Date:8/9/2012

production campaigns for a particular product.  Production of this product resumed in early calendar 2011 under a renewed three-year agreement resulting in a significant increase in anti-viral products revenues in the Fiscal 2012 periods. The increases in anti-viral products revenues were offset somewhat by lower oncology products revenues.  Our largest legacy oncology product is an active pharmaceutical ingredient for a drug that is facing generic competition and, as a result, is experiencing volume and related revenue declines. A key event occurred during our Fiscal 2012 third quarter, as we began to recognize revenue from the commercial production of two new products with oncology indications.  Initial revenue volumes are not significant.  However, we anticipate volume for these products, and products currently considered development products, to grow and replace or exceed revenues from mature oncology products in the coming years.  The introduction of these two new products into our commercial product lines is an example of how our emphasis on our pipeline of development products can result in a successful replacement cycle for maturing products. 

The Fine Chemicals segment operating loss for the Fiscal 2011 nine-month period included other gains (discussed above) of $2.9 million. To facilitate comparison of the Fiscal 2012 and Fiscal 2011 operating results, the following table computes Adjusted Segment Operating Loss which excludes this prior period gain. Nine Months Ended  June 30, 20122011Segment Operating Income (Loss), As Reported$
3.0

$
(4.9)Exclude Other Operating Gains-

(2.9)Segment Operating Income (Loss), As Adjusted$
3.0

$
(7.8)The Fine Chemicals segment returned to profitability during the Fiscal 2012 third quarter, reporting operating income of $5.2 million compared to an operating loss of $0.5 million in the Fiscal 2011 third quarter.  The strong o
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SOURCE American Pacific Corporation Copyright©2012 PR Newswire. All rights reserved

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