Levitra Co-promotion Rights

GlaxoSmithKline PLC
10 January 2005

GSK's Levitra Co-Promotion Rights Transferred Back to Bayer in Most Major
Markets Outside the U.S.

London, UK, 10 January 2005 -  GlaxoSmithKline plc (GSK) (LSE and NYSE: GSK) and
Bayer HealthCare today announced an agreement under which GSK's Levitra(R)
(vardenafil HCl) co-promotion rights have transferred back to Bayer in certain
markets outside the U.S.  This agreement impacts major markets in Europe, Asia
Pacific, Africa, Latin America and Canada where the product is currently
co-promoted by Bayer and GSK.

There is no change in the U.S. arrangement under which GSK and Bayer (through
its distributor Schering-Plough) now co-promote Levitra.  Similarly, there will
be no change to the co-marketing arrangement in Italy where Bayer markets the
product as Levitra(R) and GSK markets it as Vivanza(R), or in countries where
one of the companies markets the product exclusively.

Under the terms of the agreement, GSK is transferring its European and
International co-promotion rights of Levitra to Bayer for a cash consideration
of Euro 208m.  Also, GSK's share of future R&D expenditure on Levitra will be
reduced by up to Euro 15m.

"Today's decision to buy back Levitra co-promotion rights is a logical step to
enhance Bayer HealthCare's Pharmaceuticals group in Europe, Latin America and
Asia where we have a strong primary care organization with the capacity and the
commitment to fully maximize the potential of our primary care portfolio, which
includes Levitra," explained Wolfgang Plischke, Head of Bayer HealthCare's
Pharmaceuticals Division.

David Stout, President, Pharmaceutical Operations for GlaxoSmithKline, said, 
"This agreement represents an opportunity for GSK and Bayer to realise the
maximum potential value from Levitra.  GSK will continue to be actively involved
in marketing the product in the US, Italy and 25 other countries worldwide, and
both companies remain firmly committed to its commercial success.  The
relationship between GSK and Bayer remains strong."

About GSK:
GlaxoSmithKline - one of the world's leading research-based pharmaceutical and
healthcare companies - is committed to improving the quality of human life by
enabling people to do more, feel better and live longer.

Cautionary statement regarding forward-looking statements

Under the safe harbour provisions of the US Private Securities Litigation Reform
Act of 1995, the company cautions investors that any forward-looking statements
or projections made by the company, including those made in this Announcement,
are subject to risks and uncertainties that may cause actual results to differ
materially from those projected.  Factors that may affect the Group's operations
are described under 'Risk Factors' in the Operating and Financial Review and
Prospects in the company's Annual Report on Form 20-F for 2003.

Enquiries:

UK Media enquiries:                    Philip Thomson        [phone]
                                       David Mawdsley        [phone]
                                       Chris Hunter-Ward     [phone]

US Media enquiries:                    Nancy Pekarek         [phone]
                                       Mary Anne Rhyne       [phone]
                                       Patricia Seif         (215)  751 7709

European Analyst/Investor enquiries:   Duncan Learmouth      [phone]
                                       Anita Kidgell         [phone]

US Analyst/ Investor enquiries:        Frank Murdolo         [phone]
                                       Tom Curry             [phone]




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