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Case Status:    SETTLED
On or around 08/10/2004 (Date of order of final judgment)

Filing Date: March 22, 2002

According to the Company’s Form 10-K for the fiscal year ended December 31, 2004, several securities fraud class action complaints were filed in March 2002, alleging that the Company and certain of its current and former officers and directors engaged in securities fraud and/or made material misrepresentations regarding the regulatory status of the Company’s ANDA for a generic version of Tiazac. The amended class action complaint sought a class period for those persons or institutions that acquired our common stock from April 30, 2001, through February 21, 2002. In November 2002, the U.S. District Court for the Southern District of Florida granted in part the Company’s motion to dismiss the amended consolidated class action complaint and determined that all but one of the statements allegedly made in violation of the federal securities laws should be dismissed as a matter of law. The Court’s decision reduced the class period to six weeks commencing January 9, 2002, and ending February 21, 2002. The Court also later granted the Company’s motion to strike all allegations of insider trading from the complaint. In December 2003, defendant’s motion for summary judgment was granted and a final judgment was entered in favor of the defendants. The plaintiffs have filed a of appeal of the motion to dismiss and the summary judgment orders. On August 6, 2004, the Court entered a final judgment and granted final approval of the settlement stipulation entered by the defendants and the class members.

By the Notice of Pendency, the settlement established was in the amount of $544,500.

The Complaint alleges that Andrx and certain of its directors and officers violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by issuing a series of material misrepresentations to the market during the Class Period, thereby artificially inflating the price of Andrx common stock. Specifically, the Complaint alleges that Andrx issued a series of
statements concerning its generic version of the drug Tiazac(R) that the
only thing holding up the drug from reaching the market was continuing
patent litigation with Biovail Corp. in connection with Tiazac(R). The
defendants failed to disclose that in fact, Andrx had difficulty making
a stable version of generic Tiazac(R), including that it had amended
its original application to the FDA thirteen times. When Andrx
announced on February 21, 2002 that the FDA had raised "certain issues"
concerning the generic Tiazac(R), Andrx's stock price dropped from
$42.61 per share on February 21, 2002 to $34.96 per share on February
22, 2002, on volume of 15,767,100 - over seven times the prior day's
volume.

COMPANY INFORMATION:

Sector: Healthcare
Industry: Biotechnology & Drugs
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: ADRX
Company Market: NASDAQ
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: S.D. Florida
DOCKET #: 02-CV-60410
JUDGE: Hon. Ursula Ungaro-Benages
DATE FILED: 03/22/2002
CLASS PERIOD START: 04/30/2001
CLASS PERIOD END: 02/21/2002
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Cauley Geller Bowman Coates & Rudman LLP (Little Rock, AR)
    P.O. Box 25438, Cauley Geller Bowman Coates & Rudman LLP (Little Rock, AR), AR 72221-5438
    501.312.8500 501.312.8505 ·
  2. Schoengold & Sporn PC (New York)
    233 Broadway 39Th Floor, Schoengold & Sporn PC (New York), NY 10279
    212.964.0046 ·
No Document Title Filing Date
COURT: S.D. Florida
DOCKET #: 02-CV-60410
JUDGE: Hon. Ursula Ungaro-Benages
DATE FILED: 11/19/2002
CLASS PERIOD START: 01/09/2002
CLASS PERIOD END: 02/21/2002
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Geller Rudman, PLLC.
    197 South Federal Highway, Suite 200, Geller Rudman, PLLC., FL 33432
    561.750.3000 888.262.3131 · info@geller-rudman.com
  2. Schoengold & Sporn PC (New York)
    233 Broadway 39Th Floor, Schoengold & Sporn PC (New York), NY 10279
    212.964.0046 ·
  3. Stull, Stull & Brody (New York)
    6 East 45th Street, Stull, Stull & Brody (New York), NY 10017
    310.209.2468 310.209.2087 · SSBNY@aol.com
No Document Title Filing Date
No Document Title Filing Date