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Lilly wins Round 1 of Zyprexa battle.

Article Excerpt
Byline: Jeff Swiatek

Apr. 15--A federal judge Friday upheld Eli Lilly and Co.'s Zyprexa patent, giving the drugmaker a critical and clear-cut court victory over generic drug challengers trying to cash in on Lilly's top-selling drug.

In his long-awaited decision, which came 14 months after the patent infringement trial ended, U.S. District Court Judge Richard L. Young shot down all six legal claims made against the Zyprexa patent.

They included charges of double-patenting, getting a patent on an invention that was obvious and misconduct before the patent office.

Any of the claims, if upheld, would have invalidated the U.S. patent on Lilly's all-time best-seller and sent the Indianapolis drugmaker reeling, as it faced the prospect of losing billions in revenue to generic rivals.

The ruling is "a huge relief," Lilly President Sidney Taurel said. "We expected to win, but until you have the decision, you still worry."

Taurel said the judge's decision "sends a clear message about the strength of these patents. This issue no longer clouds Lilly's future prospects."

Consumers gain, too, Taurel said, because Lilly will continue to have profits it was counting on to reinvest in the development of "innovative medicines."

But busting Lilly's patent, which runs to 2011, would have opened the door to generic companies to sell lower-priced Zyprexa to its many users. The pill is expensive, with the most common daily dose selling wholesale for $6.89 a pill. Zyprexa has been used by more than 16 million...