SICOR Announces Financial Results for the Third Quarter 1999 And Continues Profitable Trend

- Gross Profit up 69 Percent Over Prior Year - Net Income up Over 500 Percent From Previous Quarter - Diluted Earnings Per Share Were $0.04 SICOR Inc. (Nasdaq: SCRI) today announced that net income for the quarter ended September 30, 1999 was $3.1 million, or $0.04 per share on a diluted basis, compared to a net loss of $3.3 million, or a $0.04 loss per share in the comparable quarter ended September 30, 1998. Total revenue for the three months ended September 30, 1999 increased 27% to $55.4 million compared to $43.5 million for the three months ended September 30, 1998. The third quarter of 1998 included revenue of $1.8 million from the Company's Metabasis Therapeutics, Inc. subsidiary, which was partially divested in the second quarter of 1999. Excluding the 1998 revenue attributable to Metabasis, total revenue increased 33% for the quarter ended September 30, 1999. Gross margins increased from 30% in the third quarter of 1998 to 39% in the third quarter of 1999 due primarily to the introduction of propofol and other new products. Total costs and operating expenses for the third quarter of 1999, before the amortization of intangibles, were $47.4 million compared to the $38.2 million reported in the third quarter of 1998. Research and development expenses were $3.4 million for the third quarter of 1999 compared to $5.8 million in the third quarter of 1998. This decrease is attributable to the divestiture of Metabasis, which accounted for approximately 32% of the total research and development costs in the comparable quarter in 1998. During the third quarter of 1998, a cash payment was received from a lawsuit settlement, lowering the sales, general and administrative expenses reported in the third quarter of 1998. Net income for the nine months ended September 30, 1999 was $2.0 million, or $0.02 per share on a diluted basis, compared to a net loss of $10.7 million, or a $0.13 loss per share for the nine months ended September 30, 1998. Results for the first nine months of 1999 included a one-time charge of $1.8 million for the write-down of SICOR's remaining interest in Metabasis. Excluding this one time charge, net income for the nine months ended September 30, 1999 would have been $3.7 million, or $0.04 per share on a diluted basis. For the nine months ended September 30, 1999, total revenue increased 21% to $163.8 million compared to $135.1 million for the nine months ended September 30, 1998. "We are very pleased to again report positive financial results and add another quarter to our growing trend of profitability," stated Carlo Salvi, President and Chief Executive Officer. "We believe that we have both a solid operating plan and an opportunistic strategic direction in place and that we will be able to deliver sustained bottom line growth." "Although many areas throughout the business showed continued improvement this quarter, propofol remains a key product for SICOR and continues to outperform our initial expectations," continued Salvi. "Our U.S. manufacturing operations have increased their production levels to meet both current and future market demand and as of the end of September, we had manufactured, packaged and shipped over 3.0 million units of propofol. According to IMS data for the second quarter of 1999, Gensia Sicor Pharmaceuticals, Inc. captured 8% of the U.S. propofol market, which we estimate is now significantly higher. We believe that this is compelling evidence that with our ability to manufacture this difficult product combined with the strength of our marketing partner and the contracts they have in place, we have made significant progress in a very short period of time. With the potential of propofol and the planned addition of new products, we believe that we are well positioned for the future." SICOR Inc. is a vertically integrated specialty pharmaceutical company with proven expertise in the development, manufacturing and marketing of multi-source injectable pharmaceuticals. With a strategy of combining both the production of active pharmaceutical ingredients utilizing chemical synthesis or fermentation and state of the art manufacturing facilities, SICOR's primary focus is on the worldwide injectable pharmaceutical market, which currently includes oncology, anesthesiology, cardiology and other therapeutic areas. SICOR operates several manufacturing facilities in Europe, Mexico and the U.S.A., while maintaining its corporate headquarters in Irvine, California. This press release contains forward looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in the forward looking statements, including whether propofol production will continue to proceed ahead of expectations and remain on track to achieve significant results, whether market acceptance for propofol will remain at high levels, whether financial results for 1999 will continue to improve, whether we can be profitable in the future, whether we will capture significant market share for propofol, whether we will add new products, and those matters set forth in the risk factors section of SICOR's filings on Forms 10-K and 10-Q with the Securities and Exchange Commission. These forward looking statements represent the Company's judgment as of the date of this press release. The Company disclaims any intent or obligation to update these forward looking statements. For more information on the Company, visit SICOR's web site at News releases are also available at no charge through PR Newswire's News On-Call fax service. For a menu of available news releases or to retrieve a specific release made by SICOR, call 800-758-5804, extension 354050. Please retain these numbers for future reference. SICOR Inc. PRESS RELEASE SUMMARY Third Quarter ended September 30, 1999 ($000's) Balance Sheet Data: 9/30/99 12/31/98

(AUDITED) Assets:

Cash and cash equivalents $34,793 $24,461

Other current assets 106,574 116,079

Property and equipment, net 112,134 105,067

Other assets 12,808 11,243

Intangibles, net 110,166 114,964

Total assets $376,475 $371,814 Liabilities and Stockholders' Equity:

Current liabilities $99,104 $123,208

Other liabilities 52,021 58,144

Deferred taxes 20,519 21,453

Stockholders' equity 204,831 169,009

Total liabilities and equity $376,475 $371,814 Statement of Operations Data:

Three months ended Nine months ended

September 30, September 30,

1999 1998 1999 1998 Revenue:

Product sales $55,419 $41,677 $158,467 $127,463

Contract research

and license fees - 1,803 5,303 7,613 Total revenue 55,419 43,480 163,770 135,076 Costs and expenses:

Cost of sales 34,059 29,007 100,845 87,330

Research and

development 3,396 5,822 12,323 16,311

Selling, general & administrative 9,957 3,420 30,224 22,860

Total costs and expenses 47,412 38,249 143,392 126,501

Amortization of intangibles 1,523 1,556 4,575 4,442 Operating income 6,484 3,675 15,803 4,133 Interest and other income (expense), net (1,096) (2,495) (5,587) (5,436) Charge related to divestiture of business - - (1,777) (1,130) Minority interest - 36 31 795 Income/(loss) before income taxes 5,388 1,216 8,470 (1,638) Provision for income taxes (776) (3,026) (2,018) (4,570) Net income (loss) before dividends 4,612 (1,810) 6,452 (6,208) Dividends on preferred stock (1,504) (1,504) (4,496) (4,496) Net income (loss) applicable to common shares $3,108 $(3,314) $1,956 $(10,704) Net income (loss) per common share - basic $ 0.04 $(0.04) $ 0.02 $(0.13) Net income (loss) per common share - diluted $ 0.04 $(0.04) $ 0.02 $(0.13) Weighted average number of common shares - basic 88,606 79,606 84,203 79,415 Weighted average number of common shares - diluted 88,743 79,606 84,550 79,415 ots Original Text Service: SICOR Inc. Internet: Contact: Laurie W. Little of SICOR Inc., 949-455-4879; or Carolyn Bass or Jim Byers, 415-296-7383, or Patricia Walsh or Eric Gonzales, 212-850-5600, all of Morgen- Walke Associates, Inc. for SICOR Inc. Company News On-Call: or fax, 800-758-5804, ext. 354050 Web site:

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