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1 <p align="center"><b>RESEARCH AND DEVELOPMENT</b></p>
2 <p>PLIVA has a long and successful R&D track record that dates back to 1936. Its
3 investments in R&D have grown to a decade high of USD 40 m and represent 10%
4 of PLIVA's healthcare turnover. The strategic goal for this continued investment
5 is to achieve a balanced portfolio for PLIVA's short, medium and long-term growth.
6 Commitment to a unique two-fold R&D strategy: the discovery and development of new
7 chemical entities and the development of value added generics, is further supported
8 by PLIVA's licensing strategy.</p>
9 <p>PLIVA has focused its expertise on NCE research, and through this "Smart Discovery Strategy" globally
10 competitive results are expected. Research activities are focusing on the early
11 phases of discovery and development only (i.e. Phase I/II clinical trials),
12 while for advanced stages of development
13 and marketing, strategic partnerships will be established. PLIVA's vision in
14 research is to develop new drugs whose production will serve unmet medical needs
15 and will have commercial returns in line with PLIVA's growth targets.</p>
16 <p align="center"><img src="p/Superrnd_ljudi_4.jpg" width="300" height="198" border=1></p>
17 <p>In development, superior results will be achieved by the in-house development
18 of new molecules, the development of final pharmaceutical Rx or OTC drug forms
19 and the development of Fine Chemicals processes. PLIVA's Competitive Generic
20 Strategy is based on decades of experience and expertise in new API development
21 coupled with regular and successful FDA inspections as well as PLIVA's excellence
22 in chemistry and the innovative improvement of existing drugs.</p>
23 <p>Our R&D strategy binds together a top quality international research team,
24 a network of strategic partnerships with multinational and biotech companies
25 and a broad cooperation with various international universities and institutes.
26 These activities are further supported by an independent body that consists
27 of leading experts in the R&D areas of interest to PLIVA - PLIVA's International
28 Scientific Advisory Board.</p>

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