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ELITE PHARMACEUTICALS NOTIFIED OF CONTINUED LISTING NONCOMPLIANCE BY AMEX
NORTHVALE, NJ, JANUARY 10, 2006 - On January 4, 2006, Elite Pharmaceuticals,
Inc. (AMEX: ELI) received notice from the American Stock Exchange that, based on
the Company's unaudited financial statements as of September 30, 2005, the
Company was not in compliance with the continued listing standards of at least
$4,000,000 of shareholders equity and income from continuing operations in at
least two of its four most recent fiscal years (Amex Rule 1003(a)(ii)) and
shareholders' equity of at least $6,000,000 and income from continuing
operations or net income in at least one of its five most recent fiscal years
(Amex Rule 1003(a)(iii)).
At the invitation of the Amex, the Company will submit by February 3, 2006 a
plan advising the Exchange of the actions it has taken or will take that would
bring it into compliance with the above continuing listing standards within a
maximum of 18 months from January 4, 2006. The plan is to include specific
milestones, quarterly financial projections and details related to any strategic
initiatives the Company plans to complete. If the Listing Qualification
Committee determines that the Company has made a reasonable demonstration in the
plan of its ability to regain compliance within the 18-month period, the plan
will be accepted and listing will continue subject to periodic review of the
progress under the plan by Amex. No assurance can be given that the Company's
plan will be accepted or, if accepted, that the necessary progress will be
achieved during the course of the 18-month period.
ABOUT ELITE PHARMACEUTICALS
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Elite Pharmaceuticals is a specialty pharmaceutical company principally engaged
in the development of oral, controlled release products. The Company's strategy
includes developing generic versions of controlled release drug products with
high barriers to entry and assisting partner companies in the life cycle
management of products to improve off-patent drug products. Elite's technology
is applicable to develop delayed, sustained or targeted release capsules or
tablets. Elite has one product currently being sold commercially and a pipeline
of eight drug products under development in the therapeutic areas that include
pain management, allergy, cardiovascular and infection. The addressable market
for Elite's current pipeline of products exceeds $4.25 billion. Elite also has a
GMP and DEA registered facility for research, development, and manufacturing
located in Northvale, NJ.
THIS NEWS RELEASE CONTAINS FORWARD-LOOKING STATEMENTS, INCLUDING THOSE RELATED
TO THE PRELIMINARY NATURE OF THE CLINICAL PROGRAM RESULTS AND THE POTENTIAL FOR
FURTHER PRODUCT DEVELOPMENT, THAT INVOLVE KNOWN AND UNKNOWN RISKS, DELAYS,
UNCERTAINTIES AND OTHER FACTORS NOT UNDER THE CONTROL OF ELITE, WHICH MAY CAUSE
ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANIES TO BE MATERIALLY
DIFFERENT FROM THE RESULTS, PERFORMANCE OR OTHER EXPECTATIONS IMPLIED BY THESE
FORWARD-LOOKING STATEMENTS. IN PARTICULAR, BECAUSE SUBSTANTIAL FUTURE TESTING
WILL BE REQUIRED PRIOR TO APPROVAL, THE RESULTS DESCRIBED ABOVE MAY NOT BE
SUPPORTED BY ADDITIONAL DATA OR BY THE RESULTS OF SUBSEQUENT TRIALS. THESE RISKS
AND OTHER FACTORS, INCLUDING THE TIMING OR RESULTS OF PENDING AND FUTURE
CLINICAL TRIALS, REGULATORY REVIEWS AND APPROVALS BY THE FOOD AND DRUG
ADMINISTRATION AND OTHER REGULATORY AUTHORITIES, AND INTELLECTUAL PROPERTY
PROTECTIONS AND DEFENSES, ARE DISCUSSED IN THE ELITE'S FILINGS WITH THE
SECURITIES AND EXCHANGE COMMISSION SUCH AS THE 10K, 10Q AND 8K REPORTS. THE
COMPANIES UNDERTAKE NO OBLIGATION TO UPDATE ANY FORWARD-LOOKING STATEMENTS.
FOR FURTHER INFORMATION, CONTACT:
Investor Relations:
The Investor Relations Group
John Nesbett/Antima "Taz" Sadhukhan
Phone: 212-825-3210
or
FOR ELITE PHARMACEUTICALS, INC.
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Dianne Will, Investor Relations
Phone: 518-398-6222 E-Mail: DWILL@WILLSTAR.NET
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Website: WWW.ELITEPHARMA.COM
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