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Zentiva's Expects to Report a 18% Increase in Nine Month 2008 Sales,    representing a 28% Increase at Constant Exchange Rates

  

Sales growth continues to be driven by Turkey 

   

Prague, London, October 22, 2008 - Zentiva N.V. ('Zentiva' or the 'Company'), a leading CEE pharmaceutical company that develops, manufactures and markets modern branded generic pharmaceutical products announces that it expects to report net sales for the first nine months of  2008 of around CZK 13 billion, representing an 18% increase over the same period in 2007. During the first nine months of 2008, Zentiva's sales have been negatively impacted by the strength of the Czech Koruna, the Company's reporting currency. At constant exchange rates, net sales in the first nine months of 2008 would have increased by 28% versus the corresponding period in 2007. This increase in sales in 2008 has been driven by the Company's new Turkish acquisition which has provided a platform for growth and has given Zentiva a much more balanced market presence.  

Jiri Michal, Chairman and CEO commenting today said:

'Zentiva's sales performance during the first nine months of 2008 demonstrates the inherent strength of our much more broadly based business. This is particularly true given the impact of the stronger Czech Koruna during the period. We are continuing to make good progress in Turkey, our Romanian business is now in much better shape and in Russia our sales are continuing to grow at an attractive pace. These developments are allowing us to overcome the anticipated sales decline that we are seeing in the Czech Republic. Our higher sales have also allowed us to deliver an improved operating performance as a result of the integration benefits that we are generating in our Turkish business and our on-going focus on efficiencies across all of the activities of the Group.'

In the nine months of 2008, Zentiva saw the following net sales trends:

• In Turkey, Zentiva achieved net pharmaceutical sales of approximately CZK 2.3 billion, impacted to a large degree by the CZK/TRY exchange rate. In the 3rd Quarter net sales have increased by approximately 22% in local currency terms

• In Romania, the Company's net pharmaceutical sales declined by around 19% yoy, to a large extent due to the strength of CZK. In local currency terms sales in Romania increased by approximately 2% in the first nine months of 2008. In the 3rd Quarter of 2008, sales in Romania more than doubled in local currency terms. This reflects the benefits of the actions that have been taken in the last fifteen months to create a more solid business platform in this important market and the low level of sales in the 3rd Quarter 2007.

• In the Czech Republic, the Company's net pharmaceutical sales were down 11% yoy as anticipated. This sales decline reflects the impact of the introduction of mandatory fees for doctor visits and prescriptions from the beginning of the year. 

• Zentiva's other markets and other non-pharmaceutical businesses have made an important contribution, with net sales up 16% yoy (almost 27% at constant exchange rate) driven by strong performances in Russia, Ukraine, the Other CIS countries, and Bulgaria, as well as the consolidation of our non-pharmaceutical businesses in Turkey.  

Zentiva will provide further details on its performance for the nine month period ending September 30, 2008, on November 10, 2008 at noon CET, when the Company's Nine Month 2008 Report is  released.

 

Investor Relations		Media Relations
Petr Šulc Chief Financial Officer Tel: +420 267 242 737 petr.sulc@zentiva.cz	Alexander Marček Corporate Finance Director Tel: +420 267 243 745 alexander.marcek@zentiva.cz	Věra Kudynová PR Manager Tel: +420 267 242 312 vera.kudynova@zentiva.cz
Liběna Stiebitzová Investor Relations Specialist Tel: +420 267 243 055 libena.stiebitzova@zentiva.cz	General Inquiries Tel: +420 267 243 888 Fax: +420 272 702 869 investor.relations@zentiva.cz	Citigate Dewe Rogerson  Tel: +44 (0)20 7638 9571     David Dible david.dible@citigatedr.co.uk Chris Gardner  chris.gardner@citigatedr.co.uk

IMPORTANT NOTICES

Forward-looking Statements

This document contains 'forward-looking statements'. These forward-looking statements include all statements that are not historically known facts. They appear in a number of places throughout this document and include, but are not limited to, statements and underlying assumptions regarding Zentiva's intentions, beliefs, projections, plans, objectives, estimates, and current expectations concerning, amongst other things, Zentiva's results of operations, financial condition, liquidity, performance, prospects, growth, strategies, and the countries and industries in which Zentiva operates. Forward-looking statements are generally identified by the words 'expects,' 'anticipates,' 'believes,' 'intends,' 'estimates,' 'plans' and similar expressions. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances, many of which are difficult to predict and generally beyond the control of Zentiva. Forward-looking statements are not guarantees of future performance, and the actual results of Zentiva's operations, financial condition, liquidity, performance, prospects, growth, strategies, and the development of the countries and the industries in which Zentiva operates may differ materially from those described in, or suggested by, the forward-looking statements contained in this document. Other than as required by applicable law, Zentiva does not undertake any obligation to update or revise any forward-looking information or statements.

Other Important Notices

This document does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any shares or global depositary shares in Zentiva, nor shall it or any part of it nor the fact of its distribution form the basis of, or be relied on in connection with, any contract or investment decision. 

Recipients of this document, or any part or any copy of it, may not, directly or indirectly, take, or transmit into, or further distribute the document in, the United States, Canada, Australia, or Japan, or to any resident thereof. The distribution of this document in other jurisdictions may also be restricted by law, and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. Any failure to comply with these restrictions may constitute a violation of US, Canadian, Japanese, Australian or other securities laws.

Zentiva's ordinary shares and global depositary shares have not been and will not be registered under the US Securities Act of 1933 (the 'Securities Act') and may not be offered or sold in the US except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

For the purpose of Section 21 of the Financial Services and Markets Act 2000 of the United Kingdom (the 'FSMA'), any potential invitation or inducement to engage in any investment activity included within this document (which Zentiva believes there is none) is directed only at (i) persons who are investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (as amended) of the United Kingdom (the 'Financial Promotion Order'); (ii) persons who fall within Articles 49(2)(a) to (d) ('high net worth companies, unincorporated associations etc.') of the Financial Promotion Order; and (iii) any other persons to whom this document for the purposes of Section 21 of FSMA can otherwise lawfully be made (all such persons together being referred to as 'relevant persons'), and must not be acted on or relied upon by persons other than relevant persons. Any potential invitation or inducement to engage in any investment activity included within this document (which Zentiva believes there is none) is available only to relevant persons and will be engaged in only with relevant persons.

This document is published in both English and Czech version, however, only its English version should be considered the official one. Its Czech version is published solely for information purposes, and no representation is made and no warranty is given as to the accuracy of the Czech translation. Should there be any difference between the English and Czech version of this document, the English version shall always prevail.

NOTE FOR EDITORS

Zentiva N.V. is an international pharmaceutical company focused on developing, manufacturing and marketing modern generic pharmaceutical products. The Company has leading positions in the pharmaceutical markets in the Czech Republic, Slovakia, Romania, and Turkey and is growing rapidly in Poland, Russia, Bulgaria, Hungary, the Ukraine and the Baltic States. Zentiva's strategy is to further this growth by increasing patient access to modern medicines through primary care providers within the EU and Eastern Europe. This growth will be based on further organic development of Zentiva's existing business and through selective acquisitions, whilst maintaining profitable growth.

The Company addresses a wide range of therapeutic areas but has a particular focus on cardiovascular disorders, inflammatory conditions, pain, infections and diseases of the central nervous system and the gastrointestinal and urology fields.

The Zentiva Group employs almost 6,000 people and has production sites in the Czech Republic, Slovakia, Romania, and Turkey.

Zentiva is listed on the Prague and London Stock Exchanges. Based on official notifications by shareholders to the Dutch regulator, the Company's largest shareholders are Sanofi-Aventis (24.9%), PPF Group and Generali PPF Holding B.V. acting in concert (21.6%), Belviport Trading Limited (10.1%) and Fervent Holdings Limited (7.6%). Zentiva's management holds 5.9% of the Company's shares. Other institutional and private investors hold a combined 29.9% of the Company's shares.

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