Subject: U. S., France Agree To Share Royalties On AIDS Test Kits
Date: Published: 4/1/87 53 lines
Source:  Wall Street Journal.  Copyright Dow Jones & Co. Inc. 

   U. S., France Agree
   To Share Royalties
   On AIDS Test Kits
    ---
   By Ellen Hume
   Staff Reporter of The Wall Street Journal

   WASHINGTON -- President Reagan and French Prime Minister
Jacques Chirac announced that the two nations resolved their
legal battle over who discovered the AIDS virus, and agreed
to share royalties from sales of test kits for the virus.
   The pact ends a 16-month dispute in which the French
claimed credit for the discovery of the virus and sought a
share of the estimated $5 million in annual royalties from
sales of the blood-test kits.  Currently, the royalties go to
the U. S. Treasury.  The sales are estimated to total $100
million annually.
   Many in the scientific community found the quarrel over
scientific credit and national pride unseemly in the midst of
the growing AIDS -- or acquired immune deficiency syndrome -- 
epidemic.  Under the agreement, the U. S. Department of Health
and Human Services and France's Pasteur Institute will
establish a new foundation funded by shared royalties from
blood screening tests for the HIV infection responsible for
the AIDS virus.  Each institution will give 80% of its share
to the new foundation in order to pursue research and
education on AIDS. 
   In turn, doctors at the Pasteur Institute agreed to drop
both claims for patents on the test kits and a civil suit
filed against an American scientist over who discovered the
virus.
   Yesterday's announcement, which came during an official
visit by Mr. Chirac to the White House, signaled a new
willingness by President Reagan to get involved publicly in
the AIDS crisis.  Mr. Reagan will discuss the disease again
today when he addresses a physicians' group in Philadelphia.
   White House spokesman Marlin Fitzwater acknowledged that
the estimated $4 million in annual funding for the new
foundation is small compared with the more than $1.75 billion
the administration has proposed spending for AIDS research
over two years beginning last October.  "Every little bit
helps," he concluded.  The foundation, which will be based in
Washington, also will seek private donations, he said.

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