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SCOLR Pharma, Inc. Reports Third Quarter 2008 Financial Results
Date:11/7/2008

der the terms of the agreement, $1.0 million was paid upon execution of the agreement and the remaining $3.1 million was paid in September when we vacated our premises. We recognized in operating expense, the gain of $4.1 million and $116,867 of expense related to the new lease and our relocation to the new facility in September 2008.

Total operating expenses for the third quarter of 2008 were $(611,506), which included $4.0 million net lease termination gain, compared to $3.5 million in the same period in 2007. Total operating expenses decreased 55% to $4.2 million for the nine months ended September 30, 2008, from $9.4 million for the same period in 2007. The decreases in operating expenses were primarily due to the net gain of $4.0 million from the lease termination and surrender agreement associated with our corporate facility.

SCOLR had approximately $8.9 million in cash and cash equivalents, and $564,000 in restricted cash as of September 30, 2008. The Company is investing its cash and cash equivalents in government-backed securities.

Conference Call

As previously announced, SCOLR Pharma will host a conference call on November 7, 2008, at 11:30 a.m. (Eastern Standard Time). Shareholders and other interested parties may participate in the conference call by dialing +1- 888-713-4215 (domestic) or +1 617-213-4867 (international) and entering access code 67625263, a few minutes before 11:30 a.m. EST on November 7, 2008. The call will also be broadcast live on the Internet at http://www.streetevents.com, http://www.fulldisclosure.com or http://www.scolr.com.

A replay of the conference call will be accessible two hours after its completion through November 21, 2008, by dialing +1-888-286-8010 (domestic) or +1 617-801-6888 (international) and entering access code 60696221.
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SOURCE SCOLR Pharma, Inc.
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