<PAGE>
Filed by GelTex Pharmaceuticals, Inc. (Commission File No. 000-26872)
pursuant to Rule 425 under the Securities Act of 1933
Subject Company: GelTex Pharmaceuticals, Inc. (Commission File No. 000-26872)
This material is not a substitute for the prospectus/proxy statement
Genzyme and GelTex will file with the Securities and Exchange Commission.
Investors are urged to read that document because it will contain important
information, including detailed risk factors. The proxy statement/prospectus and
other documents filed by Genzyme and GelTex with the SEC will be available free
of charge at the SEC's website (www.sec.gov) and from Genzyme or GelTex.
GelTex, its directors, and certain of its executive officers may be
considered participants in the solicitation of proxies in connection with the
merger. Information concerning GelTex's directors and executive officers can
be found in the documents filed by GelTex with the SEC. Certain directors and
executive officers of GelTex may have direct or indirect interests in the
merger due to securities holdings, vesting of options, and rights to
severance payments if their employment is terminated following the merger. In
addition, directors and officers, after the merger, will be indemnified by
Genzyme, and benefit from insurance coverage, for liabilities that may arise
from their service as directors and officers of GelTex prior to the merger.
Additional information regarding the participants in the solicitation will be
contained in the proxy statement/prospectus.
This material contains forward-looking statements, including statements
about the consummation and anticipated timing of the merger, the potential
market opportunity for Renagel, the expected drivers of growth for the market
opportunity, the anticipated impact of Renagel on Genzyme's future growth, the
potential short and long-term revenues from Renagel, the expected benefits of
the merger, the value of the merger consideration, the tax-free nature of the
transaction, the anticipated impact of the acquisition on Genzyme's earnings,
cash-earnings-per-share, and development programs, Genzyme's plans concerning
the operation of GelTex's business after the merger, estimates concerning the
current and future dialysis patient population, the anticipated impact of
Renagel on patient morbidity and mortality, the cost of care for patients, plans
to launch a new tablet formulation of Renagel, the anticipated benefits of the
tablet formulation, plans to announce trial data, plans to initiate clinical
trials of Renagel, GT 160-246, and other product candidates, estimates
concerning the C. Difficile Colitis patient population, expectations concerning
GelTex's product candidates and polymer technology platform. Actual results may
materially differ due to numerous factors, including without limitation
conditions in the financial markets relevant to the proposed merger, the receipt
of regulatory and other approvals of the transaction, the operational
integration associated with the transaction and other risks generally associated
with such transactions, increasing market acceptance of Renagel, increasing
doses of Renagel, market acceptance of Renagel tablets, the competitive
environment for the dialysis market, the results of clinical trials, the
efficacy and safety of products, enrollment rates for clinical trials, the
content and timing of submissions to and decisions by regulatory authorities,
the availability of reimbursement from third-party payers, the ability to
manufacture sufficient quantities of product for development and
commercialization activities, the accuracy of the companies' information about
the dialysis and the C. Difficile Colitis patient populations and the market for
Renagel, the accuracy of the companies' expectations about growth in the
dialysis patient population, the ability of Genzyme to successfully
commercialize products and the risks and uncertainties described in Genzyme and
GelTex's reports filed with the Securities and Exchange Commission under the
Securities Exchange Act of 1934, as Amended, including without limitation
Exhibit 99.2 to Genzyme's Annual Report on Form 10-K for the year ended December
31, 1999, as Amended. GENZ stock is a series of common stock of Genzyme
Corporation. Therefore, holders of GENZ stock are subject to the risks and
uncertainties described in the aforementioned reports.
[The following is the text of slides from a slide show being presented in
meetings with analysts, potential investors and others.]
<PAGE>
[PHOTO OMITTED]
genzyme
general
Accelerating Momentum...
<PAGE>
Forward-Looking Statements
This presentation contains forward-looking statements, including those regarding
our:
o consummation and anticipated timing of the merger with GelTex
Pharmaceuticals, the merger consideration and the tax-free nature
of the transaction;
o expectations concerning the benefits of the merger and impact
Genzyme's earnings and development programs;
o beliefs concerning the impact of Renagel-Registered Trademark-
on cardiac calcification, patient morbidity and mortality and the
cost of care for patients;
o plans to launch a tablet formulation of Renagel-Registered
Trademark-;
o projected timetables for the pre-clinical and clinical development of,
initiation and completion of clinical trials for, regulatory
submissions and approvals for, and market introduction of our products
and services;
o estimates of the potential markets and revenues for our products and
services including Renagel-Registered Trademark-;
o sales and marketing plans;
o assessments of competitors and potential competitors;
o expected ability to obtain reimbursement of our products and services
from third party payers;
o planned presentations;
o expected future revenues, earnings per share, revenue and earnings per
share growth rates, and cash flows; and
o belief in the safety and efficacy of our products and services.
These statements are based upon the current assumptions of our management and
are only expectations of future results. These statements are subject to
numerous risks and uncertainties, and our actual results may differ
significantly from those that are described in this presentation. These risks
and uncertainties include:
o conditions in the financial markets relevant to the proposed merger;
o the receipt of regulatory and other approvals of the transaction;
o the operational integration associated with the transaction and other
risks generally associated with such transactions;
o increasing market acceptance and dosing of Renagel-Registered
Trademark- Capsules and market acceptance of Renagel-Registered
Trademark- tablets;
o our ability to successfully complete pre-clinical and clinical
development of our products and services;
o our ability to manufacture sufficient amounts of our products for
development and commercialization activities;
o our ability to obtain timely regulatory approval for products and
services;
o our ability to obtain and maintain adequate patent and other
proprietary rights protection of our products and services;
o the content and timing of decisions made by the FDA and other
regulatory agencies regarding our products and services;
o the enrollment rates for our clinical trials;
o the accuracy of our estimates of the size and characteristics of the
markets to be addressed by our products and services;
o our ability to successfully commercialize products and services;
o market acceptance of our products and services;
o our ability to obtain reimbursement for our products and services from
third party payers;
o our ability to establish and maintain licenses, strategic
collaborations and distribution arrangements; and
o the accuracy of our information regarding the products and resources of
our competitors and potential competitors.
We encourage you to review the more detailed descriptions of these and other
risks and uncertainties that we have filed with the SEC as Exhibit 99.2 to our
annual report on Form 10-K for the year ended December 31, 1999, as amended.
Genzyme General Division Common Stock is a series of common stock of Genzyme
Corporation. Therefore, holders of Genzyme General Division Common Stock are
subject to all of the risks and uncertainties described in Exhibit 99.2. Please
note that year-to-date results included in this presentation are not necessarily
indicative of the actual results that will be achieved for the full year.
This material is not a substitute for the prospectus/proxy statement Genzyme
and GelTex will file with the Securities and Exchange Commission. Investors
are urged to read that document because it will contain important
information, including detailed risk factors. The proxy statement/prospectus
and other documents filed by Genzyme and GelTex with the SEC will be
available free of charge at the SEC's website (www.sec.gov) and from Genzyme
or GelTex.
GelTex, its directors, and certain of its executive officers may be
considered participants in the solicitation of proxies in connection with the
merger. Information concerning GelTex's directors and executive officers can
be found in the documents filed by GelTex with the SEC. Certain directors and
executive officers of GelTex may have direct or indirect interests in the
merger due to securities holdings, vesting of options, and rights to
severance payments if their employment is terminated following the merger. In
addition, directors and officers, after the merger, will be indemnified by
Genzyme, and benefit from insurance coverage, for liabilities that may arise
from their service as directors and officers of GelTex prior to the merger.
Additional information regarding the participants in the solicitation will be
contained in the proxy statement/prospectus.
genzyme
general
<PAGE>
[right arrow] Our Strategic Vision
o Focus on chronic debilitating diseases
o Develop and expand robust pipeline
o Extend and leverage unique worldwide infrastructure
o Manage the business
genzyme
general
<PAGE>
[right arrow] GelTex Pharmaceuticals
o Two patent-protected, marketed products
-- Renagel(R)
-- WelChol(TM)
o Exciting product pipeline
-- GT160-246 for Closridium difficile (C. difficile)
-- Fat absorption inhibitors (obesity drug)
-- Other programs
o Unique technology base
o Productive research/development team
o Facilities, cash, NOLs
genzyme
general
<PAGE>
--------------------------------------------------------------------------------
GelTex Product Pipeline
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Research & Regulatory
Development Phase 1 Phase 2 Phase 3 Review Marketed
---------------------------------------------------------------------------------
<S> <C>
Renagel(R)
- U.S. /
- Japan -------------------------------------------------------------------------------->
Europe ------------------------------------------------>
Renagel(R) Tablets -------------------------------------------------------------------------------->
WelChol(TM) -------------------------------------------------------------------------------->
2nd Generation WelChol(TM) ---------------------------------->
C. Difficile Toxin
Binder -------------------->
Anti-Obesity ----->
Oral Iron ----->
Psoriasis ----->
Mucin ----->
</TABLE>
<PAGE>
[right arrow] Merger with GelTex
o 50/50 cash/stock, tax-free transaction
o GelTex shareholders have option of:
-- $47.50 in cash OR
-- 0.7272 of share of GENZ
o Targeted for completion in Q4 2000
o One-time IP R&D charge to GENZ expected in Q4 2000
o Accounted for as purchase accounting
-- Dilutive to GENZ near-term earnings
-- Accretive to earnings in 2002 (before D&A)
genzyme
general
<PAGE>
Overview
o First generation binder - Aluminum in 1980's
o Second generation binder - Calcium in 1990's
-- Calcium binders seen as being problematic for some patients
o Third generation binder - Renagel in 1998
-- Renagel's role seen initially as
o Helping hypercalcemic patients
o Lipid benefits
o Today
-- Calcium binders seen by thought leaders as having an unacceptable safety
profile
-- Renagel shows real promise in reducing cardiac morbidity and mortality
genzyme
general
<PAGE>
What have we done for ESRD patients?
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
Annual mortality %
1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998
---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Mortality Per Year % 34 34.5 35 34 33 32 31 29 26.4 26 26.4 26 25 25 24.6 24 23
</TABLE>
genzyme
general
<PAGE>
Cardiac Death is 30X Greater in Dialysis Patients(1)
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
General Hemodialysis
Population Patients
---------- --------
Annual Risk of CV Death 0.3% 9.2%
--------------------------------------------------------------------------------
o Risk factors include:
o Hypertension
o Lipid abnormalities
o Smoking
o Glucose intolerance
o Now - Calcium Load
1. Foley RN, et al. Am J Kidney Dis. 1998;32:S112-S119.
genzyme
general
<PAGE>
After launch - USRDS showed elevated phosphorus increases mortality risk(1)
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Relative Mortality Risk (RR) 1.00 1.00 1.02 1.18* 1.39**
--------------------------------------------------------------------------------
Serum Phosphorus Quintile (mg/dL) 1.1-4.5 4.6-5.5 5.6-6.5 6.6-7.8 7.9-16.9
--------------------------------------------------------------------------------
*P=0.03 **P less than 0.0001 (N = 6407)
1. Adapted from Block GA, et al. Am J Kidney Dis. 1998;31:607-617.
genzyme
general
<PAGE>
--------------------------------------------------------------------------------
After launch - USRDS showed elevated CaxP product increases mortality risk(1)
--------------------------------------------------------------------------------
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Relative Mortality Risk (RR) 1.06 1.00 1.08 1.13 1.34*
--------------------------------------------------------------------------------
Ca x PO(4) Product Quintile (mg^2/dL^2) 14-42 43-52 53-60 61-72 73-132
--------------------------------------------------------------------------------
*P=0.01 (N = 2669)
1. Adapted from Block GA et al. Am J Kidney Dis. 1998;31:607-617.
genzyme
general
<PAGE>
Echocardiography - Presence of Valvular Calcification(1)
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Mitral Annulus Aortic Annulus
-------------- --------------
Percentage of Patients
Dialysis 45% 52%
Normal 10% 4%
--------------------------------------------------------------------------------
1. Ribeiro S, et al. Nephrol Dial Transplant. 1998;13:2037-2040.
genzyme
general
<PAGE>
Before EBCT - Calcification In 29 YOWF
[PHOTO DEPICTING PICTURE OF HEART WITH CALCIFICATION OMITTED]
Photograph reprinted from Jing J. et al. American Journal of Roentgenology.
1998: 170:903-905.
genzyme
general
<PAGE>
Electron Beam Computed Tomography (EBCT)
[GRAPHIC OF PATIENT IN CT-SCAN TUBE AND EBCT OMITTED]
Slide courtesy of P. Raggi.
genzyme
general
<PAGE>
Increased Risk of Cardiovascular Calcification in Dialysis Patients
[THE FOLLOWING TABLE WAS DEPICTED AS A BAR CHART IN THE PRINTED MATERIAL.]
Age 28-39 Age 40-49 Age 50-59 Age 60-69
Mean Coronary Calcium Score
No CAD -- -- 50 25
CAD -- 75 550 700
Dialysis 50* 750 1400 2000
*all numbers approximate
Adapted from Braun J, et al. Am J Kid Dis. 1996;27:394-401.
genzyme
general
<PAGE>
Extensive Triple Vessel (Coronary Arteries) Calcification in a Dialysis Patient
[EBCT IMAGES SHOWING CALCIFICATION IN A DIALYSIS PATIENT OMITTED]
Slide courtesy of P. Raggi.
genzyme
general
<PAGE>
Mitral Valve Calcification in a Dialysis Patient
[EBCT IMAGES SHOWING MITRAL VALVE CALCIFICATION IN A DIALYSIS PATIENT OMITTED]
Scan courtesy of P. Raggi
genzyme
general
<PAGE>
Coronary Artery Calcification in Young Dialysis Patients using EBCT
[GRAPHIC SHOWING INCREASE, WITH AGE, IN CORONARY ARTERY CALCIFICATION IN YOUNG
DIALYSIS PATIENTS OMITTED]
Adapted from Goodman WG et al. N Engl J Med. 2000;342:1478-1483.
genzyme
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<PAGE>
Factors Associated With Cardiac Calcification In Young Dialysis Patients(1)
--------------------------------------------------------------------------------
Coronary No
Calcification Calcification
Factor (N=14) (N=25) P Value
--------------------------------------------------------------------------------
Ca intake from
calcium binders
(mg/day) 6456 +/- 4278 3325 +/- 1490 0.02
--------------------------------------------------------------------------------
Serum P (mg/dL) 6.9 +/- 0.9 6.3 +/- 1.2 0.06
--------------------------------------------------------------------------------
Ca x P (mg^2/dL^2) 65.0 +/- 10.6 56.4 +/- 12.7 0.04
--------------------------------------------------------------------------------
Age (years) 26 +/- 3 15 +/- 5 less than 0.001
--------------------------------------------------------------------------------
Mean dialysis (years) 14 +/- 5 4 +/- 4 less than 0.001
--------------------------------------------------------------------------------
Serum calcium was not significant.
1. Adapted from Goodman WG et al. N Engl J Med. 2000;342:1478-1483.
genzyme
general
<PAGE>
Renagel
o Effective P binder
o Non Absorbed - Non Metal based
o Well tolerated
o Lowers lipids comparable to statins
-- Up to 40% reduction in LDL - C
-- Up to 35% elevation in HDL - C
o It offers the solution
genzyme
general
<PAGE>
Treat to Goal Study
o Vascular calcification is common and progressive in the ESRD population
- We are employing a new method to the renal community to detect cardiac and
aortic calcification - EBCT
- Demonstrate Renagel can impact this
o Prospective randomized study
o Renagel vs Calcium binders
o Multicenter
o 225 patients
genzyme
general
<PAGE>
Demographics: Age and Gender
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Number of Patients
--------------------------
Control Renagel
------- -------
Age Group
---------
20-44 39 40
45-64 67 65
65-74 27 30
75+ 19 17
All 152 152
Gender
------
Male 54 54
Female 98 98
--------------------------------------------------------------------------------
Source: A. Collins, USRDS
genzyme
general
<PAGE>
Demographics: Race, Diabetic Status, and Hospital Stay Length
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Number of Patients
--------------------------
Control Renagel
------- -------
Race
----
White 61 59
Black 82 83
Other 9 10
DM Status
---------
Diabetic 105 110
Non-Diabetic 47 42
LOS Days
--------
0 113 128
1-3 16 13
4-10 19 11
11-20 4 0
--------------------------------------------------------------------------------
Source: A. Collins, USRDS
genzyme
general
<PAGE>
Demographics: Hematocrit Level and Prior ESRD Time
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Number of Patients
--------------------------
Control Renagel
------- -------
Hematocrit
----------
less than 27 21 24
27-less than 30 27 14
30-less than 33 44 46
33-less than 36 50 62
36+ 10 6
ESRD Time
---------
0-1 years 17 24
1-2 years 28 27
2-5 years 69 60
5+ years 38 41
--------------------------------------------------------------------------------
Source: A. Collins, USRDS
genzyme
general
<PAGE>
Adjusted Risk of First Hospitalization by Detailed Cox Regression Analyses
-------------------------------------------
M1: Age, gender, race
M2: M1 plus comorbidity
M3: M2 plus prior ESRD and hospital days
M4: M3 plus disease severity and hematocrit
-------------------------------------------
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Relative Risk of Hospitalization 0.46 0.51 0.54 0.48
--------------------------------------------------------------------------------
p=0.002 p=0.01 p=0.03 p=0.01
--------------------------------------------------------------------------------
Model M-1 M-2 M-3 M-4
--------------------------------------------------------------------------------
genzyme
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<PAGE>
Adjusted Risk of Death by Detailed Cox Regression Analyses
-------------------------------------------
M1: Age, gender, race
M2: M1 plus comorbidity
M3: M2 plus prior ESRD and hospital days
M4: M3 plus disease severity and hematocrit
-------------------------------------------
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Relative Risk of Hospitalization 0.663 0.675 0.651 0.683
--------------------------------------------------------------------------------
p=0.01
--------------------------------------------------------------------------------
Model M-1 M-2 M-3 M-4
--------------------------------------------------------------------------------
genzyme
general
<PAGE>
Death Rates (per 1,000 patient years)
Category Control Renagel
All Cause 100.9 66.7
Cardiac 27.1 14.1
Infectious 12.1 14.8
Unknown 16.2 18.1
Source: A. Collins, USRDS
genzyme
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<PAGE>
Savings to Medicare: 24%
[The following table was depicted as a bar chart in the printed material.]
--------------------------------------------------------------------------------
Control Renagel
------- -------
Inpatient $23,904 $13,788
Outpatient $29,772 $29,076
Other $3,264 $1,152
Physician $13,452 $9,048
Total $70,392 $53,064
Renagel Saving/Yr $17,000
--------------------------------------------------------------------------------
Source: A. Collins, USRDS
genzyme
general
<PAGE>
Morbidity & Mortality
o Prospective randomized study
o 2000 patients
o Reduction in hospitalization - 18 months (2003)
o Reduction in cardiac mortality - 2.5 years (2004)
genzyme
general
<PAGE>
Summary
o Calcium toxicity is seen as a real issue
o Renagel will have an impact
-- Well tolerated
-- Not absorbed
-- Lipid reduction
-- Reduction in calcification
-- Reduction in Morbidity and Mortality
-- Cost savings to the system
genzyme
general
<PAGE>
[right arrow] Key Drivers of Revenue Growth
o Patient population growing 6 - 8% annually
-- 1 million now to 1.7 million in 10 years
-- US population 280,000
o Increasing revenue/patient/year
-- Approximately $1,000 now to approximately $2,000 in 10 years
-- Increased dosage levels and compliance
o Expanding market share
-- Strong clinical benefits
-- Reduction in hospitalization costs
genzyme
general
<PAGE>
Renagel(R) NRx's
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------------
JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL
-------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Renagel 5535 5643 5326 6391 6347 6456 6311 6764 7441 7419 8419 8610 9815
-------------------------------------------------------------------------------------------------------
1999 2000
</TABLE>
Source: IMS NPA
genzyme
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<PAGE>
Renagel(R) TRx's
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------
JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL
--------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
RENAGEL 12047 12731 12504 14112 14888 15627 15394 15626 17288 17361 19571 20075 22050
--------------------------------------------------------------------------------------------------------------------
1999 2000
</TABLE>
Source: IMS NPA
genzyme
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<PAGE>
[right arrow] Renagel(R) Revenues
[The following table was depicted as a bar chart in the printed material.]
--------------------------
In millions
Q4'98 $0.3
1H 1999 $7.6
2H 1999 $11.9
1H 2000 $18.2
2H 2000E $27
--------------------------
Raising guidance to $45M in 2000; doubling in 2001
genzyme
general
<PAGE>
[right arrow] Renagel Marketing Programs
o European launch began early 2000
o Physician-sponsored education symposiums ongoing
o Tablet launch this month in U.S.
-- In next several months in Europe, Canada
o Increase sales force by 50%
genzyme
general
<PAGE>
[right arrow] Genzyme General Update
o Financial update
o Marketed products
o Pipeline
o Infrastructure
genzyme
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<PAGE>
[right arrow] Total Revenues
[The following table was depicted as a bar chart in the printed material.]
---------------------------------
In millions
1990 $ 61
1991 $120
1992 $216
1993 $268
1994 $311
1995 $379
1996 $461
1997 $496
1998 $570
1999 $635 $655*
YTD 6/30/00 $357 $357**
10-year CAGR: 30.2%
---------------------------------
* Includes $20M in Renagel(R) revenues
** Beginning Q2-00 forward, total revenues include Renagel(R) revenues
genzyme
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<PAGE>
[right arrow] Free Cash Flow
[The following table was depicted as a bar chart in the printed material.]
---------------------------------
(in millions)
1996 ($33.2)
1997 $79.2
1998 $109.9
1999 $131.3
YTD 6/30/00 $89.0
---------------------------------
Free Cash Flow = net income plus depreciation less net cash used for capital
expenditures and dividend payments
genzyme
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<PAGE>
[right arrow] Therapeutics Pipeline Expansion
[The following table was depicted as a line chart in the printed material.]
<TABLE>
<CAPTION>
---------------------------------------------------------------------------------------------------------
Number of Products Products in Market New Products Expected in Market
------------------ ------------------ -------------------------------
<S> <C> <C> <C>
1997 1 Cerezyme(R)
---------------------------------------------------------------------------------------------------------
1998 3
---------------------------------------------------------------------------------------------------------
1999 3 Cerezyme(R)
Renagel(R)
Thyrogen(R)
---------------------------------------------------------------------------------------------------------
2000 4 Fabrazyme(TM)
---------------------------------------------------------------------------------------------------------
2001 6-7 ATIII
AVONEX(R)/Japan
2002 8-10 Aldurazyme(TM)
Pompase(TM)
DX88 (HAE)
Niemann-Pick B
---------------------------------------------------------------------------------------------------------
Beyond 16+ Lumarel(TM)
NeuroCell-PD(TM)
PV
LSD-GT
MS
Scleroderma
---------------------------------------------------------------------------------------------------------
</TABLE>
genzyme
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<PAGE>
[PHOTO OMITTED]
genzyme
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Accelerating Momentum...
<PAGE>
[right arrow] Near-term Pipeline:
Fabrazyme(TM)for Fabry Disease
o Alpha-galactosidase enzyme deficiency
-- Kidney failure, cardiac disease, pain/numbness
o 2,000-4,000 patients worldwide
o Pivotal trial completed on time
-- Achieved primary endpoint
o Target filing
-- BLA submitted (U.S.); MAA validated (Europe)
o Present data at American Society of Human Genetics Conference, Philadelphia,
October 5
genzyme
general
<PAGE>
[right arrow] Near-term Pipeline:
Aldurazyme(TM)for MPS-I Disease
[PHOTO OMITTED]
o Alpha-L-iduronidase enzyme deficiency
o 2,000 - 3,000 patients worldwide
o Joint venture with BioMarin
o Begin confirmatory trial: H2 2000
genzyme
general
<PAGE>
[right arrow] Near-term Pipeline: Transgenic
Antithrombin III (ATIII)
[PHOTO OMITTED]
o Joint venture with Genzyme Transgenics
o Control blood clotting during CABG surgery
o Two Phase III trials completed
o Positive results from both trials
o Target BLA filing early 2001
genzyme
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<PAGE>
[right arrow] Medium-Term Pipeline
Avonex(R) in Japan
--------------------------------------------------------------------------------
o Collaboration with Biogen
o Genzyme Japan to manage clinical/regulatory/reimbursement marketing & sales
o Target launch: H2 2001
--------------------------------------------------------------------------------
Pompase(TM) for Pompe Disease
--------------------------------------------------------------------------------
o Worldwide license from Synpac /collaboration with Pharming
o Estimated 5,000 patients worldwide
o Pivotal trial to begin: H2 2000
--------------------------------------------------------------------------------
Niemann-Pick B Disease
--------------------------------------------------------------------------------
o Collaboration with Mt. Sinai School of Medicine
o Estimated 1,000 patients worldwide
o File IND: H1 2001
--------------------------------------------------------------------------------
genzyme
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<PAGE>
[right arrow] Medium-Term Pipeline
Lumarel(TM) for Cystic Fibrosis
--------------------------------------------------------------------------------
o Collaboration with Beth Israel, CF Foundation
o Compound corrects lipid imbalance
o Estimated 30,000 U.S. patients
o File IND by early 2001
--------------------------------------------------------------------------------
DX-88 for Hereditary Angioedema
--------------------------------------------------------------------------------
o Collaboration with Dyax
o Repeated attacks of swelling, often fatal with no effective therapy
o Estimated 5-10,000 patients worldwide
o Initiate phase II clinical trial: H2 2000
--------------------------------------------------------------------------------
genzyme
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<PAGE>
[right arrow] Longer-term Pipeline
NeuroCell(TM): Parkinson's Disease
--------------------------------------------------------------------------------
o JV partner Diacrin
o Phase II trials ongoing
o Initiate phase III clinical trial H2 2000
--------------------------------------------------------------------------------
Pemphigus Vulgaris
--------------------------------------------------------------------------------
o Autoimmune disorder
o Severe skin blistering, 10,000-15,000 patients
o IND filing, initiate clinical trials in 2001
--------------------------------------------------------------------------------
Gene Therapy: Lysosomal Storage Disorders
--------------------------------------------------------------------------------
o Gaucher Disease - clinical trial ongoing
o Other genetic diseases - preclinical
--------------------------------------------------------------------------------
genzyme
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<PAGE>
[right arrow] New Longer-term Candidates
Multiple Sclerosis
--------------------------------------------------------------------------------
o GENZ-29155 small molecule candidate
o Progressive loss of mobility, vision, and neurologic functions
o Approximately 350,000 U.S. patients
o Late preclinical stage
--------------------------------------------------------------------------------
Systemic Scleroderma
--------------------------------------------------------------------------------
o TGF-(beta) antagonist candidate
o Fibrotic tissue hardening of major internal organs, often fatal
o Approximately 70,000 U.S. patients
o Late preclinical stage
--------------------------------------------------------------------------------
genzyme
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<PAGE>
[right arrow] Our Employees Are
Creating Value Worldwide
[The following table was depicted as a graphic in the printed material.]
--------------------------------------------------------------------------------
Represents percentage of Number of
employees outside United States employees
------------------------------- ---------
Research & Development 5% >500
Manufacturing/Operations 20% >1200
Medical/Clinical/Regulatory 35% >250
Marketing/Sales/Reimbursement 50% >500
--------------------------------------------------------------------------------
genzyme
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<PAGE>
[right arrow] Accelerating Momentum 2000
o Increased clarity around key products
o Broad pipeline moving to market
-- Data from six clinical trials available
-- File several INDs and BLAs
-- Continue to add new products
o Strong financial performance continues
-- Consensus EPS of approximately $2.20
-- Strong positive cash flow
-- EPS growth target: 20% per year
genzyme
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<PAGE>
[PHOTO OMITTED]
genzyme
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Accelerating Momentum...
