HAYWARD, Calif., Apr 02, 2007 (BUSINESS WIRE) -- IMPAX Laboratories, Inc. (OTC:IPXL) today announced that the
Company has signed an agreement with Purdue Pharma L.P. and certain of
its affiliates to settle patent infringement litigation pertaining to
IMPAX's generic versions of Purdue's Oxycontin(R) (oxycodone HCI
controlled-release) Tablets. The agreement grants a full release of
IMPAX, its exclusive distributor, DAVA Pharmaceuticals, Inc. (DAVA),
as well as its distributors and purchasers, and grants a license to
IMPAX to sell the products through June 14, 2007, with rights
to resume marketing in the near future of a limited amount of product
for a limited period of time. The settlement agreement will be
submitted to the Federal Trade Commission and the Antitrust Division
of the Department of Justice.
Additionally, IMPAX also has amended its Agreement with DAVA for
IMPAX's Oxycodone hydrochloride extended release tablets. Under the
original agreement announced November 7, 2005, IMPAX appointed DAVA
exclusive distributor for the product in exchange for appoint-fee
payments of up to $60 million over five years and a sharing of gross
profits. Under the terms of the amendment, IMPAX began to receive a
larger share of the profits from the sales of the products beginning
approximately March 1, 2007 and DAVA was relieved of all
appointment-fee payments beyond the $10 million previously paid.
"The settlement removes patent litigation risks to IMPAX and DAVA
and the amendment with DAVA better reflects the changes in the
marketplace," said Larry Hsu, President & CEO of IMPAX.
About IMPAX Laboratories, Inc.
IMPAX Laboratories, Inc. is a technology based specialty
pharmaceutical company applying its formulation expertise and drug
delivery technology to the development of controlled-release and
specialty generics in addition to the development of branded products.
IMPAX markets its generic products through its Global Pharmaceuticals
division and markets its branded products through the IMPAX
Pharmaceuticals division. Additionally, where strategically
appropriate, IMPAX has developed marketing partnerships to fully
leverage its technology platform. IMPAX Laboratories is headquartered
in Hayward, California, and has a full range of capabilities in its
Hayward and Philadelphia facilities. For more information, please
visit the Company's Web site at: www.impaxlabs.com.
"Safe Harbor" statement under the Private Securities Litigation
Reform Act of 1995:
To the extent any statements made in this press release contain
information that is not historical, these statements are
forward-looking in nature and express the beliefs and expectations of
management. Such statements are based on management's current
expectations and are subject to a number of known and unknown risks
and uncertainties that could cause IMPAX's future results, performance
or achievements to differ significantly from the results, performance
or achievements expressed or implied by such forward-looking
statements. Such risks and uncertainties include, but are not limited
to, possible adverse effects resulting from the delisting of and
suspension of trading in IMPAX's stock, the SEC proceeding to
determine whether to suspend or revoke the registration of IMPAX's
securities under section 12 of the Securities Exchange Act, IMPAX's
delay in filing its periodic reports subsequent to its Form 10-Q for
the third quarter of 2004, the time that will be required to complete
the filing of IMPAX's delinquent periodic reports, IMPAX's ability to
obtain sufficient capital to fund its operations, the difficulty of
predicting FDA filings and approvals, consumer acceptance and demand
for new pharmaceutical products, the impact of competitive products
and pricing, IMPAX's ability to successfully develop and commercialize
pharmaceutical products, IMPAX's reliance on key strategic alliances,
the uncertainty of patent litigation, the availability of raw
materials, the regulatory environment, dependence on patent and other
protection for innovative products, exposure to product liability
claims, fluctuations in operating results and other risks detailed
from time to time in IMPAX's filings with the Securities and Exchange
Commission. Forward-looking statements speak only as to the date on
which they are made, and IMPAX undertakes no obligation to update
publicly or revise any forward-looking statement, regardless of
whether new information becomes available, future developments occur
or otherwise.
SOURCE: IMPAX Laboratories, Inc.
IMPAX Laboratories, Inc.
Larry Hsu, Ph.D., 510-476-2000, Ext. 1111
President & CEO
Arthur A. Koch, Jr., 215-933-0351
CFO
www.impaxlabs.com
or
Investor Relations Contacts:
Lippert/Heilshorn & Associates, Inc.
Kim Sutton Golodetz, 212-838-3777
kgolodetz@lhai.com
Bruce Voss, 310-691-7100
bvoss@lhai.com
www.lhai.com