Web Press Release No. 179
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September 7, 2005
Albany Molecular Research, Inc.
Extends Long Term Supply Relationship with GE Healthcare
Albany, NY (September 7, 2005) -- Albany Molecular Research, Inc. (Nasdaq: AMRI) today announced the renewal of a manufacturing agreement with GE Healthcare (NYSE: GE).
Under the terms of the agreement, AMRI will supply a raw material for use in GE Healthcare's diagnostic imaging agents. The work will be conducted at Organichem Corporation, AMRI's large scale manufacturing subsidiary located in Rensselaer, New York. The original agreement, which was set to expire in 2007, has been renewed until December 2010. Additionally, the renewal calls for AMRI to manufacture increased quantities of the raw material. Financial terms were not disclosed.
"We are pleased to extend our long-term relationship with GE Healthcare," said AMRI Chairman, CEO and President Thomas E. D'Ambra, Ph.D. "The renewal of this relationship is a significant event for us and should help provide a stable revenue base at our large scale manufacturing subsidiary while we continue to bring in additional development and clinical trial materials manufacturing agreements."
The original supply agreement dates back to 1999, when Nycomed Amersham (which subsequently became Amersham Health) signed an eight-year agreement with the newly formed Organichem Corporation to produce raw materials and active ingredients for its diagnostic imaging business. GE Healthcare later purchased Amersham. The supply agreement for one of the intermediates expired, as planned, this year.
Albany Molecular Research, Inc. is a leading research, drug discovery, development and manufacturing company built on a chemistry platform of comprehensive and integrated technologies, resources and capabilities. The company conducts research and development with many leading pharmaceutical and biotechnology companies and for its own internal discovery programs, and provides cGMP manufacturing of active pharmaceutical ingredients through its wholly owned subsidiary, Organichem Corporation.
Statements in this press release that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. These statements may be identified by forward-looking words such as "may," "could," "should," "would," "will," "intend," "expect," "anticipate," "believe" and "continue", including statements made by AMRI's Chairman, CEO and President, or similar words. Readers should not place undue reliance on our forward-looking statements. The company's actual results may differ materially from such forward-looking statements as a result of numerous factors, some of which the company may not be able to predict and may not be within the company's control. Factors that could cause such differences include, but are not limited to (a) the company's ability to attract and retain experienced scientists, (b) trends in pharmaceutical and biotechnology companies outsourcing chemical research and development, (c) the company's ability to take advantage of proprietary technology and expand the scientific tools available to it, (d) the company's ability to expand and integrate its drug discovery and development technologies, (e) the company's performance under the supply agreement, (f) GE Healthcare's continuous utilization of the company's services at levels set forth in the contract and (g) those factors discussed in the company's Annual Report on Form 10-K for the year ended December 31, 2004 as filed with the Securities and Exchange Commission on March 16, 2005 and the company's other SEC filings. The company does not undertake any duty to and does not intend to update any forward-looking statements contained in this press release after the date of this press release.
Contact: David Albert, 518-464-0279
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