92% failure rate of new drug development

The recent flap of the plummeting stock price of 基亞生技 raised my attention to the success rate of new drug development. From a report by Bain Consulting in 2003, it showed, in 2000-2002, the failure rate of new drug development was as high as 92% with a whopping $1.7B total cost and only 5% ROI if approved by FDA. The lucrative profit of new blockbuster drug dreamed by any upstart bio-tech company starts to become holy grail nowadays.
http://www.bain.com/bainweb/PDFs/cms/Public/rebuilding_big_pharma.pdf