Sales of Dermo-Cosmetics on the Internet: Ruling by the EU Court of Justice Allows Pierre Fabre Laboratories to Defend Their Right to an Individual Exemption

Castres, France (ots/PRNewswire) -

Pierre Fabre Laboratories have been opposed to the sale of
dermo-cosmetic products on the Internet for many years. The
Laboratories have argued that only the physical presence of a
qualified pharmacist guarantees consumers the quality of
pharmaceutical and personalized advice that is tailored to meet their
expectations of efficiency and safety. In addition, selling
dermo-cosmetic products promotes their counterfeiting and deprives
them of the cosmetovigilance monitoring completed by highly qualified
pharmaceutical professionals.

Following the injunction of the French Competition Board to allow
its distributors to sell on the Internet, Pierre Fabre Laboratoires
took the case to the Court of Appeal in Paris in October 2008. The
Court acknowledged the merits of the arguments raised by Pierre Fabre
Laboratoires and suspended the injunction until further notice.

To decide on the merits, the Court of Appeal in Paris sought the
opinion of the Court of Justice of the European Union (CJEU). The
Court of Appeals then posed a general question - known as a
"preliminary" - to the CJEU as to whether the ban on selling on the
Internet imposed by a manufacturer on its distributors constituted a
restriction of competition.

In a judgement released today, the CJEU supported by and large
the conclusions of its Advocate General, who had already ruled on the
matter on March 3rd. Thus, it considers that a total ban on Internet
sales restricts competition on principle. It did point out, however,
that under certain circumstances individual exemptions may be
granted. It is now up to the Court of Appeal in Paris to decide
whether Pierre Fabre Laboratories are entitled to benefit from it.

Pierre Fabre Laboratoires have taken note of the opinion of the
European Union Court of Justice. They are satisfied that it opens the
possibility of an individual exemption from a general principle.
Since the start of the case, Pierre Fabre Laboratoires have stressed
that dermo-cosmetic products are primarily health products, often
integrated by dermatologists and paediatricians into the course of
medical care, and as such they enjoy a special status that prevents
their distribution on the Internet.

Pierre Fabre Laboratories are now awaiting the decision of the
Court of Appeal, which should be released in the first half of 2012.
More than ever, they are convinced that the consumer's best interest
relies on personalized advice tailored to meet their expectations of
efficiency and safety.

About Pierre Fabre Laboratories:

Pierre Fabre Laboratories, the 2nd largest independent
pharmaceutical laboratory in France, achieved a turnover of EUR1.86
billion in 2010, with international sales accounting for more than
50%. They employ around 10,000 people, including 1,300 in R&D. The
business spans from pharmaceutical drugs and family health OTC to
dermo-cosmetics (behind brands like Avene, A-Derma, Ducray, Elancyl,
Galenic, Glytone, Klorane and Rene Furterer). In 2010, Pierre Fabre
Laboratories dedicated 22% of their annual sales in the
pharmaceutical drug business to R&D efforts spread mostly across
three pillars: oncology, central nervous system and dermatology.

To learn more about Pierre Fabre, visit
http://www.pierre-fabre.com.

ots Originaltext: Pierre Fabre SA
Im Internet recherchierbar: http://www.presseportal.de

Contact:
Press contacts: Djamila Hazene-Kedjem, Director of Press Services
, +33(0)1-49-10-81-12 /+33(0)6-89-45-87-95 ,
djamila.hazene.kedjem@pierre-fabre.com; Christelle Touchet, Deputy
Head of
Corporate Communication, +33(0)1-49-10-81-33 / +33(0)6-18-00-35-68,
christelle.touchet@pierre-fabre.com