EXHIBIT 99.3

OSI PHARMACEUTICALS ANNOUNCES ACCEPTANCE OF A TARCEVA(R) SUPPLEMENTAL NEW DRUG
APPLICATION IN PANCREATIC CANCER FOR REVIEW BY THE U.S. FOOD AND DRUG
ADMINISTRATION; TARCEVA'S SNDA IS GRANTED PRIORITY REVIEW DESIGNATION BY THE FDA

      MELVILLE, N.Y.--(BUSINESS WIRE)--July 6, 2005--OSI Pharmaceuticals, Inc.
(NASDAQ: OSIP) announced today that the U.S. Food and Drug Administration (FDA)
has accepted for filing and review the supplemental New Drug Application (sNDA)
for use of Tarceva(R) (erlotinib) plus gemcitabine chemotherapy for the
treatment of advanced pancreatic cancer in patients who have not received
previous treatment. Tarceva is the only EGFR therapy shown to provide a
statistically significant survival benefit in patients treated in first-line
locally advanced or metastatic pancreatic cancer in combination with
gemcitabine. In addition, Tarceva has been granted priority review
classification by the FDA. Based on this priority review status, the FDA has six
months from receipt of the sNDA data, or until November 2, 2005, to take action
on the sNDA filing.

      "We look forward to continuing to work closely with the FDA through this
review process in hopes of bringing a new therapeutic treatment option to
pancreatic cancer patients," stated Colin Goddard, Ph.D., Chief Executive
Officer of OSI Pharmaceuticals.

      The acceptance of the sNDA filing satisfies provisions for a $7 million
milestone payment by Genentech, Inc. to OSI. The milestone will be accounted in
accordance with EITF 00-21 and therefore the revenues will be recognized over
the life of the product. As such the milestone is not expected to materially
impact 2005 earnings.

      ABOUT PANCREATIC CANCER

      The American Cancer Society predicts that in 2005 about 32,180 people in
the United States will be diagnosed with pancreatic cancer and about 31,800 will
die of the disease. Although pancreatic cancer accounts for 2 percent of new
cancer cases in the United States, it is the fourth leading cause of all cancer
deaths.

      ABOUT TARCEVA

      Tarceva is a small molecule designed to target the human epidermal growth
factor receptor 1 (HER1) pathway, which is one of the factors critical to cell
growth in non-small cell lung cancer (NSCLC) and other solid tumors. HER1, also
known as EGFR, is a component of the HER signaling pathway, which plays a role
in the formation and growth of numerous cancers. Tarceva is designed to inhibit
the tyrosine kinase activity of the HER1 signaling pathway inside the cell,
which may block tumor cell growth. Tarceva is the only HER1/EGFR-targeted
therapy proven to significantly prolong survival in second-line NSCLC as a
single agent.

      Tarceva was approved by the FDA in November 2004 and is an oral tablet
indicated for daily administration for the treatment of patients with locally
advanced or metastatic NSCLC after failure of at least one prior chemotherapy
regimen. Results from two earlier large, randomized, placebo-controlled clinical
trials in first-line advanced NSCLC patients showed no clinical benefit with
concurrent administration of Tarceva with doublet platinum-based chemotherapy
(carboplatin and paclitaxel or gemcitabine and cisplatin) and its use is not
recommended in that setting.



      TARCEVA SAFETY PROFILE

      In the pivotal NSCLC trial, the most common adverse reactions in patients
receiving Tarceva were rash and diarrhea. Grade 3/4 rash and diarrhea occurred
in 9 and 6 percent of Tarceva-treated patients, respectively. Rash and diarrhea
each resulted in discontinuation of 1 percent of Tarceva-treated patients. Dose
reduction for rash and diarrhea was needed for 6 and 1 percent of patients,
respectively. Historically, there have been infrequent reports of serious
interstitial lung disease (ILD), including fatalities, in patients receiving
Tarceva for treatment of NSCLC or other advanced solid tumors. In the pivotal
trial in NSCLC, severe pulmonary reactions, including potential cases of
interstitial lung disease, were infrequent (0.8 percent) and were equally
distributed between treatment arms. The overall incidence of ILD in
Tarceva-treated patients from all NSCLC studies was approximately 0.7 percent.

      ABOUT OSI PHARMACEUTICALS

      OSI Pharmaceuticals is committed to "shaping medicines and changing lives"
by discovering, developing and commercializing high-quality and novel
pharmaceutical products that extend life or improve the quality of life for
cancer and diabetes patients worldwide. The company operates through two
business teams, (OSI) Oncology and (OSI) Prosidion. (OSI) Oncology is focused on
developing molecular targeted therapies designed to change the paradigm of
cancer care. (OSI) Prosidion is committed to the generation of novel, targeted
therapies for the treatment of type 2 diabetes and obesity. OSI's flagship
product, Tarceva(R) (erlotinib), is the first drug discovered and developed by
OSI to obtain FDA approval and the only EGFR inhibitor to have demonstrated the
ability to improve survival in both non-small cell lung cancer and pancreatic
cancer patients. OSI markets Tarceva through partnerships with Genentech, Inc.
in the U.S. and with Roche throughout the rest of the world.

      In addition to Tarceva, (OSI) Oncology exclusively markets Novantrone(R)
(mitoxantrone concentrate for injection) for its approved oncology indications
and markets Gelclair(R) Bioadherent Oral Gel for the relief of pain associated
with oral mucositis. The research and development pipeline consists of novel
molecularly targeted anti-cancer agents focused on signal transduction pathways
involved in cell proliferation, apoptosis and angiogenesis. The most advanced of
these programs, targeting the co-inhibition of c-kit and VEGFR, has two
candidates in development.

      This news release contains forward-looking statements. These statements
are subject to known and unknown risks and uncertainties that may cause actual
future experience and results to differ materially from the statements made.
Factors that might cause such a difference include, among others, the completion
of clinical trials, the FDA review process and other governmental regulation,
OSI's and its collaborators' abilities to successfully develop and commercialize
drug candidates, competition from other pharmaceutical companies, the ability to
effectively market products, and other factors described in OSI Pharmaceuticals'
filings with the Securities and Exchange Commission.

CONTACT: OSI Pharmaceuticals, Inc.
Kathy Galante, 631-962-2000
Director, Investor & Public Relations
SOURCE: OSI Pharmaceuticals, Inc.