Ownership Submission
FORM 3
 UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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(Print or Type Responses)
1. Name and Address of Reporting Person *
  Rice Derica W
 2. Date of Event Requiring Statement (Month/Day/Year)
05/01/2006		 3. Issuer Name and Ticker or Trading Symbol
LILLY ELI & CO [LLY]
(Last)
(First)
(Middle)
LILLY CORPORATE CENTER		 4. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
_____ Director _____ 10% Owner
__X__ Officer (give title below) _____ Other (specify below)
Sr. Vice President and CFO
 5. If Amendment, Date Original Filed(Month/Day/Year)
(Street)

INDIANAPOLIS, IN 46285		 6. Individual or Joint/Group Filing(Check Applicable Line)
_X_ Form filed by One Reporting Person
___ Form filed by More than One Reporting Person
(City)
(State)
(Zip)
Table I - Non-Derivative Securities Beneficially Owned
1.Title of Security
(Instr. 4)		 2. Amount of Securities Beneficially Owned
(Instr. 4)		 3. Ownership Form: Direct (D) or Indirect (I)
(Instr. 5)		 4. Nature of Indirect Beneficial Ownership
(Instr. 5)
Common Stock 12,410
D
 
Common Stock 3,050
I
401(k)
Common Stock 1,242
I (1)
401(k) - by wife

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly. SEC 1473 (7-02)
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Table II - Derivative Securities Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 4)		 2. Date Exercisable and Expiration Date
(Month/Day/Year)		 3. Title and Amount of Securities Underlying Derivative Security
(Instr. 4)		 4. Conversion or Exercise Price of Derivative Security 5. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 5)		 6. Nature of Indirect Beneficial Ownership
(Instr. 5)
Date Exercisable Expiration Date Title Amount or Number of Shares
Employee stock option 10/01 (right to buy) 10/03/2003 10/04/2011 Common Stock 5,000 $ 79.28 D  
Employee stock option 10/96 (right to buy) 10/21/1999 10/20/2006 Common Stock 2,800 $ 34.595 D  
Employee stock option 10/97 (right to buy) 10/20/2000 10/19/2007 Common Stock 5,700 $ 64.06 D  
Employee stock option 10/98 (right to buy) 10/19/2001 10/17/2008 Common Stock 5,700 $ 74.2813 D  
Employee stock option 10/98 (right to buy) 10/19/2001 10/17/2008 Common Stock 1,600 $ 74.2813 I (1) by wife
Employee stock option 10/99 (right to buy) 10/18/2002 10/16/2009 Common Stock 10,000 $ 66.375 D  
Employee stock option 2/01 (right to buy) 02/20/2004 02/18/2011 Common Stock 12,000 $ 73.98 D  
Employee stock option 2/02 (right to buy) 02/18/2005 02/17/2012 Common Stock 10,000 $ 75.92 D  
Employee stock option 2/03 (right to buy) 02/16/2006 02/15/2013 Common Stock 11,200 $ 57.85 D  
Employee stock option 2/04 (right to buy) 02/15/2007 02/14/2014 Common Stock 25,000 $ 73.11 D  
Employee stock option 2/05 (right to buy) 02/11/2008 02/10/2015 Common Stock 23,077 $ 55.65 D  
Employee stock option 2/06 (right to buy) 02/10/2009 02/09/2016 Common Stock 27,108 $ 56.18 D  
Employee stock option 5/06 (right to buy) 05/01/2009 04/29/2016 Common Stock 30,000 $ 52.54 D  

Reporting Owners

Reporting Owner Name / Address Relationships
Director 10% Owner Officer Other
Rice Derica W
LILLY CORPORATE CENTER
INDIANAPOLIS, IN 46285		       Sr. Vice President and CFO  

Signatures

Derica W. Rice 05/03/2006
**Signature of Reporting Person Date

Explanation of Responses:

* If the form is filed by more than one reporting person, see Instruction 5(b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1) Reporting person disclaims beneficial ownership of these shares.

Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, See Instruction 6 for procedure.

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