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Exhibit 99.1
CUBIST PHARMACEUTICALS AND GILEAD SCIENCES ANNOUNCE EUROPEAN COMMERCIALIZATION
AGREEMENT FOR INVESTIGATIONAL ANTIBACTERIAL AGENT CIDECIN
CAMBRIDGE, Mass., and FOSTER CITY, Calif.-- Jan. 7, 2001--Cubist
Pharmaceuticals, Inc. (Nasdaq: CBST) and Gilead Sciences, Inc. (Nasdaq: GILD)
today jointly announced the signing of a licensing agreement for the exclusive
rights to commercialize Cubist's investigational antibacterial drug Cidecin(TM)
(daptomycin for injection) and an oral formulation of daptomycin in 16 European
countries following regulatory approval.
Gilead has agreed to pay Cubist an up-front licensing fee of $13
million, and Cubist is entitled to receive additional cash payments of up to $31
million upon achievement of certain clinical and regulatory milestones. Gilead
will also pay Cubist a fixed royalty on net sales. Cubist will continue to be
responsible for worldwide clinical development of Cidecin, while Gilead will be
responsible for any regulatory filings in the covered territories. Gilead's
sales force will market the products in Europe. Cubist will provide European
Medical Science Liaisons (MSLs) who will support the product by providing
medical education services to infectious disease specialists and other
international opinion leaders.
"We believe Gilead to be the ideal European marketing partner for
Cubist," said Scott M. Rocklage, Ph.D., Chairman, President and CEO of Cubist.
"With its international sales force, Gilead is already calling on the identical
target market for Cidecin. We believe this will be a synergistic relationship
given that Gilead's product AmBisome and Cidecin are complementary in
therapeutic focus, allowing for targeted marketing efforts to the same physician
audiences. In addition, Gilead's proven track record of sales performance and
experience with European regulatory authorities provides us with confidence in
the company's ability to successfully market Cidecin to the European hospital
community."
Daptomycin is the first in a new class of investigational drugs called
lipopeptides. Cubist is currently developing IV and oral formulations of
daptomycin to treat serious bacterial infections. In vitro data show daptomycin
has the ability to rapidly kill virtually all Gram-positive bacteria, including
those resistant to current therapies. Cubist has multiple ongoing Phase III
clinical trials of Cidecin, the IV formulation, to evaluate the efficacy and
safety in the treatment of complicated skin and soft tissue infection (cSST),
community-acquired pneumonia (CAP) and complicated urinary tract infection
(cUTI). Phase II trials are also ongoing to investigate the treatment of
bacteremia (BAC) and resistant infections (RRC). Cubist recently announced that
it had completed enrollment in its international Phase III cSST trial and
expects to announce clinical results during the second quarter of 2001. An oral
version of daptomycin is currently in pre-clinical development.
"Cidecin is an important addition to our portfolio of products for
unmet medical needs," said John C. Martin, Ph.D., President and Chief Executive
Officer of Gilead. "We believe Cidecin possesses a strong worldwide market
potential and are pleased that Cubist has chosen Gilead as its European
commercialization partner."
Gilead markets AmBisome-Registered Trademark- (amphotericin B)
liposome for injection in 42 countries worldwide for the treatment of
life-threatening systemic fungal infections. Since the product's
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European introduction in 1990, Gilead has successfully grown the market for
AmBisome throughout the world. With total 1999 sales of $173 million, AmBisome
is the second largest-selling injectable antifungal product worldwide. Much of
the product's growth can be attributed to Gilead's efforts to increase the
number of territories in which AmBisome is marketed, expand the product label
through additional regulatory filings and inclusion of head-to-head competitive
data, and maintain its well established marketing relationships.
Cubist Pharmaceuticals is focused on becoming a global leader in the
research, development and commercialization of novel antimicrobial drugs to
combat serious and life-threatening bacterial and fungal infections. Cubist is
evaluating the safety and efficacy of Cidecin(TM) (daptomycin for injection) in
the EDGE(TM) (Evaluation of Daptomycin against Gram-positive Entities) clinical
trial program and is engaged in multiple, strategic partnerships, including
Novartis Pharma AG, Merck & Co and Schering-Plough for the discovery and
development of novel antiinfectives. Cubist recently completed the acquisition
of TerraGen Discovery Inc., a private, natural products discovery company with
operations in Vancouver, BC, Canada and Slough, UK.
Gilead Sciences, headquartered in Foster City, CA, is an independent
biopharmaceutical company that seeks to provide accelerated solutions for
patients and the people who care for them. The company discovers, develops,
manufactures and commercializes proprietary therapeutics for challenging
infectious diseases (viral, fungal and bacterial infections) and cancer. Gilead
maintains research, development or manufacturing facilities in Foster City, CA,
Boulder, CO, San Dimas, CA, and Cambridge, UK, and sales and marketing
organizations in the United States, Europe and Australia.
Statements contained herein that are not historical fact may be
forward-looking statements within the meaning of Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of 1934, that are
subject to a variety of risks and uncertainties. There are a number of important
factors that could cause actual results to differ materially from those
projected or suggested in any forward-looking statements made by Cubist or
Gilead. These factors include, but are not limited to: (i) the ability of Cubist
to successfully complete product research and development, including
pre-clinical and clinical studies and commercialization; (ii) the ability of
Cubist and Gilead to obtain required governmental approvals; (iii) the ability
of Cubist to attract and/or maintain manufacturing, sales, distribution and
marketing partners; (iv) the ability of Cubist to develop and commercialize its
products before its competitors; and (v) the ability of Gilead to grow or
maintain the market for AmBisome particularly in light of the anticipated
introduction of competitive products. Additional factors that would cause actual
results to differ materially from those projected or suggested in any
forward-looking statements are contained in each company's filings with the
Securities and Exchange Commission, including those factors discussed under the
caption "Risk Factors" for Cubist on Annual Report on Form 10-K/A (file No.
000-21379) filed on April 3, 2000 and for Gilead on Form 10-K for the year ended
December 31, 1999.
For additional information, visit either of the companies' web sites at
www.cubist.com or www.gilead.com
