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European Commission Withdraws Compulsory Licensing Decision Related to IMS's Pharmaceutical Tracking Service in Germany

Business/Health & Science Editors

FAIRFIELD, Conn.--(BUSINESS WIRE)--Aug. 13, 2003--IMS Health (NYSE: RX) today announced that the European Commission has notified IMS that the EC has withdrawn its July 3, 2001 Decision requiring the company to license to competitors the "RPM 1860 Brick Structure," a copyright-protected methodology developed by IMS to help track the flow of drug products in Germany. The EC's compulsory licensing Decision -- subsequently suspended by the European Courts in Luxembourg -- had been part of proceedings against IMS alleging that the company's refusal to license its 1860 Brick Structure may have infringed European competition rules. IMS Health is the world's leading provider of information solutions for the pharmaceutical and healthcare industries.

"We're very pleased that the EC has withdrawn its compulsory licensing Decision and believe that this validates our business practices in Germany," said Robert Steinfeld, IMS General Counsel. "As we respond to a broader set of customer requirements in Germany and around the world, IMS will continue to invest in industry-leading offerings and solutions, and vigorously pursue infringement claims to protect our intellectual property whenever necessary."

Steinfeld noted that a separate legal action against NDC Health is pending in the German Courts for alleged copyright infringement and unfair competition with regard to NDC Health's regional sales data service. In September 2002, the Frankfurt Higher Regional Court of Appeals rendered a final judgment against Pharma Intranet Information AG, a company acquired by NDC Health, ruling that it had engaged in unfair competition by illegally copying IMS's RPM 1860 product. The Court also affirmed that the 1860 Brick Structure is entitled to copyright protection.

Operating in more than 100 countries, IMS Health is the world's leading provider of information solutions to the pharmaceutical and healthcare industries. With $1.4 billion in 2002 revenue and nearly 50 years of industry experience, IMS offers leading-edge business intelligence products and services that are integral to clients' day-to-day operations, including marketing effectiveness solutions for prescription and over-the-counter pharmaceutical products; sales optimization solutions to increase pharmaceutical sales force productivity; and consulting and customized services that turn information into actionable insights. Additional information is available at http://www.imshealth.com.

This press release includes statements which may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Although IMS Health believes the expectations contained in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove correct. This information may involve risks and uncertainties that could cause actual results of IMS Health to differ materially from the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to (i) the risks associated with operating on a global basis, including fluctuations in the value of foreign currencies relative to the U.S. dollar, and the ability to successfully hedge such risks, (ii) to the extent IMS Health seeks growth through acquisitions and joint ventures, the ability to identify, consummate and integrate acquisitions and ventures on satisfactory terms, (iii) the ability to develop new or advanced technologies and systems for its businesses on time and on a cost-effective basis, and the ability to implement cost-containment measures, (iv) regulatory, legislative and enforcement initiatives, particularly in the areas of medical privacy and tax, (v) to the extent unforeseen cash needs arise, the ability to obtain financing on favorable terms, and (vi) deterioration in economic conditions, particularly in the pharmaceutical, healthcare or other industries in which IMS Health's customers operate. Additional information on factors that may affect the business and financial results of the Company can be found in filings of the Company made from time to time with the Securities and Exchange Commission.

    CONTACT: IMS Health
             IMS Investor Relations:
             Darcie Peck,                   
             IMS Communications:          
             Michael Fox, 

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