Nanotechnology

for

preventing counterfeit …

you can now fingerprint

brand packs

Avinash MandaleGlobal Chief Marketing Officer Bilcare Limited

1Bilcare © 2008 Privileged Information

WHO claims 10% global medicines are fake

This costs the pharmaceutical industry USD 46 billion per year

…and raises serious health and safety concerns for consumers

U.S. customs seizures of fakes grew 46% in 2004

This cuts across all sectors – pharma, household goods, software etc

…and continues to grow around the world

Interpol estimates 5-7% of world trade involves counterfeits

This is equivalent to over USD 500 billion in lost sales

Some facts

USA FDA – Jan 2010 timeline for pedigree system California – implementation delayed 1 year Counterfeit Drug Task Force – RFID, 2D Bar Code

Europe EC – review of policy options in process Target - Standardize T&T + Authentication across supply chain EFPIA - focus Data Matrix ECC 200. Pilot Project to begin 4Q 2008

India Confederation. of Indian Industry – CF, Piracy and IP Initiatives FICCI – several national CF initiatives (“National Cause”) ASSOCHAM – Pharma initiatives and related info. OPPI – anti-CF guidelines IDMA – regulatory affairs, seminars Health Ministry to do a country wide survey

Anti-Counterfeiting Initiatives

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Bilcare © 2008 Privileged Information

Current Technology Options

PRODUCT IDENTIFICATION

Serial numbers

BarcodesDATA MATRIX

001 234 567 688645 455 467 323112 342 478 886113 342 887 674

RFID&

Chip

PRODUCT SECURITY

Holograms

Covert Ink

“Fingerprint”

DATA MANAGEMENT PLATFORM

Objective – Link Product Identification with Product Security in Real-Time 4Bilcare © 2008 Privileged Information

Key Pharma anti-counterfeiting initiatives are focused on

harmonizing Track & Trace and Authentication systems.

Preferred solutions include:

2D DATA MATRIX, and

RFID

But are these the best available solutions?

Defining the Best Solution

5Bilcare © 2008 Privileged Information

DATA MATRIX versus RFID

Source: EFPIA, February 2008

DATA MATRIX

ECC200RFID

Ability to read at distance/No direct line of sight required?

Difficulty to modify / alter / copy ?

Readability robustness? Efficiency of reading rates ?

Business processes changes ? High speed and volumes ?

Compatibility with Biologics (vaccines, biotech products)

Volume of data to manage? Network complexity (EPC Global) - Harmonized Standards (EU/US/Asia) ?

Privacy issues/objections/public concerns ?

RFID Tag cost ~ 20 to 40 cents € Data Matrix cost ~ 0.1 to 0.3 cents €

6Bilcare © 2008 Privileged Information

Assessment

7Bilcare © 2008 Privileged Information

The Breakthrough Solution –Track and Trace + Authentication

Tamper Evident Label

Proprietary Bilcare “Fingerprint”

Unique, secure fingerprint !

DATA MATRIX or Linear Barcode

(high density, i.e. 16 random numerical digits)

=

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Bilcare © 2008 Privileged Information

Key Features of Technology

SECURE LABELS BASED ON

Robust composite material Unique, complex texture and pattern or “Fingerprint” Invisible to naked eye, but “machine readable” Randomly generated pattern Applied as low cost, tamper evident label

Unique, item level “Fingerprint” that is cost

effective and impossible to copy

9Bilcare © 2008 Privileged Information

Authenticator: Control Database

Server

Brand Owner Server

The Bilcare Solution

Company: ABCExpiry Date: Aug 2010Trans Code: 11B1 CHZQ OT41

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1 Serial Bar Code Fingerprint (e.g. ECC 200, GS1) # 001312572155

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Authenticated

Bilcare © 2008 Privileged Information

Key Advantages

Secure, non-reproducible, tamper-resistant

Combinable with all standard coding systems, including RFID

Cost effective and easy to implement

Provides protection throughout entire Pharma supply chain

Adaptable to current software – point of sale, reimbursement

Applicable to primary and secondary packaging11

Bilcare © 2008 Privileged Information

Bilcare Fingerprint Technology

The “Next Generation” of

secure, flexible and cost effective

anti-counterfeit technology

Breakthrough Solution for Authentication

and Pharma Brand Security 12

Bilcare © 2008 Privileged Information