Investor Update

Basel, 12 October 2006

Roche Diagnostics announces launch of Accu-Chek Spirit insulin pump system

New system provides dependable and flexible insulin pump therapy and diabetes management

The first Accu-Chek branded insulin pump, the Accu-Chek Spirit insulin pump system, is now available in the United States.  This new diabetes self-management system includes an insulin pump, a blood glucose monitor, and software with a bolus calculator.  Everything needed for monitoring, analysis and insulin delivery as well as a choice of features that are important to people considering insulin pump therapy.

Launch of the Accu-Chek Spirit follows the recent announcement that the US Food and Drug Administration (FDA) has lifted the import alert for the sale of Accu-Chek insulin pumps by Disetronic Medical Systems AG (Burgdorf, Switzerland) for customers in the United States.

The worldwide market for insulin infusion products is estimated at CHF 1 bn in 2005, with a growth rate of between 11-12%.  Currently, the US market accounts for around 70% of worldwide sales.  Roche Diagnostics has an estimated global market share of around 15 %, with above-market growth outside the US.

About Accu-Chek Spirit
The Accu-Chek Spirit is the smallest insulin pump available featuring a full size (315 unit) insulin cartridge. Key features include:

• Three operating menus - selectable user menus that allow users to select the features they want to use
  People new to pump therapy or those who prefer just basic functions can choose the Standard menu, whereas those who prefer more advanced features can choose from the Advanced or Custom menu options. The Advanced menu is the most comprehensive, while the Custom menu can be customized to meet individual user preferences
  
• Discrete programming options - four bolus options and five basal rate profiles
  Its side-mounted tactile buttons, together with the bolus calculator residing on a separate PDA device, will allow the user to calculate a bolus and, using the tactile buttons, manually program their pump for insulin delivery without ever having to remove their insulin pump from their pocket or bra-pouch.  This is a great option for those who prefer discrete use of the insulin pump.  A unique feature of the ACCU-CHEK Spirit insulin pump is its reversible display which allows the user to wear the pump the way they want – there is no upside-down.

Features such as three operating menus, four bolus options and five basal rate profiles make insulin pump therapy more flexible and convenient for people with diabetes. It enables doctors and people with diabetes to adjust insulin delivery to individual needs.

The Accu-Chek Spirit insulin pump system integrates insulin delivery with blood glucose monitoring systems and information management and advice, enabling optimization of diabetes management for better health and quality of life.

As of today, the Accu-Chek Spirit insulin pump system supports users in 30 countries. Accu-Chek insulin pump therapy systems and supplies, such as infusion sets, are marketed in the United States and Canada by Disetronic Medical Systems Inc. of Fishers, Ind. and can be found on the Internet at www.disetronic-usa.com.

About Roche and the Roche Diagnostics Division
Headquartered in Basel, Switzerland, Roche is one of the world’s leading research-focused healthcare groups in the fields of pharmaceuticals and diagnostics. As a supplier of innovative products and services for the early detection, prevention, diagnosis and treatment of disease, the Group contributes on a broad range of fronts to improving people’s health and quality of life. Roche is a world leader in diagnostics, the leading supplier of medicines for cancer and transplantation and a market leader in virology. In 2005 sales by the Pharmaceuticals Division totalled 27.3 billion Swiss francs, and the Diagnostics Division posted sales of 8.2 billion Swiss francs. Roche employs roughly 70,000 people in 150 countries and has R&D agreements and strategic alliances with numerous partners, including majority ownership interests in Genentech and Chugai. Additional information about the Roche Group is available on the Internet (www.roche.com).

Roche’s Diagnostics Division, with a uniquely broad product portfolio, supplies a wide array of innovative testing products and services to researchers, physicians, patients, hospitals and laboratories worldwide.  Roche Diagnostics’ North American headquarters is located in Indianapolis, Ind. (www.roche-diagnostics.us). For further information, please visit our Web sites www.roche.com and www.roche-diagnostics.com.

Roche Diabetes Care is a pioneer in the development of blood glucose monitoring and insulin delivery systems as well as services to enable patient focused, cost effective, efficient diabetes management. For 30 years, the Accu-Chek brand has been committed to making life easier for people with diabetes and healthcare professionals and is completing the Circle of Care in diabetes management by offering blood glucose meters, insulin delivery systems and advice tools.

All trademarks used or mentioned in this release are legally protected.