H. Lundbeck A — Earnings Release 2013

Sep 30, 2013

Valby, Copenhagen, 2013-09-30 11:00 CEST (GLOBE NEWSWIRE) --
-- Lundbeck continues its restructuring initiatives to drive profitability,
enhance launch execution and support innovation
-- The Fit-for-the-Future program aims to free up resources by reducing
complexity, increasing organizational efficiency and decreasing spending on
less critical activities
-- Lundbeck will make a provision of DKK 200 million in the third quarter of
2013
-- Lundbeck’s operating performance continues to exceed expectations and the
financial guidance for 2013 revenue has been increased from DKK 14.6-15
billion to DKK 14.8-15.2 billion
-- The financial guidance for reported 2013 EBIT is maintained, but now
includes the provision made for the Fit-for-the-Future program

Valby, Denmark, 30 September 2013 - H. Lundbeck A/S (Lundbeck) today announced
the continuation of the process of evolving its business model including
optimization of Lundbeck’s commercial structure to put the company in the best
possible position to successfully launch its new medicines. This will be
achieved through a simplified commercial structure, increased alignment across
countries, and improved competencies and investments in areas such as market
access.

Lundbeck’s Fit-for-the-Future program was announced on 20 June 2013 with the
aim to reduce complexity, increase organizational efficiency and free up
resources to ensure our successful transition towards a sustainable new
Lundbeck. The program includes initiatives to optimize and standardize
administrative processes, reduce supply chain complexity, ensure even more
effective execution of clinical trials, structure procurement and decrease
spending on less critical activities. This program follows the plan to divide
the commercial operations into six regions: Europe, USA, Canada, Asia, Latin
America and Middle East & Global Distribution to reflect the global
diversification of the company and ensures full focus on growth markets.
Furthermore the commercial structure in Europe with its more than 30 affiliates
will be organized in 10 strong business units. The Fit-for-the Future program
is expected to run in the period 2013-2015.

“Lundbeck remains fully committed to our long-term strategy and over the years
we have taken decisive steps in order to improve our organizational
efficiencies and our ability to succeed in a changing environment”, said Anders
Götzsche, EVP and CFO at Lundbeck and continues “We are very aware that these
initiatives affect many employees and we will strive to mitigate any negative
effects these might have”.

These initiatives are part of the company's on-going effort to continuously
optimize its business. Earlier initiatives include the Decisions Now program
and the optimizations of Lundbeck's research and development activities.

For many years Lundbeck has played a significant role as a specialist in brain
diseases, bringing new treatments to millions of patients worldwide. This new
initiative will enhance Lundbeck's ability to launch new medicines to the
benefit for patients suffering from brain diseases.

The full effect of this program is expected to deliver an annual benefit of
more than DKK 500 million from 2016. Lundbeck proposes to restructure its
business services in Europe and as a consequence establish a business service
centre in Poland. The proposed restructuring of the business services is likely
to impact approximately 180-200 positions in the period 2014-2015. Following
the proposed restructuring Lundbeck will make a provision of approximately DKK
200 million in the third quarter of 2013 covering all Fit-for-the-Future
initiatives. Final estimates for the cost of the program as well as benefits
are subject to completion of applicable consultation processes with relevant
work councils.

Financial guidance

The positive underlying operational performance for Lundbeck continues to
exceed expectations and Lundbeck therefore revise the guidance for 2013
revenue. The guidance for 2013 EBIT is maintained as communicated on 7 August
2013, but now includes the Fit-for-the-Future provision of approximately DKK
200 million.

Financial forecast 2013

DKK billion 2012 2013 2013
actual previous new
forecast

---

---

Revenue 14.8 14.6-15.0 14.8-15.2
-------------------------------
EBIT 1.7 1.3-1.7 1.3-1.7
-------------------------------
EBIT (excluding EU fine) - 2.0-2.4 2.0-2.4
-------------------------------
EBIT (excluding EU fine and 2013 restructuring - 2.0-2.4 2.2-2.6
charge)
-------------------------------

Lundbeck contacts

Investors: Media:

Palle Holm Olesen Mads Kronborg
Chief Specialist, Head of Investor Relations Media Relations Manager
PALO@lundbeck.com MAVK@lundbeck.com
+45 36 43 24 26 +45 36 43 30 00

Jens Høyer
Investor Relations Officer
JSHR@lundbeck.com
+45 36 43 33 86

About Lundbeck

H. Lundbeck A/S (LUN.CO, LUN DC, HLUYY) is a global pharmaceutical company
specialized in brain diseases. For more than 50 years, we have been at the
forefront of research within neuroscience. Our development and distribution of
pioneering treatments continues to make a difference to people living with
brain diseases. Our key areas of focus are alcohol dependence, Alzheimer’s
disease, depression/anxiety, epilepsy, Huntington’s disease, Parkinson’s
disease, schizophrenia and stroke.

Our 5,800 employees in 57 countries are engaged in the entire value chain
throughout research, development, production, marketing and sales, and are
committed to improving the quality of life of people living with brain
diseases. Our pipeline consists of several late-stage development programs and
our products are available in more 100 countries. We have research centers in
China, Denmark and the United States, and production facilities in China,
Denmark, France, Italy and Mexico. Lundbeck generated revenue of approximately
DKK15 billion in 2012 (EUR 2 billion; USD 2.6 billion).

Lundbeck’s shares are listed on the stock exchange in Copenhagen under the
symbol ”LUN”. Lundbeck has a sponsored Level 1 ADR program listed in the US
(OTC) under the symbol ”HLUYY”. For additional information, we encourage you to
visit our corporate site www.lundbeck.com.

Safe Harbor/Forward-Looking Statements

The above information contains forward-looking statements that provide our
expectations or forecasts of future events such as new product introductions,
product approvals and financial performance.

Such forward-looking statements are subject to risks, uncertainties and
inaccurate assumptions. This may cause actual results to differ materially from
expectations and it may cause any or all of our forward-looking statements here
or in other publications to be wrong. Factors that may affect future results
include interest rate and currency exchange rate fluctuations, delay or failure
of development projects, production problems, unexpected contract breaches or
terminations, government-mandated or market-driven price decreases for
Lundbeck's products, introduction of competing products, Lundbeck's ability to
successfully market both new and existing products, exposure to product
liability and other lawsuits, changes in reimbursement rules and governmental
laws and related interpretation thereof, and unexpected growth in costs and
expenses.

Certain assumptions made by Lundbeck are required by Danish Securities Law for
full disclosure of material corporate information. Some assumptions, including
assumptions relating to sales associated with product that is prescribed for
unapproved uses, are made taking into account past performances of other
similar drugs for similar disease states or past performance of the same drug
in other regions where the product is currently marketed. It is important to
note that although physicians may, as part of their freedom to practice
medicine in the US, prescribe approved drugs for any use they deem appropriate,
including unapproved uses, at Lundbeck, promotion of unapproved uses is
strictly prohibited.