Share Purchase Plan

31 Jan 2005 16:00

Skyepharma PLC31 January 2005 For Immediate Release 31 January 2005 SkyePharma PLC (the "Company") On 30th January 2005, as a result of the operation of the SkyePharma PLCDeferred Share Bonus Plan, the following directors of the Company became thelegal and beneficial owners of the following numbers of Ordinary Shares of theCompany with a value of £0.6425 per Share:- Name Number of Ordinary Shares (value £0.6425 per Share)Ian Gowrie-Smith 81,373Michael Ashton 87,832Donald Nicholson 53,231 Summary of the Operation of the Plan The Plan provides for a mandatory deferral of a minimum of 50% of the bonusearned by participants for a given financial year in Ordinary Shares of theCompany ("Executive Shares"). The Company provides an award of Ordinary Shares("Matching Shares") based on the gross amount of bonus invested in OrdinaryShares by the relevant participant. These Matching Shares are released to theparticipant on the third anniversary of the date of grant provided that theparticipant remains employed by the Company and has not disposed of any of hisor her Executive Shares during the period. These Ordinary Shares released to the directors of the Company on 30th January2005 are the award of Matching Shares made on 30th January 2002, in respect ofthe bonus earned for FY2001 deferred in Executive Shares, which have beenreleased under the Plan on the satisfaction of the above conditions. The releaseof these Ordinary Shares has resulted in a tax liability on their current value.All the directors of the Company have decided to pay the tax due out of theirown personal resources in order to retain all the Ordinary Shares released. Note:- At the 2004 AGM it was agreed with shareholders that the release of any futureawards of Matching Shares made under the Plan would be subject to thesatisfaction of an additional total shareholder return performance condition. This information is provided by RNS The company news service from the London Stock Exchange