Proposed Share Buy Back Programme

UNITED DRUG PLC

PROPOSED SHARE BUY BACK PROGRAMME

Dublin, London, 10 May 2011: United Drug plc ("United Drug"or "the Group"), a leading international provider of services to healthcare manufacturers and pharmaceutical retailers, today announces that it is planning to operate a limited share buy-back programme of up to 5 million shares (€11.6 million based on the share price at close of business on 5 May 2011). This approximates to the number of shares issued over the last year under the Company's various share schemes most of which have now been discontinued. The buy-back programme will commence on 24 May and run until the requisite number of shares have been acquired or the start of the next close period for the Company.

Management remains focused on delivering the Group's strategy and has the financial flexibility to continue to pursue potential acquisitions that meet its investment criteria and to drive organic growth while maintaining a progressive dividend policy. In light of this and the return on capital opportunity implied by the current share price, the Board believes a buy-back of up to 5 million shares is an appropriate use of its cash.

The buy-back programme will be conducted in accordance with the terms of the general authority to make market purchases of its own shares granted to the Company by shareholders on 17 February 2011 and with the Listing Rules of the Irish Stock Exchange, the Listing Rules of the UK Listing Authority, the Market Abuse Directive and any other applicable legislation and regulatory requirements. The buy-back programme will be managed by Davy. The purchased shares will be cancelled.

ENDS Tuesday, 10th May 2011

For reference:

About United Drug plc

Listed on the Stock Exchanges in London and Dublin, United Drug is a leading international provider of services to healthcare manufacturers and pharmaceutical retailers, with operations in the UK, Ireland, the Netherlands, Belgium, Sweden and the USA. 

The Company operates across three divisions, Sales, Marketing & Medical division, Healthcare Supply Chain division and Packaging & Speciality Services division.

In the Sales, Marketing & Medical division, United Drug is the leading provider of contract sales outsourcing to pharmaceutical manufacturers in the UK and Ireland and has a growing presence in the US market. United Drug also provides related marketing services to pharmaceutical manufacturers in each of these markets.

In Healthcare Supply Chain, United Drug is the largest pharmaceutical wholesaler in the island of Ireland. It is also the market leader in contract distribution outsourcing (pre-wholesaling) in Ireland and has achieved the No. 1 position in the UK through its joint venture business, UniDrug Distribution Group (UDG). The Company provides specials medicines manufacturing and distribution services in the UK. Through its medical & scientific operations, United Drug provides sales & marketing and technical service solutions, including contract distribution services to a wide range of medical & scientific equipment & consumable manufacturers, and has a leading market position in Ireland and an emerging presence in the UK.

In the Packaging & Speciality division United Drug is a leading international provider of pharmaceutical contract packaging services, with facilities in the US, UK and Dutch and Belgian markets. The Company also provides speciality distribution and homecare services in the UK and Ireland.

For more information go to www.united-drug.ie