Biotech Values

[Rocky3]

From Wells (re $GILD - note number of new scripts wrong - probably 2491):

**IMS prescription data for Sovaldi were released for the week ending 7/4/2014, the 30th week of launch and a holiday
week.

**The week's total Sovaldi prescriptions were 6,804, a change of -16.43% vs. last week's 8,142, and the week's new
Sovaldi prescriptions were 3,078, a change of -19.07% vs. last week's 3,078.

**A sharp decrease in prescriptions was expected due to the long Fourth of July holiday week and we would look to the
next several weeks to get a better sense of the steady run-rate for the rest of the year, but based on trends from prior
weeks, as well as recent commentary from the company at our conference, we believe scrips data is beginning to reflect
increasing effects of warehousing and patient prioritization.

**BOTTOM LINE: Sovaldi prescriptions were down sharply but primarily due to the Fourth of July holiday. We would look
to the data in the next few weeks to get the more accurate run-rate. We continue to expect some slowing down as the
year progresses due to warehousing and patient prioritization, though we believe Q2 and full-year 2014 sales are
continuing to track well above consensus and reflect the substantial overall opportunity long term.