WALTHAM, MA (October 25, 2004) – Decision Resources, Inc., a research and advisory firm focusing on pharmaceutical and health care issues, forecasts that Eli Lilly’s launch of ruboxistaurin in 2006 will transform the diabetic neuropathy drug market from a focus on pain control to one of disease modification.

According to the new Decision Resources study entitled “Diabetic Neuropathy,” EliLilly’s ruboxistaurin promises to be the first drug with disease-modifyingpotential that will launch beyond Japan. Epalrestat, available in Japan since1995, is thought to be only moderately effective, according to the research firm.

“Although ruboxistaurin has performed poorly in trials for diabetic retinopathy, interviewed experts remain hopeful that, if this agent is administered early enough in the disease process, it will reduce disease progression of distal symmetrical polyneuropathy, the most common clinical manifestation of neuropathy among diabetics,” according to Carilee Berg, analyst at Decision Resources.

Diabetic neuropathy is a disease in which diabetics’ hyperglycemia leadsto nerve damage. Distal symmetrical polyneuropathy, also known as diabeticperipheral neuropathy, is the most common clinical manifestation of neuropathyamong diabetics. Symptoms include pain and numbness, and the disease can leadto ulcers and even amputation. Distal symmetrical polyneuropathy patients arecurrently treated with drugs to control pain.