“This announcement reflects Merck KGaA’s strong commitment to expand EMD Serono and
anchor our US operations in Massachusetts,” said Elmar Schnee, Member of the Executive
Board Merck KGaA and Head of Pharmaceuticals. “We recognize the significant value of
augmenting our research capabilities in Boston - a region with tremendous life-sciences
influence not only across the US.”

Once complete, the new site will accommodate about 200 scientists with expertise in
cancer biology, cancer immunotherapy, oncogene signaling, manufacturing cell lines, medicinal
chemistry, molecular modeling, protein engineering, and therapeutic antibodies; across the
research areas of cancer and fertility, as well as approximately 50 employees in technical
operations who specialize in process development and protein production.

The company’s protein production facility in Billerica, which manufactures products for early
stage clinical testing, is a significant reason why the site was selected for expansion; the close
proximity of protein production to research drives collaborative interactions and supports the
rapid transition from research to manufacturing.

Construction at the new site will begin early next year and is expected to be complete in 2010.
Upon completion, the total square footage of the Billerica Campus will be approximately 64,000
square meters, including more than 48,800 square meters of lab space.

“We will harness the power of our scientific expertise and understanding of disease biology, and leverage the tremendous amount of academic and healthcare resources available to us in nearby Boston, to further strengthen our dedication to finding new and innovative treatments that improve the quality of life for people living with serious diseases,” says Bernhard Kirschbaum, head of global research for Merck Serono.

The US headquarters of EMD Serono will remain in Rockland. The company will strengthen its position in its current therapeutic areas of neurodegenerative diseases and endocrinology, and build the necessary infrastructure to support an increase in US clinical trials, as well as commercial growth in new areas of expertise, including cancer and autoimmune/inflammatory diseases.