biota: 7 % royalty on china-sales

The last 2 days we had some discussions in Germany about
the announcment:
" SIMCERE GETS SFDA APPROVAL TO MANUFACTURE AND SELL
ZANAMIVIR IN CHINA "

We all know, that it was a licence-deal between Glaxo and Simcere, date 2006.What means this for Biota and will Biota receive 7 % royalty from GSK for all Simcere?s ZANAMIVIR sales in and out of China in the future.Our friend Marcel
has sent Biota/D.Lismore a couple of emails: (DATE 11.2.2010)
1st mail: QUESTION M.: How much will Biota benefit from
sales in China,also 7 % royalties ?
ANSWER D.Lismore: We will receive the 7 % royalty
rate on sales .

This was a very short answer and not very satisfacory.
So he mailed a second time.

QUESTION M.: 7 % from what ? ...
ANSWER: No answer

3 rd mail !

QUESTION M.: on my opien Biota has to explain to the
shareholders what is going on in China.
Are you getting the same royalties like
for the sales in Europe or not ? ....

ANSWER D.Lismore: (unabridged)
(DATE 12.2.2010)

" Approval is good but there is now a time lag until sales occur.Production needs to be scaled up.Realisticaly
sales are unlikely to occur on any scale until next winter.
Simcere are likely to have indicative plans and will now be
seeking orders and assessing launch plans.We will naturally explore the status but please remember Biota has no relationship with simcere.They are licencee of GSK.
OUR RIGHTS REQUIRE GSK TO PAY 7 PER CENT OF ALL SALES BY SIMCERE AND THIS SHOULD FALL INTO THE NORMAL QUARTERLY REPORTING OF RELENZA ROYALTIES.
HOPE THIS HELPS. Damian


I THINK THIS IS A GREAT NEWS !

Now it is time for Wilson and Taylor Collision to change their royalty-forecasts for 2012.

I remember: FY 2011 FY 2012
WILSON HTM 7o Mill 61,2 Mill.Dollar
TAYLOR Coll.54,4 Mill.
ABN AMRO 43,o Mill.
RBSMORGAN 165,9 70,3 Mill.

If you have more questions, please ring Mr.Damion Lismore/Biota PH. 6139915 3721

I think it is easier and cheaper for us, you call him up
from Australia than from Germany.

PS:SORRY FOR MY ENGLISH !