Presentation delivered at "The State of Clinical Development Costs" conference in Philadelphia, PA January 11th and 12th, of 2011.

1. January 11, 2011, Philadelphia, PA Two Worlds On The Same Planet Laurence G. Poli, Ph.D. TTC, LLC

19. II. Different Perceptions

24. R&D Perceptions Pharmaceutical Company Respondents Percent Agreeing with Statement (Cont’d) % Because of the way CROs change, it is often in the CRO’s interest to expend more rather than less labor to do the same task. 72 A well run CRO makes as much as an established pharmaceutical company. 63

25. R&D Perceptions Pharmaceutical Company Respondents Percent Agreeing with Statement (Cont’d) % It costs more to do a study with a CRO than to do it internally – (hidden costs) 58 CROs are too often more concerned about getting to the next project rather than doing the current one well. 53

27. III. Why A Particular CRO

31. CRO Selection Criteria Percent Indicating A Criterion is Very Important in the Decision to Select a CRO % The project execution plan presented by the CRO in the bidding process, including such items as resources, country, and site selection. 48(***) Price (Two Different Worlds)

33. CRO Selection Percent Indicating A Criterion is Very Important in the Decision to Select a CRO A CRO’s overall experience in the study’s therapeutic area 57 The backgrounds of the project team members 51(*) The project execution plan presented by the CRO in the bidding process, including such items as resources, country and site selection 48(***)

35. IV. Managing the Relationship

40. V. Site Preferences

43. VI. Costs & Standard of Care in the U.S.

44. In Recent News… Global clinical grant spending totaled $11.5 billion in 2008, with the US representing 52% of the total.