With a wide new range into the future

Healthy Prices.

4 Foreword With a wide new range into the future Dirk Ullrich Managing Director of axicorp GmbH Dear readers, Cutting costs without compromising quality was axicorp's central theme when it launched on the pharmaceutical market in 2002. axicorp successfully established itself in the market with the Healthy prices statement and has charted its future successful course with true diversity. True diversity at healthy prices combines both heritage and future. This central theme expresses our corporate strategy for the next few years. We are focusing on our core competencies in the EU medicines arena. At the same time we are looking to organic growth in the new self-medication business segment. In the next few years we wish to further consolidate both these business segments on a stable footing. As such, we are looking to European expansion and will replicate the involvement we have begun in Denmark and the Netherlands in other countries. We are an owner-managed company, which takes its lead from its partners' and customers' needs and requirements. Also integral to our healthy attitude is that we are aware of our responsibility to society as a whole. That is why we will continue to make every endeavour to offer you, as our business partners and customers, and thus the consumer, high-quality health products at healthy prices and with attractive services. I invite you to join us in travelling the axiway for a mutually successful future. Yours Dirk Ullrich

6 Philosophy 7 axi-way For us and our partners healthy prices means: Good value health solutions that aspire to the very highest quality. Founded in Bad Homburg near Frankfurt/Main in 2002, axicorp today is one of Germany's fastest growing pharmaceutical companies. The Group employs a workforce of around 280 and generated a turnover of 184 million euros in 2012. Affordable health The EU medicines and self-medication health solutions business segments represent a healthy course for the axicorp Group, also in terms of social responsibility. There is an increasing number of elderly people in Europe and a growing requirement for affordable medicines and self-medication health solutions. True diversity at healthy prices is our response to this development. Our quality demands here are exceptionally high. Quality and service All axicorp Group companies are approved and certified in accordance with DIN EN ISO 9001:2008. axicorp works to the very latest technical standards and voluntary commitments that far exceed the extent required by law. What marks our employees out when dealing with customers is speed, professionalism and market knowledge. A young, ambitious team works enthusiastically and successfully with and for axicorp customers. Through its close contact with customers and business partners, axicorp has developed into a genuine pharmacy market expert and enjoys a reputation as a reliable, innovative service partner. Awards! Jobmotor 2006, Hesse Ministry for Economics, Transportation, Urban and Regional Development and the Employers' Federation Top-10 nomination Deutscher Gründerpreis 2007 (Young Enterprise Award), Deutscher Gründerpreis German PR Award 2007 for pharmacy communication, DPRG Finalist Großer Preis des Mittelstandes 2007 (Small and Medium- sized Enterprise Award), Oskar Patzelt Foundation Finalist Entrepreneur of the Year 2007 and 2008, Ernst & Young FIRST IN PARALLEL IMPORTS Die erfolgreiche Apotheke Winner Großer Preis des Mittelstandes 2008 (Small and Medium- sized Enterprise Award), Oskar Patzelt Foundation Die erfolgreiche Apotheke Pharmacies' favourite 2012 in the importers' category, trade magazine Die erfolgreiche Apotheke (The successful pharmacy) FIRST IN PARALLEL IMPORTS

8 Strategy 9 The axicorp corporate strategy The production and sale of EU medicines is no longer confined to Germany alone. With our involvement in the Netherlands and Denmark we are taking our first steps towards a European business model. The resulting benefits give us greater flexibility and profitability in the EU medicines market. Healthy Prices. Anna-Karina Drees Head of Finance Claudia Reichelt Head of HR axicorp is adopting a twin-track strategy to face future market changes. In addition to EU medicines, which have been suc cess ful over many years, axicorp will in future be looking to the self-medication segment with medical devices, OTC (ibutop ) and cosmetics (Podotop ), thereby offering interesting brands in the European health market's fastest growing segment. To that end, an experienced management team has come into being under the leadership of Dirk Ullrich. The widely discussed issue of a female quota has long since been a positive experience in everyday life. The resulting healthy blend of young employees and experienced managers is a guarantee of the company's continuing growth. axicorp true diversity at healthy prices. GROUP Dr. Achim Berthold Head of Business Operations and Head of Medicinal Quality & Safety Siegmar Reuter Head of Business Development & Communication axicorp in figures: 2002 2012 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Employees 3 8 31 94 125 170 200 250 280 280 300 Commercial and office space in m 2 10 70 840 1,690 4,500 5,250 6,500 7,000 7,000 7,000 7,000 Customers 7 939 4,262 6,100 9,000 10,000 10,800 11,000 11,100 11,100 11,100 Active ingredients 3 39 45 90 130 180 204 220 250 250 250 EU medicines Germany (GmbH) medical devices Denmark the Netherlands Germany (GmbH) Turnover in million 0.04 1.2 9 25 50 75 89 110 162 171 184

axicorp Pharma GmbH 11 axicorp Pharma GmbH EU medicines Health insurance funds, pharmacies and consumers benefit in equal measure when it comes to EU medicines: as those bearing the cost, the health insurance funds save in comparison to dispensing the original supplier's products. Pharmacies benefit from the strong service orientation. Consumers benefit from lower co-payments, or directly from the lower prices on all products, not reimbursed by the statutory health insurance system. In the EU medicines market, axicorp is one of Germany's leading suppliers. axicorp knows how to differentiate itself in this market. In addition to cost savings, long-term partnerships are also based on quality and service.

12 axicorp Pharma GmbH 13 EU medicines: Europe-wide network ensuring a strong delivery capability axicorp is already one of Germany's leading suppliers in the EU medicines market. Specifically as regards the critical factor for pharmacies of delivery capability, axicorp stands out from the market. More than that, long-term partnerships are also based on quality and service. axicorp is backed by a powerful network with suppliers in more than 21 European countries and more than 100 pharmaceutical wholesalers in the EU. Range tailored to market needs axicorp is constantly reviewing its extensive range against current market needs. Based on its own market observations, the proposition is continuously tailored to changes in market demand with attractive products being added all the time. Licensing Each medicine axicorp sells is licensed by the Bundesinstitut für Arzneimittel und Medizinprodukte (BfArM - Federal Institute for Drugs and Medical Devices) or the European Medicines Agency (EMA). Certified original goods axicorp purchases only from qualified and regularly audited wholesalers from EU member states who are subject to permanent medicinal oversight and monitoring by their competent authorities. High-quality and innovative product packaging axicorp's sophisticated packaging design is always inspired by the originator product, thereby creating a high level of customer recognition and acceptance. Whenever possible, new outer packaging is created. Quality assurance Medicinal safety is axicorp's highest priority. As a pharmaceutical company as construed by the AMG (Pharmaceuticals Law), axicorp is also subject to supervision by the competent federal and state authorities as required by law. A stringent internal control system ensures compliance with all statutory rules. You will find the latest information at www.axicorp.de

Self-medication 15 axicorp is following the growth markets! The self-medication segment comprises all those health products that require no medical prescription. These include products only available from pharmacies, as well as non-prescription medicines, medical devices, cosmetics or dietary supplements. Self-medication axicorp is part of the growing self-medication market, offering traditional brands & innovative new developments. Self-medication products are the biggest growth market in the healthcare sector. axicorp is actively engaged in this market with a portfolio of traditional brands such as the ibutop range of analgesics and innovative new developments such as the Podotop foot care range, available exclusively from podiatrists. axicorp attaches particular importance to innovative products. Additional products and ranges are on the verge of launch to fuel our market growth. Change in % 15 10 5 0 5 10 Pack sales Sales of prescription and non-prescription medicines (FRG, year-on-year change, 2013) January February March April May Prescription medicines Non-prescription medicines Source: IMS PharmaScope, May 2013.

ibutop 17 Hello ibutop, goodbye pain! There is scarcely another market in the selfmedication segment that is as highly competitive as the market for orally administered and topical application analgesics. Survival here requires genuine benefits compared with the competition. For example, a wide range or significantly more indications than any other pain relief gel on the market. ibutop pain relief cream offers significantly more indications than any other pain relief gel on the German market. The wide range is taken care of by 200 mg and 400 mg ibutop analgesic tablets, ibutop pain relief gel and ibutop pain relief cream. Moreover, ibutop pain relief creamoffers a total of 7 indications. This creates a sound foundation on which to restore the well-established ibutop brand to its former pre-eminence.

18 Logistics and Sales 19 Logistics and Sales Service + Quality + Reliability Perfect service is integral to quality. axicorp has its own logistics centre for handling transport, storage, picking and shipping as well as its own office and field-based sales team. All departments are responsible both for our axicorp EU medicines and for the self-medication area. A quality management system underpins axicorp's ambitious quality goals by monitoring and improving our modern, protected processes. Exceptional delivery capability Central analysis of customer demand within a matter of minutes and direct distribution to pharmacy and wholesaler provide axicorp with accurate requirements, purchasing and sales planning. That is why axicorp's customers are satisfied with rapid response times and exceptional delivery capability. Certified quality axicorp GmbH and axicorp Pharma GmbH are approved and certified in accordance with DIN EN ISO 9001:2008 for the production and sale of medicines and self-medication health solutions. Products are packaged, labelled and packed by trained staff in accordance with the EU's GMP standards (Guidelines for Good Manufacturing Practice). Our quality control employees, our manufacturing managers and Qualified Persons (AMG) are responsible for ensuring strict compliance with operating procedures and correctly documenting all steps of the manufacturing and inspection process. Sales: customised, reliable and committed Personal office and field-based customer advisers and the pharmaceutical sales team for the wholesale trade are always receptive to questions, suggestions and wishes. Pharmacy and wholesale customers benefit from expert advice on all pharmaceutical and business matters. Our employees make even the impossible possible, quickly and without fuss, ensuring a smooth daily routine in a special customer environment because, for axicorp, service is more than just complete and punctual delivery. Logistics: professional, modern and punctual Ultramodern pharmaceutical cold stores, and the monitoring and documentation systems that go with them, ensure consistently high product quality throughout the entire logistics chain. From inward delivery, via receipt of goods and storage to shipping, products are subject to continuous inspection and seamless, batch-based documentation. In the case of products subject to refrigeration, this also includes documented temperature monitoring. In 2013, axicorp expanded its total logistics space by 30 % to enable it to cope even better with the increasing demands on delivery quality and speed. Typically it takes no more than 24 hours from when the order is placed to nationwide delivery of the goods to the pharmacy and pharmaceutical wholesaler. Orders received before 17:00 are typically shipped the same night.

20 Our vision axicorp values for everyone Grand claims must be followed by deeds. Every single axicorp Group employee knows that. Day in, day out, they dedicate themselves to turning our company's vision into reality, with a keen awareness of their responsibility and personal commitment: affordable health for the consumer, combined with reasonably priced and sustainable solutions for business partners and customers. Healthy growth With a stable platform in Germany and our first branches in the EU, the course has been charted for consolidating the business over the next few years and for further European expansion. Whether through strategic partnerships with other manufacturers who value lean structures and experience, or through new business ideas and products. Tailored to our business partners' needs and requirements and together with them. The axicorp Group's attractiveness as a partner will continue in the years ahead: a company that thinks flexibly and innovatively, recognises growth opportunities, creates new business models and drives shared success. Healthy prices for participants help to translate social responsibility into sustainable action and achieve long-term success in the pharmaceutical market. Securing the future The company's most important objectives at this time are further increases in market share in the EU medicinal market in Europe and expanding the self-medication business in Germany. Here, we are making good progress because providing patients with affordable health solutions has long since become a transnational issue and by implementing our corporate strategy, we are acting proactively in a promising market. Social responsibility must be part of everyday life.

axicorp Pharma GmbH Podolux GmbH Max-Planck-Straße 36 b D-61381 Friedrichsdorf Tel.: +49 61 72-4999 - 0 Fax: +49 61 72-4999 - 421 service@axicorp.de www.axicorp.de service@podotop.com www.podotop.com