SOURCE: Endo Pharmaceuticals

November 17, 2008 08:49 ET

Endo Pharmaceuticals Announces Acceptance of UBS AG Settlement Offer Relating to Auction Rate Securities

CHADDS FORD, PA--(Marketwire - November 17, 2008) - Endo Pharmaceuticals (NASDAQ: ENDP) announced today that it has accepted UBS AG's settlement offer relating to auction rate securities purchased by Endo from affiliates of UBS AG. Pursuant to the terms of the settlement offer, Endo Pharmaceuticals will be entitled to require UBS AG to purchase eligible auction rate securities for a price equal to original par value plus accrued but unpaid dividends or interest beginning on June 30, 2010 and ending on July 2, 2012. Endo Pharmaceuticals has also granted affiliates of UBS AG the sole discretion to sell or otherwise dispose of the eligible auction rate securities at any time until July 2, 2012, without prior notification to Endo Pharmaceuticals, so long as Endo Pharmaceuticals receives par value plus accrued but unpaid dividends or interest upon the sale. In addition, affiliates of UBS AG will make "no net cost" loans available to Endo at any time prior to June 30, 2010 in an amount up to 75% of the market value of the eligible auction-rate securities at the time of the loan. By accepting the settlement offer, Endo Pharmaceuticals released UBS AG, its affiliates and their respective employees and agents from all claims in connection with the auction rate securities except claims for consequential damages directly or indirectly relating to UBS's marketing and sale of auction rate securities.

As of September 30, 2008, Endo had eligible auction rate securities with original par value of $266.4 million, representing 93% of Endo's total auction-rate securities portfolio at par. The remaining 7%, or $18.8 million, of the auction-rate securities portfolio is not held in a UBS account and therefore is not subject to the settlement.

About Endo

Endo Pharmaceuticals is a specialty pharmaceutical company engaged in the research, development, sale and marketing of branded and generic prescription pharmaceuticals used primarily to treat and manage pain. More information, including this and past press releases of Endo Pharmaceuticals is available at www.endo.com.

Forward-Looking Statements

This press release contains information that includes or is based on "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, as amended, or the Exchange Act. These statements, including estimates of future net sales, future expenses, future net income and future earnings per share, are subject to risks and uncertainties. Forward-looking statements include the information concerning our possible or assumed results of operations. Also, statements including words such as "believes," "expects," "anticipates," "intends," "estimates," "plan," "will," "may" or similar expressions are forward-looking statements. We have based these forward-looking statements on our current expectations and projections. Because these statements reflect our current views concerning future events, these forward-looking statements involve risks and uncertainties. Investors should note that many factors could affect our future financial results and could cause our actual results to differ materially from those expressed in forward-looking statements contained in this press release.

Contact Information

  • CONTACT:
    Blaine Davis
    (610) 459-7158