Shire, Impax Settle Litigation Related to Supply of Adderall XR Authorized Generic

Shire plc (NASDAQ: SHPG), announces that its subsidiary, Shire LLC,has settled all pending litigation with Impax Laboratories, Inc. (NASDAQ: IPXL)over Shire's supply of an authorized generic version of Adderall XR.  Shirehas been supplying Impax with authorized generic Adderall XR since October2009 pursuant to a supply agreement between the parties.  In November 2010, Impax filed suit claiming that Shire was in breach of itssupply obligations, and Shire brought a counterclaim against Impax relating toits ordering practices under the agreement.  Under the terms of thesettlement, both Impax's claim and Shire's counterclaim will be dismissed, andthe parties have entered into an amended supply agreement which will governthe supply of authorized generic Adderall XR from Shire to Impax until the endof the supply term on September 30, 2014.  Also as part of the settlement,Shire will make a one-time cash payment to Impax of $48.0 million, which hasbeen recorded as a liability at December 31, 2012.  In accordance with USGAAP, as this represents a payment to a customer, the amount has been recordedin the Income Statement as a reduction in reported ADDERALL XR product salesand royalties in 2012. The reduction to revenues for the fourth quarter of2012 was $8.0 million, with the balance having been recorded in earlierperiods.  The above mentioned charges will not change Shire's updatedfinancial guidance for 2012 and 2013, as provided on January 8, 2013.