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Zolvix to revolutionize sheep worm control

MEDIA RELEASE

Launch of Zolvix (monepantel) set to revolutionize sheep worm control

• Novartis Animal Health announces launch of Zolvix®, the first novel drench in livestock for more than 25 years.

Basel, Switzerland, March 31, 2009 – Novartis Animal Health today announced the New Zealand launch of Zolvix (monepantel), the revolutionary, new sheep drench which kills gastrointestinal worms, even those resistant to existing drenches.

Declining levels of efficacy with existing drenches, combined with increasing resistance in parasitic worm populations, is a growing global problem that significantly decreases productivity in sheep of all ages.

Zolvix is the first product of a new class of resistance-breaking anthelmintics called the Amino-Acetonitrile Derivatives (AADs) and has a unique mode of action which means it is highly effective against sheep gastro-intestinal nematodes, including those resistant to other anthelmintics. The active ingredient (monepantel) acts on a newly identified receptor found only in parasitic worms and is a response to the widespread global problem of anthelmintic resistance. Zolvix is an innovative brand that offers high efficacy and an impressive safety profile and a very short withdrawal period, which will put worm control firmly back in the hands of farmers and veterinarians.

Professor Bill Pomroy, Professor of Veterinary Parasitology at Massey University said “the launch of this new product is a relief for farmers everywhere. For years now we’ve been watching resistance to the existing drench families become more common and consequently problems with drench failure also become more common. We now have the option of using a product that can not only kill worms, but hopefully help us to keep using the existing drenches for longer”.

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George Gunn, CEO of Novartis Animal Health, echoing these comments, said “we set out on the development Zolvix with one thing in mind – to listen to farmers and then give them what they asked for. We are clearly pleased with this success, not only in developing the first new anthelmintic class in more than 25 years, but also in offering farmers a genuinely new approach to worming that can improve the sustainability of other drenches and of sheep production as a whole”.

Novartis Animal Health has also launched an entirely new drench system – the Optimum™ Drench System, which consists of the Optiline™ Drencher and the Optivix™ packaging and rucksack, both of which have been created in close cooperation with farmers and veterinarians. The Optiline drencher, developed together with Simcro Tech Ltd, New Zealand, has been ergonomically designed to make it easy to use, with the welfare of both the animal and user in mind. In addition, the Optivix package system consists of a pouch and rucksack and is light, flexible and user-friendly. Altogether, the new drench system is a revolutionary step forward in treating and dosing sheep correctly with Zolvix.

Derrick Millton, General Manager of the Millton Farming Company, Kaikoura, New Zealand said “this is just what we’ve been waiting for. This totally new drench will be an advance for many farmers and is just what is needed. I’m particularly impressed by the way Novartis Animal Health developed this product with farmers in mind. It’s not just a new drench, it’s a whole new way of drenching”.

Disclaimer
This release contains certain forward-looking statements relating to the Group's business, which can be identified by terminology such as “highly effective”, “unique”, “revolutionize”, “novel”, or similar expressions, or by express or implied discussions regarding potential new products, potential new indications for existing products, or regarding potential future revenues from any such products, or potential future sales or earnings of the Novartis Group or any of its divisions or business units; or by discussions of strategy, plans, expectations or intentions. You should not place undue reliance on these statements. Such forward-looking statements reflect the current views of the Group regarding future events, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such statements. There can be no guarantee that any new products will be approved for sale in any market, or that any new indications will be approved for existing products in any market, or that such products will achieve any particular revenue levels. Nor can there be any guarantee that the Novartis Group, or any of its divisions or business units, will achieve any particular financial results. In particular, management's expectations could be affected by, among other things, uncertainties involved in the development of new pharmaceutical products; unexpected clinical trial results, including additional analysis of existing clinical data or unexpected new clinical data; unexpected regulatory actions or delays or government regulation generally; the Group's ability to obtain or maintain patent or other proprietary intellectual property protection, including the uncertainties involved in the US litigation process; competition in general; government, industry, and general public pricing and other political pressures; the impact that the foregoing factors could have on the values attributed to the Group's assets and liabilities as recorded in the Group's consolidated balance sheet; and other risks and factors referred to in Novartis AG’s current Form 20-F on file with the US Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated or expected. Novartis is providing the information in these materials as of this date and does not undertake any obligation to update any forward-looking statements as a result of new information, future events or otherwise.

About Novartis Animal Health
Novartis Animal Health researches, develops and commercializes leading animal treatments that meet the needs of pet owners, farmers and veterinarians. Headquartered in Basel, Switzerland and present in almost 40 countries, Novartis Animal Health employs about 2,600 people worldwide. For more information, please visit www.ah.novartis.com

About Novartis
Novartis AG provides healthcare solutions that address the evolving needs of patients and societies. Focused solely on healthcare, Novartis offers a diversified portfolio to best meet these needs: innovative medicines, cost-saving generic pharmaceuticals, preventive vaccines, diagnostic tools and consumer health products. Novartis is the only company with leading positions in these areas. In 2008, the Group's continuing operations achieved net sales of USD 41.5 billion and net income of USD 8.2 billion. Approximately USD 7.2 billion was invested in R&D activities throughout the Group. Headquartered in Basel, Switzerland, Novartis Group companies employ approximately 96,700 full-time-equivalent associates and operate in more than 140 countries around the world. For more information, please visit www.novartis.com

ENDS

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