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19/01/2006: Johnson & Johnson senior management meets with Prime Minister Verhofstadt and Deputy Prime Minister Reynders: 100 Million euros to be invested in Belgium in 2006

New York, Jan. 19, 2006 – A delegation from Johnson & Johnson led by Mike Dormer, member of the Executive Committee, met with Prime Minister Guy Verhofstadt and Deputy Prime Minister Didier Reynders in New York to discuss investment possibilities in Belgium.

 

Johnson & Johnson is one of the biggest foreign investors in Belgium, with 18 operating companies in the country (overview). In Belgium, the group counts more than 5000 employees and in the past year invested more than 150 million euros in infrastructure and more than 1 billion euros in R&D.

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Mike Dormer emphasized that the group has a long-term strategy whose primary focus is on the treatment of patients. The ability to fast-track innovation is therefore just as important as fiscal incentives for investment. The new measures adopted by the Belgian government regarding notional interest, the establishment of a medicines agency, and the implementation of the European Directive on clinical research were discussed and appraised as extremely positive. For that matter, Belgium has enough trump cards on a world scale to make it a leading country as far as biomedical research and industrial production are concerned.

With a view to encouraging investment, Prime Minister Verhofstadt announced the following new intentions:

1.

The possibility of submitting a file for a new candidate medicine before the European Medicines Agency has given its approval. This will make it possible to put the medicine on the market as soon as the European approval is forthcoming. This arrangement is of the utmost importance for export. Medicines whose ‘country of origin’ is Belgium are in many countries accepted only if they have first been registered in the country of origin. For patients in many countries this procedure translates into fast tracking.

2.

In order to attract hefty investment dossiers to Belgium from Johnson & Johnson a system of fiscal rulings will be used.

3.

The present system in which corporate withholding tax has been reduced from 50% to 25% for researchers who either collaborate with universities or have a doctorate will be applied with a view to attracting and retaining such people.

This year Johnson & Johnson will invest more than 100 million euros in Belgium and this comes on top of the investment that was already started up last year in a new European distribution center for medical devices and diagnostics.

For more information, please contact:
Stefan Gijssels: tel.+32-473-710 425

Consumer products
- Johnson & Johnson Consumer (Sint Stevens Woluwe)
- McNeil Nutritionals (Berchem)

Medical Devices & Diagnostics
- Johnson & Johnson Medical (Dilbeek)
- Johnson & Johnson Vision Care (Benelux NL)
- rtho-Clinical Diagnostics (Beerse)
- Virco (Mechelen)
- Cordis Benelux (Dilbeek) and Cordis Europe (Waterloo)
- LifeScan (Beerse)
- European Distribution Center (Courcelles)

Pharmaceuticals
- Janssen Pharmaceutica (Beerse, Geel, Olen)
- Johnson & Johnson Pharmaceutical Research & Development (Beerse, Merksem)
- Janssen-Cilag Belgium (Berchem)
- Tibotec (Mechelen)
- Janssen Animal Health (Beerse)
- Janssen Plant- & Material Protection (Beerse)

Corporate Services
Johnson & Johnson Global Treasury Services Center (Coordination Center) (Beerse): Center of excellence for providing financial and other services to Johnson & Johnson operating companies worldwide.
Johnson & Johnson European headquarters for Corporate Social Responsibility, Legal Services, Government Affairs, Human Resources (Sint-Stevens-Woluwe)
Johnson & Johnson Network & Computing Services (Beerse) centralizes all ICT support for 139 J&J sites across Europe.

 
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