PDI, Inc, a pioneer in providing contract sales and commercialization services to the biopharmaceutical industry, announced that PDI and Novartis have agreed to terminate a promotion agreement that was entered into in April 2008 under PDI's product commercialization initiative whereby PDI deployed a sales field force and provided other promotional activities to promote a Novartis branded product in the United States. PDI discontinued all promotional activities related to the product effective as of April 22, 2009. In connection with the termination of this agreement, Novartis will receive credits for services that PDI is currently providing to Novartis under a fee for service sales force agreement for another Novartis branded product.

In the fourth quarter of 2008 PDI recorded a contract loss accrual of approximately $10.3 million, representing the anticipated future loss expected to be incurred to fulfill its obligations under this contract through February 1, 2010, which was the early termination date in the contract. While PDI is currently evaluating the net impact on earnings of the termination of this contract on April 22, 2009 and the credits to be provided to Novartis for other services, it currently anticipates a net positive impact on earnings.

PDI provides commercialization services for established and emerging biopharmaceutical companies.