Zoetis : to Expand Manufacturing Capacity in Kalamazoo

Zoetis Inc. today announced a plan to expand capacity at its Global Manufacturing and Supply facility in Kalamazoo, Mich. Zoetis will install two new production lines and related operations to manufacture oral tablet and chewable medicines for companion animals. The company expects to add up to 45 manufacturing positions in the next three years.

'Kalamazoo is home to one of the largest and most important manufacturing sites in Zoetis' Global Manufacturing and Supply network,' said Matthew Everhart, Vice President, Pharmaceutical and Aseptic Operations, Global Manufacturing and Supply at Zoetis. 'Locating manufacturing here gives us continued access to a highly skilled and diverse workforce which is essential to managing a global animal health company. Our people provide our veterinarian and livestock farmer customers with a reliable supply of high quality medicines for their animals and are an integral part of the community here.'

'We are committed to enhancing our manufacturing operations in Kalamazoo and thank the Michigan Economic Development Corporation, the cities of Kalamazoo and Portage, and Southwest Michigan First for their efforts to attract and help businesses grow in Michigan.'

Awarded Michigan Business Development Program Grant

The Michigan Economic Development Corporation (MEDC) awarded Zoetis a Business Development Program incentive grant.

'Today's investment announcement by Zoetis will foster a long-term positive impact on western Michigan's economy and bring new jobs to the area. Numerous public and private partners deserve thanks for helping make this project happen, and we are pleased to support that collaboration,' said MEDC Chief Executive Officer Steve Arwood. 'Zoetis' decision to bolster its production of medicines here demonstrates that our business climate and our state's world-class talent make Michigan a top destination for biotech companies to locate, expand and grow new jobs.'

Zoetis Manufacturing and Research & Development Presence in Kalamazoo

Zoetis currently employs approximately 300 colleagues at its manufacturing facilities in Kalamazoo and Portage, including 265 dedicated directly to manufacturing. Renovations to the 524,000-square foot facility in Kalamazoo will expand production of Simparica(sarolaner) Chewables, the innovative oral flea and tick medication for dogs, which was approved by the U.S. Food and Drug Administration in February 2016. The company expects to begin renovations later this month and to complete the project by early 2019.

Zoetis manufactures many of its leading products in Kalamazoo, including the topical flea and tick and heartworm preventative medication for dogs and cats Revolution/Stronghold (selamectin); Convenia(cefovecin sodium), an anti-infective for dogs and cats that offers safe, effective treatment of common bacterial skin infections in one easy-to-administer injection; Dectomax, a dewormer that provides treatment and control of internal and external parasites in cattle; and the ceftiofur family of injectable antibiotic products for livestock animals: Excede (ceftiofur crystalline free acid) Sterile Suspension, Excenel RTU EZ (ceftiofur hydrochloride, Naxcel (ceftiofur sodium) Sterile Powder, and Spectramast (ceftiofur hydrochloride).

Kalamazoo also serves as the global headquarters for Zoetis' Veterinary Medicine Research and Development organization, where it employs approximately 700 colleagues. The Research and Development headquarters was established in Kalamazoo in 2003.

AboutZoetis

Zoetis (NYSE: ZTS) is the leading animal health company, dedicated to supporting its customers and their businesses. Building on more than 60 years of experience in animal health, Zoetis discovers, develops, manufactures and markets veterinary vaccines and medicines, complemented by diagnostic products, genetic tests, biodevices and a range of services. Zoetis serves veterinarians, livestock producers and people who raise and care for farm and companion animals with sales of its products in more than 100 countries. In 2016, the company generated annual revenue of $4.9 billion with approximately 9,000 employees. For more information, visit www.Zoetis.com.

DISCLOSURE NOTICE

Forward-Looking Statements: This press release contains forward-looking statements, which reflect the current views of Zoetis with respect to business plans or prospects, expectations regarding products, future use of cash and other future events. These statements are not guarantees of future performance or actions. Forward-looking statements are subject to risks and uncertainties. If one or more of these risks or uncertainties materialize, or if management's underlying assumptions prove to be incorrect, actual results may differ materially from those contemplated by a forward-looking statement. Forward-looking statements speak only as of the date on which they are made. Zoetis expressly disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. A further list and description of risks, uncertainties and other matters can be found in our Annual Report on Form 10-K for the fiscal year ended December 31, 2016, including in the sections thereof captioned 'Forward-Looking Statements and Factors That May Affect Future Results' and 'Item 1A. Risk Factors,' in our Quarterly Reports on Form 10-Q and in our Current Reports on Form 8-K. These filings and subsequent filings are available online at www.sec.gov, www.zoetis.com, or on request from Zoetis.