TakedaR&DStrategyTadatakaYamada,M.D.ChiefMedical&ScientificOfficerDeborahDunsire,M.D.NikkoHotel,SanFranciscoPresidentandCEO,Millennium:TheTakedaOncologyCompany,January8,2013TakedaR&DValueTakedaisapharmaceuticalcompanyppycommittedtothediscoveryanddevelopmentofinnovativesolutionsdevelopmentofinnovativesolutionsaddressingunmetmedicalneedsoftitthhR&DittpatientsthroughR&Dinvestment1|R&DMeeting|January8,2013TakedaR&DMissionMeetthefuturepromiseofTakedaasldithhtilaleaderinthepharmaceuticalindustrybyprovidingsolutionstotitithtdildpatientswithunmetmedicalneedsTransformtheR&DorganizationtobeanengineofgrowththatisanindustryanengineofgrowththatisanindustryleaderinR&Dproductivity2|R&DMeeting|January8,2013TakedaR&DPrinciplesURGENCYINNOVATIONFocusonFocusonPatientsPARTNERSHIPMEASUREMENT3R&DMeeting|January8,2013TakedaR&DPrinciplesURGENCYURGENCY4|R&DMeeting|January8,2013TakedaR&DPrinciplesINNOVATIONINNOVATIONNewFrontierScienceTAK-875TAK-438NovelNewMolecularTAK-375SLAD-4833/TOMM40NovelLifeCycleTAK438MLN0002MolecularEntityAD4833/TOMM40Lupron6MDepotLifeCycleManagementDrugDiscoveryUnitCMCCenter5|R&DMeeting|January8,2013CMCCenterTakedaR&DPrinciplesMEASUREMENTMEASUREMENTPOC&CCtConceptValueCreationValueCreationPOC&C:ProofofConcept&Competitiveness6|R&DMeeting|January8,2013TakedaR&DPrinciplesWhyPOC&C?yValidsurrogateofvalue-50%successtomarketMoreproximatemeasureofvaluecreationFocusmeasurementonpeakyearsalesBettertooltopredictfuturecorporateperformanceSettargetsfortherapeuticareaunitsgp7|R&DMeeting|January8,2013TakedaR&DPrinciplesPARTNERSHIPPARTNERSHIPInlicenseDiTakedaMilliNdIn-licenseAffymax,Lundbeck,Discovery•REVESTIVE•BRINTELLIX*•Advinus•NESINA•MLN0002•DAXASCalifornia(formerlySyrrx)MillenniumNycomedyOrexigen,Novartis,SeattleGenetics,etc.•ADCETRIS•OMONTYS•RIENSO•CONTRAVE•Lurasidone•ATL-962•AMG386•AMG706•Advinus•Envoy•LigoCyte•IntracellularTherapiesNESINA•SYR-472MLN0002•MLN9708•MLN8237•MLN0264•REVESTIVE•Veltuzumab•Namilumab•AlvescoCONTRAVE•LOTRIGA•TAK-816•TAK-361S•ITI-214TherapiesAlvesco•Omnaris8|R&DMeeting|January8,2013*ProposedbrandnameofLuAA210046TherapeuticAreasPipelineAssetsinPhase2orBeyondMetabolic/CVBLOPRESSCONTRAVEOncologyVELCADEMLN9708CNSBRINTELLIX*TAK375SL•BLOPRESS•EDARBI•AZILVA•NESINA•CONTRAVE•ATL-962•TAK-875•SYR-472•TAK-428•VELCADE•LUPRON•ADCETRIS•MLN9708•MLN8237•TAK-700•AMG706•AMG386•BRINTELLIX*•Lurasidone•TAK-375SL•SOVRIMARespiratory&fGeneralMedicineVaccineInflammatory•DAXAS•VeltuzumabGeneralMedicine•TAKEPRON•DEXILANT•REVESTIVE•MLN0002•TAK-438•TAK-385Vaccine•TAK-816•TAK-361S•NorovirusREVESTIVE•OMONTYS•RIENSO•AMITIZATAK385•Norovirusvaccine9|R&DMeeting|January8,2013*ProposedbrandnameofLuAA21004R&DBudgetinFY2012-2014(average)OncologyCardiovascular&Metabolic27%31%12%4%14%12%VaccineRespiratory&ImmunologyGeneralMedicineCentralNervousSystem10|R&DMeeting|January8,2013NESINA/SYR-322(alogliptin)FirstDPP-4inhibitorwithprospectiveCVoutcomedataProgramStatusCardiovascular&MetabolicRespiratory&InflammatoryCentralNervousSystemGeneralMedicineVaccineOncologyFirstDPP-4inhibitortohaveprospectiveCVoutcomedatainahighCVriskpopulation(EXAMINEtrial)Treatmentasmonotherapyandinfixed-dosecombinationwithpioglitazoneormetforminPDUFAdatesofalogliptinandalogliptin/pioglitazoneFDCinlateJanuary2013KeyData–Phase3MechanismofAction0Incretin(GLP‐1 or GIP)deactivated‐0.4‐0.3‐0.2‐0.1om baselinek 26***‐0.8‐0.7‐0.6‐0.51c change froat Wk******************************DPP‐4 enzymeActive site‐0.9momo therapySU add‐onMet add‐onTZD add‐onIns add‐onPlacbo‐0.020‐0.1‐0.19‐0.13Alo 12.5mg‐0.56‐0.38‐0.61‐0.66‐0.63A1|R&DMeeting|January8,201311y***P0.001vs.placebogAlo 25mg‐0.59‐0.52‐0.59‐0.8‐0.71Contrave®FirstobesityagentwithprospectiveCVoutcomedataCardiovascular&MetabolicRespiratory&InflammatoryCentralNervousSystemGeneralMedicineVaccineOncologyProgramStatusFixed-dose,sustained-releasecombinationofnaltrexone-HClandbupropion-HClCVoutcome“LIGHTSTUDY”underwaytomeetFDArequirement.ThefirstobesityagenttobesupportedbyprospectivecardiovascularoutcomedataDuetofastenrollmentintoLIGHTSTUDY,accrualofeventsneededforinterimanalysiscouldoccurasearlyKeyData–Phase3MechanismofActionassecondquarterofcalendar2013.PartnershipwithOrexigenTherapeutics,Inc.omBLKeyDataPhase3MechanismofAction%changefroLSMean%***p0.001vsplacebo;completersatendpoint|R&DMeeting|January8,201312TAK-875First-in-classGPR40agonistfortype2diabetesCardiovascular&MetabolicRespiratory&InflammatoryCentralNervousSystemGeneralMedicineVaccineOncologyProgramStatusOnce-dailyinsulin-secretagoguewithcleardifferentiationfromcompetitors:InPhase2trials,alldoseshadamarkedlylowerincidenceofhypoglycemiacomparedtoglimepiride(TAK-8752.0%,glimepiride16.1%)Phase3studies(includingCVoutcomestudy)ongoingintheUS,EU&JapanHeadtoheadandconcomitanttrialswithDPP4inhibitorongoingProjectedlaunchinFY2015020%)KeyData–Phase2K+/ATPChannelGLUT2GlMechanismofAction-0.8-0.6-0.4-0.2einHbA1c(%MitochondriaInsulinGranulesK+GLUT2G↓GKInsulinGranuleExocytosisGlucoseTAK-875↑ATPX-1.4-1.2-1Change******#*p0.05vsplaceboCa2+GPR40GranulesGqIP3PLCDAGPKCCa2+Chan