Cipher comments on decision in Purdue appeal

Toronto Stock Exchange Symbol: DND

MISSISSAUGA, ON, June 4 /CNW/ - Cipher Pharmaceuticals Inc. (TSX: DND) today commented on the outcome of the appeal by Purdue Pharma Products L.P. of the decision of the United States District Court for the District of Delaware on patent infringement litigation initiated by Purdue against Par Pharmaceutical Companies, Inc. relating to Ultram(R) ER, the reference product in Cipher's New Drug Application for CIP-TRAMADOL ER. On June 3, 2010, the United States Court of Appeals for the Federal Circuit upheld the lower court's original decision, affirming the invalidity of the asserted claims of the Orange Book-listed patents (U.S. Patent Nos. 6,254,887 and 7,074,430) for Ultram(R) ER. These are the same patents that were originally asserted against Cipher and for which Cipher was granted summary judgment in January 2010.

This decision confirms Cipher's long-held view that these patents are invalid, and further reduces the remaining risk of patent litigation on these patents against Cipher's extended-release tramadol formulation, CIP-TRAMADOL ER. Cipher continues to prepare for the U.S. commercial launch of the product, which includes securing a marketing partner and finalizing commercial manufacturing requirements.

About Cipher Pharmaceuticals Inc.

Cipher Pharmaceuticals is a commercial-stage drug development company focused on commercializing novel formulations of successful, currently marketed molecules using advanced drug delivery technologies. Cipher's strategy is to in-license products that incorporate proven drug delivery technologies and advance them through the clinical development and regulatory approval stages, after which the products are out-licensed to international partners. Because Cipher's products are based on proven technology platforms applied to currently marketed drugs, they are expected to have lower approval risk, shorter development timelines and significantly lower development costs. The Company's lead compound is being marketed in the United States by Kowa Pharmaceuticals America under the label Lipofen(R). In addition, Cipher is developing formulations of the pain reliever tramadol (FDA approval in May 2010) and the acne treatment isotretinoin (FDA approvable letter in April 2007).

Cipher is listed on the Toronto Stock Exchange under the symbol 'DND' and has approximately 24 million shares outstanding. For more information, please visit www.cipherpharma.com.

Forward-Looking Statements

Statements made in this news release, other than those concerning historical financial information, may be forward-looking and therefore subject to various risks and uncertainties. Some forward-looking statements may be identified by words like "may", "will", "anticipate", "estimate", "expect", "intend", or "continue" or the negative thereof or similar variations. Certain material factors or assumptions are applied in making forward-looking statements and actual results may differ materially from those expressed or implied in such statements. Factors that could cause results to vary include those identified in the Company's Annual Information Form and other filings with Canadian securities regulatory authorities, such as the applicability of patents and proprietary technology; possible patent litigation; regulatory approval of products in the Company's pipeline; changes in government regulation or regulatory approval processes; government and third-party payer reimbursement; dependence on strategic partnerships for product candidates and technologies, marketing and R&D services; meeting projected drug development timelines and goals; intensifying competition; rapid technological change in the pharmaceutical industry; anticipated future losses; the ability to access capital to fund R&D; and the ability to attract and retain key personnel. All forward-looking statements presented herein should be considered in conjunction with such filings. Except as required by Canadian securities laws, the Company does not undertake to update any forward-looking statements; such statements speak only as of the date made.

For further information: Craig Armitage, Investor Relations, The Equicom Group, [phone] ext 278, [phone] fax, [email protected]; Larry Andrews, President and CEO, Cipher Pharmaceuticals, [phone] ext 324, [phone] fax, [email protected]