ALTANA R&D Day 2005

"Thanks to our high R&D expenditure amounting to almost 20% of ourtherapeutics sales and to our focus on the core areas ofgastroenterology, respiratory, inflammation, and oncology, we createda highly innovative pipeline and further advanced our clinicalprojects. This will contribute to strengthening ALTANA Pharma'sground-breaking power and thus create the basis for further growth inthe future," said Dr. Ulrich Thibaut, member of the Management Boardof ALTANA Pharma AG, who is responsible for R&D.

Comparative studies on efficiency and tolerability of Alvesco(R)

Alvesco(R) is a new generation inhaled corticosteroid with novelrelease and distribution properties resulting in lung-targetedanti-inflammatory effects. Inhaled corticosteroids (ICS) areconsidered to be the foundation of asthma treatment. They work byreducing inflammation - the underlying disease process - in the lungsand airways.

Today, Alvesco(R) has been approved in more than 30 countries. Itis now available in nine countries, among others Germany, UK, theNetherlands, Australia, and Brazil. Numerous other markets are tofollow later in the year, with additional market launches planned forthe first half of 2006. In addition, ALTANA Pharma expects theapproval for children and adolescents in Europe in 2006. In the U.S.,the cooperation partner for Alvesco(R), Sanofi-Aventis, filed forapproval with the FDA, and in October 2004 Sanofi-Aventis received anApprovable Letter.

In total, data from more than 10,000 asthma patients werecollected for Alvesco(R).

-- Once-daily administration of Alvesco(R) 320 mcg to patients with moderate asthma improved the lung function (FEV1) similar to a twice-daily administration of fluticasone 200 mcg. In this comparative clinical trial ("M1-133") the quality of life-parameters for patients treated with Alvesco(R) were higher than for the patients treated with fluticasone.

-- A dosage of 160 ug Alvesco(R) per day resulted in an improvement of lung function (FEV1) and asthma control similar to budesonide with double the dosage (400 mcg/day). Gadgil et al. already presented the outcome of the study with patients suffering from moderate to severe asthma at a scientific congress.

-- A study comparing children treated with Alvesco(R) 160 mcg or budesonide 400 mcg showed similar effects. However, the effects of Alvesco(R) on the HPA-axis were significantly lower which underlines Alvesco(R)'s excellent safety profile. The study also included recording the growth of the children. During the Alvesco(R) therapy they grew significantly more compared to the budesonide therapy.

The most frequently reported adverse events seen in ciclesonideclinical trials were nasopharyngitis, headache, and upper respiratorytract infection.

In addition to the launched inhaler Alvesco(R), the ciclesonideproduct family also includes ciclesonide nasal spray (phase III), andciclesonide as a fixed combination product with formoterol (phase II).

Further phase III data on the efficiency of Daxas(R) for asthmaand COPD

The product candidate Daxas(R) (roflumilast) is a selectivephosphodiesterase 4 (PDE4) inhibitor for treating chronic inflammatoryrespiratory conditions such as asthma or COPD (Chronic ObstructivePulmonary Disease). Data from additional phase III clinical trialsdemonstrate a continuous improvement of the lung function and thusconfirm the results of previous trials. In total, data of 3,172 COPDpatients and of

3,365 asthma patients are now available.

-- The first one-year COPD study "RATIO/M2-112" proved the sustained improvement of lung function and a good safety profile throughout one year. The lung function (FEV1), a primary endpoint of the study, improved significantly with a roflumilast therapy over placebo. Compared to placebo roflumilast resulted in a difference of 39 +/- 12 ml (endpoint analysis; p=0.0005 o.s.) respectively

48 +/- 9 ml, with a comprehensive longitudinal analysis of thedata (p<0.0001). The trial included

1,513 patients with severe and very severe COPD. 62% of thepatients included in the RATIO study were simultaneously treated withinhalative steroids. The improvement of the lung function was alsoevident in the patients who were simultaneously treated withinhalative steroids.

Another endpoint of the study was the incidence of moderate tosevere exacerbations. The outcome of a primary analysis showed thatthe exacerbation rate was 7% lower (not statistically significant).The pre-specified secondary analysis of moderate exacerbations definedas requiring treatment with oral corticosteroids (alone or plusantibiotics) showed that roflumilast 500 mcg significantly reducedmoderate exacerbations (p=0.0147). The reduction was estimated to be18% using the Poisson regression model. In this group the reduction ofexacerbations was consistent, meaning it was also independent of thesimultaneous use of inhalative steroids. For patients with very severeCOPD (GOLD Stage IV), who have an increased exacerbation rate, theoutcome of the sub-group analysis of the RATIO study was a reductionof the exacerbations by 36% for roflumilast versus placebo.

Compared to previous studies the RATIO study showed extremely lowexacerbation rates.

-- In a second placebo-controlled study in COPD ("PEGASUS1"), which was primarily conducted in the United States, the improvement of lung function by roflumilast treatment was again confirmed. 909 patients were treated for 6 months with either 500 mcg roflumilast once daily or placebo. The primary efficacy endpoint for the study, change from baseline to final visit in post-bronchodilator FEV1, was statistically significant with a between-treatment difference of 70 ml, favoring roflumilast (p<0.001 o.s.).

-- The "PRIME" study, comparing roflumilast 500 mcg and montelukast 10 mg in asthma patients was recently completed. This large asthma study was conducted in 10 different countries involving 957 patients treated for 6 months. Both treatments were effective in improving lung function. Non-inferiority of roflumilast to montelukast was demonstrated regarding the primary variable FEV1.

-- In addition a study ("ROMEO") investigating the efficacy of roflumilast 500 mcg in asthma patients receiving an underlying ICS therapy (fluticasone 250 mcg) was recently completed. This large asthma study included 661 patients treated for 6 months. Improvements in the primary variable FEV1 were numerically greater for fluticasone and roflumilast 500 mcg compared with fluticasone and placebo, which was significant in a pre-specified longitudinal analysis.

The known safety profile of roflumilast was not changed by thesestudies. The most frequent adverse effects in connection withroflumilast treatment for both indications were headaches, nausea, anddiarrhea.

Gastroenterology and Oncology

In gastroenterology the latest comparative data, which will verysoon be scientifically presented by Bardhan et al., show the benefitsof Pantoprazole 40 mg versus Esomeprazole 40 mg when treating GERDpatients. After a 12 week treatment with Pantoprazole the number ofpatients who were endoscopically cured was higher (statisticallysignificant).

ALTANA Pharma not only focuses on the life-cycle management ofPantoprazole but also on so-called

P-CABs (formerly APA), the next generation acid inhibitors with abetter and faster mode of action than PPIs. Next to Soraprazan inphase II of clinical development there is another P-CAB in phase I.

In oncology ALTANA Pharma focuses on a portfolio of SMOLanti-cancer drugs:

-- Development of anti-mitotic cancer agents to substitute current taxane-based chemotherapy

-- Next generation of HDAC inhibitors.

ALTANA Pharma expects to be able to lead its own oncology projectsinto clinical phase I in the next two years.

This press release contains forward-looking statements, i.e.,current estimates or expectations of future events or future results.The forward-looking statements appearing in this press release includeestimates for the achievement of certain milestones in the developmentof ALTANA's pharmaceuticals, their marketing approval, and ALTANA'sexpectations of further growth in the forthcoming years. Thesestatements are based on beliefs of ALTANA's management as well asassumptions made by and information currently available to ALTANA.Many factors that ALTANA is unable to predict with accuracy couldcause ALTANA's actual results, performance or achievements to bematerially different from those that may be expressed or implied bysuch forward-looking statements. These factors include ALTANA'sability to develop and launch new and innovative pharmaceuticalproducts, the level of ALTANA's investment in pharmaceuticals relatedR&D, decisions of the competent regulatory authorities, the sales andmarketing methods used by ALTANA to distribute its pharmaceuticals andthe composition of ALTANA's pharmaceuticals portfolio.

Forward-looking statements speak only as of the date they aremade. ALTANA does not intend, and does not assume any obligation, toupdate forward-looking statements to reflect facts, circumstances orevents that have occurred or changed after such statements have beenmade.

The Webcast of the R&D Day and this press release are alsoavailable on the Internet at www.altana.com.