Bubendorf, January 17, 2002

Bachem sales up 26.9%

The Bachem Group (SWX: BANB), headquartered in Bubendorf, Switzerland, increased sales in 2001 by a substantial 26.9%, from CHF 111.4 million to CHF 141.4 million. Growth in local currencies was 27.3%. Lower average Euro exchange rates in 2001 resulted in a slightly negative currency effect, as compared to the previous year.
Contributing significantly to these excellent results was the acquisition early in the year of Sochinaz SA, a Swiss-based specialized manufacturer of active pharmaceutical ingredients. The favorable development of North American business also contributed to excellent results. In Europe, Bachem was able to further strengthen its position as market leader, despite the difficult market environment, with sales growth of 33.3% to CHF 89.7 million largely attributable to the acquisition of Sochinaz. In the U.S. and the rest of the world, turnover reached CHF 51.7 million, an increase of 17.1% over the previous year.

As expected, increased sales in the second half of 2001 were significantly due to several product orders that were postponed into the latter half of the year. Total annual sales are in line with the long-term growth objectives of the company. The company also expects to achieve favorable operating results for 2001, although not at the same level as the increase in sales.

Bachem will release full 2001 results on April 23, 2002. The Annual General Meeting is scheduled for May 15, 2002.

Bachem AG is an independent, technology-based company specializing in the development of manufacturing processes for the production of innovative biochemical and pharmaceutical compounds. With headquarters in Switzerland and affiliates in Europe and the US, the Bachem Group works on a global scale and holds a leading position in its field.