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QMed, Inc. Announces the Termination of Its New Jersey Special Needs Plan

EATONTOWN, N.J., Dec. 27 /PRNewswire-FirstCall/ -- QMed, Inc., (Nasdaq: QMED) today announced that its subsidiary, QMedCare of New Jersey, Inc., is concluding its involvement in the Special Needs Plan in New Jersey. The Company is working closely with the New Jersey Department of Banking and Insurance and the Centers for Medicare and Medicaid Services (CMS) to have an orderly wind down of the operations of the New Jersey Special Needs Plan.

The Company is continuing the process of refocusing efforts on its disease management business and government demonstration projects.

About QMed, Inc.

QMed has developed evidence-based clinical information management systems for use by health plan customers. The QMed systems incorporate Disease Management services to patients and decision support to physicians. The Company's subsidiaries have specialized in serving high-risk populations of Medicare beneficiaries.

Except for historical information contained herein, matters discussed in this news release are forward-looking statements that involve risks and uncertainties. They include but are not limited to those relating to the timely implementation of programs, the impact of business and operational conditions, competitive product introductions, acceptance and pricing, and those risks detailed in the Company's filings with the Securities and Exchange Commission (SEC). Actual results may differ materially from any forward- looking statements due to these risks and uncertainties.

Contact: William Schmitt, QMed, Inc. -- 732-544-5544 x1112

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