SYNTARA LIMITED — AGM Information 2014

Nov 26, 2014

Annual General Meeting 27 November 2014

Chairman's Address

Annual General Meeting

Financial Overview

Annual General Meeting

Sales revenue

Bronchitol sales by country

	Germany	Alitsraau	UK	Tltoa
Sil2013aesncreaseover	58%	29%	662%	55%
					5

Aridol sales by country

• • Total sales increased 16% over 2013
• • Significant growth in Korea
• • Discontinued sales in US
• • EU sales increase include improved margin in several countries – now sell direct, previously via a distributor

	Europe	Alitusraa	Korea	US	Tltoa
Sli2013aesncreaseoerv	49%	8%	122%	()87%	16%

Financial statements

SFiilDttttnancaaemenaa
Itttncomesaemen	Yddearene
('000 ehada)t ptaxcepersre	30-J14n-u	30-J13n-u
	$A	$A
Rflfdevenueromsaeogoos	5,036	3,237
Cfltososaes	()1,858	()1,140
Gfitrosspro	3,178	2,096
Iittneresncome	1,375	2,695
Gdhittrananoerncome	3,175	65,75
Expenses
Sl&kitaesmareng	()9,522	()13,893
Rlf&dilffitteguaorysaeymecaaars,	()4,495	()5,581
Adiiittmnsraon	()8,268	()6,030
Avilblfiittaaemanuacurngcapacy	()4,217
Rh&dlBhilt -tesearceeopmenroncov	(12,801)	(18,31)5
Rh&dlddlt -tesearceeopmennerugeeopmenvwv	(4,901)	(331)5,
Fi&litnanceroyaes	()7,302	()2,130
Ridiitttesrucurnganmparmenexpenses	()8,783	()1,690
Tltoaexpenses	()60,343	()53,187
Nlbftteosseoreax	()1,1575	()42,217
Itncomeaepensexx	(103)	(2)
Nlfttteossaerax	(1,818)5	(42,23)7
$Biddiludi(l)htascaneearnngsosspersare-	()0.168	()0.141

Income

• • Other income - R&D tax credit significant component Expenses
• • Sales & marketing – overall decrease, close US & France; costs include pricing applications in EU, patient support programs in EU
• • Safety – 2013 includes FDA CF costs
• • Admin – consolidation of functions, employee share costs $1.6m (non cash)
• • R&D - Bronchitol includes CF303 of $4m ('13: nil), manufacturing research $3.4m ('13: $9.5m) and clinical $4.9 ('13: $7.9m)
• • R&D – new drug development: net cash cost $1.7m
• • Finance includes non cash NQ finance expense
• • Restructuring charge in 2014 $8.8M write down of intangible assets, 2013 – restructuring

Expense analysis – cash costs

Expense analysis

• • Separately recurring cash costs from non-cash and other expenses
• • Recurring cash costs decreased by $11m (26%) in FY14
• • Annual run rate for Sept 14 quarter – further 16% reduction
• •Further reductions Q1 CY

Depn, amortisation & employee share expense NQ finance charge

Balance sheet – 30 June 2014 (A$ mil)

• • Finance lease is 15 year lease over 20 Rodborough Rd
• • NovaQuest financing – amount received plus accrued charge. Not repayable other than as % of sales (note current legal proceedings described in annual report)

Shareholder Questions

Annual General Meeting

Formal Business

Annual General Meeting

Resolution 1 – Financial Report, Directors' Report and the Auditor's Report

•No shareholder vote is required

Resolution 2: Adoption of the Remuneration Report

Resolution:

"That the remuneration report of the Company for the year ended 30 June 2014 is adopted."

Resolution 2: Adoption of the Remuneration Report

The Company has received:

• •115,009,730 proxy votes in favour of the resolution;
• •8,227,296 proxy votes against the resolution;
• •390,964 proxy votes abstaining from the resolution;
• •1,022,007 proxy votes excluded from voting;
• • 925,717 proxies able to be voted by the chair which the chair intends to vote in favour of the resolution.

* Voting exclusions apply

Resolution 3: Re-election of Mr William Delaat as a Non Executive Director

Resolution:

"That Mr William Delaat is re-elected as a non executive director of the Company."

Resolution 3: Re-election of Mr William Delaat as a Non Executive Director

The Company has received:

• •118,010,980 proxy votes in favour of the resolution;
• •6,295,134 proxy votes against the resolution;
• •343,883 proxy votes abstaining from the resolution;
• • 925,717 proxies able to be voted by the chair which the chair intends to vote in favour of the resolution.

Thank you for your participation