A presentation of Genentech strategic growth options vis-a-vis the current economic and structural challenges the biotech industry is facing. Team project, December 2008.

5. Products in the pipeline Number of products Phase or combinations Awaiting FDA action 1 Preparing for filing 2 Phase 3 13 Preparing for phase 3 4 Phase 2 8 Preparing for phase 2 3 Phase 1 and preparing for phase 1 multiple molecular entities

8. The Biotech index (12 yrs)

13. Financial Ratio Comparison to Competitors Genentech Amgen Biogen Operating Margin 37.09% 37.59% 30.94% Quarterly Revenue Growth 17.30% 7.30% 38.50% Return on Assets 15.45% 10.00% 9.28% Return on Equity 23.81% 22.16% 14.45%

14. Cost Structure

19. Functional strategies: Strategic collaborations management Novartis owns 33% of Genentech through Roche Roche owns 56% of Genentech Genentech Co-develop Biogen gives 31.5m to develop cancer treatment Collaboration Thermo Fisher Scientific to provide siRNA Therapeutics Second Collaboration Nerviano Medical Sciences to discover antibody drug conjugates Co-develop & US commercial rights Glycart Biotech AG and Roche for GA 101 molecule. $105m in R&D expense Benefits : New products, R&D funding, profit sharing, publicity, marketing, global and domestic reach

21. Functional strategies: Regulatory – Accelerated Approval FDA accelerated approval Genentech recently submitted application to FDA for Avastin in the most aggressive form of brain cancer Glioblastoma, the most aggressive type of cancer with no cure and few treatment options. 90% of people with Glioblastoma see their cancer return. There are few effective treatments when initial therapy stops working. WHY? Glioblastoma is the most common type of brain tumor and there has been no substantial improvement in the treatment of glioblastoma for more than 20 years. People with this disease desperately need new treatment options. Only 15% of patients live six months without their cancer advancing.