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DRAXIS Health Reports Fourth Quarter and Year End Results
Date:2/7/2008

change pressures caused by a much

stronger Canadian dollar relative to comparable periods in 2006.

Product gross margin for 2007 decreased to 56% compared to 63% for

2006 due to inclusion of freight charges and foreign exchange

pressures.

- Operating income for the fourth quarter of 2007 was $0.8 million and

$4.1 million for all of 2007 compared to $1.6 million and

$5.6 million respectively for the same periods in 2006. The decrease

for both periods in 2007 was due to decreased volumes, pressures on

margins from a strong Canadian dollar, regulatory filing fees and

increased business development activities.

- On October 11, 2007, the Company was informed by Health Canada that

an Abbreviated New Drug Submission ("A/NDS") for DRAXIMAGE(R)

Sestamibi that had been filed by the Company on August 17, 2007 with

Health Canada had been screened and found acceptable for review.

- On December 20, 2007, DRAXIS announced that its radiopharmaceutical

division had appointed GE Healthcare, an industry leader in nuclear

medicine, as the exclusive distributor of DRAXIMAGE(R) Sestamibi in

the United States. DRAXIMAGE has granted GE Healthcare the exclusive

right to market, distribute and sell its generic DRAXIMAGE(R)

Sestamibi in the U.S. market and through its U.S. and Canadian

radiopharmacy network once the primary innovator patent expires and

marketing authorizations are received from the U.S. Food and Drug

Administration (FDA) and Health Canada. Furthermore, GE Healthcare

has agreed to purchase Technetium 99m Sestamibi injection

exclusively from DRAXIMAGE. The initial term of the distribution

agreement is for a minimum of three years following FDA approval of

the DRAXIMAGE product.

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SOURCE DRAXIS Health Inc.
Copyright©2008 PR Newswire.
All rights reserved

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