Teva Pharmaceutical Industries Ltd. and Eisai Co. Ltd. have entered into a long-term strategic alliance for the global co-development of rasagiline for several indications and its co- promotion in the U.S. market. The parties will initially develop rasagiline for Alzheimer's disease and will also co-promote rasagiline, once approved by the Food and Drug Administration, in the U.S. for Parkinson's disease. This co-promotion will be carried out by Eisai Inc and Teva Neuroscience Inc. Financial terms were not disclosed.

Israel Makov, President and CEO of Teva stated: "We are very pleased to partner with Eisai, a world leader in the field of Alzheimer's. Building on the proven marketing strength of Teva Neuroscience and together with our successful partnership with Lundbeck in Europe, this new collaboration will enable us to realize the full potential of rasagiline in the field of neurology starting with Parkinson's disease and Alzheimer's disease. This agreement is consistent with our strategy to align ourselves with partners, sharing with them the challenges and the opportunities of our innovative pipeline."

"We are excited about our strategic alliance with Teva, which further demonstrates our global commitment to the therapeutic area of neurology. Our proven experience in the Alzheimer's disease arena, and Teva's R&D expertise in diseases of the central nervous system, will be of great benefit to patients as we move forward with rasagiline in the United States," said Haruo Naito, President and Chief Executive Officer of Eisai Co., Ltd.

Rasagiline, developed in cooperation between Teva and the Technion Research and Development Foundation, is a novel, selective and potent irreversible monoamine oxidase type B (MAO-B) inhibitor agent. As Teva recently announced, rasagiline's Phase III clinical trials in Parkinson's disease, a central nervous system disorder that affects approximately one million Americans, have been successfully completed. Rasagiline has shown statistically significant results in these trials, which included over 1,500 patients in both early and advanced stages of the disease. Rasagiline is expected to be submitted for regulatory approval for Parkinson's disease in North America and Europe during the second half of 2003.