Delisting Planned in Switzerland and in the U.S.

    GENEVA, Switzerland, March 21 /PRNewswire-FirstCall/ -- The Civil Court
of Basle-City announced today in the Swiss Official Gazette of Commerce
that Merck Vierte Allgemeine Beteiligungsgesellschaft mbH (Merck Vierte), a
subsidiary of Merck KGaA, has initiated a squeeze out procedure with
respect to the remaining publicly held bearer shares of Merck Serono S.A.
(formerly, Serono S.A. - virt-x: SEO and NYSE: SRA). Merck Vierte jointly
with other subsidiaries of Merck KGaA holds over 98% of Merck Serono's
voting rights, and is, therefore, entitled to squeeze out Merck Serono's
remaining outstanding bearer shares. As a result of the squeeze out, all
Merck Serono publicly held bearer shares will be cancelled.
    Merck Serono shareholders subject to the squeeze out will receive the
same compensation for their bearer shares as those shareholders who
tendered their bearer shares to Merck Vierte during the Swiss public tender
offer, i.e., CHF 1,100 net in cash per bearer share. As a consequence of
the cancellation of the bearer shares, holders of American Depositary
Receipts (ADRs) representing Merck Serono bearer shares will receive in
U.S. dollars a proportionate amount based on the number of bearer shares
their ADRs represent. Because each ADR represents a one-fortieth of one
Merck Serono bearer share, a holder will be entitled to receive the U.S.
dollar equivalent of CHF 27.50 per ADR. ADR holders will receive their
distributions of the squeeze out consideration through The Bank of New
York, the depositary for Merck Serono's ADRs. ADR holders will be required
to bear any fees and expenses the Bank of New York may impose pursuant to
the terms of the Deposit Agreement.
    Furthermore, Merck Serono intends to delist Merck Serono's securities
from the SWX Swiss Exchange and the New York Stock Exchange and terminate
Merck Serono's registration with the U.S. Securities and Exchange
Commission (SEC). Following delisting, trading in the securities on the
relevant stock exchange will cease. Following termination of Merck Serono's
registration with the SEC, Merck Serono will no longer be required to file
reports with the SEC.
    Forward-looking statements
    Some of the statements in this press release are forward looking. Such
statements are inherently subject to known and unknown risks, uncertainties
and other factors that may cause actual results, performance or
achievements of Merck Serono S.A. and affiliates to be materially different
from those expected or anticipated in the forward-looking statements.
Forward-looking statements are based on Merck Serono's current expectations
and assumptions, which may be affected by a number of factors, including
those discussed in this press release and more fully described in Serono's
Annual Report on Form 20-F filed with the U.S. Securities and Exchange
Commission on February 28, 2006. These factors include any failure or delay
in Merck Serono's ability to develop new products, any failure to receive
anticipated regulatory approvals, any problems in commercializing current
products as a result of competition or other factors, our ability to obtain
reimbursement coverage for our products, the outcome of any government
investigations and litigation. Merck Serono is providing this information
as of the date of this press release, and has no responsibility to update
the forward-looking statements contained in this press release to reflect
events or circumstances occurring after the date of this press release.
    About Merck Serono S.A.
    Merck Serono S.A. is a global biotechnology leader, with sales in over
90 countries. The Company is the world leader in reproductive health, with
Gonal-f(R), Luveris(R) and Ovidrel(R)/Ovitrelle(R). It has strong market
positions in neurology, with Rebif(R), as well as in metabolism and growth,
with Saizen(R), Serostim(R) and Zorbtive(TM). The Company has recently
entered the psoriasis area with Raptiva(R). Merck Serono's research
programs are focused on growing these businesses and on establishing new
therapeutic areas, including oncology and autoimmune diseases.
    Bearer shares of Merck Serono S.A., the holding company, are traded on
the virt-x (SEO) and its American Depositary Shares are traded on the New
York Stock Exchange (SRA).
    About Merck
    Merck is a global pharmaceutical and chemical company with sales of EUR
6.3 billion in 2006, a history that began in 1668, and a future shaped
about 35,000 employees (including Merck Serono) in 56 countries. Its
success is characterized by innovations from entrepreneurial employees.
Merck's operating activities come under the umbrella of Merck KGaA, in
which the Merck family holds an approximately 70% interest and free
shareholders own the remaining approximately 30%. In 1917 the U.S.
subsidiary Merck & Co. was expropriated and has been an independent company
ever since.

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