PHARMACEUTICAL RESOURCES, INC. ACQUIRES FINETECH LTD. FOR $32 MILLION WITH 25
PH.D.S, FINETECH TO PROVIDE IMMEDIATE CAPABILITIES IN DRUG DEVELOPMENT

SPRING VALLEY, N.Y., April 19 /PRNewswire-FirstCall/ -- Pharmaceutical
Resources, Inc. (PRI) (NYSE: PRX - NEWS) today announced that it had acquired
FineTech Ltd. from International Specialty Products (ISP) for $32 million.
FineTech Ltd., based in Haifa, Israel, specializes in the design and manufacture
of proprietary synthetic chemical processes used in the production of complex
organic compounds for the pharmaceutical industry. FineTech will be operated as
an independent, wholly owned subsidiary of PRI and will provide immediate
chemical synthesis capabilities and strategic opportunities to PRI and other
customers. PRI, a holding company, develops, manufactures and distributes
generic pharmaceutical products through its wholly owned subsidiary, Par
Pharmaceutical.

"PRI's recently announced collaboration with Rhodes Technologies fits
hand-in-hand with the acquisition of FineTech," said Kenneth I. Sawyer,
chairman, president and chief executive officer. "PRI now has the capability to
develop synthetic molecules at FineTech, produce commercial quantities of the
chemical at Rhodes, and formulate and manufacture the final dosage form at its
Par manufacturing facility in New York. With an impressive technology base, PRI
has the resources necessary to successfully identify and develop promising new
products well into the future." Rhodes Technologies, Inc. (RTI) is an associated
company of Purdue Pharma L.P. PRI announced the establishment of a joint venture
partnership with RTI earlier this month.

PRI has acquired the physical facilities, the intellectual property and patents
of FineTech and has retained all FineTech employees. With more than 40
employees, including 25 Ph.D.s, FineTech conducts proprietary research and
development activities in the area of synthetic molecules and provides forensic
analytical services to the pharmaceutical industry. It also manufactures complex
synthetic active pharmaceutical ingredients for companies in the branded and
generic pharmaceutical industries at its state-of-the-art manufacturing facility
in Haifa, Israel. This facility operates in compliance with U.S. Food and Drug
Administration current good manufacturing practices (cGMP) standards. FineTech
achieved revenues of approximately $6 million in 2001 and its customers include
some of the world's leading pharmaceutical companies.

PRI has transferred a portion of FineTech's personnel and technological
resources to a laboratory facility in Rhode Island. The remaining physical
assets in Haifa are valued at less than $2 million. A parallel research program
has been established in Rhode Island and will immediately be staffed with
FineTech employees.

The acquisition was financed by cash-on-hand and is not expected to have a
material effect on earnings in 2002. PRI's remaining cash-on-hand totals
approximately $30 million and the Company has no material level of debt.





"The acquisition of FineTech represents an exciting opportunity for Par and
enhances our business in several ways," said Scott Tarriff, president and chief
executive officer of Par Pharmaceutical. "First, it provides a technology
platform to develop first-to-file and other unique drugs with longer
life-cycles. Second, it provides Par with the opportunity to develop synergies
with its various strategic partners. Ultimately, Par's objective is to
coordinate its in-house and in-licensed competencies to create a sustained flow
of new specialty generic and specialty pharmaceutical products. As a leading
customer of FineTech's, Par will immediately begin collaboration to identify
future product opportunities."


"We at RTI have had a long and productive relationship with FineTech," said
Robert Kupper, Ph.D., vice president research and development, Rhodes
Technologies, Inc. "Now, through our new venture with PRI, we look forward to
successfully combining FineTech's scientific expertise with our development and
manufacturing capabilities."

"My colleagues and I are very excited to be part of the PRI family and look
forward to the opportunities and challenges that await us," said Arie L. Gutman,
Ph.D., president of FineTech. "We expect that our demonstrated ability to
develop novel complex synthetic molecules will make us a very productive and
highly valued contributor to the PRI team." Following the acquisition, Dr.
Gutman, the founder of FineTech Ltd., will become president and chief executive
officer of the acquired business. He also was nominated to PRI's board of
directors. Dr. Gutman has entered into a five-year employment agreement with the
Company.

PRI has enjoyed a long-standing relationship with FineTech for more than seven
years. Two of PRI's six potential first-to-file products, flecainide and
latanoprost, result from the Company's prior work with FineTech. Flecainide
acetate is the generic form of Tambocor(R) and latanoprost ophthalmic solution
0.005% is the generic form of Xalatan(R). PRI believes that flecainide and
latanoprost are first-to-file product opportunities and may entitle the Company
up to 180 days of marketing exclusivity following approval by the U.S. Food and
Drug Administration. In addition, PRI and FineTech are currently collaborating
on three additional products. Abbreviated New Drug Applications have already
been submitted for two of these products.

The Company will hold a conference call next Thursday, April 25th, to discuss
the FineTech acquisition and first-quarter earnings. Additional details will be
provided in a subsequent press release.

PRI's wholly owned primary operating subsidiary, Par Pharmaceutical, Inc.,
located in Spring Valley, New York, manufactures and distributes 128 products
representing various dosage strengths of 55 drugs. For press release and other
Company information, visit our website at HTTP://WWW.PARPHARM.COM.

Certain statements in this press release constitute "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995,
including those concerning management's expectations with respect to future
events or future financial performance. Any such statements that refer to PRI's
anticipated future results, product performance, or other non-historical facts
are forward-looking and reflect PRI's current perspective of existing trends and
information. These statements involve risks and uncertainties that cannot be
predicted or quantified and consequently, actual results may differ materially
from those expressed or implied by such forward-looking statements. Such risks
and uncertainties include, among others, the uncertainty associated with complex
litigation, including the eventual outcome and litigation costs and expenses
incurred along the way, the success of PRI's product development activities, and
the timeliness with which regulatory authorizations and product introductions
may be achieved, market acceptance of PRI's products, the availability of raw
materials on commercially reasonable terms, successful compliance with
extensive, costly, complex, and evolving governmental regulations and
restrictions, exposure to product liability, and other risks and uncertainties
detailed in PRI's filings with the Securities and Exchange Commission, such as
the Company's Form 10-K, Form 10-Q, and Form 8-K reports.