Applied Biosystems/MDS SCIEX’s Software Development Initiative Targets Drug Discovery with Rapid Analysis of Compounds

FOSTER CITY, Calif.–(BUSINESS WIRE)–Applied Biosystems (NYSE: ABI), an Applera Corporation business, and its joint venture partner, MDS Sciex, a division of MDS Inc. (NYSE:MDZ, TSX:MDS), today announced a new software development initiative to improve the abilities of pharmaceutical companies to determine drug candidate viability early in the development pipeline. The goal of the initiative is to help drug discovery scientists streamline the identification of viable drug candidates through better analysis of the absorption, distribution, metabolism and excretion (ADME) properties of compounds. This software initiative is intended to make the drug development cycle more effective and efficient and ultimately result in better drugs.

U.S. government officials have estimated that the drug failure rate in pre-clinical stages of the development cycle is between 40 and 60 percent.1 To help lower the costly drug candidate failure rate within the pharmaceutical industry, Applied Biosystems/MDS SCIEXs new software developments will focus on improving the timeliness and accuracy of information generated during ADME testing of the substances that can be developed into drugs.

Applied Biosystems/MDS SCIEX is collaborating with Sound Analytics and Pfizer, Inc. to design these software applications. Sound Analytics a scientific applications company that has been working on automation features with Pfizer for six years will provide expertise in early ADME software development to complement Applied Biosystems/MDS SCIEXs expertise in drug research tools and software-based automation. Pfizer, the worlds largest research-based pharmaceutical company, will provide the guidance to shape the requirements for the new ADME software applications.

Pfizer and drug discovery groups like ours need a new approach that delivers a rapid turnaround of ADME-related assay data, said Cornelis Hop, senior director of research and development at Pfizer. A major challenge in drug discovery resides in the quick determination of compound characteristics. By increasing the speed and throughput of screening compounds, the new applications can help make the path to developing better drugs more cost-effective and efficient.

Applied Biosystems/MDS SCIEXs approach is to increase the automation of the analytical process and create a more intuitive method for managing the screening of compounds. At the same time, the approach emphasizes the acquisition of quantitative results on mass spectrometry instruments for deeper molecular analysis tailored for drug discovery laboratories. Applied Biosystems/MDS SCIEX provides mass spectrometry instruments and software that are used for drug discovery research. Analytical accuracy, sensitivity and quantitative confidence have helped make mass spectrometry-based systems a preferred method in pharmaceutical research.

Pharmaceutical companies need better ways to funnel the most promising compounds into their development pipeline while discarding less successful candidates, said Laura Lauman, president for Applied Biosystems proteomics and small molecule division. Our collaboration is directed at providing new early ADME tools to those companies, in particular, that are reevaluating and reshaping their drug development approaches to more effectively manage the risks associated with significant investments in drug discovery.

Joint Venture Continues Success in Life Science

Established in 1986, Applied Biosystems/MDS SCIEX Instruments is a joint venture between Applied Biosystems and MDS Sciex. For 20 years, the joint venture has delivered numerous mass spectrometry-based technologies and systems that are used to analyze compounds. The joint ventures instruments are designed primarily for use by researchers and scientists in biotechnology, biomedical and pharmaceutical fields, and are widely used for analyses in support of proteomics, clinical research and drug metabolism studies.

The Applied Biosystems/MDS SCIEX joint venture continues to drive innovation with the instruments and software in collaboration with high profile industry leaders, said Andy Boorn, president of MDS Sciex. This software initiative advances our leadership in early ADME automation and improves the productivity of the early drug discovery workflow for the pharmaceutical researchers.

About Applera Corporation and Applied Biosystems

Applera Corporation consists of two operating groups. The Applied Biosystems Group serves the life science industry and research community by developing and marketing instrument-based systems, consumables, software, and services. Customers use these tools to analyze nucleic acids (DNA and RNA), small molecules, and proteins to make scientific discoveries and develop new pharmaceuticals. Applied Biosystems products also serve the needs of some markets outside of life science research, which we refer to as applied markets, such as the fields of: human identity testing (forensic and paternity testing); biosecurity, which refers to products needed in response to the threat of biological terrorism and other malicious, accidental, and natural biological dangers; and quality and safety testing, for example in food and the environment. Applied Biosystems is headquartered in Foster City, CA, and reported sales of $1.9 billion during fiscal 2006. The Celera Group is primarily a molecular diagnostics business that is using proprietary genomics and proteomics discovery platforms to identify and validate novel diagnostic markers, and is developing diagnostic products based on these markers as well as other known markers. Celera maintains a strategic alliance with Abbott Laboratories for the development and commercialization of molecular, or nucleic acid-based, diagnostic products, and it is also developing new diagnostic products outside of this alliance. Through its genomics and proteomics research efforts, Celera is also discovering and validating therapeutic targets, and it is seeking strategic partnerships to develop therapeutic products based on these discovered targets. Information about Applera Corporation, including reports and other information filed by the company with the Securities and Exchange Commission, is available at http://www.applera.com, or by telephoning 800.762.6923. Information about Applied Biosystems is available at http://www.appliedbiosystems.com.

About MDS Sciex and MDS Inc.

MDS Sciex is the scientific instrumentation and technology solutions division of MDS Inc. MDS Inc. (TSX:MDS) (NYSE:MDZ) has more than 5,600 highly skilled people in 27 countries. It provides a diverse range of superior products and services to increase customers’ speed, precision and productivity in the drug development and disease diagnosis processes. MDS is a global, values-driven life sciences company, recognized for its reliability and collaborative relationships that help create better outcomes in the treatment of disease. Find out more at www.mdsinc.com or by calling 1-800-MDS-7222, 24 hours a day.

1. U.S. Food and Drug Administration web site: http://www.fda.gov/oc/speeches/2004/mayo0826.html

Applied Biosystems, AB (design), Applera and Celera are registered trademarks of Applera Corporation or its subsidiaries in the US and/or certain other countries. Copyright© 2007. Applera Corporation and MDS Inc. All rights reserved.