PRA International to Merge with CroMedica; Combined Resources Create Top Five Global Clinical Drug Development Organization

Business Wire, June 17, 2002

Business Editors/Health and Medical Writers

BIOWIRE2K

McLEAN, Va.--(BW Healthwire)--June 17, 2002

PRA International Inc., a pharmaceutical research industry leader in contract clinical development services, today announced that it has agreed to a merger with CroMedica International, Inc., a worldwide clinical research organization (CRO) headquartered in Canada.

The combined companies will operate under the PRA International name, forming one of the top five global clinical drug development organizations.

The merger combines CroMedica's central nervous system (CNS) expertise and global operations, with PRA's broad therapeutic experience, data management expertise, and advanced technological applications to speed development. The newly merged company extends PRA's operations to conduct clinical trials on six continents.

"CroMedica expands the depth of PRA's expertise in the fast growing area of CNS therapeutic development, one of the largest areas of pharmaceutical R&D expenditure," said Pat Donnelly, president and chief executive officer of PRA International. "The company has a wealth of CNS-related therapeutic experience, especially in the areas of Alzheimer's and Parkinson's diseases, insomnia, and attention deficit disorder."

Already the world's largest privately held CRO, the merger extends PRA International's presence in Europe and North America, as well as provides operations in Canada, South Africa, Australia and Brazil. In North America, CroMedica expands PRA International's presence on the West Coast with operations in La Jolla, California and Victoria, British Columbia. Following the merger, PRA International will have more than 1,800 employees and annualized net revenues of more than $200 million.

"We are delighted to join forces with PRA to provide world-class services and global reach for our pharmaceutical and biotech clients," said Dr. Erich Mohr, chairman and chief executive officer of CroMedica, who will serve as the chief scientific officer of the newly combined company. "PRA shares our customer-centric, clinically driven team-oriented culture. We look forward to enhancing PRA International's ability to conduct global trials, while carrying forward our joint vision to become the industry leader in complex clinical development."

CroMedica President Ken Newport further states that CroMedica's strong medical and scientific group will augment PRA's current expertise with a model upon which to build greater strength in key therapeutic areas. "We aim to work more closely with customers in helping design entire clinical development programs and provide guidance on regulatory and safety issues," Newport said.

Donnelly said that PRA anticipates having CroMedica's operations quickly integrated into PRA. "Our standardized, global infrastructure and service delivery approach is designed specifically to facilitate integration of new locations as we expand globally. The PRA approach helps to ensure continuity and excellence in clinical trial management on a global basis."

PRA has grown consistently through a combination of strategic acquisitions and strong internal growth. CroMedica represents PRA's fourth strategic acquisition since 1999. The CroMedica merger further establishes PRA International as one of a select few CROs capable of conducting complex global clinical projects. Of the firm's annualized $200 million in net revenue, more than 40 percent will be derived from multi-country clinical trials.

About PRA International (www.prainternational.com)

PRA International provides a broad range of clinical trials management and clinical product development planning services to pharmaceutical, biotechnology and medical device companies. PRA has established itself as a leading provider of clinical development services in the areas of oncology and allergy/respiratory indications. In addition PRA has clinical development expertise in central nervous system, endocrine, gastrointestinal, and infectious disease indications.

PRA's unique model of delivering services through Trials Management Centers promotes collaboration among its staff and greater customer focus, while its standardized global infrastructure ensures consistent results and high quality clinical research worldwide.

PRA's corporate headquarters are located in McLean, Va., just outside of Washington, D.C. Worldwide clinical trials and related services are conducted from offices in Charlottesville, Va.; Eatontown, N.J.; Horsham, Penn.; Lenexa, Kan.; Wilmington, Del.; Reading, England; Paris, France; Mannheim, Germany; Warsaw, Poland; Madrid, Spain; and Swansea, Wales.

About CroMedica International Inc. (www.cromedica.com)

CroMedica has distinguished itself in the areas of central nervous system, ophthalmology, and oncology clinical development. CroMedica's corporate headquarters are located in Victoria, BC, Canada. Worldwide clinical trials and related services are conducted from offices in Ottawa, Ontario; La Jolla, California; Austin, Texas; Sydney, Australia; Sao Paulo, Brazil; Cambridge, England; Freiburg, Germany; Johannesburg and Capetown, South Africa; and Basel, Switzerland.