LabCorp Completes Acquisition of Chiltern

Strengthens LabCorp’s Position as a Global Life Sciences Company with
Leading Diagnostics and Drug Development Businesses

BURLINGTON, N.C.–(BUSINESS WIRE)–LabCorp® (NYSE: LH), a leading global life sciences company, has
completed its previously announced acquisition of Chiltern, which will
become part of the company’s Covance Drug Development business. The
acquisition creates a market-leading CRO, with more than 20,000
employees around the world, enhancing Covance’s offerings to include a
dedicated focus on the high-growth emerging and mid-market biopharma

“The addition of Chiltern advances a key element of LabCorp’s strategy –
to bring innovative medicines to patients faster which ultimately will
improve patient outcomes,” said David P. King, chairman and CEO of
LabCorp. “We are delighted to welcome our Chiltern colleagues and look
forward to driving growth and innovation as we offer enhanced solutions
to our biopharmaceutical customers.”

The Covance executive team will be integrated with Chiltern members
immediately and will comprise existing leaders from both companies.

“The powerful combination of Covance and Chiltern enables us to provide
enhanced customer offerings including expanded functional service
provider solutions and leading oncology expertise,” said John Ratliff,
CEO of Covance. “I’m looking forward to beginning the next chapter in
our Covance story together with our strong leadership team and talented
colleagues. At the same time, I’d like to recognize and thank Jim
Esinhart Ph.D., Chiltern’s CEO, for his leadership in building a
tremendous company. While he is not joining us on our journey forward,
his dedication to customers, employees and patients has been greatly

Chiltern’s forecasted 2017 revenue and adjusted EBITDA are approximately
$550 million and $95 million, respectively. Excluding one-time costs
relating to the transaction and with the benefit of cost synergies, the
company expects it to be accretive to adjusted earnings per share and
free cash flow in year one, and to earn its cost of capital by year
three. The company will provide updated guidance that includes Chiltern
on its quarterly earnings call in October.

About LabCorp

LabCorp (NYSE: LH), an S&P 500 company, is a leading global life
sciences company that is deeply integrated in guiding patient care,
providing comprehensive clinical laboratory and end-to-end drug
development services. With a mission to improve health and improve
lives, LabCorp delivers world-class diagnostic solutions, brings
innovative medicines to patients faster and uses technology to improve
the delivery of care. LabCorp reported net revenues of nearly $9.5
billion for 2016 through the contributions of 52,000 employees in
approximately 60 countries. To learn more about LabCorp, visit,
and to learn more about Covance Drug Development, visit

Cautionary Statement Regarding Forward Looking Statements

This press release contains forward-looking statements including with
respect to Chiltern’s forecasted 2017 revenue and adjusted EBITDA,
expectations regarding Chiltern’s impact on adjusted earnings per share
and free cash flow, and expected leadership, benefits, growth,
innovation, product offerings and integration opportunities and timing.
Each of the forward-looking statements is subject to change based on
various important factors, including without limitation: the successful
integration of Chiltern into LabCorp’s business; adverse reactions to
the integration by customers, suppliers or strategic partners;
dependence on key personnel and customers; reliance on proprietary
technology; management of growth and organizational change; and
competitive actions in the marketplace. Actual results could differ
materially from those suggested by these forward-looking statements. The
Company has no obligation to provide any updates to these
forward-looking statements even if its expectations change. Further
information on potential factors that could affect operating and
financial results is included in the Company’s Form 10-K for the year
ended December 31, 2016, and subsequent Forms 10-Q, including in each
case under the heading risk factors, and in the Company’s other filings
with the SEC. The information in this press release should be read in
conjunction with a review of the Company’s filings with the SEC.


Pattie Kushner, 336-436-8263
Sue Maynard, 336-436-8263
Frommer, 336-436-5076