Elan Corporation (ELN)

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A focus on three core therapeutic areas: neurodegenerative diseases, autoimmune diseases and severe pain;

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The divestment of financial assets, non-core businesses, products and assets targeting proceeds of $1.0 billion in the first nine months of the recovery plan and a further $500.0 million by the end of 2003. The total target of $1.5 billion was exceeded six months ahead of schedule, and by the end of the recovery plan gross consideration of $2.1 billion was achieved;

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To meet our financial obligations. Contractual and potential future payments were reduced by $2.5 billion during the course of the recovery plan;

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The implementation of a cost reduction programme through headcount and infrastructure reductions and business rationalisations. At the completion of the recovery plan, headcount had been reduced to less than 2,000 from approximately 4,700 in July 2002; and

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A review of our business venture portfolio to conserve cash and reflect the reduced scope of our activities. As a result, we decided to restructure or terminate substantially all of our business ventures with the aim of substantially reducing or eliminating future cash outlays. All business ventures have been terminated, restructured or are now inactive. As a consequence, we do not expect to provide any additional financing to the business ventures and business venture parents. For additional information on the business ventures, please refer to Note 27 to the Consolidated Financial Statements.