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KV Set to Dispose of Previously Written Off Guaifenesin Inventory
Date:7/29/2008

ST. LOUIS, July 29 /PRNewswire-FirstCall/ -- KV Pharmaceutical Company (NYSE: KVa/KVb), today reported that it is set to dispose of its inventory of certain drug products -- principally cough/cold products -- previously sold by ETHEX Corporation. The inventory disposal will signal the conclusion of previously disclosed discussions with the FDA regarding the agency's guidance on products containing guaifenesin that were marketed by ETHEX as well as other pharmaceutical companies for a number of years based on long-standing FDA compliance policies.

KV, in the financial statements contained in its fiscal 2008 Form 10-K filed in June 2008, already had written off the value of all the affected products and recognized the financial impact of its decision not to resume the manufacture or sale of those products. Therefore, there will be no further financial impact to KV related to the products to be destroyed.

The final step to resolve the guaifenesin matter is the physical disposal of remaining inventory. In this regard, we have now been informed that the FDA will initially assume control of the inventory for the purpose of supervising its disposition, procedurally implemented as a "seizure", and then either destroy the products or assign the products back to KV for actual physical destruction. KV will continue its cooperation with the FDA in bringing this matter to final resolution.

About KV Pharmaceutical Company

KV Pharmaceutical Company is a fully integrated specialty pharmaceutical company that develops, manufactures, markets and acquires technology- distinguished branded and generic/non-branded prescription pharmaceutical products. The Company markets its technology-distinguished products through ETHEX Corporation, a national leader in pharmaceuticals that compete with branded products, and Ther-Rx Corporation, its branded prescription pharmaceutical subsidiary.

For further information about KV Pharmaceutical Company, please
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SOURCE KV Pharmaceutical Company
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