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

IRVINE, Calif. (PROTEXT) - - 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 forthe quarter ended September 30, 1999 was $3.1 million, or $0.04per share on a diluted basis, compared to a net loss of $3.3million, or a $0.04 loss per share in the comparable quarterended September 30, 1998. Total revenue for the three months ended September 30, 1999increased 27% to $55.4 million compared to $43.5 million for thethree months ended September 30, 1998. The third quarter of 1998included revenue of $1.8 million from the Company's MetabasisTherapeutics, Inc. subsidiary, which was partially divested inthe second quarter of 1999. Excluding the 1998 revenueattributable to Metabasis, total revenue increased 33% for thequarter ended September 30, 1999. Gross margins increased from 30% in the third quarter of 1998to 39% in the third quarter of 1999 due primarily to theintroduction of propofol and other new products. Total costs andoperating expenses for the third quarter of 1999, before theamortization of intangibles, were $47.4 million compared to the$38.2 million reported in the third quarter of 1998. Research anddevelopment expenses were $3.4 million for the third quarter of1999 compared to $5.8 million in the third quarter of 1998. Thisdecrease is attributable to the divestiture of Metabasis, whichaccounted for approximately 32% of the total research anddevelopment costs in the comparable quarter in 1998. During thethird quarter of 1998, a cash payment was received from a lawsuitsettlement, lowering the sales, general and administrativeexpenses 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 toa net loss of $10.7 million, or a $0.13 loss per share for thenine months ended September 30, 1998. Results for the first ninemonths of 1999 included a one-time charge of $1.8 million for thewrite-down of SICOR's remaining interest in Metabasis. Excludingthis one time charge, net income for the nine months endedSeptember 30, 1999 would have been $3.7 million, or $0.04 pershare on a diluted basis. For the nine months ended September 30, 1999, total revenueincreased 21% to $163.8 million compared to $135.1 million forthe nine months ended September 30, 1998. "We are very pleased to again report positive financialresults and add another quarter to our growing trend ofprofitability," stated Carlo Salvi, President and Chief ExecutiveOfficer. "We believe that we have both a solid operating plan andan opportunistic strategic direction in place and that we will beable to deliver sustained bottom line growth." "Although many areas throughout the business showed continuedimprovement this quarter, propofol remains a key product forSICOR and continues to outperform our initial expectations,"continued Salvi. "Our U.S. manufacturing operations haveincreased their production levels to meet both current and futuremarket demand and as of the end of September, we hadmanufactured, packaged and shipped over 3.0 million units ofpropofol. 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 abilityto manufacture this difficult product combined with the strengthof our marketing partner and the contracts they have in place, wehave made significant progress in a very short period of time.With the potential of propofol and the planned addition of newproducts, we believe that we are well positioned for the future." SICOR Inc. is a vertically integrated specialty pharmaceuticalcompany with proven expertise in the development, manufacturingand marketing of multi-source injectable pharmaceuticals. With astrategy of combining both the production of activepharmaceutical ingredients utilizing chemical synthesis orfermentation and state of the art manufacturing facilities,SICOR's primary focus is on the worldwide injectablepharmaceutical market, which currently includes oncology,anesthesiology, cardiology and other therapeutic areas. SICORoperates several manufacturing facilities in Europe, Mexico andthe U.S.A., while maintaining its corporate headquarters inIrvine, California. This press release contains forward looking statements thatare subject to risks and uncertainties that could cause actualresults to differ materially from those set forth in the forwardlooking statements, including whether propofol production willcontinue to proceed ahead of expectations and remain on track toachieve significant results, whether market acceptance forpropofol will remain at high levels, whether financial resultsfor 1999 will continue to improve, whether we can be profitablein the future, whether we will capture significant market sharefor propofol, whether we will add new products, and those mattersset forth in the risk factors section of SICOR's filings on Forms10-K and 10-Q with the Securities and Exchange Commission. Theseforward looking statements represent the Company's judgment as ofthe date of this press release. The Company disclaims any intentor obligation to update these forward looking statements. For more information on the Company, visit SICOR's web site atwww.gensiasicor.com. News releases are also available at nocharge through PR Newswire's News On-Call fax service. For a menuof available news releases or to retrieve a specific release madeby SICOR, call 800-758-5804, extension 354050. Please retainthese 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 otsOriginal Text Service: SICOR Inc. Internet:http://www.newsaktuell.de Contact: Laurie W. Little of SICORInc., 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:http://www.prnewswire.com/comp/354050.html or fax, 800-758-5804,ext. 354050 Web site: http://www.gensiasicor.com

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