Shire PLC : Shire Executes Agreement to Divest DERMAGRAFT(R)

Shire Executes Agreement to Divest DERMAGRAFT®

DUBLIN, Ireland, January 17, 2014 - Shire plc (LSE: SHP, NASDAQ: SHPG), the
global specialty biopharmaceutical pany, today announced that it has entered
into a definitive agreement pursuant to which it has sold its DERMAGRAFT assets
to Organogenesis Inc. DERMAGRAFT is a living skin substitute indicated for use
in the treatment of full-thickness diabetic foot ulcers and is approved for use
in the US and Canada. Going forward Organogenesis will assume all financial and
management responsibility for DERMAGRAFT.

Flemming Ornskov MD, Chief Executive Officer of Shire mented: "Following the
new strategy we outlined during the first half of last year, Shire has had a
renewed focus on operational discipline. As such, we have been prioritizing
investments that are of the greatest strategic, clinical and mercial value
to our Company. DERMAGRAFT no longer meets these criteria and this divestment
will allow us to focus our resources on other projects. Due to the recent
Medicare ruling regarding reimbursement for DERMAGRAFT, the business
environment has changed, and the prospects for the product have reduced
significantly. We believe the best path forward for the patients who benefit
from DERMAGRAFT is to transfer it to new ownership in order to provide
continued care and availability of their treatment."

Transaction Details

The DERMAGRAFT assets that have been sold to Organogenesis prise the key
operating assets relating to the development, manufacture and sale of the
DERMAGRAFT product. These assets include intellectual property relating to
DERMAGRAFT including patents, trademarks and know-how; regulatory filings and
registrations relating to DERMAGRAFT; certain manufacturing plant, equipment
and materials; DERMAGRAFT product inventory and accounts receivable. These
assets had a value of $683 million in Shire's September 30, 2013 balance sheet.
Shire is generally retaining legacy liabilities relating to the DERMAGRAFT
business, including the previously announced Department of Justice
investigation relating to the sales and marketing practices of Advanced
Biohealing, Inc (now known as Shire Regenerative Medicine, Inc.).

Shire will receive no upfront payment from Organogenesis but is entitled to
receive up to $300 million cash in total milestone payments should
Organogenesis meet certain annual net sales targets between now and 2018(1).
Shire will record a loss on disposal and associated impairment charges of
approximately $650 million in the fourth quarter of 2013, which will be
excluded from Non GAAP earnings.

DERMAGRAFT operations will be reported as discontinued in Shire's fourth
quarter and full year earnings for 2013. The US GAAP operating loss from
DERMAGRAFT operations in the nine months ended September 30, 2013 amounted to
$324 million including the impairment of goodwill ($192 million recorded in Q1
2013). On a Non GAAP basis for the same period the operating loss for
Dermagraft operations was $81 million.

In advance of its Full Year 2013 earnings release scheduled for February 13,
2014 Shire will issue a further press release providing historical quarterly
analysis for 2012 and 2013 restated to show the DERMAGRAFT operations as
discontinued.

Lazard and Davis Polk & Wardwell LLP acted as advisors to Shire.

Reference:

(1) The annual net sales targets range from as low as $70 million in calendar
years 2014 and 2015 to as high as $250 million. For the purposes of determining
the reported loss on disposal, the fair value of these contingent payments is
estimated at approximately $30 million.

For further information please contact:

Investor Relations

Eric Rojas                              erojas@shire.     [phone]

Sarah Elton-Farr                        seltonfarr@shire. [phone]

Media

Jessica Mann                            jmann@shire.      [phone]

Gwen Fisher                             gfisher@shire.    [phone]

NOTES TO EDITORS

Shire enables people with life-altering conditions to lead better lives.

Our strategy is to focus on developing and marketing innovative specialty
medicines to meet significant unmet patient needs.

We provide treatments in Neuroscience, Rare Diseases, Gastrointestinal,
Internal Medicine and Regenerative Medicine and we are developing treatments
for symptomatic conditions treated by specialist physicians in other targeted
therapeutic areas.

www.shire.

About Dermagraft
DERMAGRAFT is a cryopreserved human-fibroblast -derived dermal substitute; it
is posed of fibroblasts, extracellular matrix, and a bioabsorbable scaffold.
DERMAGRAFT is indicated for use in the treatment of full-thickness diabetic
foot ulcers greater than six weeks duration, which extend through the dermis,
but without tendon, muscle, joint capsule, or bone exposure. DERMAGRAFT should
be used in conjunction with standard wound care regimens and in patients that
have adequate blood supply to the involved foot. DERMAGRAFT is contraindicated
for use in ulcers that have signs of clinical infection or in ulcers with sinus
tracts. DERMAGRAFT is contraindicated in patients with known hypersensitivity
to bovine products, as it may contain trace amounts of bovine proteins from the
manufacturing medium and storage solution. The most frequently reported adverse
events experienced by patients in the DERMAGRAFT group of the pivotal
registration trial (terms