Corporate Report 2018 Contents

Xellia at a Glance 3

CEO’s Statement 4

2018 Highlights 6 Forward-looking statement This report contains certain projections and other forward-looking statements with respect to the fi nancial Business Overview 7 condition, results of operations, businesses and prospects of New Xellia Group A/S (“Xellia”). These statements are Corporate Responsibility 12 based on current expectations and involve risk and uncertainty because they relate to events and depend upon circumstances that may or may not occur in the future. Corporate Governance 22

Xellia 2018 2 HIGHLIGHTS Headquartered in Copenhagen, Owned by Xellia at a glanceGlance

Specialty pharmaceutical company focused on providing important anti-infective treatments against serious and often life-threatening infections.

Over 1,600 Over 100 years’ experience in Supply our anti-infective Leading supplier of important First launched several of Our R&D team is providing employees the development, manufacture products to more than 500 anti-infectives our own-label products innovative solutions to develop in 8 countries and supply of fermented and pharmaceutical companies and Colistimethate Sodium to the US hospital value-added anti-invectives worldwide semi-synthetic APIs and FDFs in over 70 countries (CMS) market in 2018 from core portfolio products

State-of–the-art R&D Center of Excellence Product and Acquired in 2015, the site focused on API research and development Xellia’s Corporate Headquarters. Innovation will significantly strengthen as well as process optimization. Our biggest operation manufactures sterile Manufactures several R&D Center of Xellia’s manufacturing APIs and FDFs. Provides lyophilized and New North Oslo, Norway specialized APIs and Excellence focused Commercial capacity for sterile injectable dry powder fill vials, release and stability American provides Centralized on innovative organization products. testing and packaging. Headquarters and Laboratory Services formulation handling the commercial office. technologies challenging Cleveland, USA Copenhagen, Denmark for the group. and FDFs. Japanese Chicago, USA Budapest, Hungary market. Zagreb, Croatia Tokyo, Japan

Divested to Sagent Established in 2008 as a partnership Pharmaceuticals in Q1 2019, and with Zhejiang Hisun Pharmaceutical transitioning to new owner. Company, Ltd. Manufactures APIs. Raleigh, USA Taizhou, P.R. China CMO and commercial group established to Commercial organization Manufacturing Sites manage growing network supporting the work with of CMOs and to capitalize partners in the Chinese Sales Offices on emerging market market. opportunities. Other offices/R&D centres Shanghai, P.R. China Xellia 2018 3 Bangalore, India HIGHLIGHTS

XelliaCEO’s atStatement a glance

Built a commercial pharmaceutical This regulatory approval is an important institutional business in the US validation of our product strategy which we 2018 proved to be a transformative year for Xellia. We In April, we appointed Craig Boyd to the new executed in 2014 and is based on developing successfully established a new North American commercial leadership role of President, Xellia North a pipeline of innovative value-added anti- America. Craig has been pivotal in helping infectives that are centered on formulation organization and commenced sale of our anti-infective drug us build an experienced commercial team improvements for established drugs from products under the Xellia brand directly to the United States of over 40 new employees focused on our core portfolio. During 2018 we spearheading the launch and selling the continued to apply innovative science (US) hospital market. At the start of 2019 we received US Company’s own branded high quality, solutions to progress this work focusing on Food and Drug Administration (FDA) approval of our novel specialty injectable anti-infective drugs line extensions of other established anti- Premixed Vancomycin Injection in a Ready-to-Use (RTU) bag, to the US institutional markets. This infectives. These products are designed to commercial organization is now housed provide improved convenience and ease of the fi rst product from our pipeline of innovative, value-added in our newly established North American use for healthcare professionals and anti-infective therapies. headquarters in Chicago. enhance patient care. In November, we achieved an important Strengthened role as leading global milestone for our US market strategy as we industry supplier of important anti- successfully launched our fi rst lyophilized infectives WE CONTINUED TO FOCUS ON OUR VERTICAL vial product, Vancomycin Hydrochloride for As a leading global industry supplier of INTEGRATION STRATEGY. THIS APPROACH ENABLES Injection USP, under the Xellia label, within several established anti-infective products the US hospital market. During 2019 we will including Vancomycin, Colistimethate US TO ENSURE A RELIABLE QUALITY SUPPLY TO OUR continue to launch a range of Xellia-branded Sodium (CMS), and CUSTOMERS AND AVOID SHORTAGES FOR OUR KEY important anti-infective injectable our customers include over 500 branded, DRUG PRODUCTS. products. specialty and generic pharmaceutical companies across 70 countries. These Carl-Åke Carlsson, Chief Executive Offi cer, Submission and US FDA approval of customers rely on us to ensure continued " Xellia Pharmaceuticals. Premixed Vancomycin Injection RTU supply and consistent quality. During 2018 In 2018 we submitted a New Drug we continued to work closely with our Application (NDA) to the US FDA for the customers to meet the needs in their fi rst room temperature stable Premixed respective markets. To further enhance Vancomycin Injection RTU in a bag. In our customer focus during 2018 we February 2019 we received regulatory re-organized our business into regional " approval enabling our commercial team to launch the product in the US market. Xellia 2018 4 HIGHLIGHTS

CEO’s Statement and FDFs, and management of a lean, fast development projects which, due to and complex supply chain which centres on changes in accounting estimates were excellence and redundancy. This approach written-off at the end of 2018. business units and established a dedicated of substantial equipment upgrades and enables us to ensure a reliable quality organization to support our industrial building improvements. These are now supply to our customers and avoid Outlook for 2019 customers in international markets. completed, but took longer than originally shortages for our key drug products. We will continue to make substantial anticipated. We expect to commence investments in 2019 as we complete the Throughout the year we continued to the fi nal FDA approval process in 2019 In 2018 we strengthened our leadership strategic projects we have undertaken over witness strong demand for key products following which we will be able to commence team further by appointing Matthew the recent years. We expect to start to see from our core portfolio. We continued to full manufacturing operations at the site. Anderson as our new Chief Financial Offi cer a positive impact in 2019 on sales of the experience price pressure and increased and Jamie Iudica as Senior Vice President of strategic investments made over recent competition particularly from manufacturers At our Copenhagen production site we also Global Product Supply. Both Matthew and years including new product launches in the operating in Asia for certain markets and made substantial progress in the 25MUSD Jamie bring the right competencies and US, and we anticipate a signifi cant increase products. We were able to off-set the expansion and upgrade of the sterile drive to support the growth of our global in both revenue and profi tability compared resulting decline in revenue through manufacturing facilities that we initiated in business. to 2018. increased sales of other products in other 2017. We completed the construction of the markets. This serves to re-enforce the new state-of-the-art multi-storey building Financial I would like to thank all our customers for importance of our global business model and have commenced the installation of the The 2018 fi nancial performance was in line their support and Board of Directors and and vertical integration strategy which latest sterile manufacturing equipment and with expectations with a marginal reduction Scientifi c Advisory Board for their enables us to provide customers with both containment solutions. in revenue and a more substantial decline in continued strategic input and counsel. Active Pharmaceutical Ingredients (APIs) profi tability following the signifi cant and Finished Dosage Forms (FDFs) as well At the end of February 2019 we entered growth which we experienced in the Finally, a massive thank you to all our valued as our continued focus on delivering into an agreement to divest our Raleigh, previous years. Revenue for the year was employees – or Xellians as we call ourselves performance excellence whilst maintaining North Carolina manufacturing plant to 315.7 MUSD (2017: 317.1 MUSD) whereas – for all their hard work and loyalty, without cost competitiveness. The year was also Sagent Pharmaceuticals. We will continue EBITDA was 62.1 MUSD (2017: 86.5 MUSD). which the transformation of our business affected by an extended shut-down of to operate the plant for a transitional period The reduced profi tability for the year is due from a supplier of established anti-infective a production line at one of our API as we gradually transition the operations to signifi cant investments in new drugs to a company with its own products manufacturing plants which resulted in of the facility to the buyer. This strategic manufacturing capabilities, new product on the market would not have been limited supply and reduced sales of a key divestment allows us to focus investments development and the establishment of our achieved. product in the fi rst part of the year. on our two main sterile injectables facilities North American commercial organization. in Cleveland and Copenhagen and to These investments are designed to enable Continued investment in enhanced strengthen and build new capabilities us to continue the substantial growth of the capabilities that are aligned with our innovative business, however, as anticipated did not We made signifi cant progress during 2018 product portfolio. have any impact on sales in 2018. The Net Carl-Åke Carlsson, at our new sterile injectables manufacturing Result for the year was -17.7 MUSD (2017: Chief Executive Offi cer facility in Cleveland, Ohio. We acquired the We also continued to focus on our vertical 39.0 MUSD). This was further adversely site in November 2015 with the objective to integration strategy which combines impacted by an impairment of certain Xellia 2018 commence operations after implementation innovative R&D capabilities, quality APIs intangible assets related to on-going 5 HIGHLIGHTS

Xellia2018 Financialat a glance Highlights

Key fi gures 350 MUSD 2018 2017 20 300 317 316317 Revenue 315.7 317.1 250 15 257 EBITDA 62.1 86.5 200 10 12.3 11.9 11.3 Operating profi t (loss) / EBIT* -0.1 51.5 150 100 86.5 62.1 Net profi t (loss)* -17.7 39.0 63.6 5 50 Total assets 799.1 778.1 0 0 2016 2017 2018 2016 2017 2018 Equity attributable to shareholders 274.9 273.9 Revenue and EBITDA Investment in R&D of the parent company as % of revenue Free cash fl ow before acquisition -45.9 -2.5 Revenue EBITDA

Total number of full time employees 1,642 1,497

80 Asia *The 2018 Net Result was affected by an impairment charge of 27.7 MUSD. During 2018, management made 70 6% the decision to change the estimation approach for valuation of on-going and future research and development 60 projects. The company continues to be compliant with IAS 38 Intangible Assets and will also continue to 50 capitalize development projects when IAS criteria are met. However, due to uncertain conditions inherent in the 53 51 51 47 49 49 Revenue 40 Other generic injectable marketplace, specifi cally associated with anticipated prices and competition, the company by has elected to take a more risk-based approach to the analysis of these projects which currently results in fewer 30 6% region Europe projects qualifying for capitalization. 20 28% 10 0 Key ratios 2016 2017 2018 API: FDF ratio Percentage (%) 2018 2017 North America as % of total sales 60% EBITDA margin 20 27 API FDF EBIT margin 0 16 Equity ratio 37 37

Xellia 2018 6 BUSINESS OVERVIEW

Business Overview

Xellia 2018 7 YEAR 2013 2014 2015 2016 2017 2018 API 79 67 58 53 49 49 % total sales) FDF 21 33 42 47 51 51 (%total sales)

BUSINESS HIGHLIGHTSOVERVIEW Our portfolio of established anti-infective products

XelliaIndustrial at a glance APIs APIs Gram-negative Gram-positive Amphotericin B CMS Bacitracin Caspofungin sulfate Bacitracin zinc sulfate Daptomycin sulfate Teicoplanin Leading global, vertically integrated, supplier of important anti-infectives. Vancomycin HCl

Our industrial (B2B) anti-infectives Our vertical integration strategy enables us Antifungals business manufactures and supplies to provide customers with a “one-stop-shop” Active Pharmaceutical Ingredients (APIs) offering for both the API and FDF, multiple and Finished Dosage Forms (FDFs) to over product forms and improve supply security Antibacterials 500 pharmaceutical companies across through redundancy. 70 countries. A focused core portfolio of established FDFs This business is rooted in a strong long critical care, life saving anti-infectives Caspofungin standing heritage of manufacturing and Xellia is the world leading provider of FDFs Voriconazole supplying quality fermented and semi- Vancomycin and Colistimethate synthetic APIs. Today, while API Sodium and a leading provider of other Gram-negative Gram-positive CMS Bacitracin manufacture continues to form the important critical care anti-infectives Polymyxin B Daptomycin backbone of our business, it is now including Bacitracin, Daptomycin and Tigecycline Teicoplanin Significant pipeline of key strongly focused on producing FDFs which Polymixin B. Tobramycin Tigecycline Vancomycin injectable anti-infectives provide added value to our customers. The majority of FDFs in Xellia’s portfolio are injectables; however we also develop FDF other forms when they are important for 21% Products protected by valid patents are not offered for sale in countries where the sale of such products constitutes a patent infringement. our key products. 2013 API total sales 79% Global customer support first-class products thereby protecting our broad customer base by providing Xellia aims to be the preferred partner their reputation and patients. The success excellent quality and service. for the global supply of anti-infectives of our business is based on customer for critical care to the pharmaceutical satisfaction and loyalty, demonstrated Our outstanding technical services team industry. by longstanding and often multi-product work closely with customers to help them repeat orders. in developing their products for market 2018 API FDF Our customers consist of branded, entry and launch and resolving technical total sales 49% 51% specialty and generic pharmaceutical Through our dedicated global customer challenges to support business continuity companies in more than 70 countries who service and technical support teams we and growth. rely on us to ensure continued supply of build strong and lasting relationships with Xellia 2018 8 BUSINESS OVERVIEW

Institutional

Moving closer to the patient and healthcare professionals What makes our institutional business unique? through US institutional sales.

Xellia launched its institutional business in 2018 to sell its

own brand of established and value-added injectable anti- Science Supply X-Factor infective products into the US hospital market to drive Our innovative, value-added Our signifi cant injectable Our unique company structure further sustainable, profi table growth. medicines are made possible manufacturing footprint and which is autonomous and through our team of 150 vertically integrated supply nimble with best-in-class people chain which includes R&D, North American commercial organization Product launches scientists working across and culture, wholly owned by APIs and FDFs provide In September 2018 we opened our North During 2018 we began launching our Xellia’s two R&D centres. Novo Holdings A/S, a strong multiple supply options American Commercial offi ce in Buffalo portfolio of Xellia labeled products in supporter of research in for medicines. Grove, near Chicago, Illinois to accommodate the US hospital market. As of early life sciences. the Company’s growth in this geography. 2019, we have commercialized Xellia labeled lyophilized Vancomycin HCL Led by Craig Boyd, President Xellia North for Injection, Polymyxin B for Injection, Our partners/customers manufacturing capabilities in Cleveland, America, our commercial organization Colistimethate for Injection, Bacitracin Despite its recent inception, our North Ohio which will enable the production of has a talented team of over 40 industry for Injection and we are preparing the American sales team is already working closely our own products. professionals experienced in marketing launch of our fi rst value-added product, with a number of US hospitals, clinics, key and selling injectable hospital products. Premixed Vancomycin Injection RTU Group Purchasing Organizations (GPOs), Since the US hospital market is one of the We have formed our own infrastructure which was approved by the US FDA in Integrated Delivery Networks (IDNs) and largest for critical life-saving injectable and sales force to support our North February 2019. other institutions to successfully make anti-infectives it represents a signifi cant American institutional business. several of our Xellia branded products opportunity for Xellia’s growth. It values available in the US market. innovation and stable supply -both areas TODAY MARKS AN IMPORTANT MILESTONE FOR OUR US in which Xellia excels. MARKET STRATEGY AND REPRESENTS A SIGNIFICANT Why now? 2018 was the ideal time to establish Xellia’s By working directly with US healthcare STEP FORWARD IN THE COMPANY’S EVOLUTION AS WE US institutional business. institutions and leveraging our US BRING THE FIRST PRODUCT TO THE US MARKET UNDER manufacturing capabilities, Xellia intends THE XELLIA BRAND. This decision was based on the considerable to achieve its ambition of mitigating drug advancement of our value added pipeline and shortages in the US. Carl-Åke Carlsson, Xellia’s CEO on 17th September 2018. Xellia’s signifi cant investment and progress Xellia 2018 9 " in developing sterile injectable " BUSINESS OVERVIEW

Clinically differentiated and novel anti-infective products Longer term, it is also our ambition Enhancing patient care and improving to provide clinically differentiated and Innovation convenience novel anti-infective products. We are Our innovation strategy is focused on continuously investigating numerous enhancing patient care and improving product innovation opportunities convenience and ease of use for centered around providing solutions healthcare professionals based on for unmet medical needs in the Building a pipeline of novel anti-infective therapies improved formulations, specialty anti-infective therapeutic area, e.g. through science and innovation. pharmaceutical dosage forms and developing an innovative portfolio of more convenient administration products that have increased effi cacy paradigms of anti-infective products. and safety with reduced harmful side At Xellia our global R&D growth strategy is rooted in a effects such as those caused culture of innovation with a deep understanding of the Drug/device combinations by toxicity. We are developing novel inhalation ever changing regulatory and business environment therapies for several of our anti- R&D teams infectives drug products based on Our experienced teams operate from We have invested signifi cantly in R&D over the past fi ve the proprietary ADI® platform through Xellia’s state-of-the-art R&D Centers Pharmaero, a company that we of Excellence in Zagreb and Oslo and years to create a platform to enable the development formed as a 50:50 joint-venture are supported by our Scientifi c of a pipeline of more innovative anti-infective products with Scandinavian Health Ltd. Advisory Board. that is focused around patients and aimed at solving unmet medical needs in the increasingly challenging Developing a pipeline of value added anti-infectives

anti-infective therapeutic area. Formulation Program Indication Discovery development Pre-clinical Clinical Submission Approval

XEL 1005 New formulation of Gram-positive

INNOVATION IS ROOTED IN OUR WAYS OF THINKING XEL 1000 Inhaled antibiotic for lung infection AND WORKING. OUR R&D TEAM IS DEDICATED TO XEL 1004 Inhaled antibiotic for lung infection

PROVIDING SCIENCE EXPERTISE AND PHARMACEUTICAL XEL 1015 New formulation of Gram-positive antibiotic

TECHNOLOGY EXCELLENCE TO CREATE INNOVATIVE XEL 1007 New formulation of Gram-negative antibiotic

SOLUTIONS THAT EXTEND THE UTILITY OF OUR CORE XEL 1012 New formulation of anti-fungal

PRODUCTS AS WELL AS DEVELOP DIFFERENTIATED XEL 1011 New formulation of Gram-positive antibiotic " AND NOVEL ANTI-INFECTIVE THERAPIES. XEL 1013 New formulation of Gram-positive antibiotic Dr Aleksandar Danilovski, CSO and Senior Vice President Global R&D XEL 1018 New formulation of Gram-negative antibiotic and Regulatory Affairs, Xellia Pharmaceuticals. XEL 1022 New formulation of Gram-positive antibiotic " Xellia 2018 10 BUSINESS HIGHLIGHTSOVERVIEW

XelliaAntimicrobial at a glance Resistance (AMR) and Antibiotic Stewardship

Addressing the AMR global challenge through responsible manufacturing, continuity Responsible use of Colistin (available in 2 of anti-infective supply and innovation. different forms; Colistimethate Sodium and Colistin Sulfate) play a vital role in modern Xellia’s role in fighting AMR In 2015, scientists from Britain and medicine, saving millions of lives worldwide. As a leading global producer of established or “old” anti-infectives that still provide China identified a gene called mcr-1 that However some of these drugs are losing a meaningful treatment for serious infections, we take our role in preventing AMR allowed bacteria to develop resistance their effectiveness due to antimicrobial as well as antibiotic stewardship very seriously by supporting the following: and therefore survive the “last-resort “ resistance,caused by a microbe’s natural antibiotic colistin1. This major discovery ability to evolve genetically and thereby Manufacturing responsibly indicated that some bacterial infections counter the effects of these drugs. All our APIs and FDFs are contained during production and distribution would be impossible to treat with current and a range of techniques are employed to ensure that discharge of waste antibiotics, a scenario known as the The rise of antimicrobial resistance is a is to a pre-defined acceptable standard. These procedures are designed “post-antibiotic future”. Although first global crisis and is now recognized as one to reduce environmental impact and mitigate risk of AMR development. identified in China, mcr-1 has now been of the major threats to global health; it is shown to exist in over 30 countries, an immense challenge to overcome. This Supplying consistently spanning four continent. As China is one means there are fewer, or sometimes no We enable stewardship of existing antibiotics through compliant of the world’s largest users of colistin in effective treatments available for manufacturing to provide a consistent supply of quality established agriculture, where it serves as a growth- infections caused by these multi-drug anti-infectives for responsible, human medical use only. In addition promoter in animal feed, it is probable resistant microbes. This is further our products are affordable and responsibly priced as part of our that colistin resistance evolved in this compounded by the gap that remains commitment to a reliable supply. situation. Since discovering mcr-1, the between new effective antibiotics reaching scientists then worked closely with the market and existing antibiotics. Since Investing in new innovative treatments based on established antibiotics the Chinese government to combat the the loss of effective antibiotics will reduce We invest significantly in R&D and are dedicated to preserving the safety spread of antibiotic resistance through our ability to fight infectious diseases and and long term effectiveness of existing anti-infectives by developing and initiating an unprecedented policy change manage the complications or secondary commercializing safer, easier to use and more efficient new value-added in 2016 which banned the use of colistin in infections common in vulnerable patients such products. animal feed. as immunosuppressed patients or ageing 1 https://mrc.ukri.org/news/browse/amr-research-leads-to-china populations, it is becoming even more Xellia is also an active member of the AMR Industry Alliance. With over 100 life anning-antibiotic-from-animal-feed important to take control of existing science companies and associations joining forces,this is one of the largest private antibiotics to help patients. coalitions set up to provide sustainable solutions to curb antimicrobial resistance. Xellia 2018 11 CORPORATE RESPONSIBILITYHIGHLIGHTS

XelliaCorporate at a glance Responsibility

Xellia 2018 12 CORPORATE RESPONSIBILITY

Corporate Responsibility

At Xellia we value integrity and openness, and are committed to a high level of compliance in all aspects Over the following pages we We have established a Corporate of our work. As a global business with international have provided an overview of our Social Responsibility (CSR) steering customers it is vital that we have a uniform set of corporate responsibility activities group headed by our CEO with the and performance, focusing on participation of senior management standards that can be applied to our business regardless economic, environmental and social representatives from functions including of the country in which we operate. areas. We are actively working to Operations, Human Resources, EHS expand our corporate responsibility (Environment, Health and Safety), policies across the entire business Finance, Communications and Legal. The and to update or introduce systems role of the group is to monitor and drive and platforms that will progress our the progress of corporate responsibility corporate responsibility practices initiatives across different areas of our further. We also continue to work business. on alignment of the content in this report with the relevant standards on sustainability reporting produced by the Global Reporting Initiative (GRI).

WE ENSURE CONSISTENT AND CONTINUOUS MANUFACTURE AND SUPPLY OF THE PRODUCTS THAT OUR CUSTOMERS, HEALTHCARE PROFESSIONALS AND THEIR PATIENTS RELY ON FROM OUR GLOBAL " PRODUCTION SITES. Xellia" 2018 13 CORPORATE RESPONSIBILITY

Economic Sustainability

Continuing sustainable growth and development, and the protection of our employees is paramount Continuity of production In February 2019 we divested our to our future success. Many internal and external The sustainable production of anti- Raleigh, North Carolina manufacturing stakeholders rely on us to maintain a consistent supply infectives for critical care forms the plant to Sagent Pharmaceuticals. This foundation of Xellia. We ensure consistent strategic divestment allows us to focus of high quality products and to invest and borrow and continuous manufacture and supply of investments on our two main sterile wisely to create a strong and stable business. the products that our customers, healthcare injectables facilities in Cleveland and professionals and their patients rely on from Copenhagen and to strengthen and build our global production sites through: new capabilities that are aligned with our innovative product portfolio. • Rigorous monitoring of quality and manufacturing systems Financial stability • Investment in new capacity and We believe that a stable and sustainable equipment business benefi ts us all and we work hard • Improvement of existing products to ensure fi nancial sustainability. At the and processes end of 2018 our external bank debt including mortgages amounted to 175.3 In the full year of 2018, we invested 32.6 MUSD (120.6 MUSD in 2017) with MUSD in tangible assets to increase and substantial additional loan facilities improve our production capacity (up available with our banks. This enables us from 27.5 MUSD in 2017). In addition, we to invest in future growth plans to create invested signifi cantly in the additional long-term value. manufacturing facilities in Cleveland, Ohio which we acquired in November 2015. We will continue to invest considerably in these facilities as we prepare to start-up commercial production.

Xellia 2018 14 CORPORATE RESPONSIBILITY

Economic Sustainability

High level of health protection and associated risks. In 2018, our three LTIR* accident frequency (rate per 1,000,000 working hours) occupational safety production sites in Europe and China all At Xellia, we have over 1,600 employees. remained certifi ed under OHSAS 18001. We constantly strive to create a healthy, Our US facilities are not OHSAS 18001 5.1 safe and secure working environment certifi ed but are included under our health across all of our locations and are and safety management and reporting 4.3 committed to maintaining high standards systems. 3.0 of occupational health and safety. We 2.6 have adopted an Environment, Health and We are responsive in accident reporting Safety (EHS) policy which sets out our key and in ensuring that we take action to principles for EHS management and prevent reoccurrence of any accidents. detailed EHS standards that we apply Our long-term 2020 target is to maintain across our manufacturing sites. the maximum frequency of work-related 2014 2015 2016 2017 2018 accidents at below 3.0 per 1,000,000 *Lost Time Injury Rate As a pharmaceutical manufacturing working hours in addition to ensuring that company producing anti-infectives, our we continue to avoid all serious incidents. operations involve certain inherent risks. We use the OHSAS standard to measure We promote a culture where these risks the frequency of occupational accidents. are clearly recognized and mitigated, and While, we experienced a small increase in employees take personal responsibility work-related accidents during 2018 for their safety. compared to 2017, we are still at a level that is below both the KPI for the year and We apply the internationally recognized our long-term target. OHSAS 18001 standard which provides an occupational health and safety framework from which to implement effective management and control

Xellia 2018 15 CORPORATE RESPONSIBILITY

Environmental Responsibility

We understand the importance of preserving our environment and natural resources today and in the Management systems Stakeholders future. We accept that the responsibility lies with us to In addition to our overall EHS policy, We know that the impact of our business minimize the impact we have on the environment. We we have developed and applied detailed can stretch beyond the boundaries of our EHS standards and standard operating production and R&D sites around the world comply with all relevant laws, regulations and our own procedures to ensure the quality of the EHS and therefore encourage open, reliable EHS policy and standards. In addition, we are constantly management system across our production communication on environmental matters looking for ways to improve our operations, products and and R&D facilities. Our three production with all stakeholders both internally and sites in Europe and China are certifi ed under externally. Most of our sites are located in services as well as using chemicals and natural resources the internationally recognized ISO14001 urban areas and we work to minimize any responsibly. With careful management we can grow our environment management system. Our US negative impact on the people living in close facilities are not ISO14001 certifi ed, proximity to us. We receive very few business, increase production volumes, but still reduce however, the sites are included under our complaints regarding odor and noise from our environment impact. environmental management and reporting our local community; in 2018 we received systems. only one complaint across all sites. We take complaints very seriously and have Environmental compliance implemented measures to ensure that we Environmental compliance is a central remain good neighbors to the communities pillar of our business and we strive for complete in which we are based. We constantly adherence to all environmental laws and monitor noise levels from machinery and regulations. Over the past three years we take steps to limit noise and odor wherever have received one fi ne that related to an possible. environmental non-compliance issue concerning a minor breach of a regulatory limit. We take such non-compliance very seriously and have implemented measures to ensure that we maintain a high compliance level.

Xellia 2018 16 CORPORATE RESPONSIBILITY

Environmental Responsibility

Identifying environmental risks managed and that any impact on the All our sites employ a specialist team a 20% improvement to our energy efficiency to minimize incidents environment, the local community and focusing solely on energy use and how to by 2020, compared to a baseline established The manufacture, quality control and our business is minimized. improve energy consumption efficiencies. in 2014. development of anti-infectives involve the Our energy consumption strategy is use of certain hazardous materials and Carbon footprint and sustainability defined in close collaboration with each Our sustainable water management process processes from which there is an inherent We take a collective approach to site’s EHS teams, purchasing departments is focused both on creating effi ciencies in risk to the environment. By understanding sustainability and encourage our employees and engineering departments (energy the use of water at our manufacturing sites and identifying these risks we have to take an active interest in minimizing the management specialists). In 2018 we were and on improving our discharge treatment implemented standards and policies to impact of our operation on the environment. able to limit the growth of the total energy systems. By implementing systematic protect the environment by preventing We welcome input, feedback and consumption at our manufacturing sites to quality controls for effl uents we are helping incidents before they can take place. suggestions from all staff as to how we can 4% compared to 2017 while increasing to preserve the availability of drinking further improve our commitment to the production volumes and maintaining a stable water as well as preventing any risk of We are committed to the identifi cation environment. We have set short and long revenue level. Our long term target is to make contamination. and prevention of potential environmental term targets for improving the carbon accidents. It is our ambition to prevent footprint of both our API and FDF Development in environmental impact and revenue any environmental incidents, and when production over the coming years. In 2018 400 incidents do occur we perform a thorough the carbon dioxide (CO2) emissions from our 160 analysis of the causes to ensure that we manufacturing sites increased by approx. 6 implement action plans to prevent % compared to 2017. This was mainly due to 150 350 x

reoccurrence. As in previous years, in 2018 increased production volumes at several 140 R ev enue (MUSD) we achieved our corporate KPI to avoid all manufacturing sites. Our long term target is 300 130 major environmental incidents across our to reduce our carbon footprint by 20% by 250 global production sites. We were also able 2020 compared to the baseline which we 120 to avoid any minor environmental incidents. established in 2014. 110 200 We are building a risk-aware culture Energy and water effi ciency 100

Environmental impact inde 150 amongst our employees and encourage a We understand the importance of managing 90 sense of personal responsibility towards the use of energy and water sustainably and 80 100 preventing incidents. All sites incorporate take our responsibility to protect this 2014 2015 2016 2017 2018 emergency response and crisis precious resource very seriously. We have Revenue Index water Index energy Index C0 emission management programs into management established short and long term targets for 2 consumption consumption from production plans. These programs ensure that if improving our effi ciency with respect to incidents do occur they are effectively energy and water consumption. Xellia 2018 17 CORPORATE RESPONSIBILITY

Social Responsibility

Business ethics and legal compliance Our people make us what we are. We aim to attract the most talented, productive employees in Code of Conduct transactions by the Board of Directors as The Xellia Code of Conduct contains our well as an annual certifi cation of compliance our industry and to earn their loyalty and commitment. values and standards for ethical business by all senior employees. We support and protect our employees through conduct and refl ects our commitment to meeting the expectations of our Anti-bribery program comprehensive human resources processes ensuring stakeholders. The code sets out the Xellia’s anti-bribery program aims to reduce that every employee is treated fairly and has a voice principles that must be adhered to by the risk of non-compliance. The program which is listened to and valued. all employees within key areas that are includes annual risk assessments, due essential to our business including diligence procedures for agents and other compliance and fair dealings in relevant business partners and adoption of areas. A copy is presented to each employee corporate guidelines for gifts, hospitality when joining Xellia. In addition, all senior and entertainment. We believe that a employees are required to certify annually successful anti-bribery program is that they have acted in compliance with the spearheaded by informed, aware employees guidelines. Any alleged or suspected cases and we ensure that all relevant parts of the where the guidelines may have been organization receive regular training in the violated are investigated by selected program. In 2018 we introduced a new anti- members of our corporate functions. In bribery online training which has been rolled 2018 there were no reported cases of out globally to all relevant employees. alleged or suspected violations. General data protection regulation Confl ict of interest In 2018 Xellia implemented new policies and It is imperative to the maintenance of our procedures across its different functions in good reputation that business decisions order to meet the new requirements in the are made independently from confl icts of EU General Data Protection Regulation interest and on an objective basis. These (“GDPR”). We ensure that our processes are decisions must not be infl uenced by any secure with respect to the protection of personal interests which employees may personal data. GDPR awareness material have, wherever in the world they work, and has been rolled out across Xellia’s business, at whatever level of seniority they operate. including new training and e-learning on We have established procedures including Xellia’s compliance with GDPR. the pre-approval of any ‘related party’ Xellia 2018 18 CORPORATE RESPONSIBILITY

Total number of employees

1642 harassment or discrimination for any 1524 Social Responsibility reason and strive to maintain a culture 1352 1176 that provides equal opportunities for all. 1067 Change, diversity and employee turnover Gender diversity In 2018 we adopted a new Diversity Policy that sets out the key principles for our These surveys address a number of areas commitment and focus in this area. Xellia Managing change 2014 2015 2016 2017 2018 Our business exists in a highly competitive, such as motivation, satisfaction and is committed to building a workforce dynamic environment. Our commitment to communication. The data from the survey is through the entire company that is The main reasons for the increase were open communication and engagement followed up both at a senior management represented equally by both genders across new hires to support our new commercial remains strong as we support employees level and in each function and department. both our management team and other organization in Buffalo Grove, near Chicago, through the internal and external changes The latest employee survey from 2017 managerial positions (directors, managers, Illinois and the continued expansion of the that influence us. showed an overall index of 73% employees and team-leaders). In 2018, for all experienced team supporting our new responding positively about their companies in the Group there was an production facility in Cleveland, Ohio. Employee relations experience at Xellia, this is similar to the average of 58% male and 42% female We operate across diverse social previous 2015 survey results and a marked employees (2017: 59% male and 41% The voluntary employee turnover in 2018 backgrounds and locations where continued improvement on the 67% results obtained female). At the manager level the average was 7.7%, up from 6.4% in 2017 and above and constructive dialogue with our in 2014. We have established a long term was 68% male managers and 32% female the target for 2018. We continue to analyze employees is important. Without this target to further improve the overall index managers (2017: 65% male and 35% and evaluate the appropriate target for interchange, labor disputes can occur which to 75% employees responding positively by female). turnover in view of Xellia’s business are disruptive to our business, and affect 2020. One area that we are particularly transformation as well as developments a wide range of stakeholders beyond the focused on is the “engagement” category Qualified women are encouraged to apply for in local labor markets. working site. We aim to foster a culture which remained at 82% of employees managerial positions within the Group and based on trust, mutual respect and responding favorably in 2017. gender diversity is an area of focus in our Employee turnover rate communication. Our employee relations development and succession planning (voluntary resignations) strategy encourages open dialogue with Diversity initiatives. Our staff policies and HR employees and external stakeholders. As a truly international company, we benefit processes are directed at retaining qualified We support collective dialogue and from a diverse, multicultural workforce. female employees by addressing the work/ 7.8% 8.2% negotiations with unions and other Across our sites in eight countries we life balance in order to create a desirable 6.8% 6.4% 7.7% representative associations within the local employ more than 30 nationalities. working environment as well as supporting 2014 2015 2016 2017 2018 legal framework. We have maintained good Although located around the world we personal development through performance relationships with the unions and in 2018 have an integrated, open and transparent reviews, feedback and leadership training. The figures outlined in the graphs above cover the there were no industrial actions resulting in culture built on mutual respect, trust We will continue to work towards increasing rate of voluntary resignations and, therefore, do not lost working time. and accountability. We aim to recruit gender diversity throughout our include the employees affected by redundancies. The employee turnover rates vary between countries. competent and motivated people organization. Employee surveys who respect our values, and we in turn We ask all employees to participate in provide equal opportunities for their Employee turnover surveys at regular intervals, usually on a development, and protect their privacy. In 2018, the number of full time employees Xellia 2018 biannual basis, the next being in 2019. We do not tolerate any form of in Xellia increased by 145 to 1,642. 19 CORPORATE RESPONSIBILITY

Social Responsibility

Development and training

To remain competitive, we need to ensure in a leadership role. We put this Promise 1. 1. 2. 2. Leading Leading Leading Leading that our employees have the opportunity to into action during the year across all our I build I build I am I am others others leaders leaders bridges bridges courageouscourageous continually advance and extend their skills sites by running workshops,1:1 sessions, and knowledge. We achieve this by providing peer-coaching and mentoring. This effort employees with the possibility to grow in will also be continued throughout 2019. their current positions or discover new working areas, functions or locations. Onboarding process Our Our My My To support the high volume of new LeadershipLeadership LeadershipLeadership 3. 3. Leading theLeading the This initiative is facilitated within our newly employees joining Xellia we have focused I make peopleI make people function function shine shine PromisePromise JourneyJourney implemented internal mobility framework. on improving our onboarding process in 2018 During regular performance feedback to ensure a smooth integration into the meetings with employees we draw up a plan company. Based on both internal and external for the next steps in their development and best practices we implemented a globally set performance milestones, as well as aligned process with supportive Leadership 4. 4. personal and professional goals. We actively Tools, across our sites. Our onboarding process Leading theLeading the I am presentI amand present and organizationorganization promote the principle of lifelong learning, and Leadership Tools support the authentic authentic which also means that we provide the professional and personal integration into Being Being our best our best opportunity for professional and behavioral our working environment by providing pre- Our GoalOur Goal training, linked to the agreed individual plan. boarding information, welcoming events, To provide anti-infectiveTo provide anti-infective solutions againstsolutions multi-drug against multi-drug dedicated managerial attention and buddy resistant micro-organismsresistant micro-organisms Our values support. The individual onboarding plan and XelliaXellia Xellia continually strives to be an appealing, follow-up meetings accelerate the systematic AccountabilityAccountability stimulating and high-performing workplace induction into the new tasks and ValuesValues with a culture based on Xellia’s goal, purpose responsibilities. In order to engage our new Our PurposeOur Purpose and values. employees for our company culture we To save and Toenhance save and lives enhance by lives by implemented the so-called DNA Day, as well as leading the fightleading against the fight against infections infections Openness andOpenness and Our leadership promise we seek for feedback by our new hire survey Zest Zest TransparencyTransparency The substantial transformation of Xellia’s for further development in our onboarding business means that effective leadership practice. We will continue to sharpen our is more important than ever. As a result onboarding practice in 2019, for example during 2018 we instigated our Leadership by implementing possible integrated IT Promise which builds on our values and solutions or e-learning opportunities. lays out the attributes and behaviors Xellia 2018 that Xellia expects from all individuals 20 CORPORATE RESPONSIBILITY SOS Children’s Villages is an independent poor families in the local Eldoret community social development organization that reaching approximately 250 children. promotes the rights of children in over 130 countries and territories around the world, Xellia’s annual fundraising event 2018 providing over 2 million children and their Xellia held its fourth annual fundraising SOS Children’s Villages families with a safe place to live, learn and event for its employees’ to further grow up. complement our backing of the Family Strengthening Program. Our colleagues Xellia’s corporate partnership with SOS raised suffi cient funds to help 45 young SOS Children’s Villages has been Xellia’s Children’s Villages women and men from vulnerable families nominated charity since 2005, becoming Between 2015 and 2017 a partnership in Eldoret with technical and vocational a long-term partner to the organization. between Xellia and SOS Children’s Villages training during 2019. This type of education Denmark provided financial support to the should give these individuals the skills to SOS Medical Center in Eldoret, Kenya. This enter the job market with the ultimate aim WE ARE INCREDIBLY GRATEFUL FOR XELLIA’S LONG-TERM enabled the Center to expand its services of helping them become fi nancially SUPPORT WHICH HAS MEANT THAT WE ARE ABLE TO CREATE such that it is now self-sufficient and can independent. In connection with the annual provide free medical services to those in need. fundraising event, three Xellia employees CONTINUAL SOCIAL AND ECONOMIC IMPROVEMENT AND Following on from this successful outcome, were chosen in a lucky draw to make a trip to PROGRESS IN ELDORET. THIS IS OF ABSOLUTE IMPORTANCE Xellia and SOS Children’s Villages Denmark Eldoret, Kenya in the spring of 2019, to visit FOR THE VULNERABLE FAMILIES INVOLVED IN THE FAMILY have joined forces again with a new three year the SOS Children’s Village and see the work partnership, and have pledged to fund we are contributing towards. STRENGTHENING PROGRAM. ON BEHALF OF THE CHILDREN operations from 2018 until 2020 for the SOS " WHO WILL BENEFIT FROM THIS PARTNERSHIP I WOULD LIKE Family Strengthening Program in Eldoret, Employee driven initiatives - beyond TO EXPRESS MY SINCERE GRATITUDE. Kenya. Organized by the SOS Children’s corporate value Villages Social Center in Eldoret, this Program In addition to Xellia’s corporate funding Mads Klæstrup Kristensen, Managing Director, is intended to support families experiencing and the annual fundraising event, SOS Children’s Villages Denmark. crisis or extreme hardships and may have colleagues from various Xellia sites were difficulty in caring for their children. By actively fundraising during 2018 for three building capabilities and resources for families additional important causes to further and their communities the Program allows support SOS Children’s Villages in Eldoret. children to be well cared for and stay together These initiatives helped provide sanitary with their families. towels, the renovation of a local pre- " school and for the treatment for jiggers, The Program provides access to essential a common parasitic insect that causes healthcare and education, however, as many painful wounds that can be further of the families are very poor they are also infected leading to amputation of limbs or assisted with vital “everyday needs.” This can death. Furthermore, our sites in Chicago, include materials for their shelter, daily living Il, USA, Zagreb, Croatia, Taizhou, China and schooling, while the most vulnerable and Budapest, Hungary, have supported families receive supplementary rations of their local SOS Children’s Villages as well the necessary food types. With this new through either monetary donations or partnership Xellia intends to fund and help volunteer time. improve the lives of over 70 vulnerable and Xellia 2018 21 CORPORATE GOVERNANCEHIGHLIGHTS

XelliaCorporate at a glance Governance

Xellia 2018 22 CORPORATE GOVERNANCE

Corporate Governance

New Xellia Group A/S has adopted a meetings annually comprising of four In 2018 management and other employees per share and the B-shares hold 1 vote governance and management structure regular Board meetings, one end-of-year received, in addition to basic salary, variable per share. that allows the Group to manage its meeting to review the annual operating plan compensation dependent on the business successfully and mitigate risk and budget for the following year and one achievement of operational and strategic The A-shares, which total 100,500,000, are on an on-going basis. meeting focused on the long-term strategy targets in addition to fi nancial targets. held by Xellia Holdco A/S, which is owned by of the Group. In 2018 a total of eight Novo Holdings A/S. In accordance with Danish company law, meetings were held. Our Long Term Incentive Program (LTIP) Xellia has a two-tier management system qualifi es management and senior The B-shares are owned by members of comprising the Board of Directors and a The Board has established a Finance and employees at director level and above to management and other senior employees of Managing Director (CEO). As outlined in the Audit Committee, consisting of members receive annual grants of restricted share the Group as well as certain members of the Company’s Articles of Association, the of the Board of Directors and management, awards (RSAs) as part of their variable Board of Directors. In connection with the Board of Directors should consist of which assists the Board in areas relating compensation package. In 2018 Xellia acquisition of Xellia in July 2013 a between three and seven independent to accounting, audit, internal control and granted a total of 714,629 RSAs under the Management Investment Program was directors. Currently, the Board has seven fi nancial reporting. Chaired by Benny Loft, enhanced LTIP that was established in 2017. established. At the end of 2018 a total of members; a Chairman and six independent a member of the Board, the Finance and These RSAs entitle the recipient to receive 1,421,580 B-shares were subscribed to by directors. Directors are appointed for one Audit Committee held seven meetings B-shares in 2021 subject to certain vesting 39 managers and senior employees. In year at a time, and can be re-elected at the during 2018. The Board also has established conditions and adjustment mechanisms addition to the B-shares, managers and annual shareholders meeting. The CEO is sub-committees within the areas of linked to the company’s fi nancial senior employees have subscribed warrants not a member of the Board of Directors. operations, commercial and new product performance in the period from 2017 in the Company with a right to subscribe by development. through 2020. up to 5,621,402 additional B-shares. In The Board of Directors has adopted the 2017, a Board Investment Program was Rules of Procedure for the Board of Compensation We have also adopted an Executive established under which certain members Directors which sets out the responsibilities Compensation for the Chairman of the Board Management Share Program under which of the Board of Directors have subscribed of the Board of Directors in a number of of Directors, other members of the Board and RSAs may be granted to the CEO. In 2018 for a total of 123,076 B-shares as well as areas. These include determining Xellia’s the CEO is based on market terms and the company granted 11,369 RSAs under warrants with a right to subscribe for up to overall strategy and actively contributing to conditions. this program each giving the right to receive 323,596 additional B-shares. developing the Group as a focused, sustainable, one B-share in January 2020. global specialty pharmaceutical company Members of the Board of Directors receive and supervising Executive Management in annual compensation which is not Share capital its decisions and operations. dependent on Xellia’s performance or Share capital of New Xellia Group A/S is results. Some member of the Board have divided into A and B shares. These two share The Board of Directors has also adopted an also invested in the Company under the classes have identical rights, with the annual meeting framework consisting of six Board Investment Program. exception that the A-shares hold 10 votes Xellia 2018 23 CORPORATE GOVERNANCE

Board of Directors

Steen Riisgaard Andreas Rummelt Benny D. Loft Per Valstorp Chairman of the Board Board Member Board Member Board Member Steen is the former President and CEO of Andreas is a Partner and CEO of Benny was EVP and CFO at Novozymes A/S Per Valstorp has a long track record attained Denmark based biotech company Novozymes InterPharmaLink AG, Basle, Switzerland. until 2017, he has also worked on acquisitions from senior executive positions held at Novo A/S. He has also held senior level positions at His international career spans over twenty and negotiations and played an active role in Nordisk A/S within Pharma Operation Novo Nordisk A/S and Novo Industri A/S. years in executive management positions steering groups for numerous corporate Management, Quality, Regulatory Affairs Other Board positions: Chairman of the Boards at Novartis. functions including ethics, sustainability and Medical Devices. of ALKAbelló A/S and COWI Holding A/S. Vice Other Board positions: Partner and CEO of and business development. Other Board positions: Member of the Boards Chairman of the Boards of the Novo Holdings InterPharmaLink AG. Member of the Boards Other Board positions: European Freeze of Roto Health ApS, DBI Plastics A/S, A/S and the Villum Foundation. Member of the of Alexion Pharmaceuticals, Inc., Alvogen, Dry ApS. European Freeze Dry ApS, Orana A/S (Chairman) Boards of Novo Nordisk Foundation, Corbion, Leukocare AG and, Cypralis Ltd. Education: MSc in Accounting, Tax and Auditing, and Scanbur A/S. the University of Aarhus, Denmark, the Bird Education: MSc and Ph.D. in Pharmaceutical Copenhagen Business School, Denmark and Education: MSc in Operational Research & Protection Fund, Denmark and VKR Holding A/S. Sciences, University of ErlangenNuremberg, State Authorized Public Accountant. Planning, Technical University of Denmark. Education: MSc in Microbiology, University of Germany. Copenhagen, Denmark.

Xellia 2018 24 CORPORATE GOVERNANCE

Board of Directors

Julie McHugh Henrik Kjær Hansen Barbara Purcell Board Member Board Member Board Member Julie McHugh has a track record that spans 27 Henrik joined Novo Holdings A/S in January 2017 Barbara is President of the Diversifi ed Portfolio at years in the biopharmaceutical industry. Most as a Senior Director, Principal Investments, where multinational specialty pharmaceutical company recently, she was the COO at Endo Health he leads on the investment process and takes an Bausch Health and is a member of its Executive Solutions, Inc., with responsibilities for both the active part in managing and developing the Management team. She has spent the past 25 specialty and generic pharmaceuticals businesses. growing portfolio of investments. Prior to this, years working in the pharmaceutical industry mostly managing mature brands and generics. Other Board positions: Chairman of the Board of Henrik held a number of positions in the City of Most recently she was instrumental in building the Visitors for the Smeal College of Business, London. Most recently he was a Senior Vice generic division at Bausch Health as well as Pennsylvania State University. Member of the President at Moelis & Co., focusing on healthcare revitalizing several mature brand assets there. Board of Directors of Aerie Pharmaceuticals, Inc., buy and sell side M&A transactions. Previously he Previously, Barbara was Executive Director Global Ironwood Pharmaceuticals, Inc., Lantheus Holding was with Deutsche Bank and ABN AMRO. Sales and Marketing for Bausch + Lomb’s generics Inc. and Trevena Pharmaceuticals, Inc. Other Board positions: Member of the Board of division, having also worked at Valeant, Novartis/ Directors of Orexo AB. Education: BSc in Finance, Pennsylvania State Sandoz and Zydus. University, USA and an MBA Administration in Education: BSc. in Business Administration and an Education: MBA from Rutgers University and a BA International Management, St. Joseph’s MSc. in Applied Economic and Finance from the from the University of Pittsburgh and qualifi ed as Xellia 2018 25 University, USA. Copenhagen Business School, Denmark. a Certifi ed Public Accountant (CPA). CORPORATE GOVERNANCE

Scientifi c Advisory Board

The Scientifi c Advisory Board is playing an important role in directing our R&D activities and focus on innovative anti-infectives. The Board brings together Professor George E Griffi n Dr Andreas Rummelt Professor Gerhard Winter Professor Christoph Tang Dr Tania Pressler leading international experts Chairman of the Scientifi c Member of Xellia Board of Department of Pharmacy, The Sir William Dunn Chief Attending Physician, in infectious diseases, clinical Advisory Board Directors supporting R&D. Also Ludwig Maximilian University School of Pathology, University Rigshospitalet, Copenhagen, CEO and Partner at of Munich, Munich, Germany. of Oxford, Oxford, UK. Denmark. microbiology, respiratory Emeritus Professor of InterPharmaLink AG, Basel, medicines and pharmaceutical Infectious Disease and Switzerland. research and development. Medicine at St George’s, The Board’s insight and University of London, UK. guidance combined with Xellia’s specialist expertise are being harnessed to overcome the challenges associated with anti-infective discovery and development activities.

Professor Keith S Kaye Professor Anne O’Donnell Professor Arjana Tambić Professor Matthew Falagas Professor Radan Spaventi Professor of Internal Medicine, Professor and Chief, Division of Andrašević Director, Department of Founding Partner, Director of Clinical Research, Pulmonary, Critical Care, and Head of the Department of Internal Medicine and Triadelta Partners Ltd, Division of Infectious Diseases, Sleep Medicine, Georgetown Clinical Microbiology at the Infectious Diseases, Iaso Zagreb, Croatia. University of Michigan University Hospital, University Hospital for General Hospital, Iaso Group, Medical School, Ann Arbor, Washington DC, US. Athens, Greece. Infectious Diseases, Zagreb, Xellia 2018 26 Michigan, US. Croatia. CORPORATE GOVERNANCE

Executive Management

Carl-Åke Carlsson Craig Boyd Daniel Schwartzlose Aleksandar Danilovski Jamie Iudicia Chief Executive Offi cer President, Xellia North President, Xellia C h i e f S c i e n t i fi c O f fi cer Senior Vice President, and President America International Global Product Supply

Geelanie Briones Matthew Anderson Mikkel Lyager Olsen Bjørn Thonvold Kristin Lund Myrdahl Corporate Vice President Chief Financial Offi cer Chief Legal Offi cer Corporate Vice President Corporate Communications Quality Human Resources and Brand Management

Xellia 2018 27 CONTACTHIGHLIGHTS US

ContactXellia at usa glance

Xellia Pharmaceuticals Dalslandsgade 11 2300 Copenhagen S Denmark

Tel +45 32 64 55 00 Fax +45 32 64 55 01 [email protected] www.xellia.com

Xellia 2018 28