Researchers are studying a number of oral drug candidates that 
                  directly interfere with hepatitis C virus (HCV) replication. 
                  To date, most clinical trials have combined these drugs with 
                  pegylated interferon (Pegasys 
                  or PegIntron), with or without ribavirin, which stimulates 
                  immune system activity against the virus. Adding direct-acting 
                  agents to standard therapy may improve response rates and shorten 
                  the total length of treatment. 
                Among 
                  these experimental compounds, telaprevir 
                  -- which interferes with the HCV protease enzyme -- is furthest 
                  along in the drug development pipeline. Vertex has indicated 
                  that it expects to complete its application for Food and Drug 
                  Administration (FDA) approval by the end of the year.
                Below 
                  is an edited excerpt from a Vertex press release describing 
                  the REALIZE trial and its most recent findings.
                65% 
                  of People Whose Prior Treatment for Hepatitis C Was Unsuccessful 
                  Achieved SVR (Viral Cure) with Telaprevir-Based Therapy in Phase 
                  3 REALIZE Study
                
                   
                    |  | 17% 
                      of people achieved SVR with pegylated-interferon and ribavirin 
                      alone in the control arm | 
                   
                    |  | Safety 
                      and tolerability results were consistent with prior Phase 
                      3 studies | 
                   
                    |  | Completion 
                      of rolling New Drug Application submission on track for 
                      the fourth quarter 2010 | 
                
                Cambridge, 
                  Mass. -- September 7, 2010 -- Vertex Pharmaceuticals Incorporated 
                  (Nasdaq: VRTX) today announced that 65% of people overall achieved 
                  a sustained viral response (SVR or viral cure) with a telaprevir-based 
                  regimen in the pivotal Phase 3 REALIZE study, as compared to 
                  17% of people in the control arm who received pegylated-interferon 
                  and ribavirin alone. REALIZE enrolled three groups of patients 
                  with genotype 1 hepatitis C who had undergone at least one prior 
                  treatment course with pegylated interferon and ribavirin but 
                  did not achieve SVR: (1) those who relapsed, (2) those who achieved 
                  a partial response and (3) those who had almost no response, 
                  known as a null response. REALIZE is the only Phase 3 hepatitis 
                  C study to date of an investigational direct-acting antiviral 
                  therapy that was designed to evaluate all major subgroups of 
                  people whose prior treatment was unsuccessful, including those 
                  who had a null response. The safety and tolerability results 
                  were consistent with results from the other two Phase 3 studies 
                  of telaprevir. The REALIZE study was conducted by Vertex's collaborator, 
                  Tibotec. 
                  
                  "The REALIZE data represent a major milestone in the development 
                  of new treatments for hepatitis C, as patients who received 
                  telaprevir-based therapy had a viral cure rate almost four times 
                  greater than the cure rate in those treated with available medicines," 
                  said Stefan Zeuzem, MD, Professor of Medicine and Chief of the 
                  Department of Medicine at the JW Goethe University Hospital, 
                  Frankfurt, Germany and Principal Investigator of the trial. 
                  "These results may provide hope to people who have not 
                  been cured and who are in need of new treatment options, including 
                  those with advanced liver disease." 
                  
                  "Along with results from ADVANCE and ILLUMINATE, the REALIZE 
                  data provide us with a strong understanding of telaprevir's 
                  potential role in helping many people with hepatitis C achieve 
                  a cure, regardless of their treatment history," said Robert 
                  Kauffman, MD, PhD, Senior Vice President and Chief Medical Officer 
                  for Vertex. "With these data, we look forward to completing 
                  our rolling New Drug Application submission for telaprevir later 
                  this year." 
                  
                  Overview of SVR Results 
                  
                  The primary endpoint of the study was SVR in each of the two 
                  telaprevir arms compared to the control arm, as well as across 
                  the three subgroups of people included in the study. One of 
                  the telaprevir treatment arms was designed to evaluate, for 
                  the first time, whether there was any further improvement in 
                  viral cure rates when delaying the start of telaprevir by four 
                  weeks, during which time patients received four weeks of pegylated 
                  interferon and ribavirin alone, compared to a simultaneous start. 
                  The SVR rates between these two arms were similar and there 
                  was no clinical benefit to the telaprevir delayed start treatment 
                  arm in any of the subgroups of patients. The table below combines 
                  the two telaprevir arms compared to the control. 
                
                   
                    |  | Relapsers(n=354)
 | Partial 
                        Responders(n=124)
 | NullResponders
 (n=184)
 | Overall 
                        (ITT)(n=662)
 | 
                   
                    | Telaprevir- based
 Treatment
 Arms+
 | 86%*(n=245/286)
 | 57%*(n=55/97)
 | 31%*(n=46/147)
 | 65%*(n=346/530)
 | 
                   
                    | Pooled 
                        Analysis: 78% (n=300/383)**  | 
                   
                    | Control Arm++
 | 24%(n=16/68)
 | 15%(n=4/27)
 | 5%(n=2/37)
 | 17%(n=22/132)
 | 
                   
                    | Pooled 
                        Analysis: 21% (n = 20/95)** | 
                   
                    | *Combined 
                        endpoint analysis: The SVR rates observed in the overall 
                        combined telaprevir-based arms were statistically significant 
                        when compared with the control arm (p < 0.0001). Additionally, 
                        the SVR rates observed in each of the three groups of 
                        patients evaluated were statistically significant when 
                        compared with the control arm (relapsers and partial responders 
                        (p<0.0001) and null responders (p<0.001)).  | 
                   
                    | +Reflects 
                        SVR rates from the combined telaprevir-based treatment 
                        groups. There were two telaprevir-based treatment groups: 
                         | 
                   
                    |  
                        1. 
                          12 weeks of telaprevir (750 mg, q8h), pegylated-interferon 
                          (Peg-IFN) & ribavirin (RBV), followed by 36 weeks 
                          of Peg-IFN & RBV alone or  | 
                   
                    |  
                        2. 
                          4 weeks of Peg-IFN & RBV alone followed by 12 weeks 
                          of telaprevir (750 mg, q8h), Peg-IFN & RBV, followed 
                          by 32 weeks of Peg-IFN & RBV alone  | 
                   
                    | ++12 
                        weeks of placebo, Peg-IFN & RBV, followed by 36 weeks 
                        of Peg-IFN and RBV alone  | 
                   
                    | **Supplemental 
                        analysis  | 
                   
                    | Null Responder: Defined as a person 
                      who achieved a less than 2 log10 reduction in 
                      HCV RNA at week 12 of a prior course of therapy. | 
                   
                    | Relapser: Defined as a person 
                      whose hepatitis C virus was undetectable at the completion 
                      of at least 42 weeks of a prior course of therapy but whose 
                      virus became detectable during the follow-up period. | 
                   
                    | Partial Responder: Defined as 
                      a person who achieved at least a 2 log10 reduction 
                      at week 12, but whose hepatitis C virus never became undetectable 
                      by week 24 of a prior course of therapy. | 
                   
                    | Backgrounders 
                      on hepatitis C treatment response and the REALIZE study 
                      (including trial design diagram) can be found at http://investors.vrtx.com/press.cfm. | 
                
                SVR 
                  rates for the telaprevir simultaneous start arm and the delayed 
                  start arm were 64% and 66%, respectively, overall, based on 
                  an intent-to-treat (ITT) analysis. For the primary analysis, 
                  the SVR rates for the telaprevir simultaneous start arm, delayed 
                  start arm and control arm, respectively, were 83%, 88% and 24% 
                  in relapsers (p<0.0001); 59%, 54% and 15% in partial responders, 
                  (p<0.0001); and 29%, 33% and 5% in null responders, (p<0.001). 
                  
                  
                  Safety & Tolerability Results 
                  
                  The safety and tolerability results of the telaprevir-based 
                  regimens in the REALIZE study were consistent with results reported 
                  from the Phase 3 ADVANCE and ILLUMINATE studies. The most common 
                  adverse events, reported in any treatment arm during the telaprevir 
                  dosing periods and up to week 16 to account for the telaprevir 
                  delayed start arm in order of frequency, were fatigue, pruritis 
                  [itching], headache, rash, flu-like symptoms, nausea and anemia, 
                  with the majority being mild to moderate. Of these, fatigue, 
                  pruritis, rash, flu-like symptoms, nausea and anemia were more 
                  common in the telaprevir-based treatment arms compared to control. 
                  Adverse events leading to discontinuation of all study drugs 
                  during the telaprevir dosing period and up to week 16 occurred 
                  in 4% of people in the combined telaprevir arms and 3% in the 
                  control arm during the same period. Discontinuation of all drugs 
                  due to anemia and rash during the telaprevir dosing period and 
                  up to week 16 occurred in 0.6% and 0.4% of patients, respectively, 
                  in the combined telaprevir arms, while discontinuation of all 
                  three drugs due to rash and anemia did not occur in the control 
                  arm during the same period. As in ADVANCE and ILLUMINATE, the 
                  use of erythropoiesis-stimulating agents (ESAs) was not allowed 
                  in this study. 
                  
                  Telaprevir is an investigational, oral inhibitor of HCV protease, 
                  an enzyme essential for viral replication, and is being developed 
                  by Vertex Pharmaceuticals in collaboration with Tibotec Pharmaceuticals 
                  and Mitsubishi Tanabe Pharma. With results from the three Phase 
                  3 studies of telaprevir -- ADVANCE, ILLUMINATE and REALIZE -- 
                  Vertex is on track to complete its rolling New Drug Application 
                  (NDA) submission to the U.S. Food and Drug Administration (FDA) 
                  in the fourth quarter of 2010. 
                  
                  Patient Demographics 
                  
                  REALIZE enrolled people with hepatitis C who did not achieve 
                  a viral cure after receiving at least one course of prior treatment 
                  with pegylated-interferon and ribavirin. Patients in the study 
                  were enrolled based on their response to prior treatment: 53% 
                  were prior relapsers, 19% were prior partial responders and 
                  28% were prior null responders. In this study, 26% of patients 
                  overall had cirrhosis and 89% of patients overall had a high 
                  viral load (HCV RNA greater than or equal to 800,000 IU/mL) 
                  when entering the study. Specifically in the null responder 
                  population, there were an even greater number of people with 
                  cirrhosis (33%) and high viral load (95%). Approximately 50% 
                  of patients were genotype 1a and 50% were genotype 1b. 
                  
                  About the Study 
                  
                  REALIZE was a pivotal Phase 3, randomized, double-blind, placebo-controlled 
                  study conducted in 662 people at more than 100 international 
                  clinical trial sites with the majority in Europe and North America. 
                  The study was designed to evaluate the efficacy, safety and 
                  tolerability of telaprevir-based regimens in people infected 
                  with genotype 1 chronic hepatitis C who did not achieve a viral 
                  cure after at least one prior treatment with interferon-based 
                  therapy. There were two telaprevir-based arms (simultaneous 
                  and delayed start) and one control arm. Patients were randomized 
                  2:2:1 to the two telaprevir arms and the control arm, respectively. 
                  
                  
                  The primary endpoint of the REALIZE study was SVR, defined as 
                  the proportion of people who had undetectable HCV RNA (< 
                  25 IU/mL undetectable by Roche COBAS Taqman HCV test) 24 weeks 
                  after the end of all treatment. REALIZE was designed to compare 
                  the SVR rates for each of the telaprevir-based regimens with 
                  the control arm, separately for the prior response subgroups 
                  of relapsers and non-responders (null and partial responders), 
                  and then for the two subgroups of non-responders. The secondary 
                  endpoint was to evaluate the safety and tolerability of telaprevir 
                  in combination with pegylated-interferon and ribavirin. 
                  
                  As in all Phase 3 studies of telaprevir, patients received no 
                  more than 12 weeks of telaprevir given in combination with pegylated 
                  interferon and ribavirin. In REALIZE, the telaprevir arms included 
                  12 weeks of telaprevir in combination with pegylated-interferon 
                  and ribavirin with 36 weeks of pegylated-interferon and ribavirin 
                  alone for a total of 48 weeks of treatment. 
                  
                  About the Telaprevir Development Program
                  
                  To date, more than 2,500 people with hepatitis C have received 
                  telaprevir-based therapy as part of Phase 2 studies and the 
                  Phase 3 ADVANCE, ILLUMINATE and REALIZE studies. Together, these 
                  studies enrolled people with genotype 1 hepatitis C who had 
                  not been treated for their disease previously as well as people 
                  who had been treated before but did not achieve a viral cure. 
                  
                  
                  Vertex retains commercial rights to telaprevir in North America. 
                  Tibotec has rights to commercialize telaprevir in Europe, South 
                  America, Australia, the Middle East and certain other countries. 
                  Mitsubishi Tanabe Pharma has rights to commercialize telaprevir 
                  in Japan and certain Far East countries. 
                  
                  About Vertex 
                  
                  Vertex Pharmaceuticals Incorporated is a global biotechnology 
                  company committed to the discovery and development of breakthrough 
                  small molecule drugs for serious diseases. The Company's strategy 
                  is to commercialize its products both independently and in collaboration 
                  with major pharmaceutical companies. Vertex's product pipeline 
                  is focused on viral diseases, cystic fibrosis, inflammation, 
                  autoimmune diseases, epilepsy, cancer and pain. Vertex co-discovered 
                  the HIV protease inhibitor, Lexiva, with GlaxoSmithKline. For 
                  more information, see www.vrtx.com.
                  
                  9/10/10
                Source
                  Vertex Pharmaceuticals. 65% of People Whose Prior Treatment 
                  for Hepatitis C Was Unsuccessful Achieved SVR (Viral Cure) with 
                  Telaprevir-Based Therapy in Phase 3 REALIZE Study. Press release. 
                  September 7, 2010.