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                      <TD width=3D520><FONT face=3D"Arial, Helvetica"=20
                        size=3D1>WASHINGTON, D.C., March 26, 1999</FONT> =
<BR><BR>
                        <CENTER><FONT face=3D"Arial, Helvetica" =
color=3D#663333=20
                        size=3D2><B>The Incidence of Liver Effects in =
Rezulin=20
                        Clinical Trials<BR>and Postmarketing =
Surveillance</B>=20
                        </FONT></CENTER>
                        <P><FONT face=3D"Arial, Helvetica" size=3D1>The =
liver, the=20
                        largest organ in the human body, is often =
described as=20
                        the body's chemical processing factory, =
performing=20
                        hundreds of complicated functions. The liver's =
functions=20
                        vary from continuously refining and cleaning the =
blood=20
                        of poisons and bacteria to manufacturing bile =
necessary=20
                        for the digestion of fat in the diet.=20
                        <P>Because the liver has the function of =
processing=20
                        chemicals and drugs that enter the bloodstream, =
it is=20
                        often susceptible to environmentally induced =
injury. The=20
                        liver removes chemicals that are difficult for =
the=20
                        kidneys to excrete and alters them so that they =
can be=20
                        removed from the body through bile or urine, =
sometimes=20
                        resulting in unstable toxic products. A feature =
of the=20
                        liver is its general capability to grow new =
liver cells=20
                        if damaged.=20
                        <P>Some chemicals are intrinsic hepatotoxins and =
are=20
                        known to cause liver injury. Other chemicals may =
be=20
                        associated with an idiosyncratic reaction where =
the=20
                        etiology is unknown. Rezulin is not an intrinsic =

                        hepatotoxin. Intrinsic or predictable chemicals =
result=20
                        in regular damage, following a certain level of =
exposure=20
                        to a chemical, while idiosyncratic or =
unpredictable=20
                        chemicals cause damage in only a small =
percentage of=20
                        individuals who are exposed.=20
                        <P>Liver damage can either be hepatocellular, =
damaging=20
                        liver cells, or cholestatic, diminishing or =
halting the=20
                        flow of bile. There are several ways to measure =
the=20
                        presence of damage or inflammation in the liver. =
The=20
                        most commonly used indicators of possible =
hepatocellular=20
                        damage are alanine aminotransferase (ALT) and =
aspartate=20
                        aminotransferase (AST) liver enzymes. Both of =
these=20
                        enzymes are normally found in the liver and =
filter into=20
                        the bloodstream when liver cells are injured. =
ALT is a=20
                        more specific indicator of liver inflammation, =
as AST is=20
                        also found in other organs such as the heart and =

                        skeletal muscle. Bilirubin, the main bile =
pigment in=20
                        humans, which when elevated causes the yellow=20
                        discoloration of the skin called jaundice, is =
another=20
                        indicator of liver disease.=20
                        <P><B>Rezulin and Liver Failure</B>=20
                        <P>Since its approval in January 1997, Rezulin =
has been=20
                        prescribed for approximately 1.6 million =
patients in the=20
                        United States. Like many medications, however, =
it has=20
                        been associated with rare but serious adverse =
events.=20
                        <P>Following two reports of liver failure during =

                        postmarketing surveillance, Parke-Davis, in =
concert with=20
                        the U.S. Food and Drug Administration (FDA) =
revised the=20
                        product labeling to include liver enzyme =
monitoring=20
                        requirements. As a result of further label =
revisions in=20
                        1997, and 1998, and increased physician and =
patient=20
                        awareness, there has been an overall decline in =
the=20
                        reported rate of severe liver events possibly =
associated=20
                        with Rezulin and a significant reduction in =
reports of=20
                        liver-related deaths among patients initiating =
therapy=20
                        in 1998. By all objective measures, liver enzyme =

                        monitoring has helped reduce the already rare =
risk of=20
                        serious liver events allowing the vast majority =
of type=20
                        2 diabetes patients to enjoy the important =
benefits of=20
                        this therapy.=20
                        <P>The following provides data about the =
incidence of=20
                        adverse liver events during Rezulin clinical =
trials and=20
                        in postmarketing surveillance since the approval =
of=20
                        Rezulin in 1997.=20
                        <P><B>Adverse Liver Events in the Clinical =
Trials</B>=20
                        <P>During clinical trials in North America, 475 =
patients=20
                        were treated with placebo and 2,510 patients =
were=20
                        treated with Rezulin. Serum alanine =
aminotransferase=20
                        (ALT) elevations &gt;3 x ULN (upper limit of =
normal)=20
                        were observed in 48 (1.9%) Rezulin-treated =
patients and=20
                        3 (0.6%) placebo-treated patients.=20
                        <P>The clinical protocol did not include rules =
for=20
                        discontinuing therapy if liver enzyme elevations =

                        occurred. However, therapy was discontinued for =
20 of=20
                        the 48 Rezulin-treated patients who had elevated =
ALT=20
                        levels. Two of the 20 patients also developed =
reversible=20
                        jaundice prior to discontinuation of therapy. =
Both had=20
                        liver biopsies consistent with an idiosyncratic =
drug=20
                        reaction. Each of these patients, including the =
2=20
                        jaundiced patients, normalized without any =
permanent=20
                        clinical complications.=20
                        <P>The onset of ALT elevations in the 20 =
patients who=20
                        discontinued therapy was typically delayed; most =
peak=20
                        ALT elevations occurred between 3 and 7 months =
of=20
                        therapy. Only one of these patients developed =
ALT &gt;3=20
                        x ULN within 30 days of therapy initiation. =
Serum ALT=20
                        levels promptly returned to baseline in most =
patients=20
                        after therapy was discontinued.=20
                        <P>Twenty other Rezulin-treated patients who had =
ALT=20
                        elevations &gt;3 x ULN continued their therapy =
despite=20
                        the laboratory findings. Five of those patients =
had=20
                        serum ALT &gt;10 x ULN. Peak ALT elevations in =
these=20
                        patients occurred between 2 and 18 months of =
therapy.=20
                        Serum ALT levels returned to baseline and =
normalized in=20
                        each of these patients despite continuation of =
therapy.=20
                        The remaining 8 patients were found at the end =
of study=20
                        to have ALT elevations &gt;3 x ULN. Peak ALT =
elevations=20
                        in these patients occurred between 2 and 9 =
months of=20
                        therapy. Serum ALT levels returned to normal in =
each of=20
                        these patients without clinical manifestation =
and no=20
                        liver failures or liver-related deaths occurred =
during=20
                        the clinical trials that preceded approval of =
the new=20
                        drug application.=20
                        <P><B>Postmarketing Surveillance</B>=20
                        <P>Postmarketing surveillance refers to the =
continued=20
                        safety monitoring that occurs throughout the =
life of a=20
                        drug following FDA approval. Many types of =
adverse=20
                        events that are reported during the =
postmarketing phase=20
                        only manifest themselves after a drug has been=20
                        prescribed to a much larger, more diverse =
population=20
                        than exists in clinical trials with a limited =
number of=20
                        patients.=20
                        <P>Following the approval of Rezulin, =
Parke-Davis=20
                        received 2 initial reports of liver failure. =
Parke-Davis=20
                        initiated discussions with the FDA to evaluate =
the=20
                        cases. After consultation with expert =
hepatologists and=20
                        the FDA, Parke-Davis incorporated liver enzyme=20
                        monitoring requirements in the product labeling =
in=20
                        October 1997.=20
                        <P>As of March 5, 1999, Parke-Davis has received =
75=20
                        reports of deaths in the United States involving =
some=20
                        mention of the liver, regardless of the =
relationship of=20
                        the drug to the liver event or the outcome. The =
FDA has=20
                        classified 26 reports as "possibly" or =
"probably"=20
                        related to the drug, and it also has classified =
nine=20
                        cases of transplant as possibly or probably =
related to=20
                        the drug. Thirty-three of these reports were =
from=20
                        spontaneous reports and 2 were from clinical =
trials.=20
                        <P>After continued analysis of the postmarketing =
data by=20
                        Parke-Davis and the FDA, modifications were made =
to the=20
                        monitoring requirements in December 1997 and =
July 1998.=20
                        The Company also issued "Dear Doctor" letters =
and=20
                        physician and patient communication programs =
designed to=20
                        assure awareness of the importance of =
monitoring. The=20
                        actions taken by Parke-Davis and the FDA since =
October=20
                        1997 have dramatically decreased the reported =
incidence=20
                        of serious adverse liver events. Thus, the =
incidence of=20
                        reported liver failure leading to death or =
transplant=20
                        was approximately 1 in 57,000 in patients =
initiating=20
                        therapy since January 1998, shortly after the =
boxed=20
                        warning was added to the label.=20
                        <P>Rezulin may be used concomitantly with a =
sulfonylurea=20
                        or insulin to improve glycemic control. Rezulin, =
as=20
                        monotherapy, is indicated as an adjunct to diet =
and=20
                        exercise to lower blood glucose in patients with =
type 2=20
                        diabetes. Rezulin should not be used as =
monotherapy in=20
                        patients previously well controlled on =
sulfonylurea=20
                        therapy. For patients inadequately controlled =
with a=20
                        sulfonylurea alone, Rezulin should be added to, =
not=20
                        substituted for, the sulfonylurea.=20
                        <P>Management of type 2 diabetes should also =
include=20
                        diet control, weight loss and exercise. Rezulin =
should=20
                        not be used in type 1 diabetes or for the =
treatment of=20
                        diabetic ketoacidosis.=20
                        <P>Rare cases of severe idiosyncratic adverse=20
                        hepatocellular events have been reported during =
marketed=20
                        use (see Hepatic boxed WARNING in the full =
prescribing=20
                        information). The hepatic event is usually =
reversible,=20
                        but very rare cases of hepatic failure, leading =
to death=20
                        or liver transplant, have been reported. These =
events=20
                        have occurred after both short- and long-term =
treatment.=20

                        <P>Although liver enzyme monitoring cannot =
completely=20
                        eliminate the potential for serious liver =
problems, it=20
                        should help reduce the risk.=20
                        <P>Rezulin patients should have liver enzyme =
monitored=20
                        regularly. Serum transaminase levels should be =
checked=20
                        at the start of therapy, monthly for the first =
eight=20
                        months of therapy, every two months for the =
remainder of=20
                        the first year of Rezulin therapy, and =
periodically=20
                        thereafter.=20
                        <P>In clinical studies, Rezulin was generally =
well=20
                        tolerated. The incidence of withdrawals during =
clinical=20
                        trials was similar for patients treated with =
placebo or=20
                        Rezulin (4%). The most common adverse events =
included=20
                        infection (22% placebo vs. 18% Rezulin), =
headache (11%=20
                        placebo vs. 11% Rezulin), and pain (14% placebo =
vs. 10%=20
                        Rezulin).=20
                        <P>In premenopausal anovulatory patients with =
insulin=20
                        resistance, Rezulin treatment may result in =
resumption=20
                        of ovulation. These patients may be at risk for=20
                        pregnancy. Rezulin should not be used during =
pregnancy=20
                        unless the potential benefits exceed the =
potential risks=20
                        to the fetus.=20
                        <P>Although an increase in plasma volume of 6% =
to 8%=20
                        compared with placebo was observed in a 6-week =
study of=20
                        troglitazone treatment in 24 normal volunteers, =
there=20
                        was no increased incidence of adverse events =
potentially=20
                        related to volume expansion (e.g. congestive =
heart=20
                        failure) in controlled clinical trials for =
Rezulin.=20
                        Patients with New York Heart Association (NYHA) =
Class=20
                        III and IV cardiac status were not studied =
during=20
                        clinical trials; therefore, Rezulin is not =
indicated in=20
                        patients with NYHA Class III or IV cardiac =
status unless=20
                        the expected benefit is believed to outweigh the =

                        potential risk.=20
                        <P>Please see accompanying full prescribing =
information=20
                        for Rezulin.=20
              =
</FONT></P></TD></TR></TBODY></TABLE></TD></TR></TBODY></TABLE></TD></TR>=
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