	
                                      Patent Number

                                    
	
                                       [***]

                                    	 	
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    *** Certain confidential
information contained in this document, marked by brackets, has been omitted and
filed separately with the Securities and Exchange Commission pursuant to Rule
24b-2 of the Securities Exchange Act of 1934, as amended.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    
       

      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

       

    

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              	
                                      Application

                                      Number

                                    	 	
                                      Application

                                      Filing Date

                                    	 	
                                      Country

                                    	 	
                                      Title of Application

                                    	 	
                                      Status

                                    	 	
                                      Patent Number

                                    
	
                                       [***]

                                    	 	
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    [***]
 

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                	
                                        Application

                                        Number

                                      	 	
                                        Application

                                        Filing Date

                                      	 	
                                        Country

                                      	 	
                                        Title of Application

                                      	 	
                                        Status

                                      	 	
                                        Patent Number

                                      
	
                                         [***]

                                      	 	
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    [***]

     

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                	
                                        Application

                                        Number

                                      	 	
                                        Application

                                        Filing Date

                                      	 	
                                        Country

                                      	 	
                                        Title of Application

                                      	 	
                                        Status

                                      	 	
                                        Patent Number

                                      
	
                                         [***]

                                      	 	
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    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    ATTACHMENT
3

    

    Option
Exercise Letter

    

    [Attachment
follows]

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

      ***Text
Omitted and Filed Separately

      Confidential
Treatment Requested

      Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    

      
        
          
            
              	
                      

                    	
                      

                    

            

          

        

      

       

      By
fax and courier

      

      Micromet
AG

      Attn.:
Head of Business Development

      Staffelseestr.
2

      81477
München

      Fax no.:
089 / 895 277 205

       

      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      
                                        
                                          
                                            
                                              
                                                
                                                  
                                                    
                                                      
                                                        
                                                          
                                                            	
                                                                    
                                                                      Option,
      Collaboration and License Agreement dated January 12,
      2009:

                                                                    

                                                                    
                                                                      Option
      Exercise Notice

                                                                       

                                                                    

                                                                    
                                                                      Dear
      Sir,

                                                                    

                                                                     

                                                                    In
      accordance with Section 2.3 of the above mentioned Option, Collaboration
      and License Agreement (“the Agreement”) we hereby provide notice to
      Micromet of Bayer Schering Pharma’s desire to exercise the Option as
      defined in Section 2.1 of the Agreement. This letter shall constitute the
      Option Exercise Notice pursuant to Section 2.3 of the
      Agreement.

                                                                     

                                                                    
                                                                      Yours
      sincerely,

                                                                    

                                                                    
                                                                      Bayer
      Schering Pharma AG

                                                                    

                                                                     

                                                                    

                                                                      Andreas
      Fibig                          Prof.
      Dr. Andreas Busch

                                                                    

                                                                    
                                                                      Chairman
      of the Board of Management      
      Member of the Board of Management

                                                                       

                                                                      
                                                                        cc:

                                                                      

                                                                      
                                                                        Micromet,
      Inc.

                                                                      

                                                                      
                                                                        Attn.:
      General Counsel

                                                                      

                                                                      
                                                                        6707
      Democracy Boulevard, Suite 505

                                                                      

                                                                      
                                                                        Bethesda,
      MD 20817, USA

                                                                      

                                                                      

                                                                        Fax
      no.: +1-240-752-1425

                                                                      

                                                                    

                                                                  	 
      	
                                                                    
                                                                      November
      25, 2009

                                                                    

                                                                     

                                                                    
                                                                      Bayer
      Schering Pharma AG

                                                                    

                                                                    
                                                                       

                                                                      Sd/9b2411_1

                                                                    

                                                                     

                                                                    Postal
      address:

                                                                    13342
      Berlin, Germany

                                                                    Visitor’s
      address:

                                                                    Müllerstraße
      178

                                                                    13353
      Berlin, Germany

                                                                    Tel.
      +49 30 468 1111

                                                                    Fax
      +49 30 468  

                                                                    
                                                                      @

                                                                        

                                                                      

                                                                        www.bayerscheringpharma.de

                                                                      

                                                                      
                                                                         

                                                                        Board
      of Management:

                                                                      

                                                                      
                                                                        Andreas
      Fibig,

                                                                      

                                                                      
                                                                        Chairman
      of the Board

                                                                      

                                                                      
                                                                        Andreas
      Busch

                                                                      

                                                                      
                                                                        Ulrich
      Köstlin

                                                                      

                                                                      
                                                                        Kemal
      Malik

                                                                      

                                                                      

                                                                        Bernd
      Metzner

                                                                         

                                                                        
                                                                          Chairman
      of the 

                                                                        

                                                                        
                                                                          Supervisory
      Board:

                                                                        

                                                                        
                                                                          Richard
      Pott

                                                                           

                                                                          
                                                                            Registered
      Office:

                                                                          

                                                                        

                                                                        
                                                                          Berlin

                                                                          
                                                                            Local
      Court

                                                                          

                                                                          
                                                                            Charlottenburg

                                                                          

                                                                          
                                                                            HRB
      283
B

                                                                          

                                                                        

                                                                      

                                                                    

                                                                  

                                                          

                                                        

                                                      

                                                    

                                                  

                                                

                                              

                                            

                                          

                                        

                                      

                                    

                                  

                                

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

         

        ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

      

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    ATTACHMENT
4

    

    Patent
List

    

    
      
        
          
            
              
                
                  
                    
                      	
                              Publication Number

                            	 	
                              Filing Date

                            	 	
                              Country

                            	 	
                              Title of Application

                            
	
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                               [***]

                            

                    

                  

                

              

            

          

        

      

    

     

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

    ATTACHMENT
5

    

    Micromet
and Bayer Press Release

    

    [Attachment
follows]

    

    ***
Certain confidential information contained in this document, marked by brackets,
has been omitted and filed separately with the Securities and Exchange
Commission pursuant to Rule 24b-2 of the Securities Exchange Act of 1934, as
amended.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    ***Text
Omitted and Filed Separately

    Confidential
Treatment Requested

    Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

    

      

      

      PRESS
RELEASE

      

      
        Bayer
Schering Exercises Option to Develop Solid Tumor BiTE Antibody with
Micromet

      

      

      BETHESDA, MD – December 1, 2009
— Micromet, Inc. (NASDAQ: MITI), a biopharmaceutical company developing
novel, proprietary antibodies for the treatment of cancer, inflammation and
autoimmune diseases today announced that Bayer Schering Pharma AG has exercised
its option under the option, collaboration and license agreement entered into on
January 12, 2009 to develop a new BiTE antibody for the treatment of solid
tumors.

      

      Under the
terms of the agreement, Bayer Schering Pharma had an option until January 5,
2010 to license a specific BiTE antibody targeting an undisclosed target. The
option exercise triggers a formal collaboration between Micromet and Bayer
Schering Pharma on the development of the BiTE antibody. Micromet will be
primarily responsible for the preclinical development of the BiTE antibody, and
will collaborate with Bayer through the completion of phase 1 clinical trials,
at which point Bayer Schering Pharma will assume full control of the further
development and commercialization of the BiTE antibody. Micromet will receive an
option exercise fee of Euro 5 million (approx. $7.5 million), and is eligible
for further milestone payments of up to Euro 285 million (approx. $426 million)
in total and up to double digit royalties on net sales of the BiTE antibody. In
addition, Micromet will be reimbursed for its R&D expenses.

      

      “BiTE
antibodies represent a promising approach to cancer therapy,” said Dr. Karl
Ziegelbauer, Head Therapeutic Research Oncology of Bayer Schering Pharma AG. “We
are pleased with the progress of the program since the signing of the agreement
in January of this year. We are looking forward to developing a new treatment
for patients with solid tumors and to further advance novel therapeutic options
in our oncology portfolio.”

      

      Jens
Hennecke, Micromet’s Senior Vice President for Business Development added: “Our
research and preclinical development teams have done an excellent job in
advancing the program since January of this year. Bayer Schering Pharma’s early
option exercise is a recognition of Micromet’s development capabilities and
confirms the promise of our BiTE antibody platform.”

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

      
        
           

        

        
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Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

      

      About
BiTE Antibodies

      

      BiTE®
antibodies are designed to direct the body's cytotoxic, or cell-destroying, T
cells against tumor cells, and represent a new therapeutic approach to cancer
therapy. Typically, antibodies cannot engage T cells because T cells lack the
appropriate receptors for binding antibodies. BiTE antibodies have been shown to
bind T cells to tumor cells, ultimately inducing a self-destruction process in
the tumor cells referred to as apoptosis, or programmed cell death. In the
presence of BiTE antibodies, T cells have been demonstrated to serially
eliminate tumor cells, which explains the activity of BiTE antibodies at very
low concentrations. Through the killing process, T cells start to proliferate,
which leads to an increased number of T cells at the site of
attack.

      

      About
Micromet, Inc.

      

      Micromet,
Inc. is a biopharmaceutical company developing novel, proprietary antibodies for
the treatment of cancer, inflammation and autoimmune diseases. Its product
development pipeline includes novel antibodies generated with its proprietary
BiTE® antibody platform, as well as conventional monoclonal antibodies. Two of
Micromet’s BiTE antibodies and three of its conventional antibodies are
currently in clinical trials. Micromet's preclinical product pipeline includes
several novel BiTE antibodies generated with its proprietary BiTE antibody
platform technology. Micromet’s collaboration partners include sanofi-aventis,
Bayer Schering Pharma, Merck Serono, MedImmune and Nycomed.

      

      Forward-Looking
Statements

      

      This release contains certain
forward-looking statements that involve risks and uncertainties that could cause
actual results to be materially different from historical results or from any
future results expressed or implied by such forward-looking statements. These
forward-looking statements include statements regarding the operation of the
global collaboration with Bayer Schering Pharma, the efficacy, safety and
intended utilization of our product candidates, including the BiTE antibody that
is the subject of the agreement with Bayer Schering Pharma, the mode of action
of BiTE antibodies, the conduct, timing and results of future clinical trials,
expectations of the future expansion of our product pipeline and collaborations,
and the future payment of milestone and royalty payments by Bayer Schering
Pharma. You are urged to consider statements that include the words "ongoing,"
"may," "will," "believes," "potential," "expects," "plans," "anticipates,"
"intends," or the negative of those words or other similar words to be uncertain
and forward-looking. Factors that may cause actual results to differ materially
from any future results expressed or implied by any forward-looking statements
include the risk that product candidates that appeared promising in early
research, preclinical studies or clinical trials do not demonstrate safety
and/or efficacy in subsequent clinical trials, the risk
that encouraging results from early research, preclinical studies or clinical
trials may not be confirmed upon further analysis of the detailed results of
such research, preclinical study or clinical trial, the risk that additional
information relating to the safety, efficacy or tolerability of our product
candidates may be discovered upon further analysis of preclinical or clinical
trial data, the risk that we or our collaborators will not obtain approval to
market our product candidates, the risks associated with reliance on outside
financing to meet capital requirements, and the risks associated with reliance
on collaborators and licensees, including Bayer Schering Pharma, sanofi-aventis,
MedImmune, Merck Serono, TRACON and Nycomed, for the funding or conduct of
further development and commercialization activities relating to our product
candidates. These factors and others are more fully discussed in Micromet's
Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2009,
filed with the SEC on November 6, 2009, as well as other filings by the company
with the SEC.

      

      # #
#

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

      
        
           

        

        
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Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

      

      
        
          
            
              
                	
                        Contact
      Information

                      	 
      	 
      
	 
      	 
      	 
      
	
                        US
      Media:

                      	 
      	
                        European
      Media:

                      
	
                        Chris
      Stamm

                      	
                        Ludger
      Wess

                      	 
      
	
                        (781)-684-0770

                      	 
      	
                        +49
      (40) 8816 5964

                      
	
                        micromet@schwartz-pr.com

                      	
                        ludger@akampion.com

                      
	 
      	 
      	 
      
	
                        US
      Investors:

                      	 
      	
                        European
      Investors:

                      
	
                        Susan
      Noonan

                      	 
      	
                        Ines-Regina
      Buth

                      
	
                        (212)
      966-3650

                      	 
      	
                        +49
      (30) 2363 2768

                      
	
                        susan@sanoonan.com

                      	 
      	
                        ines@akampion.com

                      

              

            

          

        

      

       

      *** Certain confidential
information contained in this document, marked by brackets, has been omitted and
filed separately with the Securities and Exchange Commission pursuant to Rule
24b-2 of the Securities Exchange Act of 1934, as amended.

       

      
        
           

        

        
          Page 3 of
3

          
            

          

        

        
           

        

      

      
         

        ***Text
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Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

      

      
        
          
            	
                    

                  	
                    

                  
	
                    Final Draft November 22, 2009

                  	 
      
	
                    News Release

                  	
                    Bayer HealthCare AG

                    Corporate Communications

                    51368 Leverkusen

                    Germany

                    Phone +49 214 30 1

                    www.news.bayer.com

                  

          

        

      

        

      
        

      

       

      Development of new BiTE
antibody for treatment of solid tumors:

       

      Bayer
Schering Pharma to collaborate with Micromet on novel approach to cancer
therapy

       

      
        

      

       

      Berlin, December 1st, 2009 –
Bayer Schering Pharma AG, Germany, will develop a new BiTE antibody for the
treatment of solid tumors in collaboration with the biopharmaceutical company
Micromet, Inc. In January 2009, both companies had entered into an option,
license and collaboration agreement. By exercising the option today, Bayer
Schering Pharma has triggered a joint collaboration on the development of the
BiTE antibody against an undisclosed solid tumor target through the completion
of Phase I clinical trials, at which point Bayer will assume full control of the
further development and commercialization of the antibody. BiTE antibodies are
designed to direct the body's cell-destroying T cells against tumor cells, and
represent a new therapeutic approach to cancer therapy.

      

      Bayer
Schering Pharma will pay Micromet an option exercise fee of 5 million Euro in
January 2010. According to the agreement, Micromet will be eligible for
milestone payments of up to 285 million Euro in total and up to double-digit
royalties based on tiered net sales of the product. In addition it is planned to
reimburse Micromet for its R&D expenses.

      

      ”BiTE
antibodies represent a promising approach to cancer therapy,” said Dr. Karl
Ziegelbauer, Head Therapeutic Research Oncology of Bayer Schering Pharma AG. “We
are pleased with the progress of the program since the signing of the agreement
in January of this year. We are looking forward to developing a new treatment
for patients with solid tumors and to further advance novel therapeutic options
in our oncology portfolio.”

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

      
        
           

        

        
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        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

      

      Jens
Hennecke, Micromet’s Senior Vice President for Business Development added: “Our
research and preclinical development teams have done an excellent job in
advancing the program since January of this year. Bayer Schering Pharma’s early
option exercise is a recognition of Micromet’s development capabilities and
confirms the promise of our BiTE antibody platform.”

      

      The Bayer
Group is a global enterprise with core competencies in the fields of health
care, nutrition and high-tech materials. Bayer HealthCare, a subsidiary of Bayer
AG, is one of the world’s leading, innovative companies in the healthcare and
medical products industry and is based in Leverkusen, Germany. The company
combines the global activities of the Animal Health, Bayer Schering Pharma,
Consumer Care and Medical Care divisions. Bayer HealthCare’s aim is to discover
and manufacture products that will improve human and animal health worldwide.
Find more information at www.bayerhealthcare.com.

      

      Bayer
Schering Pharma is a worldwide leading specialty pharmaceutical company. Its
research and business activities are focused on the following areas: Diagnostic
Imaging, General Medicine, Specialty Medicine and Women’s Healthcare. With
innovative products, Bayer Schering Pharma aims for leading positions in
specialized markets worldwide. Using new ideas, Bayer Schering Pharma aims to
make a contribution to medical progress and strives to improve the quality of
life. Find more information at www.bayerscheringpharma.de.

      

      Contact:

      Denise
Rennmann, Phone: +49 30 - 468 12066

      E-mail:
denise.rennmann@ bayerhealthcare.com

      

      DR          (2009-0633E)

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

      
        
           

        

        
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        ***Text
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        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

      

      Forward-Looking
Statements

      

      This
release may contain forward-looking statements based on current assumptions and
forecasts made by Bayer Group or subgroup management. Various known and unknown
risks, uncertainties and other factors could lead to material differences
between the actual future results, financial situation, development or
performance of the company and the estimates given here. These factors include
those discussed in Bayer’s public reports which are available on the Bayer
website at www.bayer.com. The
company assumes no liability whatsoever to update these forward-looking
statements or to conform them to future events or developments.

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

      
        
           

        

        
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        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

      

      
        
          
            	
                    

                  	
                    

                  
	
                    
                      Endgültiger
      Entwurf vom 22.11.2009

                    

                  	 
      
	
                    
                      Presse-Information

                    

                  	
                    Bayer HealthCare AG

                    

                      Unternehmenskommunikation

                    

                    51368 Leverkusen

                    

                      Deutschland

                    

                    

                      Tel.:
      0214 30-1

                    

                    

                      www.presse.bayer.de

                    

                  

          

        

      

        

      
        

      

      

      Entwicklung eines
BiTE-Antikörpers zur Behandlung solider Tumore:

       

      Bayer
Schering Pharma arbeitet zusammen mit Micromet an neuem Ansatz in der
Krebstherapie

       

      
        

      

       

      Berlin, 1. Dezember 2009 –
Bayer Schering Pharma arbeitet zusammen mit dem biopharmazeutischen
Unternehmen Micromet an der Entwicklung eines neuen, spezifischen
BiTE-Antikörpers zur Behandlung solider Tumore. Im Januar 2009 hatten beide
Unternehmen eine Exklusivoption für eine Kooperations- und Lizenzvereinbarung
unterschrieben. Diese Option hat Bayer Schering Pharma heute ausgeübt und die
Zusammenarbeit begonnen.

      

      Der
BiTE-Antikörper gegen solide Tumore soll bis zum erfolgreichen Abschluss der
Phase I der klinischen Studien gemeinsam entwickelt werden. Anschließend wird
Bayer Schering Pharma die weitere Entwicklung und Vermarktung vollständig
übernehmen. BiTE-Antikörper sollen die körpereigenen “Killer-T-Zellen“ gegen die
Tumorzellen lenken. Dies ist ein neuer Ansatz in der Krebstherapie.

      

      Laut
Vereinbarung wird Bayer Schering Pharma im Januar 2010 für die Ausübung der
Option eine Gebühr von 5 Millionen Euro an Micromet zahlen. Insgesamt soll
Micromet meilensteinabhängige Zahlungen von bis zu 285 Millionen Euro erhalten.
Hinzu kommen gestaffelte Lizenzgebühren je nach den Umsätzen des Präparats bis
in den zweistelligen Prozent-Bereich. Außerdem ist vorgesehen, dass Micromet
Ausgleichzahlungen für seinen Entwicklungsaufwand erhält.

      

      ”BiTE-Antikörper
sind ein vielversprechender Ansatz in der Krebstherapie,“ kommentierte Dr. Karl
Ziegelbauer, Leiter des therapeutischen Forschungsgebiets Onkologie bei Bayer
Schering Pharma. „Wir haben den Fortschritt des Programms seit unserer
Vereinbarung im Januar 2009 mit großem Interesse verfolgt und freuen uns jetzt
auf die Entwicklung einer neuen Behandlungsmöglichkeit für
Patienten mit soliden Tumoren. Wir bauen so unser Onkologie-Portfolio mit
neuartigen Therapieoptionen aus.“

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

       

      
        
           

        

        
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-

          
            

          

        

        
           

        

      

      
         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

      

      Jens
Hennecke, Senior Vice President für Business Development bei Micromet, ergänzte:
„Unsere Teams in Forschung und präklinischer Entwicklung haben seit Januar sehr
erfolgreich daran gearbeitet, das Programm voranzubringen. Dass Bayer Schering
Pharma seine Option schon jetzt ausübt, ist für uns auch eine Anerkennung
unserer Fähigkeiten in der Arzneimittelentwicklung. Außerdem bestätigt es die
guten Aussichten unserer BiTE-Antikörper.“

      

      Über
Bayer Schering Pharma

      Die Bayer
AG ist ein weltweit tätiges, forschungsbasiertes und wachstumsorientiertes
Unternehmen
mit Kernkompetenzen auf den Gebieten Gesundheit, Ernährung und hochwertige
Materialien. Bayer HealthCare ist eine Tochtergesellschaft der Bayer AG und
gehört zu den weltweit führenden innovativen Unternehmen in der
Gesundheits-versorgung mit Arzneimitteln und medizinischen Produkten. Das
Unternehmen bündelt die Aktivitäten der Divisionen Animal Health, Bayer Schering
Pharma, Consumer Care sowie Medical Care. Ziel von Bayer HealthCare ist es,
Produkte zu erforschen, zu entwickeln, zu produzieren und zu vertreiben, um die
Gesundheit von Mensch und Tier weltweit zu verbessern. Mehr Informationen finden
Sie unter www.bayerhealthcare.com.

      

      Bayer
Schering Pharma ist ein weltweit führendes Spezialpharma-Unternehmen, dessen
Forschung und Geschäftsaktivitäten sich auf vier Bereiche konzentrieren:
Diagnostische Bildgebung, General Medicine, Specialty Medicine und Women’s
Healthcare. Bayer Schering Pharma setzt auf Innovationen und will mit neuartigen
Produkten in speziellen Märkten weltweit führend sein. So leistet Bayer Schering
Pharma einen Beitrag zum medizinischen Fortschritt und will die Lebensqualität
der Menschen verbessern. Mehr Informationen finden Sie unter
www.bayerscheringpharma.de.

      

      Ansprechpartnerin:

      Denise
Rennmann, Tel.: 0 30-46 81 20 66

      E-Mail:
denise.rennmann@ bayerhealthcare.com

      

      DR         (2009-0633)

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

      
        
           

        

        
          - 2/3
-

          
            

          

        

        
           

        

      

      
         

        ***Text
Omitted and Filed Separately

        Confidential
Treatment Requested

        Under
17 C.F.R. §§ 200.80(b)(4), and 240.24b-2

         

      

      Zukunftsgerichtete
Aussagen

      Diese
Presseinformation kann bestimmte in die Zukunft gerichtete Aussagen enthalten,
die auf den gegenwärtigen Annahmen und Prognosen der Unternehmensleitung des
Bayer-Konzerns bzw. seiner Teilkonzerne beruhen. Verschiedene bekannte wie auch
unbekannte Risiken, Ungewissheiten und andere Faktoren können dazu führen, dass
die tatsächlichen Ergebnisse, die Finanzlage, die Entwicklung oder die
Performance der Gesellschaft wesentlich von den hier gegebenen Einschätzungen
abweichen. Diese Faktoren schließen diejenigen ein, die Bayer in
veröffentlichten Berichten beschrieben hat. Diese Berichte stehen auf der
Bayer-Webseite www.bayer.de zur
Verfügung. Die Gesellschaft übernimmt keinerlei Verpflichtung, solche
zukunftsgerichteten Aussagen fortzuschreiben und an zukünftige Ereignisse oder
Entwicklungen anzupassen.

       

      *** Certain confidential information contained in this document,
marked by brackets, has been omitted and filed separately with the Securities
and Exchange Commission pursuant to Rule 24b-2 of the Securities Exchange Act of
1934, as amended.

      

        
          
             

          

          
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