Pediapharm Appoints Vice-President, Marketing & Sales and Correction from Source-Options Granted

MONTREAL, QUEBEC--(Marketwired - Feb. 18, 2014) -

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Pediapharm Inc. ("Pediapharm" or the "Corporation") (TSX VENTURE:PDP) is pleased to announce the appointment of Mr. Richard Labelle as Vice-President, Marketing and Sales. Mr. Labelle was until recently Vice-President and General Manager of the Consumer Health division at Sanofi Canada.

"This change in our commercial structure had become necessary in order to maximize our future growth. Richard's addition to our team is excellent news for Pediapharm. He brings solid leadership, proven track record and a wealth of experience and expertise in strategic planning and execution" stated Sylvain Chretien, President and CEO of Pediapharm. Mr. Chretien added: "Richard's experience with integrations of acquisitions and with pharmaceutical product launches will be extremely beneficial to the Corporation."

Mr. Labelle has obtained a bachelor's degree in business administration from Université du Québec à Montréal as well as a MBA from McGill-HEC Montreal.

Pediapharm also wishes to confirm that, in order to maximize the commercial structure, Mr. Ashok Bhaseen remains with Pediapharm as Business Unit Director - Consumer Health. In this key role, Mr. Bhaseen will be, among other responsibilities, leading the Corporation's efforts in achieving continued accelerated growth of NYDA, one of the key Pediapharm products.

The Board has granted 225,000 stock options to Richard Labelle under its employee stock option plan, subject to regulatory and TSX Venture Exchange approval. The options were issued with an exercise price of $0.46 per share, have a term of ten (10) years and have vesting provisions such that they vest over four (4) years.

The Corporation also wishes to correct inaccurate information relating to the number of outstanding options granted under its employee stock option plan contained in its news release issued on January 23, 2014. The January 23, 2014 news release incorrectly indicated that 3,810,000 options had been granted to directors, officers and employees of the Corporations while in fact 3,585,000 options had been granted.

After giving effect to the 225,000 options granted to Mr. Labelle described above, the Corporation now has granted a total of 3,810,000 options.

About Pediapharm

Pediapharm is the only Canadian specialty pharmaceutical company dedicated to serving the needs of the pediatric community. Its mission is to bring to the Canadian market the latest innovative pediatric products with the objective to improve the health and the well-being of children in Canada. Since its debut in 2008, Pediapharm has entered into numerous commercial agreements with partners from Canada and other countries around the world. The company's innovative product portfolio includes NYDA®; a breakthrough treatment for head lice; EpiCeram® a non-steroid emulsion for eczema; KoolEffect™ which reduces the symptoms of fever; and VapoLyptus™ a soothing vapour patch of Eucalyptus and Camphor.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.