On June 23, 2005, Gilead Sciences, Inc., announced that it had delivered a notice of termination to F. Hoffmann-La Roche Ltd (Roche) for material breach of the parties' 1996 Development and License Agreement for Tamiflu® (oseltamivir phosphate), an antiviral pill for the treatment and prevention of influenza. Through this action, Gilead sought to terminate the 1996 agreement, which would result in the rights to Tamiflu held by Roche reverting to Gilead.

You can read the press release issued by Gilead at that time by clicking here.

You can read the concurrent filing (Form 8-K) with the Securities and Exchange Commission (SEC) reporting Gilead's June 23, 2005, delivery of a notice of termination to Roche for material breach of the its 1996 agreement with Roche by clicking here.

In that filing, Gilead states:

"On September 27, 1996, Gilead Sciences, Inc., a Delaware corporation (“Gilead”), entered into a Development and License Agreement (the “1996 Agreement”) with F. Hoffmann-La Roche Ltd, a Swiss corporation (“Roche Ltd”), and Hoffmann-La Roche Inc., a New Jersey corporation (“Roche US” and together with Roche Ltd, “Roche”), to develop and commercialize therapies to treat and prevent viral influenza. Tamiflu® (oseltamivir phosphate), an antiviral pill for the treatment and prevention of influenza, was co-developed by Gilead and Roche. Under the 1996 Agreement, Roche has the exclusive right to manufacture and sell Tamiflu worldwide, subject to its obligation to pay Gilead a percentage of the net revenues that Roche generates from Tamiflu sales, subject to reduction for certain defined manufacturing costs. On June 23, 2005, Gilead delivered a notice of termination to Roche for material breach of the 1996 Agreement. If, and when, Gilead’s notice of termination becomes effective, all licenses granted to Roche under the 1996 Agreement would terminate and revert to Gilead."

You can access a redacted copy of the 1996 licensing agreement between Gilead and Roche by clicking here.

Gilead media spokesperson Erin Edgley today told Tamiflu® World that Gilead's delivery of that notice of termination to Roche on June 23, 2005, was followed by a 90-day "cure" period (ending on September 21, 2005), after which Gilead and Roche entered into an arbitration process that needs to be completed within 18 months (by March 21, 2007).

Beyond that, Ms. Edgley said, Gilead would say nothing more. No comment yet from Roche, either.