Bausch & Lomb Licenses SEGRA Compound From Schering AG for Ophthalmic Use.

ROCHESTER, N.Y. & BERLIN -- Bausch & Lomb (NYSE:BOL) and Schering AG, Germany (FSE:SCH; NYSE:SHR) announce today that Bausch & Lomb has obtained an exclusive worldwide license from Schering to develop and market a selective glucocorticoid receptor agonist (SEGRA) for the non-systemic treatment of eye disorders.

Bausch & Lomb will evaluate the compound's potential as a novel anti-inflammatory medication with an improved safety profile for ophthalmic indications. Today glucocorticoids are the most potent and frequently used anti-inflammatory compounds but their value is limited by side effects including glaucoma induction. SEGRAs, using a distinct molecular mechanism after binding to a glucocorticoid receptor, may demonstrate a superior effect/side-effect profile when compared to standard glucocorticoids. The project is in the initial preclinical stage of evaluation.

"Our agreement with Schering, a pre-eminent name in the development and commercialization of pharmaceuticals, is yet another example of how we at Bausch & Lomb are actively pursuing unique compounds and creative therapeutic approaches in order to expand our pipeline of new products to help people with vision-threatening ophthalmic conditions," said Praveen Tyle, Ph.D., Bausch & Lomb chief scientific officer and senior vice president - Global Research and Development. "We believe that the SEGRA technology is a natural fit with Bausch & Lomb's ocular anti-inflammatory expertise, and would strategically complement our portfolio of proprietary loteprednol-based anti-inflammatory products, Lotemax(R), Alrex(R) and Zylet(R)."

"The collaboration with Bausch & Lomb is an excellent opportunity for us to broadly explore the potential of SEGRAs and capitalize on the full value of these compounds," said Dr. Khusru Asadullah, head of Inflammation Research for Schering AG, Germany.

Under the terms of the agreement, Bausch & Lomb is responsible for development of the SEGRA compound for non-systemic use in ophthalmology. Bausch & Lomb will make upfront and milestone payments based on the development and registration progress, and pay ongoing royalties based on product sales. Further details of the agreement were not disclosed.

About Bausch & Lomb

Bausch & Lomb is the eye health company, dedicated to perfecting vision and enhancing life for consumers around the world. Its core businesses include soft and rigid gas permeable contact lenses and lens care products, and ophthalmic surgical and pharmaceutical products. The Bausch & Lomb name is one of the best known and most respected healthcare brands in the world. Founded in 1853, the Company is headquartered in Rochester, New York. Bausch & Lomb's 2004 revenues were $2.2 billion; it employs approximately 13,700 people worldwide and its products are available in more than 100 countries. More information about the Company can be found on the Bausch & Lomb Web site at www.bausch.com.

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About Schering AG

Schering AG is a research-based pharmaceutical company. Its activities are focused on four business areas: Gynecology&Andrology, Oncology, Diagnostic Imaging as well as Specialized Therapeutics for disabling diseases. As a global player with innovative products, Schering AG aims for leading positions in specialized markets worldwide. With in-house R&D and supported by an excellent global network of external partners, Schering AG is securing a promising product pipeline. Using new ideas, Schering AG aims to make a recognized contribution to medical progress and strives to improve the quality of life: making medicine work

Find additional information at: www.schering.de/eng

Forward-Looking Statements

This news release contains, among other things, certain statements of a forward-looking nature relating to future events or the future business performance of Bausch & Lomb. Such statements involve a number of risks and uncertainties including those concerning economic conditions, currency exchange rates, product development and introduction, the financial well-being of key customers, the successful execution of marketing strategies, the continued successful implementation of its efforts in managing and reducing costs and expenses, as well as the risk factors listed from time to time in the Company's SEC filings, including but not limited to filings on Form 8-K and on Form 12b-25, each dated August 8, 2006. Copyright Bausch & Lomb.

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