Annual Report 2008

Octapharma strives to earn the trust

of our customers and partners

by continuously developing effective

and safe biopharmaceuticals.

Content

6 Facts and Figures 2008

8 Foreword by the Chairman of the Group

10 The Management Board

12 Research and Development

13 Plasma Derivatives

14 Recombinant Products

15 Plasma Procurement

19 Sales and Marketing

22 Worldwide Production

26 Annual Accounts 2008

32 Finance

33 Key Figures of the Octapharma Group

35 Income Statement of the Octapharma Group

36 Balance Sheet of the Octapharma Group

38 Cash Flow Statement of the Octapharma Group

39 The Auditor’s Statement

40 Octapharma Contact Details

Company Snapshots

Largest privately-owned plasma products company in the world

26 years focus on plasma products

Manufacturing facilities in 5 countries

Sales in more than 80 countries

Sales of Euro 886 million in 2008

22% average annual growth since 1995

Facts and Figures 2008

2008

– 6 –

Founded: in 1983

Mission:

“For the safe and optimal use of human proteins“

Employees: 3,037

Turnover: Euro 886 million

Headquarters:

Octapharma AG, Lachen, Switzerland

Production:

Octapharma Pharmazeutika

Produktionsges.mbH, Vienna, Austria

Octapharma SA, Lingolsheim, France

Octapharma AB, Stockholm, Sweden

Octapharma S.A. de C.V., Mexico City, Mexico

Octapharma Produktionsgesellschaft

Deutschland mbH, Springe, Germany

Research and Development:

Octapharma Pharmazeutika

Produktionsges.mbH, Vienna, Austria

Frankfurter Innovationszentrum, Frankfurt,

Germany

2008

2008Charité Universitätsmedizin Berlin, Germany

Octagene GmbH, Munich, Germany

(contract research)

Octapharma AB, Stockholm, Sweden

Corporate Medical, Regulatory:

Octapharma Pharmazeutika

Produktionsges.mbH, Vienna, Austria

Octapharma GmbH, Langenfeld, Germany

International Corporate Marketing:

Octapharma AG, Lachen, Switzerland

Subsidiaries and Representative Offices:

37

Markets:

Europe, Asia, Russia, Middle East, USA, South

America, Canada, Mexico, Australia, New Zealand

Brands: (registered trademarks)

octaplas®, octagam®, octanate®, octanyne®,

octaplex®, octavi SD Optimum®,

octalbin®, uniplas®, rhesonativ®, aunativ®,

gammonativ®, atenativ®, gammanorm®,

nanotiv®, octonativ®, octanine F®, wilate®

Innovations:

One of the world’s first factor

VIII concentrates – AHF concentrate

(KABI 1965 – through acquisition)

The first albumin-free genetically engineered

factor VIII (development started by KABI

in the 1980s – through acquisition)

First company to commercially implement

solvent detergent (SD) technology for virus

inactivation (1986)

First SD virus-inactivated, standardised

plasma for transfusion (1991)

First liquid, ready-to-use intravenous

immunoglobulin with a two year shelf-life

at room temperature (1994)

First virus-inactivated universally

applicable transfusion plasma (2004)

First double virus-inactivated von Willebrand

factor concentrate product (2005)

This year, in the face of a widening global financial crisis, Octapharma has once again achieved record growth. Sales have increased

by 18% to Euro 886 million and we have further increased our EBIT to Euro 256 million, an increase of 8% compared with 2007. This

follows a compound annual growth rate of 22% since 1995.

The impressive annual growth rate at Octapharma is a result of the hard-earned trust of our customers in the quality of our products.

We are proud to say that Octapharma’s products have never been involved in any transfer of transfusion-relevant viruses, or indeed

any other pathogens, in the entire history of the company. Our products are state-of-the-art with very favourable safety profiles.

These results were also built on the mutual trust between the employees and management of Octapharma. Through cooperation and

teamwork, we have demonstrated that great things can be accomplished when everyone pulls in the same direction. Examples have

included the recent acquisition of the Life Therapeutics Group of plasma centres in the US under very difficult circumstances. Another

example is the fast, efficient implementation of a new fractionation process in all of Octapharma’s factories in less than a year, which

will result in substantial savings in future manufacturing costs. This success is set to continue with future technologies and products.

Octapharma successfully filed an Investigational New Drug (IND) application for our first recombinant product in spring 2008.

Octapharma originated from a collaboration with various Red Cross and other non-profit organisations in Europe. These partnerships

resulted in Octapharma providing virally safe factor VIII concentrates from non-profit plasma. This took place during the late 80s, a

time when such products were urgently in need. The factor VIII concentrates were produced using Octapharma’s newly developed

manufacturing process, octavi®, in its partners’ existing manufacturing plants. This enabled the non-profit organisations to rapidly

meet the needs of the haemophilia population. In less than three years, these collaborations were providing factor VIII concentrates

to an equivalent of 3,000 patients. The trust earned from this collaboration allowed Octapharma to expand to its present status,

with five state-of-the-art manufacturing plants providing millions of International Units (IUs) of factor VIII in 2008 for the worldwide

haemophilia population.

In addition, over the last four years our Immune Tolerance Induction (ITI) study programme has documented the successful use of

octanate®, a factor VIII concentrate containing von Willebrand Factor. This has been used to treat inhibitors that can occur in patients

with haemophilia as an immunological reaction to factor VIII concentrates. Some products have an inhibitor incidence of up to 30%.

Through heavy investment in such projects, Octapharma has been able to gain the trust of haemophilia specialists and their patients,

even in conservative markets such as the United Kingdom, France and Canada. Now, the use of octanate® and wilate® in ITI treatment

is rapidly gaining ground in these countries.

Foreword by Wolfgang Marguerre

– 8 –

In 2008, we invested Euro 25 million in R&D for new plasma derived and recombinant products, with Euro 11 million invested directly

in our new recombinant factor VIII concentrate based on a human cell line. The FDA has now approved the initiation of associated

clinical trials in the US. We believe that this recombinant product will earn Octapharma even more confidence among the haemophi-

lia population. It is expected to have less side effects than current therapy such as fewer inhibitors. The factor VIII protein does not

have the rodent carboxylation pattern seen on recombinant products from CHO (Chinese hamster ovary) cell lines and is therefore

expected to be less immunogenic.

In the area of immunotherapy, the launch in Europe of our octagam® immunoglobulin at a new 10% concentration was well accep-

ted by our customers. In addition, our IT platform, the “Octapharma Collaboration Network” set up by our Immunotherapy Business

Unit is setting new standards for collaborations with our partners.

In the area of emergency medicine and intensive care, a similar confidence-building concept has been introduced in the form of the

DUMAS project. This enables our partners to find ever more effective ways of using their blood component therapies, thereby opti-

mising safety and reducing costs simultaneously.

The investment in 2008 of Euro 60 million in our five plants worldwide in addition to more than Euro 80 million to help secure our

plasma supplies will enable us to remain a trustworthy partner for years to come.

Octapharma is the largest private plasma products company in the world. The outlook for 2009 is very positive, despite the turmoil

in other business areas. However we will remain vigilant and ready to adjust our plans if appropriate.

Finally, I would like to thank both our partners and employees for their trust and commitment during 2008.

Wolfgang Marguerre

Chairman of the

Octapharma Group

The Management Board of the Octapharma Group

Kim Björnstrup

Vice Chairman

Octapharma Group

Karl Erik Clausen

Chief Financial Officer

Octapharma Group

Paulo Castro

Member of the Board

Wolfgang Marguerre

Chairman

Octapharma Group

– 10 –

Reinhard Rettinghaus

General Manager

Octapharma Germany

Nicholas Jacobson

Chief Operating Officer

Octapharma Group

Tobias Marguerre

Managing Director

Octapharma Nordic AB

Frederic Marguerre

Member of the Board

Research and Development

Since its establishment, Octapharma has strived

to earn the trust of our customers and partners

by continuously developing effective and safe

biopharmaceuticals. More recently, we have

expanded to develop human proteins based on

recombinant technologies and human cell lines.

During 2008, Octapharma invested more than

Euro 25 million in R&D, split equally between

the areas of plasma derivatives and recombinant

technologies.

“The considerable amount of

time and money invested in R&D

reflects the trust we place in our

staff to achieve extraordinary

results.“

Kim Björnstrup

Vice Chairman

Octapharma Group

Plasma Derivatives

One of the major achievements of 2008 was the European launch of our intravenous immunoglobulin octagam® at a new concentration of 10%. This product has a high infusion rate and a side effect profile that can match the best products of the industry. The associated clinical trial, specifically run for the US market, was finalised in 2008 and it is expected that a license for the product will be obtained in the US during 2009.

In October 2008, Octapharma filed octaplas LG®, a new version of our virus inactivated alternative to transfusion plasma, to the German Health Authorities (PEI) to obtain marketing authorisation. The “LG” refers to a specially developed ligand that enables the specific removal of prions that could theoretically be present. The development of this step was made in collaboration with a partner and has been extremely challenging as octaplas® contains an abundance of different proteins, each with a different stress profile to be taken into consideration. It is expected that the product will be launched in Europe during 2009.

Octapharma is focusing its research mainly on coagulation, immunotherapy and intensive care unit (ICU) products, with several products currently in various stages of development. These include projects such as fibrinogen and universal non-blood-group-specific

– 13 –

Trust in advanced

science

plasma, both of which are to be used in the ICU for various coagulation deficiencies. Another interesting product in development is the human-derived growth factor, to be used for hard-to-heal wounds in patients with diabetes. All of our products include robust steps for purification and virus inactivation. Our proprietary techno-logies will ensure they will live up to the high standards of safety and efficacy set by Octapharma’s current products on the market.

Recombinant Products

The IND application for our recombinant factor VIII was filed in the US in May 2008 and it is expected that clinical trials will be started in early spring 2009.

Octapharma’s Biotechnology Group in Stockholm manages the commercial development of our recombinant products, from pilot studies to a commercial scale. The Biotechnology Group in Munich (Octagene GmbH) oversees the initial creation of the master cell and media. Currently, more recombinant products are in various stages of development. These include, among others, factor IX, von Willebrand Factor, ADAMTS13 and granulocyte-colony stimulating factor (G-CSF). Different technologies for half-life prolongation are also being developed for these proteins in association with our various partners.

– 14 –

Trust in our qualified

staff

Plasma Procurement

Until recently, it was never Octapharma’s strategy to

be directly involved in plasma procurement. Instead,

Octapharma procured plasma resources from both

non-profit and commercial independent suppliers.

However, in 2003/04, it became clear that it was increasingly difficult to secure a steady supply of plasma while sustaining an annual growth of approximately 22% in sales. Consequently, in 2004, the company agreed to actively pursue a strategy of obtaining at least half the required plasma from Octapharma-owned sources. The first establishment of plasma centres was through the acquisition of the Deutsche Gesellschaft für Humanplasma (DGH) plasma centres in Germany. When Octapharma acquired this operation in 2006, DGH was operating five plasma centres. By the end of 2008, this had been increased to seven. On top of this, an agreement was signed with the company International BioResources to develop a further 18 plasma centres. In 2008, this agreement was expanded to involve the establishment of 33 plasma centres across the United States.

Trust in our qualified

staff

“Octapharma depends on the

stable and calculable supply of safe,

high quality plasma from partners

worldwide. Long-term partnerships

with our plasma suppliers would

be unthinkable without the mutual

trust that agreed conditions and

specifications will be maintained

on an ongoing basis. Clear communi-

cation of expectations, and the

understanding of the needs,

strengths, and limitations of both

partners are essential in this respect.”

Barbara Glantschnig

Head of Corporate Quality

Assurance Plasma and Plasma Sourcing

Octapharma Pharmazeutika

Produktionsgesellschaft mbH,

Austria

These centres will be established over the coming years. Octapharma will acquire all the centres by 2011, providing more than 1 million litres of source plasma per year.

At the end of 2007 it became evident that Life Therapeutics, one of Octapharma’s important partners in the US, was facing increasing problems with fulfilling their plasma commitments to Octapharma, for which considerable pre-financing had been provided. It was therefore agreed, in collaboration with the Australian parent company of Life Therapeutics, that Octapharma would take over the management and plasma production of Life Therapeutics. The final result of this was ownership of 12 plasmapheresis centres in the US as of November 2008, as approved by the shareholders of Life Therapeutics.

“Establishing and maintaining

trust is the keystone to the strong

and successful relationships that

we enjoy with our suppliers in the

plasma industry. However, trust is

earned, and can only exist when

the relationship is defined by

open and frank communication,

flexibility, and contracts that are

fair to both parties. Once trust

is established, the business

relationship with our suppliers

becomes more of a partnership.”

Dennis Curtin

President

Octapharma Plasma, Inc., USA

2007 2008 F 2009 F 2010 F 2011

Octapharma's Plasma Supply

92%

72%

28%

64%

36%

52%

48%

45%

55%own plasmacollections

externalsuppliers

8%

During 2007, Octapharma also established its plasma service company in the US, Plasma Procurement Services, Inc. At the end of 2008, Mr Dennis Curtin agreed to become president of the rapidly growing US plasma procurement operation, which is now operating as Octapharma Plasma, Inc. Dennis Curtin joined the company after working for many years as a partner with Octapharma in its collaboration with America‘s Blood Centers. With his extensive knowledge of the plasma industry he will be invaluable to the management of Octapharma Plasma, Inc. Ms Judith Smith is now the chief operating officer (COO) for the operation following a personal recommendation from Dennis Curtin. Judith Smith joined Octapharma after working at similar senior management positions in the industry.

Aside from substantial investment in plasma collection centres, Octapharma continues to value the trust of the large network of non-profit suppliers of recovered plasma in both Europe and the US. Octapharma sincerely believes that this non-profit plasma is a key component in securing the availability of important, life-saving plasma derivative products. The company continues to view these partners as important contributors to the company‘s success.

Finally, Octapharma’s joint venture in Eastern Europe, Sanaplasma, established in 2006, has been very successful in establishing high quality plasmapheresis centres in the Czech Republic.

– 17 –

Trust in experience and

tradition

Trust in modern

technology

“Trust is the basis of everything:

from the patients for a safe

and efficacious drug, from the

health care professionals who

want the best for their patients,

and from the hospitals, who

want guaranteed product supply

at a fair price. Trust is built up

over the years, and trust between

Octapharma employees is the

cornerstone of carrying the

workload together to make

Octapharma the customer’s

preferred provider.”

Laurent de Narbonne

General Manager

Octapharma France,

Belgium and Luxembourg

Sales and Marketing

A compound annual sales growth rate of 22% since

1995 can of course only be achieved by a strong

sales and marketing organisation that continuously

keeps customers well informed about Octapharma’s

products and services, thereby earning their trust.

“Long-lasting solid relationships

are built on mutual trust. The Jeffrey

Modell Foundation has had a close

working partnership with Octapharma

for several years. The mutual trust built

up over that time provides great comfort

to the patient community knowing

that Octapharma and its leadership will

provide the safest and most effective

products for patients with primary

immunodeficiencies.”

Fred Modell

Co-founder

Jeffrey Modell Foundation, USA

“Octapharma’s exclusive partnership

with GSABC has been built on trust.

Each partner has earned the trust

of the other through hard work,

integrity and faithful delivery on

its commitments.“

Jerome Haarmann

President

Group Services for

America‘s Blood Centers, USA

– 19 –

Net Sales in 1,000 EUR and Growth rate

1,400,000

1,200,000

1,000,000

800,000

600,000

400,000

200,000

0

40%

35%

30%

25%

20%

15%

10%

5%

0%

B2009200820072006200520042003200220012000

Net Sales Growth rate

Octapharma’s sales increased 18% from 2007 to 2008, with major growth achieved in new markets.

Octapharma has well-established sales and marketing organisations in all European countries, Russia, Asia, North America and selected countries in the Far East, the Middle East and South America. In 2008, Octapharma rapidly expanded this to set up new organisations in the developing markets mentioned above.

“We work in an environment

predominantly served by a relatively

small number of highly sophisticated

customers. We have strived to build

a reputation of an organisation that

is a trustworthy partner that can

truly be relied upon to deliver on its

commitments. Having good working

relationships with our customers

and within Octapharma is critical

to our business.”

Sue Griffin

General Manager

Octapharma Ltd.,

UK and Republic of Ireland

Geograhical distribution of sales

Mio EUR900

600

300

0

2004 2005 2006 2007 2008

1%7%4%

77%

11%

4%6%5%

62%

23%

6%7%5%

62%

20%

4%8%8%

56%

24%

5%

8%

5%

62%

20%

Asia & Pacific

Middle East & Africa

South America

Europa

NAFTA

The number of people in sales and marketing grew from 192 in 2007 to 214 in 2008, with a budget of more than Euro 48 million. In sales and marketing, the primary focus areas are coagulation, immunology and emergency medicine products. Consequently, the central business units for these areas in Switzerland have been further strengthened with personnel and other resources. The growth in sales in 2008 was driven by all major categories of products including IgG, albumin and coagulation products.

The major challenge in 2008 was to ensure a constant, sufficient supply of products to the market. However, with increased investment in plasma procurement, we are striving to guarantee an unbroken supply of these life-saving drugs for the future.

– 21 –

Trust in worldwide

partners

Trust in our

production

“One of the keys to our

performance is the commitment

of our staff.

We place a high level of trust in

our teams at every level of the

organisation.”

Olivier Clairotte

Plant Manager

Octapharma AB, Sweden

Worldwide Production

Octapharma’s fractionation capacity has more than

doubled since 2004, reaching three million litres per

year from our five fractionation plants around the

world. In 2008 alone, Octapharma invested more than

Euro 60 million in the further development of all plants.

“The success of a business

relationship is built upon the

trust between each partner.

Trust is the fibre that binds the

relationship. If the trust is strong,

then the relationship will be

strong. This is the foundation

of the strong lasting relationship

between FFF Enterprises and

Octapharma.”

Patrick Schmidt

Chief Executive Officer

FFF Enterprises, USA

“When conducting ambitious research

programs, trust is a crucial prerequisite.

Trust, not only in the ability and

commitment of a company to follow

through demanding and risky projects

but also personal trust in the individuals

involved, ensures speedy and target

orientated progress. This is what my

team and I find with Octapharma.”

Prof. Dr. S. Meuer

Institute for Immunology,

Ruprecht-Karls-University,

Germany

– 23 –

At the facility in Vienna, Austria, this included the construction of a completely new, high-tech freeze-drying unit with three additional lyophilisers and increased capacity in both the basic and the fine fractionation areas for final product production.

In Stockholm, Sweden, investments were made to improve the fine fractionation area and the recombinant product production area. Octapharma also invested in the construction of a completely new octaplas® line, which will have a capacity of more than 1 million units of octaplas® per year.

In Lingolsheim, France, more than Euro 4 million was invested in new administration and the laboratory building. Over Euro 2 million was invested in a new albumin line, substantially increasing capacity.

In 2008, Octapharma acquired a plant in Springe, Germany, from the German Red Cross. A considerable area of adjacent land was also purchased to provide sufficient space for future facility enlargement. The construction of additional production units is already underway with a total investment of Euro 70 million over the next two years.

At the plant in Mexico City, investments were made to prepare for a basic fractionation of local plasma, as well as an upgrade of other production related areas.

“Trust is an essential prerequisite

for the production of plasma

derivatives. It is founded on the

expectation that all employees

of the plant follow the carefully

established and necessarily

complex rules in providing

high-quality pharmaceuticals to

our customers. Trust, of course,

needs control. This gives basis

for a really trustworthy business.”

Gerold Rempeters

General Manager

Octapharma Produktionsgesell-

schaft Deutschland mbH,

Germany

A unique concept promoted by Octapharma in its manufacturing philosophy is that all major plants should be able to produce all products according to the same method. This is already the case for the three larger plants, Stockholm, Vienna and Lingolsheim. In time, it will also be the case for the plant in Springe. The plant in Mexico will continue to produce albumin and factor VIII for the domestic market. This policy allows Octapharma to achieve a unique efficiency of its production plants. It is envisioned that the introduction of new technologies in all factories in 2008 will considerably shorten the manufacturing processes in 2009. This will further increase capacity in basic fractionation and continue the reduction of manufacturing costs as a percentage of total sales.

As a consequence, we hope that Octapharma will continue to break efficiency records in the fractionation plants, where the annual ratio of litres fractionated per employee has increased from 1,250 in 2004 to 1,740 in 2008. This is thanks to our continual pursuit of excellence in our manufacturing procedures.

– 25 –

Trust in dependable

logistics

“Trust is fundamental for my decision

as a physician to choose the right

products for my patients. Today this

goes far beyond safe and efficacious

pharmaceuticals. In the innovative

competence of a company, trust

becomes more and more an important

criterion when it comes to long term

partnership.”

PD Dr. med. Mario

von Depka Prondzinski

Director

Werlhof Institut, Germany

“It is really an honour for Laboratorios

Clausen to have been the first company

to represent Octapharma in Latin

America in 1999. The worldwide

known line of Octapharma products

has undoubtedly contributed to

enhance Clausen’s image.

For haemoderivatives, nothing is more

important than confidence, efficacy and

safety. This, together with Octapharma’s

support and innovation has allowed us

to position these products as the most

reliable ones in our market.“

Gabriel Fernandez

General Manager

Laboratorios Clausen S.A.,

Republic of Uruguay

– 26 –

Trust in sound

finances

Annual Accounts 2008

For the fourth year in a row the Octapharma Group

has achieved record turnover and profitability.

This is despite a focus on the introduction and

the consolidation of our own plasma production

in 2008. Net turnover increased by 18%, from

Euro 752 million in 2007 to Euro 886 million in 2008.

Gross profit increased from Euro 339 million in 2007 to Euro 367 million in 2008. The gross margin decreased from 45% to 41% owing to the increased plasma costs associated with the introduction of our own plasma production capacities (more than Euro 50 million). Continuous cost awareness ensured that operating costs stayed at Euro 117 million in 2008 compared with Euro 104 million in 2007. This resulted in a satisfying operating income level (earnings before interest and taxes) of Euro 256 million (29% margin) compared with Euro 237 million (32% margin) in 2007.

“There is no lost and found for

lost trust! Our main customers,

the shareholders and the board

of directors, need to make the

right decisions, often very quickly.

In such situations, they need

to trust the information and

figures we produce. Providing

and keeping this trust is the

foundation for our central function

in the Octapharma Group.”

Roger Mächler

Head of Corporate Controlling

Octapharma AG, Switzerland

The result of Euro 231 million versus Euro 207 million in 2007 exceeds the budget and is seen as a satisfying net result, which is in line with management expectations, especially considering the establishment costs related to our own plasma production in the US and Germany.

The continued positive results have ensured that there is a cash buffer of Euro 265 million at the end of the year and an equity of Euro 751 million equivalent to 73% of the balance sum ensuring the financial basis for the planned investments and the continuation of the growth in the coming years.

“We have witnessed a dramatic

change in trust since Octapharma

products were first introduced in

Mexico in 1994. At first, Octapharma

was little known, but the growing

presence of Octapharma at inter-

national scientific forums, the increase

in the number and quality of scientific

publications, and the uninterrupted

supply of the products, has contributed

to the positioning of Octapharma as

a trustworthy partner. The personal

involvement of Octapharma employees

with patients, parents, doctors, and

regulatory officials have undoubtedly

contributed to the development of a

strong relationship based on trust.”

Angel Sosa

General Director

Octapharma Mexico

Cash and cash equivalents in 1,000 EUR / Equity Ratio

300,000

250,000

200,000

150,000

100,000

50,000

0

80%

70%

60%

50%

40%

30%

20%

10%

0%

200820072006200520042003200220012000

Cash and cash equivalents Equity Ratio

Trust in solid

investments

– 29 –

Investments in 1,000 EUR (incl. Acquisitions)

180,000

160,000

140,000

120,000

100,000

80,000

60,000

40,000

20,000

0

2008 B200920072006200520042003200220012000

Trust in the

future

“It is extremely important that

our employees can place their

trust in the local human resources

department as we deal with people

on a personal level on a daily basis.

Every employee needs to know that

whatever kind of information they

provide is going to stay within the

department and will be treated in

full confidence. We also place our

trust in outside consultants and

need to be secure in the knowledge

that sensitive information will not

be passed on to third parties.”

Torbjörn Malmkvist

Human Resources Director

Octapharma AB, Sweden

Trust in the

future

– 31 –

“At Octapharma, trust is not

just a slogan, it is a way of life.

Octapharma partners with health

care providers and patients to

provide them with every reason

to trust in our products. From

starting materials to finished

product, Octapharma is committed

to ensuring quality and safety in

each step of the process. It is this

commitment that earns the trust

of our partners and patients.”

Flemming Nielsen

President

Octapharma USA, Inc.

Operativ Cashflow in 1,000 EUR

250,000

200,000

150,000

100,000

50,000

0

20082007200620052004200320022001

Octapharma has evidently benefited from the very positive market development. However, these outstanding results are mainly related to the impressive performance of all employees over the past year.The outlook for 2009 is positive, and the increase in turnover and net income is expected to be above 20% again, even considering the increased competition expected.

– 32 –

2008 2007 2006 2005 2004

Profit from operations 256,045 237,497 126,850 59,940 42,070

Net profit for the year 231,018 206,751 105,694 53,417 30,060

Year-end headcount 3,037 1,968 1,826 1,482 1,360

Return on average equity 35% 45% 32% 18% 14%

Profit from operations per employee 92 130 77 42 31

Current ratio 468% 404% 332% 261% 229%

Days of sales in receivables 101 106 108 109 112

Days of purchases in inventory 135 149 189 196 246

Cash flow from operations 208,180 209,822 85,406 80,864 35,511

Expenditures to ensure future prosperity 140,549 69,367 43,239 31,079 35,565

• Researchanddevelopment 25,115 23,582 19,544 15,291 12,248

• Capitalexpendituresand

investments in activities115,434 45,785 23,695 15,788 23,317

Key Figures of the Octapharma Group

– 33 –

(Monetary figures in 1,000 EUR)

Key Figures of the Octapharma Group

– 34 –

900,000

800,000

700,000

600,000

500,000

400,000

300,000

200,000

100,000

0

2000 2001 2002 2003 2004 2006 2007 20082005

2000 2001 2002 2003 2004 2006 2007 20082005

2000 2001 2002 2003 2004 2006 2007 20082005

Net sales in 1,000 EUR

300,000

250,000

200,000

150,000

100,000

50,000

0

Operating income in 1,000 EUR

3,000

2,500

2,000

1,500

1,000

500

0

Average headcount

Income Statement of the Octapharma Group

– 35 –

2008 2007

Gross sales 924,176 779.058

Sales deductions -38,363 -26,978

Net sales 885,813 752,080

Cost of sales -519,100 -412,616

Gross profit 366,713 339,464

Research and development -25,115 -23,582

Selling and marketing -48,425 -42,894

Regulatory affairs / quality audit -6,284 -5,075

General and administration -37,356 -32,076

Other income 7,742 3,366

Other expenses -1,230 -1,706

Total operating expenses -110,668 -101,967

Operating income 256,045 237,497

Non-operating income and expenses 300 -4,172

Profit before taxes 256,345 233,325

Income tax expenses -25,327 -26,574

Net profit for the year 231,018 206,751

(All figures in 1,000 EUR)

Balance Sheet of the Octapharma Group

– 36 –

31.12.2008 31.12.2007

Assets

Cash and cash equivalents 264,825 204,417

Trade receivables 254,355 225,276

Other receivables 2,131 1,727

Receivables from related parties 263 250

Inventory 211,338 153,650

Other current assets 45,303 16,162

Total current assets 778,215 601,482

Financial investments 1,528 6,171

Loans to related parties 250 500

Deferred tax assets 17,176 12,736

Investments in associates 4,695 2,766

Intangibles assets 34,318 0

Property, plant and equipment 187,555 135,004

Total fixed assets 245,522 157,177

Total assets 1,023,737 758,659

(All figures in 1,000 EUR)

– 37 –

31.12.2008 31.12.2007

Liabilities and equity

Trade payables and other payables 56,295 55,591

Payables to related parties 482 2,072

Income tax payables 21,163 21,376

Accruals and short-term provisions 88,253 69,924

Total current liabilities 166,193 148,963

Other long-term liabilities 28,459 0

Deferred income 581 418

Provisions 52,050 49,962

Deferred tax liabilities 24,982 8,844

Total non-current liabilities 106,072 59,224

Total liabilities 272,265 208,187

Common stock 100 100

Retained earnings 752,552 556,534

Hedging reserve 11,465 0

Currency translation adjustment -12,645 -6,162

Total equity 751,472 550,472

Total liabilities and equity 1,023,737 758,659

(All figures in 1,000 EUR)

Cash Flow Statement of the Octapharma Group

– 38 –

2008 2007

Net profit for the year 231,018 206,751

Depreciation on tangible and intangible assets 35,379 20,056

Change in fair value of non-current assets -5,468 1,159

Share of (profit) loss of associates -264 321

Profit (loss) on sale of property, plant and equipment

306 -17

Changes in long-term liabilities and provisions 17,923 6,158

Cash flow before changes in working capital 278,894 234,428

Increase / decrase of working capital -70,714 -24,606

Net cash from operating activities 208,180 209,822

Acquisition of property, plant and equipment -70,238 -42,698

Investment in associates, short and long-term financial investments

-41,995 -6,335

Proceeeds from sales of property, plant and equipment

266 397

Net cash used in investing activities -111,967 -48,636

Dividends paid -27,000 -26,740

Other changes in equity -8,000 0

Net cash used for financing activities -35,000 -26,740

Effect of exchange rate fluctuations -805 -659

Net change in cash and cash equivalents 60,408 133,787

Cash and cash equivalents beginning of period 204,417 70,630

Cash and cash equivalents end of period 264,825 204,417

(All figures in 1,000 EUR)

Cash Flow Statement of the Octapharma Group The Auditor‘s Statement

– 39 –

KPMG Ltd AuditBadenerstrasse 172 P.O. Box Telephone +41 44 249 31 31CH-8004 Zurich CH-8026 Zurich Fax +41 44 249 23 19 Internet www.kpmg.ch

Octapharma Nordic AB, Stockholm

Summarized consolidated financial statements 2008

As independent auditors, we have audited the consolidated financial statements of Octapharma Nordic AB, Stockholm, for the year ended December 31, 2008, from which the summarized consolidated financial statements were derived, in accordance with International Standards on Auditing. In our report dated February 20, 2009 we expressed an unqualified opinion on the consolidated financial statements in accordance with the International Financial Reporting Standards (IFRS) from which the summarized consolidated financial statements were derived.

In our opinion, the accompanying summarized consolidated financial statements are consistent, in all material respects, with the consolidated financial statements from which they were derived.

For a better understanding of the Company‘s financial position and the results of its operations for the period and of the scope of our audit, the summarized consolidated financial statements should be read in conjunction with the consolidated financial statements from which the sum-marized consolidated financial statements were derived and our audit report thereon.

KPMG Ltd

Fredy Luthiger Markus Ackermann

Zurich, February 20, 2009

Octapharma Contact Details HeadquartersOctapharma AGKim BjörnstrupKarl Erik ClausenFrederic MarguerreSeidenstraße 2CH-8853 LachenSwitzerlandTel. (+41) (55) 4 51 21 21Fax (+41) (55) 4 51 21 10kim.bjoernstrup@octapharma.chkarl.erik.clausen@octapharma.chfrederic.marguerre@octapharma.ch

Australia Octapharma Australia Pty. Ltd.Simon SestichJones Bay Wharf 42/26-32 Pirrama RoadPyrmont NSW 2009AustraliaTel. (+61) 2 8572 5800Fax (+61) 2 8572 5890simon.sestich@octapharma.ch

AustriaOctapharma Pharmazeutika Produktionsgesellschaft m.b.H.Nicholas Jacobson, Bernhard Kerner, Rudolf LukschanderlOberlaaer Straße 235A-1100 ViennaAustriaTel. (+43) (1) 610 32 1220Fax (+43) (1) 610 32 9103nicholas.jacobson@octapharma.combernhard.kerner@octapharma.comrudolf.lukschanderl@octapharma.com

Octapharma Handelsges.m.b.H. Brigitte AignerOberlaaer Straße 235A-1100 ViennaAustriaTel. (+43) (1) 533 566 312Fax (+43) (1) 533 566 333brigitte.aigner@octapharma.com

Azerbaijan The Representative office of Octapharma AG Namik Pashayev 96 Nizami Street, The Landmark III, 4th floor, AZ-1010 Baku Azerbaijan Tel. (+994) 12 498 8172 Fax (+994) 12 493 5931 namik.pashayev@octapharma.com

BelgiumOctapharma Benelux S.A./N.V.Laurent de NarbonneRue de stalle 63/4B-1180 BrusselsBelgiumTel. (+32) (2) 3 73 08 90Fax (+32) (2) 3 74 48 35laurent.de-narbonne@octapharma.com

– 40 –

– 41 –

BrazilOctapharma Brasil Ltda.Samuel Mauricio Av. Ayrton Senna, 1850Sala 118–, Barra da Tijuca22775-001 Rio de Janeiro-RJBrazilTel. (+55) (21) 24 30 31 83Fax (+55) (21) 24 21 16 91samuel.mauricio@octapharma.com.br

ChinaOctapharma BeijingRepresentative OfficeChao YueyunMatt RiordanSuite 815, Zhongkun Plaza59 GaoLiangQiaoXieJieHaiDianQu, Beijing 100044ChinaTel. (+86) 10 621 69126Fax (+86) 10 621 93528chao.yueyun@octapharma.commatt.riordan@octapharma.ch

CanadaOctapharma Canada Inc.Anu Bhucher 171 East Liberty StreetSuite 326Toronto, Ontario M6K 3P6CanadaTel. (+1) 416 531 5533Fax (+1) 416 531 8891anu.bhucher@octapharma.ca

Czech RepublicOctapharma CZ s.r.o.Miroslav GresikArgentinská 38CZ-170 00 Prague 7Czech RepublicTel. (+420) 266 794 310Fax (+420) 266 794 311miroslav.gresik@octapharma.at

DenmarkOctapharma Nordic AB Helle Ording Lyngbyvej 20 DK-2100 Copenhagen Denmark Tel. (+45) 7020 0354 Fax (+45) 7025 1080 helle.ording@octapharma.com

FinlandOctapharma Nordic ABJanne NissiläRajatorpantie 41 CFI-01640 VantaaFinlandTel. (+358) 8520 2710Fax (+358) 8520 2713janne.nissila@octapharma.fi

FranceOctapharma S.A.S.Patrick Selosse / Nicolas Sciard70-72 rue du Maréchal FochBP 33F-67381 LingolsheimFranceTel. (+33) (3) 88 78 89 89Fax (+33) (3) 88 78 89 78patrick.selosse@octapharma.frnicolas.sciard@octapharma.fr

Octapharma France S.A.S.Laurent de Narbonne62 bis Avenue André MorizetF-92100 BoulogneFranceTel. (+33) (1) 41 31 80 00Fax (+33) (1) 41 31 80 01laurent.de-narbonne@octapharma.com

GermanyOctapharma GmbHReinhard RettinghausElisabeth-Selbert-Straße 11D-40764 LangenfeldGermanyTel. (+49) (21 73) 91 70Fax (+49) (21 73) 91 71 11reinhard.rettinghaus@octapharma.de

Octapharma GmbHSybille WernerOtto-Reuter-Straße 3D-06847 Dessau-RosslauGermanyTel. (+49) (3 40) 5 50 80Fax (+49) (3 40) 5 50 81 11sybille.werner@octapharma.de

Deutsche Gesellschaft für Humanplasma mbHHubert FranzaringElisabeth-Selbert-Strasse 11D-40764 LangenfeldGermany Tel. (+49) (21 73) 91 70Fax (+49) (21 73) 91 71 11hubert.franzaring@octapharma.de

Octapharma Produktionsgesellschaft Deutschland mbHGerold RempetersEldagsener Straße 38D - 31832 SpringeTel. (+49) (5041) 77 91 81 70Fax (+49) (5041) 77 91 84 90gerold.rempeters@octapharma.com

GreeceOctapharma Hellas SAGeorge Kalbitzer60, Posidonos Ave.166 75 Glyfada AttikiGreeceTel. (+30) 210 89 86 500Fax (+30) 210 89 86 044octapharma.hellas@octapharma.gr

Kazakhstan Octapharma AG Svetlana Safarova Dostyk Str. 180, office 42 KZ-050051 Almaty Kazakhstan Tel. (+7) 727 3201542 svetlana.safarova@octapharma.com

LuxembourgOctapharma Benelux S.A./N.V.Laurent de NarbonneRue de stalle 63/4B-1180 BrusselsBelgiumTel. (+32) (2) 3 73 08 90Fax (+32) (2) 3 74 48 35laurent.de-narbonne@octapharma.com

MexicoOctapharma S.A. de C.V.Angel SosaCalzada México Tacuba No. 1419Col. Argentina PonienteC.P. 11230 México, D.F.MéxicoTel. (+52) 55 53 99 56 44Fax (+52) 55 55 27 05 27angel.sosa@octapharma.com.mx

New ZealandOctapharma New Zealand LimitedSimon SestichLumley Center88 Shortland StreetAucklandNew ZealandTel. (+61) (2) 85 72 58 00Fax (+61) (2) 85 72 58 90simon.sestich@octapharma.ch

– 42 –

Octapharma AG

Seidenstraße 2 · CH-8853 Lachen · Switzerland

Tel. (+41) (55) 4 51 21 21 · Fax (+41) (55) 4 51 21 10

www.octapharma.com

Editorial content: Octapharma AG, Kim Björnstrup

Design, artwork, production: Concept Design, Robert Becker

NorwayOctapharma ASTor-Einar Svae FurubakkenNO-2090 HurdalNorwayTel. (+47) (63) 98 88 60Fax (+47) (63) 98 88 65tor-einar.svae@octapharma.com

PolandOctapharma AGJaroslaw CzarnotaIlzecka 26PL-02-135 WarsawPolandTel. (+48) 225 757 082Fax (+48) 225 757 001jaroslaw.czarnota@octapharma.se

PortugalOctapharma Produtos Farmacêuticos, Lda. António Gama da SilvaRua da Graça, 14P-1170-169 LisboaPortugal Tel. (+351) 21 816 08 20 Fax (+351) 21 816 08 30 antonio.silva@octapharma.pt

Octapharma Gestão Estratégica e Operacional, Lda.Paulo CastroRua da Graça, 14P-1170-169 LisboaPortugal Tel. (+351) 21 816 08 20 Fax (+351) 21 816 08 30paulo.castro@octapharma.pt

Latin America UnitEric BallestrazRua da Graça, 14P-1170-169 LisboaPortugal Tel. (+351) 21 816 08 20 Fax (+351) 21 816 08 30 eric.ballestraz@octapharma.pt

RussiaOctapharma RussiaMikhail SmirnovOffi ce 1002, 10th FloorRegus Business CentreSmolensky PassageSmolenskaya sg., 3Moscow 121099Russian FederationTel. (+7) 495 937 80 59Fax. (+7) 495 937 82 76mikhail.smirnov@octapharma.com

Saudi ArabiaOctapharma Regional Scientifi c Offi ceMaher Abu Al-RobAbdel Malik Bin Marwan St.P.O. Box 7633Riyadh 11472Saudi ArabiaTel. (+966) 50 3844897Fax (+966) 1 2170319maher@octapharma.com.sa

SlovakiaOctapharma AG, o.z.z.o.Miroslav GresikZochova 6/8SK-811 03 BratislavaSlovakiaTel. (+421) 2 5464 6701Fax (+421) 2 5441 8321miroslav.gresik@octapharam.com

SpainOctapharma S.A.Diego GarciaParque Empresarial de San FernandoEdif. Berlin - planta BajaAv. Castilla 228830 San Fernando de Henares, MadridSpainTel. (+34) 91 6487298Fax (+34) 91 6764263diego.garcia@octapharma.es

SwedenOctapharma ABTobias MarguerreOlivier ClairotteElersvägen 40SE-11275 StockholmSwedenTel. (+46) 8 566 43000Fax (+46) 8 566 43010tobias.marguerre@octapharma.seolivier.clairotte@octapharma.se

Octapharma Nordic ABTobias MarguerreElersvägen 40SE-11275 StockholmSwedenTel. (+46) 8 566 43000Fax (+46) 8 566 43010tobias.marguerre@octapharma.se

United KingdomOctapharma LimitedSue Griffi nThe Zenith Building26 Spring GardensManchester, M2 1ABUnited KingdomTel. (+44) 161 837 3770Fax (+44) 161 837 3799jo.birch@octapharma.co.uk

USAOctapharma USA, Inc.Flemming Nielsen121 River St., 12th FloorHoboken, New Jersey 07030USATel. (+1) 201 604 1130Fax (+1) 201 604 1131fl emming.nielsen@octapharma.com

Octapharma Plasma, Inc. Dennis Curtin736 North Park Boulevard, Suite 100Clarkston, Georgia 30021USATel. (+1) (404) 300-5000Fax (+1) (404) 300-5302dennis.curtin@octapharmaplasma.com

Plasma Procurement Services, Inc.Dennis Curtin Waterfront Corporate Center 121 River Street, Suite 1201Hoboken, NJ 07030USATel. (+1) 201 604-1130Fax (+1) 201 604-1131dennis.curtin@octapharmaplasma.com

For the safe and

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