PDI Announces $55 Million Agreement to Market Rx Product Through 2013 for Treatment of Knee Pain

PDI, Inc. PDII today announced that, through a newly formed business unit, Interpace BioPharma, LLC, it has entered into a two-and-a-half-year, fee-for-service agreement with a pharmaceutical company to market in the United States and its territories a treatment for pain of the knee. The agreement is expected to generate approximately $10 million of revenues to PDI in 2011 and $55 million over the life of the contract. The agreement, which runs through December 31, 2013, includes an option for a contract extension. Under the agreement, Interpace will provide a dedicated full-time sales team and a fully integrated strategic and operational management team that, together with the pharmaceutical company, are responsible for the U.S. commercialization of the product. "This major new agreement reflects the expanding capabilities of PDI and our commitment to grow our company through new service offerings like those delivered through Interpace BioPharma," said Nancy Lurker, PDI's Chief Executive Officer. "In promoting this pain therapy, we intend to demonstrate again the value and strategic flexibility that PDI can deliver to clients while gaining an additional and steady source of revenue for PDI. PDI now has the ability to offer clients the opportunity to outsource the full range of PDI's product commercialization services, thus providing a compelling option beyond traditional co-promotion deals or out-licensing agreements. We look forward to realizing the full potential of this opportunity."