•

Oral Technologies . We provide formulation, development and manufacturing services for most of the major oral dose forms on the market today. Our advanced oral drug delivery technologies, including our Zydis fast dissolve tablet and our liquid-filled softgel capsules, are used in many well-known customer products and include proprietary delivery technologies for drugs, selected biologics and consumer health products. We also provide formulation, development and manufacturing for conventional oral dose forms, including controlled release formulations, as well as tablets and capsules. There are twelve Oral Technologies facilities in nine countries, including three in North America, five in Europe, two in South America and two in the Asia-Pacific region. Products that incorporate our proprietary technologies include Advil ^® Liqui-Gels ^® , Claritin ^® Redi-tabs ^® , Imodium ^® Instant ^® and Zyprexa ^® Zydis ^® . Our Oral Technologies segment represented $943.3 million, or approximately 54% of total net revenue for fiscal 2007 on a combined basis before intersegment eliminations.

Sterile Technologies . We produce nearly every type of major sterile dose form used in the prescription drug and biologic market today. Sterile drugs may be injected, inhaled, or applied to the eye, ear, or other areas, and we offer both proprietary and traditional dose forms necessary for these separate routes of administration. We provide formulation and development for injectables as well as lyophilization (freeze drying) for otherwise unstable drugs and biologics. We also fill drugs or biologics into vials, pre-filled syringes, bags and other sterile delivery formats. For respiratory, ophthalmic and other routes of administration, our blow-fill-seal technology provides integrated dose form creation and filling of sterile liquids in a single process, which offers cost and quality benefits for our customers. Selected examples of products for which we provide sterile manufacturing services include several influenza

vaccines, Xopenex ^® , and Albuterol. The complexity of aseptic manufacturing, high start-up capital requirements, long lead time and stringent regulatory requirements serve as significant barriers to market entry. In addition, this segment provides biologic cell line development, analytical and scientific consulting services, and services for inhaled products for delivery via metered dose inhalers, dry powder inhalers and nasal sprays. We have six Sterile Technologies manufacturing facilities, including four in North America and two in Europe, plus two analytical and scientific laboratory facilities in North America. Our Sterile Technologies segment represented $249.1 million, or approximately 14% of total net revenue for fiscal 2007 on a combined basis before inter-segment eliminations.

Packaging Services . We provide extensive packaging services for thousands of pharmaceuticals, biologics, consumer health and veterinary products, both on a standalone basis and as part of integrated supply-chain solutions that span both manufacturing and packaging. Our Packaging Services segment offers contract packaging services (packaging drugs in blisters, bottles, pouches and unit-doses), printed components (creating package inserts or folding cartons) and clinical trial supply services (providing packaging, inventory and logistics management for clinical trials). We also help our customers deploy advanced pharmaceutical packaging technologies, including patient compliance enhancing packaging, child resistant/senior friendly packaging designs, and product serialization technologies including both radio frequency identification tags (RFID) and two dimensional bar coding. We operate through a network of thirteen Packaging Services facilities including eight in North America and five facilities in Europe. Our Packaging Services segment represented $551.7 million, or approximately 32% of total net revenue for fiscal 2007 on a combined basis before inter-segment eliminations.

Favorable Prescription Drug Demand Trends . Recent increases in demand for prescription drugs across nearly all routes of administration have been driven by rapidly aging populations in North America, Europe and Japan. This demand has been further strengthened by recent legislative changes in the United States that provide expanded access to drugs for both Medicare and Medicaid recipients. Moreover, approvals of new and innovative drug and biologic treatments have led to higher demand for injectable biologics and drugs. In addition, recent changes to patent regulation, increasing urbanization and rising affluence have begun to create new branded drug and over-the-counter market opportunities for pharmaceutical companies in emerging markets such as China and India. While payors in many developed countries are putting pressure on branded drug pricing, we believe that these demographic and other factors are likely to result in sustained growth in demand for prescription drugs over the next several years.

Capacity Imbalances Within Large Pharmaceutical Companies . We believe that pharmaceutical companies, especially large global firms, continue to operate many of their core commercial

manufacturing and packaging facilities at utilization rates that are substantially below full capacity. The shift toward generic alternatives has adversely affected demand for individual products that branded pharmaceutical companies offer, requiring greater manufacturing flexibility by these companies. The advent of personalized drugs, to the extent they become prevalent, will intensify the need for manufacturing flexibility. As a result of these trends, certain pharmaceutical companies have announced anticipated future closures of their own facilities, and may migrate to a more efficient, high-quality, lower fixed cost, and more flexible supply chain infrastructure, often through strategic partnerships with outsourcing providers. We believe that this trend is likely to accelerate in the near future, as large pharmaceutical companies continue to search for profit improvement opportunities in an increasingly competitive industry.

Robust Demand for Sterile Technologies Dose Forms . From 2004 to 2006, injection was the fastest growing route of administration in the global prescription drug market by sales growth rate. Although injectable dose forms only accounted for approximately one-fifth of the sales value of the global prescription market in 2006, we project that injection will be the fastest growing route of administration, accounting for nearly one-third of the sales value of the market by 2010. This growth has been fueled mainly by the fact that a majority of the drug and biologics research and development pipeline projects today are expected to be delivered via injection. Many newer classes of drugs can today only be delivered via injection due to their molecular structure, the need for precise targeting, incompatibility with the digestive system or the volume of drug to be delivered. Demand for injectable drugs has risen as patients have required increasingly advanced treatments to address more prevalent complex diseases and previously unaddressed medical conditions. Suitable available manufacturing capacity, high quality and consistent execution are highly valued by pharmaceutical companies, and enable premium pricing and attractive margin potential for outsourcing companies in the injectables market.

Sustained Demand for Packaging Services . We believe advanced packaging technologies and outsourced packaging services will continue to represent a significant portion of the total demand for packaging services as pharmaceutical companies pursue improved patient outcomes, cost efficiencies and reduced fixed costs to mitigate pricing pressure. Recent legislative activities in the United States at both a federal and state level mandate adoption of product serialization technologies, which we anticipate will accelerate adoption of advanced track and trace technologies such as two-dimensional bar coding and RFID. For outsourced services, customers are becoming increasingly focused on integrated solutions which range from initial packaging design to final filling and assembly. In addition, we expect that the desire to prevent counterfeiting will continue to drive demand for new packaging services.

Reimbursement shift towards patient self-administration and improved drug outcomes . Both government and private payors are increasingly seeking lower cost means of administering drugs and biologics to patients. Cost savings can often be achieved by shifting inpatient-or physician office-administered drugs to patient self-administration. In addition, payors globally are becoming more discriminating in selecting which drugs to cover and prefer drugs with truly differentiated outcomes. We believe these factors will favor dose forms and packaging innovations that can help improve outcomes by enabling better patient compliance with drug regimens, such as advanced oral dose forms and compliance packaging, or by making it easier for patients to self-administer drugs, such as pre-filled syringes and administration-enhancing packaging.

Leading Provider of Innovative Proprietary Technologies and Outsourced Services . We are one of the leading providers of proprietary drug delivery and packaging technologies and outsourced services

to the global pharmaceutical and biotechnology industry. We believe we have the leading market share position within the Oral Technologies and Packaging Services segments. With over 1,000 scientists and technicians worldwide, and over 1,400 patents and patent applications, we possess significant depth of proprietary technologies and formulation expertise.

Longstanding, Extensive Relationships with Blue Chip Customers . We have longstanding, extensive relationships with leading pharmaceutical and biotechnology customers, with revenues in fiscal 2007 from 49 of the top 50 global pharmaceutical companies and 36 of the top 50 global biotechnology companies. These and our hundreds of other customers require high-end product development, superior quality, advanced manufacturing and skilled technical services to support their development and marketed product needs. We believe our customers value us because our geographic reach, breadth of offerings, and depth of expertise enables us to create a broad range of business and product solutions, many of which are unavailable on an integrated basis from other individual providers of outsourcing services.

Diversified Operating Platform . We are diversified by virtue of our geographic scope as well as across our customer base, our customers’ products, our service offerings and our ability to provide solutions at nearly every stage of product lifecycles. We provide services for thousands of products and customers in nearly 100 countries, with the top 20 products representing less than one-third of total revenue in fiscal 2007. In fiscal 2007, no customer accounted for more than 7% of our net revenues. This diversity, combined with long product lifecycles and close customer relationships, has contributed to the stability of our business. It has also allowed us to capitalize on opportunities across the spectrum of outsourced services for the pharmaceutical and biotechnology industry and to reduce our exposure to potential strategic, customer and product shifts.

Culture of Innovation with Strong Formulation and Engineering Foundation . We have a long track record of innovation across our offerings, and to further encourage active innovation we are developing incentive compensation systems linked to patent filings, and other recognition and reward programs for scientists and non-scientists alike. In late 2006, we created a multi-disciplinary Innovation Council to identify, assess and prioritize innovation investments. Our culture of creativity and innovation is founded on our advanced drug delivery and formulation scientists, our advanced packaging and blow-fill-seal design engineers, and our manufacturing engineers throughout our global network. We also design and build much of our critical softgel manufacturing equipment, and design and fabricate tooling and other critical components in many of our businesses.

Significant Historical Investment in Global Manufacturing . We have made significant investments to establish a global manufacturing footprint, with nearly four million square feet of manufacturing and laboratory space across five continents. Recent investments in new Sterile Technologies facilities in North Raleigh and Brussels have positioned us for future growth in key market areas such as pre-filled syringes and injectable vials. These manufacturing and packaging capabilities allow us the flexibility to accommodate the changing needs of our customers while consistently maintaining their quality, delivery and regulatory compliance requirements.

High Standards of Quality and Regulatory Compliance . We operate our plants in accordance with current Good Manufacturing Practices (“GMP”), utilizing the same high standards as our large pharmaceutical and biotechnology customers. We have approximately 1,100 employees around the globe focusing on quality and regulatory compliance. More than half of our manufacturing and packaging facilities are registered with the Food and Drug Administration (FDA), some of our manufacturing and packaging facilities are registered with other regulatory agencies, where applicable, such as the European Agency for the Evaluation of Medical Products (EMEA), and certain facilities are registered with multiple regulatory agencies.

Strong and Experienced Management Team . Our senior management team is operationally focused with more than 200 years of combined and diverse experience within the pharmaceutical and healthcare industries. With an average tenure of 18 years within healthcare, this team possesses deep market knowledge and a wide network of industry relationships.

Principal Shareholder with Proven Healthcare Sector Expertise . Our principal shareholder is an entity controlled by affiliates of The Blackstone Group (“Blackstone”), a leading global alternative asset manager and financial advisory firm. Blackstone has extensive experience in the Healthcare sector, with over $5 billion of equity invested, having an aggregate total enterprise value of approximately $30 billion. Current and prior healthcare investments, in addition to the Company, include: Biomet, Emcure, Gerresheimer, HealthMarkets, Nycomed, ReAble Therapeutics, Southern Cross, Stiefel Labs, TeamHealth and Vanguard Health Systems.

Driving value creation in our current businesses through operational excellence, focused selling of development and supply chain solutions, active cross-referral and selling of individual offerings, and maximizing the value created from our new Sterile Technologies facilities.

Creating new value through focused, market-centric innovation and technology leadership efforts, including development of new, differentiated solutions; creating new markets and expanding current markets for our offerings; making obsolete the need for our customers to maintain in-house capabilities in our areas of competency; and new intellectual property generation and access.

Expanding our participation in marketed products, such as through royalties and profit-sharing opportunities or through development and out-licensing of these products, to enable us to retain a greater share of the value of the products we produce.

Leverage Our Stable Core Businesses . Oral Technologies and Packaging Services constitute the majority of fiscal 2007 revenue and EBITDA. We intend to leverage these businesses by increasing our sales of integrated solutions offerings to our existing customers to maximize our share of existing customers’ outsourcing spending and further diversify our customer base.

Realize Benefits of Our Investment in North Raleigh and Brussels Sterile Technologies Facilities . We have made significant capital investments in our North Raleigh and Brussels Sterile Technologies facilities to position us for future growth. These investments are intended to establish us as a significant player in the attractive sterile injectables industry, which is the fastest growing route of drug administration in the market today. These facilities are customized for lyophilized and liquid vial products (North Raleigh) and pre-filled syringes (Brussels). The Brussels facility received a Certificate of GMP Compliance from the national inspectorates in July 2006, and has a program underway to prepare the site for FDA inspection, anticipated in 2008. The first commercial product produced at the North Raleigh facility received FDA approval in August 2006. We expect that these developments, coupled with the new customer products which we are now servicing at these facilities, will result in additional demand for our services from existing and new customers.

Continue to Streamline Organization through Operational Excellence Initiatives . We seek to achieve margin improvements as a result of Operational Excellence initiatives such as Lean Manufacturing and Six Sigma, focusing on the continual reduction of costs and delivery of incremental efficiencies

throughout the manufacturing process. Lean Manufacturing includes a set of programs designed to eliminate inefficiencies from processes to drive improved earnings and customer satisfaction, and Six Sigma represents the use of trained personnel to significantly reduce process variations and produce to the desired specification.

•

Realize Benefits from Growth Initiatives Already Underway . We have identified specific initiatives which are intended to drive future EBITDA growth. Recent launches in our Oral Technologies and Sterile Technologies segments (for example, ALK-Abelló’s Grazax ^® in our Zydis ^® fast dissolve oral tablet and Sepracor’s Brovana™ in our blow-fill-seal sterile technology) are expected to contribute to future EBITDA growth, followed by other potential customer launches of products across all of our operating segments that are currently in development. We also intend to drive additional EBITDA growth through future launches from technology innovation development programs that are currently underway. We also have in active development multiple programs for prescription and consumer health products that, if successfully clinically developed and commercially launched, we believe will provide a significant contribution to EBITDA through manufacturing revenues, profit shares and/or royalties.