Definitions & methodology Using the same 225 proxy statements, we have gathered data on the compensation of Chief Financial Officers (CFOs) in the industry. The sample size of companies shrinks to 167 in the case of CFOs because many companies have no CFO listed among the top wage earners (companies disclose compensation only for the five most highly paid executives or, in the case of small companies, for executives who earn more than $100,000). In addition, a number of companies have no CFO

Definitions and methodology The data presented in these tables were obtained from proxy statements and annual reports of 225 biotechnology companies that were filed with the U.S. Securities and Exchange Commission (SEC). Unless otherwise noted with symbols, companies had a fiscal year-end of Dec. 31, 2002. Numbered footnotes containing important details appear following this section. IMPORTANT NOTE: The CEO listed for 225 companies is the individual who held that title for the majority of the

Some of the luster was taken off the compensation packages of biotechnology executives against a backdrop of struggling public markets that punished their sector more severely than most others, according to compensation data taken from proxy statements filed in 2003 or late in 2002. Proxy statements for fiscal-year 2002 showed that salaries rose steadily, but bonuses fell and the potential totals looked less grand due to decreases in stock prices and other factors. Pay packages - or at least

Rank Name of Executive Age Company FYE Value of Exercisable In-the-Money Options ($000) Total No. of Shares Owned By CEO # (000) Percent of Co. Stock Owned By CEO ## (%) Stock Price 12/31/2000 ($) Stock Price 12/31/2001 ($) Percent Change Stock Price (%) 1 William H. Rastetter 53 IDEC Pharmaceuticals Corp. 139,344 2,778 1.8 63.19 68.93 9.1 2 Edward V. Fritzky (1) 50 Immunex Corp. 77,246 2,798 40.63 27.71 -31.8 3 Timothy J. Barberich 54 Sepracor Inc. 53,369 2

Rank Name of Executive Company Potential Realizable Value of Option Grants # ($000) No. of Securities Underlying Options (000) % of Total Options Granted To Employees (%) Exercise or Base Price ($/Share) Stock Price 12/31/2001 ($) Change From Exercise Price To 12/31/2001 (%) 1 Samuel D. Waksal ImClone Systems Inc. 39,314 1,250 33.6 50.01 46.46 -7.1 2 David M. Mott (1) MedImmune Inc. 18,248 750 15.9 38.688 46.35 19.8 3 Henri A. Termeer (2) Genzyme Corp. 16,813 500

(For CEOs Who Received A Full Year Of Salary, 227 Companies)

(For CEOs Who Received A Full Year Of Salary, 227 Companies)

Definitions The data presented in these tables were obtained from proxy statements and annual reports of 259 biotechnology companies that were filed with the U.S. Securities and Exchange Commission (SEC). Unless otherwise noted with symbols, companies had a fiscal year-end of Dec. 31, 2001. Numbered footnotes containing important details appear following this section. IMPORTANT NOTE: The CEO listed for 256 companies is the individual who held that title for the majority of the fiscal year

Number of companies: 259 Total number of employees at the 259 companies: 86,580 Average number of employees: 334 Median number of employees: 132 Total Market Capitalization of the 259 companies on Dec. 31, 2001: $285.1 B Average Market Capitalization per company on Dec. 31, 2001: $1.1 B Median Market Capitalization per company on Dec. 31, 2001: $214.6 M Smallest Market Capitalization on 12/31/01: $1.3 M (Oxis International Inc.) Largest Market Capitalization on 12/31/01: $59.3 B (Amgen

Name of Executive Company Base Salary ($000) Bonus ($000) Other # ($000) Long-Term Compensation ## ($000) Total Direct Compensation ($000) Samuel D. Waksal ImClone Systems Inc. 550 450 10 72,015 73,026 William H. Rastetter IDEC Pharmaceuticals Corp. 515 239 0 27,161 27,915 William A. Haseltine Human Genome Sciences Inc. 484 210 66 26,772 27,532 Henri A. Termeer (1) Genzyme Corp. 1,038 1,100 23 13,448 15,609 Edward V. Fritzky (2) Immunex Corp. 680 1,445 69

(For CEOs Who Received A Full Year Of Salary, 227 Companies)

Rank Name of Executive Company Bonus ($0) Base Salary ($0) Bonus As a Percent of Base Salary (%) Other ($0) Stock Price 12/31/00 ($0) Stock Price 12/31/01 ($0) Percent Change Stock Price (%) 1 Frank Baldino Jr. Cephalon Inc. 1,801 650 277.3 115 63.31 75.59 19.4 2 Edward V. Fritzky (1) Immunex Corp. 1,445 680 212.5 69 40.63 27.71 -31.8 3 Se n P. Lance Chiron Corp. 1,250 742 168.4 147 44.5 43.84 -1.5 4 Arthur D. Levinson (2) Genentech Inc. 1,135 780 145

Rank Name of Executive Company Base Salary ($0) Base Salary Prior FY ($0) Percent Change Base Salary (%) Stock Price 12/31/00 ($0) Stock Price 12/31/01 ($0) Percent Change Stock Price (%) Cum. Total Return on Investment ($0) Approx. Mkt. Cap. 12/31/01 ($M) 1 Henri A. Termeer (1) Genzyme Corp. 1,038 927 12 44.97 59.86 33.1 550 12,785.90 2 Kevin W. Sharer Amgen Inc. 933 811 15.1 63.94 56.44 -11.7 415.18 59,312.60 3 James C. Mullen Biogen Inc. 915 605 51.3 60

For CEOs Who Received A Full Year Of Salary, 227 Companies

For CEOs Who Received A Full Year of Salary, 227 Companies

Rank Name of Executive Company Base Salary ($0) Bonus ($0) Total ($0) Stock Price 12/31/01 (M) Shares Out ($M) Approx. Mkt. Cap 12/31/01 1 Frank Baldino Jr. Cephalon Inc. 650 1,801 2,450 75.59 55 4,158.60 2 Henri A. Termeer (38) Genzyme Corp. 1,038 1,100 2,138 59.86 213.6 12,785.90 3 Edward V. Fritzky (45) Immunex Corp. 680 1,445 2,125 27.71 541.5 15,003.80 4 Se n P. Lance Chiron Corp. 742 1,250 1,992 43.84 189.9 8,325.60 5 Arthur D. Levinson (33

Company Name of Executive Age Base Salary ($0) Bonus ($0) Total ($0) Other ($0) Long-Term Compensation ($0) Total Direct Compensation ($0) Base Salary Prior FY ($0) Percent Change Base Salary (%) Potential Realizable Value of Option Grants ($0) FYE Value of Exercisable In-the-Money Options ($0) Percent of Co. Stock Owned by CEO (%) Cum. Total Return on Investment ($0) Stock Price 12/31/00 ($0) Stock Price 12/31/01 ($0) Percent Change Stock Price (%) Shares Out (M) Approx. Mkt

For CFOs Who Received A Full Year Of Salary, 161 Companies