Elan Corporation PLC

   Elan Reaffirms Commitment to Groundbreaking Alzheimer's Research

Elan Corporation, plc announced today that it is seeking binding
arbitration in connection with a dispute regarding its Exclusive and
Mutual Beta Secretase Inhibitors Research, Development and Marketing
Agreement (the "Agreement") with Pfizer Inc. The Agreement, originally
entered into with Pharmacia Corporation in August 2000, concerns the
discovery of small molecule inhibitors of beta secretase at the
research stage for the treatment of Alzheimer's disease.

The binding arbitration is based on Elan's termination of the Agreement for
cause due to certain breaches by Pfizer. As a result of the termination, Elan
believes that it holds the exclusive worldwide license to the intellectual
property developed in connection with the beta secretase research program.

"Prior to taking this step we made every effort to come to a mutually acceptable
resolution that would enable us to move forward either with Pfizer or
independently," said Kelly Martin, Elan President and Chief Executive Officer.
"Given the potential medical importance of the beta secretase program and our
leadership position in Alzheimer's research and development, we will take the
appropriate course of action to protect and enforce our rights under the
Agreement. As one of the world's leading companies dedicated to the treatment of
Alzheimer's disease, Elan remains focused on changing the course of the disease
in an effort to ultimately help millions of patients and their loved ones."

In addition to its beta secretase research, Elan's Alzheimer's program includes
a beta amyloid immunotherapy strategy, in collaboration with Wyeth, and research
work on the development of inhibitors to gamma secretase, which, like beta
secretase, is also associated with the development of the beta amyloid peptide.
Neither its immunotherapy projects nor its gamma secretase research is affected
by Elan's termination of the Pfizer collaboration.

About Elan

Elan is focused on the discovery, development, manufacturing, sale and marketing
of novel therapeutic products in neurology, severe pain and autoimmune diseases.
Elan (NYSE: ELN) shares trade on the New York, London and Dublin Stock
Exchanges.

This document contains forward-looking statements about Elan's financial
condition, results of operations and business prospects that involve substantial
risks and uncertainties. You can identify these statements by the fact that they
use words such as "anticipate", "estimate", "project", "envisage", "intend",
"plan", "believe" and other words and terms of similar meaning in connection
with any discussion of future operating or financial performance or events.
Among the factors that could cause actual results to differ materially from
those described herein are the following: the timing and outcome of Elan's
binding arbitration with Pfizer Inc. regarding the beta secretase program; the
success of Elan's research and development activities, including Elan's
immunotherapy projects and its gamma secretase research, and the speed with
which regulatory authorizations and product launches may be achieved;
competitive developments affecting Elan's current products and products under
development; the trend towards managed care and health care cost containment;
possible legislation affecting pharmaceutical pricing; exposure to product
liability and other types of lawsuits; and Elan's ability to protect its
intellectual property. A further list and description of these risks,
uncertainties and other matters can be found in Elan's Annual Report on Form
20-F for the fiscal year ended December 31, 2002, and in its Reports of Foreign
Issuer on Form 6-K. Elan assumes no obligation to update any forward-looking
statements, whether as a result of new information, future events or otherwise.

    CONTACT: Elan Corporation, plc
             Investors:
             Emer Reynolds, 353-1-709-4000 or 800-252-3526
             or
             Media:
             Anita Kawatra, 212-407-5755 or 800-252-3526