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Questcor Pharmaceuticals Responds to Questions From Investor Blog
Date:1/16/2012

the website lists people that it claims are associated with it, one of whom the website and media reports identify as a felon who pled guilty to two conspiracy charges – for securities fraud and money laundering – and who later pled guilty to racketeering charges related to stock manipulation, another of whom has the same name as an individual who, according to media reports, was arrested recently for kidnapping and extortion, and another of whom has the same name as an individual who, according to media reports, has been involved in extensive litigation regarding fraud, defamation, and slander.  The exact nature of the relationships between these individuals and StreetSweeper.org is unclear.  It is also unclear whether the website's purpose is journalistic or to further the economic interests of short sellers without regard to accuracy (a practice referred to as "short and distort"). 

On Monday, January 16, 2012, Questcor management participated in a telephone conversation with Melissa Davis, who identified herself as a "reporter" for StreetSweeper.  At the beginning of the conversation, management asked that the call be recorded and Ms. Davis provided her consent.

During the call, management stated that it would respond to the questions received on January 9th. 

Questcor maintains a policy of not commenting on trading activity in its stock and does not intend to make a regular practice of engaging with short-sellers.  In early 2011, Questcor had a dialog with the author of another publication that later became the basis of an article published in Barron's.  Notably, on January 14, 2012, Barron's published its Annual Report Card on its stock picks during the calendar year 2011. In the article Barron's notes "Our worst bearish call was Questcor Pharmaceuticals (QCOR), which soared after we questioned its growth prospects a year ago. We gave up on the call in a follow-up article…" 


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SOURCE Questcor Pharmaceuticals, Inc.
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