High River Responds to Mylan's Announcement NEW YORK, Jan. 12 /PRNewswire/ -- High River Limited Partnership announces that it is sending the following letter to Mylan Laboratories, Inc.: High River Limited Partnership 767 Fifth Avenue, 47th Floor New York, New York 10153 January 12, 2005 Milan Puskar Chairman Of the Board Mylan Laboratories, Inc. 1500 Corporate Drive Suite 400 Canonsburg, Pennsylvania 15317-8574 Dear Mr. Puskar: In your December 22 letter to me, you stated that "Mylan is a strong and proud company." However, as Chairman of the Board, you have chosen Robert Coury as a leader for Mylan. Mr. Coury: (i) stated to us in a meeting that he is skeptical regarding the future growth potential of the generic drug industry; (ii) has presided over a company whose revenue and EBITDA in fiscal years 2002-2004 (2003 and 2004 being the Coury years) grew at compound rates of 11.6 percent and 10.7 percent, respectively, as compared to 21 and 28 percent for its largest competitors, according to a report prepared for us by AT Kearny; (iii) does not, in our opinion, have enough experience running a company like Mylan; and (iv) has been attempting to lead Mylan into a transaction with King that we believe would be disastrous and could fatally wound Mylan. We do not think these are things to be proud of. In our view, watching Mr. Coury at Mylan has been analogous to watching a military commander who dislikes war, and with little combat experience, marching his troops toward a cliff. We were not surprised to see in today's announcement by Mylan that you do not expect to consummate the transaction with King on the terms set forth in the existing Mylan/King agreement. However, today's announcement does raise the specter of a new transaction with King. We advise you once again that we do not think King is a good acquisition candidate for Mylan on any terms and that in no event should Mylan seek to engage in a revised agreement that would attempt to avoid the vote of Mylan shareholders. As the holder of nearly 10% of Mylan's stock, we will continue to be active and vocal critics of Mylan if it may help to remind board members of their fiduciary obligations in evaluating the Mylan/King situation rather than blithely watching as the board follows a path of folly that may lead to a transaction with King. As we have told you before, we will hold the members of the Mylan board, as well as its officers and advisors, personally accountable for this entire regrettable situation, particularly if Mylan attempts to proceed with a transaction with King without seeking Mylan shareholder approval. We wish to impress upon you that our actions, which you refer to as "confrontational" or "intimidation," are in our view merely the appropriate exercise of shareholder rights. We believe that shareholders should be active and vocal critics of board decisions that they think are wrong, and should hold board members accountable for those decisions. Perhaps if shareholders had been more vocal critics of the Enron or Worldcom boards those egregious situations could have been avoided. We continue to be willing to stand by our proposal to acquire Mylan for $20 per share as previously made, without a "breakup fee", which we believe would set up a bidding process for Mylan. In our opinion, after all they have been through, Mylan shareholders should be given the right to choose between our proposal and any new transaction that Mylan may seek to negotiate with King. We look forward to hearing from you in this regard. Very truly yours, High River Limited Partnership SECURITY HOLDERS ARE ADVISED TO READ THE PROXY STATEMENT AND OTHER DOCUMENTS RELATED TO SOLICITATION OF PROXIES BY MR. ICAHN AND HIS AFFILIATES FROM THE STOCKHOLDERS OF MYLAN LABORATORIES INC. FOR USE AT ITS SPECIAL MEETING WHEN AND IF THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. WHEN COMPLETED, A DEFINITIVE PROXY STATEMENT AND A FORM OF PROXY WILL BE MAILED TO STOCKHOLDERS OF MYLAN LABORATORIES INC. AND WILL BE AVAILABLE AT NO CHARGE AT THE SECURITIES AND EXCHANGE COMMISSION'S WEBSITE AT http://www.sec.gov/. INFORMATION RELATING TO THE PARTICIPANTS IN A PROXY SOLICITATION IS CONTAINED IN THE SCHEDULE 14A FILED BY MR. ICAHN AND HIS AFFILIATES WITH THE SECURITIES AND EXCHANGE COMMISSION ON OCTOBER 14, 2004 WITH RESPECT TO MYLAN LABORATORIES INC. THAT SCHEDULE 14A IS CURRENTLY AVAILABLE AT NO CHARGE ON THE SECURITIES AND EXCHANGE COMMISSION'S WEBSITE. DATASOURCE: High River Limited Partnership CONTACT: Yevgeny Fundler, +1-212+702-4329, for High River Limited Partnership

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