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KRKA, d. d., Novo mesto

Response to media publications on alleged irregularities in Romania

In relation to recent media publications about alleged irregularities in business practices at Krka's subsidiary in Romania, we hereby publish Krka's response.

Krka considers all allegations on potential non-compliance comprehensively and in accordance with the rules on prevention, detection, and investigation of non-compliance and investigates the circumstances of such instances.

Krka informs the public that a special team has been formed to investigate in detail the activities of Krka’s subsidiary in Romania. After concluding its assigned internal investigation, presumably by the end of January 2020, the team will report its findings to Krka’s Management Board, and the Management Board will then report to Krka’s Supervisory Board. Should the investigation identify irregularities that could have a material impact on Krka’s business performance, Krka will publicly report on these irregularities.

All Krka Group activities in markets where our pharmaceutical products are available are carried out in accordance with the applicable legislation, international standards pertaining to the pharmaceutical industry, and the adopted internal rules prescribed in the Code of Conduct, Code of Promotion, and the Rules on Fraud Prevention, Detection and Investigation. More information is available at https://www.krka.biz/en/about-krka/integrity-and-compliance/. All employees in the Krka Group, including employees in Krka Romania, must comply with these regulations and rules, and they must undergo regular trainings.

Krka subsidiaries and representative offices must ensure that the activities carried out in countries where Krka is present are performed in line with these principles; any and all fraudulent and corrupt acts are strictly prohibited. Consequently, Krka subsidiaries and representative offices in countries where Krka is present are responsible for ensuring that their respective activities are carried out in compliance with the applicable national legislation and in line with Krka’s rules and policies. If any non-compliances are established in relation to the activities of Krka Romania employees, Krka will act resolutely and use all legal means at its disposal to sanction any potential perpetrators.

Krka has been promoting its medicinal products in compliance with national legislations and code of ethics of generic producers association, Medicines for Europe, where Krka is a member. Krka is a reliable partner offering high-quality, effective and safe medicinal products at affordable prices, and developing advanced medicinal products also for the Romanian market, where it has earned the trust of the professional and the lay public.

Krka, d. d., Novo mesto
Date: 17.01.2020