New Report Forecasts Hepatitis C Virus Epidemic Among Baby Boomers; Untreated HCV Progressing to Severe Liver Disease Seen Driving U.S. Costs to $85 Billion

-Over 3 million Americans have chronic hepatitis C -

-Baby boomers account for 2 of every 3 cases of hepatitis C virus and vast
majority unaware they have this chronic disease -

-Cost burden of hepatitis C to Medicare projected to increase 500% as baby
boomers with HCV age into severe complications of liver disease-
ATLANTA--(Business Wire)--
Over three million Americans, mostly baby boomers, are living with hepatitis C
virus (HCV) and nearly 80% don`t know they`re living with a disease that, absent
intervention, may give rise to advanced liver disease, including liver cancer. A
new study prepared by the actuarial firm Milliman, Inc. reports that, without
changes in how these patients are identified and managed, the annual cost of
advanced liver disease in HCV patients will jump to $85 billion in the next two
decades. Medicare costs will soar 500%, from $5 billion to $30 billion. Most
individuals living with HCV were born between 1946 and 1964 and a
disproportionate disease burden is borne by African Americans, who are almost
twice as likely to have HCV as the general population. The $85 billion estimated
cost includes overall direct medical costs for patients with HCV infection.

Consequences of Hepatitis C Virus (HCV): Costs of a Baby Boomer Epidemic of
Liver Disease, a new study commissioned by Vertex Pharmaceuticals, projects the
direct medical cost impact of HCV on commercial and government payers over the
next 20 years assuming no changes to current HCV management. Milliman employed
payer datasets, population survey results and disease progression information to
project chronic HCV disease states and associated direct medical costs. Societal
burdens other than costs of HCV disease were not considered in the study.

"Hepatitis C presents a looming and underappreciated public health epidemic,
with vital consequences for our nation's health and health care costs. As with
other chronic diseases, much more can and should be done to prevent it and its
complications. By addressing viral hepatitis with urgency, we have a real
opportunity to spare millions of people from the consequences of advanced liver
disease and liver cancer and avoid billions of dollars in potential costs," said
Dr. Mark B. McClellan, Director, Engelberg Center for Health Care Reform,
Brookings Institution.

The authors point out that "receiving treatment for HCV prior to the onset of
severe complications can reduce long-term, life-threatening consequences, though
only an estimated 22% of those infected with HCV are diagnosed." The report
concludes that, "as the population ages and the disease progresses, government
payers will bear the majority of the financial impact of chronic HCV infection."

"Millions of patients are affected by hepatitis C and hundreds of thousandswill
experience serious consequences of advanced liver disease, many, if not most,
within their retirement years. This report is the clarion call for increased
focus and resources to address preventable consequences of this mostly
unrecognized infection," according to Gary L. Davis, M.D., Baylor University
Medical Center in Dallas, Texas.

About Hepatitis C

Hepatitis C is a liver disease and a public health concern caused by the
hepatitis C virus (HCV), spread through direct contact with the blood containing
the virus. It is mostly transmitted through contaminated medical equipment
including needles, blood and blood products and organ transplantation from a
donor with HCV. Though many people with HCV may not experience symptoms, others
may have symptoms such as jaundice, abdominal pain, fatigue and fever. Chronic
HCV significantly increases a person`s risk for developing chronic liver
disease, cirrhosis or death. The burden of liver disease associated with HCV is
increasing. Current therapies typically provide sustained benefit in less than
half of patients with genotype 1 HCV, the most common strain of the virus, but
more than 60 treatments for HCV are currently in development. The report
forecasts that the total number of patients with liver cancer will triple to
15,000 cases.

The current treatment standard for HCV is a regimen of pegylated interferon
injections and ribavirin pills for multiple months. As many as 250,000 patients
in the United States have received at least one course of treatment with
pegylated interferon and ribavirin but have not achieved sustained virologic
response. Presently, patients who have failed interferon-based treatment
typically have few or no available treatment options, and are at risk for
progressive liver disease. Though new HCV cases have declined in the past two
decades, 1% of the U.S. population is thought to have HCV, representing about 3
million people, most of whom are baby boomers, with the peak prevalence among
those born in the early 1950s.

The study, commissioned by Vertex Pharmaceuticals Incorporated (NASDAQ: VRTX),
was issued during Hepatitis Awareness Month and in advance of World Hepatitis
Day on May 19, 2009 to raise awareness about and to the 170 million people
living with hepatitis C around the world. World Hepatitis Day is a
call-to-action to screen, treat and eliminate viral hepatitis globally. For more
information visit http://www.aminumber12.org/ and http://www.cdc.gov/hepatitis/

To obtain a copy of the complete Milliman study entitled "Consequences of
Hepatitis C Virus (HCV): Costs of a Baby Boomer Epidemic of Liver Disease" by
Bruce Pyenson, FSA, MAAA, Kathryn Fitch, RN, MEd and Kosuke Iwasaki, FIAJ, MAAA,
MBA, go to http://www.vrtx.com/millimanreport.html

About Vertex

Vertex Pharmaceuticals Incorporated (NASDAQ:VRTX) is a global biotechnology
company committed to the discovery and development of breakthrough small
molecule drugs for serious diseases. The Company`s strategy is to commercialize
its products both independently and in collaboration with major pharmaceutical
companies. Vertex`s product pipeline is focused on viral diseases, cystic
fibrosis, inflammation, autoimmune diseases, cancer and pain. The company is
developing telaprevir, an investigational drug for the treatment of hepatitis C
which is in Phase 3. The company, together with its collaborators Tibotec and
Mitsubishi Tanabe, intends to file for marketing approval of telaprevir with
U.S. Food and Drug Administration and other regulatory agencies in the second
half of 2010. Vertex co-discovered the HIV protease inhibitor, Lexiva, with
GlaxoSmithKline. Lexiva is a registered trademark of the GlaxoSmithKline group
of companies.

About Milliman

Milliman is among the world`s largest independent actuarial and consulting
firms. Founded in 1947 as Milliman & Robertson, the company currently has 49
offices worldwide. Milliman employs more than two thousand people, with a
professional staff of more than a thousand qualified actuaries and consultants
in specialties ranging from clinicians to economists. The firm has consulting
practices in healthcare, employee benefits, property and casualty insurance,
life insurance, and financial services. Milliman serves the full spectrum of
business, financial, government, union, education, and nonprofit organizations.
For further information, visit www.milliman.com.

This press release contains forward-looking statements, including statements
regarding (i) the projected annual overall cost burden of liver disease in HCV
patients in the U.S. and the projected increase in Medicare costs, (ii)
projections regarding the direct medical cost impact of HCV on commercial and
government payers over the next 20 years, (iii) the possibility that receiving
treatment for HCV prior to the onset of severe complications can reduce
long-term, life-threatening consequences, (iv) the expectations of Dr. McClellan
and Dr. Davis, (v) government payers bearing the majority of the financial
impact of chronic HCV infection, (vi) forecasts that the total number of
patients with liver cancer will triple to 15,000 cases and (vii) the intention
of Vertex and its collaborators to file for marketing approval of telaprevir
with the FDA and other regulatory agencies in the second half of 2010. While the
Company believes the forward-looking statements contained in this press release
are accurate, there are a number of factors that could cause actual events or
results to differ materially from those indicated in the forward-looking
statements. Those risks and uncertainties include, among other things, that the
outcomes from any one or all of its ongoing clinical trials of telaprevir and
its drug candidates may not be favorable, that regulatory authorities may
require supplemental trials in order to support registration of telaprevir or
other drug candidates, that unexpected and adverse drug safety experience in any
one or more of the ongoing trials being conducted by Vertex or its collaborators
could negatively impact development timelines and commercial possibilities for
any drug candidate, that Milliman, Inc.`s projections may not be accurate and
other risks listed under Risk Factors in Vertex`s annual report and quarterly
reports filed with the Securities and Exchange Commission and available through
the Company`s website at www.vrtx.com. Vertex disclaims any obligation to update
the information contained in this press release as new information becomes
available.

(VRTX-GEN)

Vertex Contacts:
Jane A. Kramer, 617-444-6924 (office)
781-799-9524 (mobile)
or
Zachry Barber, 617-444-6470 (office)
617-767-9533 (mobile)
or
Milliman Contact:
Bruce Pyenson, 646-473-3201 (office)

Copyright Business Wire 2009