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Roche Diagnostics and Sysmex Sign Asset Purchase Agreement
Begins Transfer of Hematology Business back to Sysmex in the United States

INDIANAPOLIS, Ind. and LONG GROVE, Ill. - Roche Diagnostics Corporation of Indianapolis, Ind. and Sysmex Corporation of America, of Long Grove, Ill., today jointly announced that both parties have signed an Asset Purchase Agreement enumerating the key terms of a transfer of Roche's U.S. Hematology Business Unit back to Sysmex.

This agreement accelerates the expiration of an original Distributorship, Sales and Service (DSS) agreement that began in February, 1999, and was due to expire in 2004. Agreements for Roche's distribution of Sysmex hematology outside the United States remain unchanged. Sysmex Corporation of America, will also continue its strong supply and distribution relationship with Roche Diagnostics throughout Latin America and Canada.

"Roche and Sysmex have enjoyed a good business relationship and progress has been made to gain market share in the very competitive hematology business. Although hematology is an element in the diagnostics market, it was decided that both Roche and Sysmex would achieve greater success and profitability by focusing on their respective strengths. Therefore, both parties agree that for business reasons, it is best that the business be transitioned back to Sysmex," said Martin Madaus, Roche Diagnostics President and CEO.

Kazuya Obe, Sysmex Chairman and CEO, added "This is a win for all parties, especially our customers. After many successes, including an increase in market share, we have mutually agreed to focus on our respective core competencies. We will continue to pursue the U.S. hematology market, bringing the unique advantages of Sysmex instrumentation to the benefit of laboratories and patients throughout the states.

"This pending move is in line with Roche's strategy to increase our focus on the tremendous growth opportunities we have in diabetes, molecular diagnostics, immunochemistry and chemistry. The high growth rate we are experiencing in these core businesses will drive even more sales growth and improve profitability." Madaus added.

"Sysmex is increasing our investments in the United States which will result in profitable market share growth," Obe added. "Sysmex's core competencies and investments in diagnostics, including hematology, urinalysis and information solutions have resulted in a product portfolio that uniquely addresses not only clinical performance and efficiency, but integration of systems as well."

Sysmex is currently expanding its operation by increasing hiring and continuing its planned move to larger headquarters. Sysmex will re-assume direct responsibility for customer sales, service, support, contracts, and operational functions. Many current Roche employees who are directly involved with the hematology business function, including positions in sales, service, support, contracts, and operations, will be considered for employment from Sysmex to provide a smooth transition for their hematology customers. Representatives from Roche and Sysmex agreed that the affected employees are a key priority and both parties agreed to provide assistance during the planned transition.


About Roche and the Roche Diagnostics Division

Headquartered in Basel, Switzerland, Roche is an innovation-driven global healthcare leader focused on pharmaceuticals and diagnostics. Roche is number one worldwide in diagnostics, oncology and transplantation and has a leading position in virology. With products and services that address the prevention, diagnosis and treatment of diseases, the company contributes broadly to the enhancement of people's health and quality of life. Roche employs approximately 62,000 people in more than 150 countries around the world. The company has business alliances and R&D relationships with numerous partners, including majority ownership interests in Genentech and Chugai, which are both members of the Roche Group. Roche's Diagnostics Division, the world leader in in-vitro diagnostics with a uniquely broad product portfolio, supplies a wide array of innovative testing products and services to researchers, physicians, patients, hospitals and laboratories worldwide. For further information, please visit our websites www.roche.com and www.roche-diagnostics.com.

About Sysmex Corporation

Headquartered in Kobe, Japan, Sysmex developed its first automated hematology analyzer in 1963 when it was known as TOA Medical Electronics CO., Ltd.. To reflect its commitment to the IVD market, Sysmex Corporation was formed, and 2003 marks its 35th year. Since its inception, the company has focused on developing, manufacturing and selling advanced, state-of-the-art in vitro diagnostic instruments, reagents, laboratory automation systems and information technology for the clinical laboratory. Well-known for reliable products and services, it has produced dozens of firsts in the field by continuously supporting many research and development programs. For example, current research programs have produced rapid, genomic-based diagnosis for metastatic cancer of the lymph nodes.

Sysmex is one of the top global leaders in IVD, reporting a 22.5% increase in sales from years 2001 to 2002. The company has 31 subsidiaries plus 27 affiliate companies worldwide, providing products and services in more than 150 countries. It has business alliances and R&D relationships with numerous partners, including Roche's Diagnostics Division, the world leader in in-vitro diagnostics. For further information, please visit our websites www.sysmex.com and www.sysmex.com/usa.


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