Elan Corporation

DUBLIN, Jun 29, 2004 (BUSINESS WIRE) -- Elan Corporation, plc announced today the repayment by Elan Pharmaceutical Investments II, Ltd. (EPIL II) of the $450.0 million guaranteed notes which were issued on June 28, 2000 and matured on June 28, 2004 together with accrued interest for the period from December 31, 2003 to June 28, 2004 of $21.5 million. Of the aggregate payment of $471.5 million, $79.7 million was funded from the cash resources in EPIL II and through the sale of EPIL II's entire investment portfolio. The balance of $391.8 million was funded by Elan under its guarantee and will result in a charge in the second quarter of 2004 of $33.4 million, consisting of interest of $10.8 million and investment losses of $22.6 million. 

Elan's cash balances at June 28, 2004, after making the payment under the guarantee, exceeded $670 million and Elan's debt position has been reduced to approximately $1.5 billion, approximately $1.1 billion of which is not due until 2008. 

About Elan 

Elan is focused on the discovery, development, manufacturing, sale and marketing of novel therapeutic products in neurology, severe pain and autoimmune diseases. Elan (NYSE:ELN) shares trade on the New York, London and Dublin Stock Exchanges. 

SOURCE: Elan 

Elan
Investors:
Emer Reynolds, 353-1-709-4000
800-252-3526
or
Media:
Anita Kawatra, 212-407-5755
800-252-3526