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FDA rejects long-acting Zyprexa; Lilly shares fall

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NEW YORK, Feb 28 (Reuters) - U.S. regulators have rejected a long-acting injectable form of Eli Lilly and Co's (LLY.N: Quote, Profile, Research) blockbuster schizophrenia drug Zyprexa, the company said on Thursday, sending its shares down 2 percent.

In its "not approvable" letter to Lilly, the U.S. Food and Drug Administration said it needed more information to better understand the risk and underlying cause of excessive sedation seen in about 1 percent of patients in clinical trials, the company said.

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