Moscow, 12 May, 2008 – OJSC Pharmstandard (LSE: PHST LI, RTS: PHST RU), the leading domestic pharmaceutical company in Russia and the third largest pharmaceutical company operating in Russia overall, announces its unaudited IFRS sales results for the Q1 2008.

Sales

According to unaudited report Pharmstandard net sales in Q1 2008 achieved RUR 3,297 million (US$136^[1] million), which is RUR1,173 million (US$48 million) more (or 55%) compared to RUR2,124 million (US$81 million) in Q1 2007. Pharmaceutical products sales contributed 93% to total Company revenue. Pharmstandard revenue from medical equipment and disposables sales was 7% of total Company sales.

Pharmaceutical products revenue growth was 62% and achieved RUR3,061 million (US$126 million) in Q1 2008. Significant increase was due to the leading brands sales. In Q1 2007 Company launched 3 new drugs – 2 ÎÒÑ and 1 Rx.

The Company’s revenue from OTC products sales achieved RUR2,360 million (US$97 million) and increased 55%. Key sales growth from OTC products generated Arbidol®, Pentalgin®, Complivit®, Flucostat®, Terpincod® and Codelac® sales.

The Company’s revenue from Rx products sales achieved RUR693 million (US$29 million) and increased 115% compared to Q1 2007. Rx sales increase was attributed to leading brands Phosphogliv®, Amixin®, Biosulin® as well as to the start of the new Mildronate® project.

The Company reported revenue from its medical equipment business of RUR 236 million (US$10 million) and remained the same compared to Q1 2007.

The sales structure for OJSC Pharmstandard, RUR mln