Total revenue for the first quarter 2009 was $22.0 million, versus $14.5 million in the first quarter 2008, representing an increase of approximately 52%. The revenue increase was driven by higher Td Vaccine sales, which totaled $10.7 million. Gross profit for the first quarter 2009 was $5.4 million as compared to $3.7 million in the first quarter 2008, an increase of 43%. The increase in first quarter 2009 gross profit is primarily due to the sale of Td Vaccines, which contributed approximately $3.4 million. Gross margin for the first quarter 2009 was 24.3% versus 25.9% for the first quarter 2008.

During the first quarter 2009, the Company recognized equity earnings totaling $60K from its investment in the Akorn-Strides, LLC joint venture. The JV recognized net sales of approximately $868K during Q1'09, while continuing to invest in its injectables product pipeline.

Dr. John Kapoor, Chairman of the Board stated, "I am pleased with the first quarter operating results. The company was able to address its near-term cash flow challenges in a short period of time. We are currently evaluating our business model and strategy and are working on a plan to deliver growth while rationalizing our costs and becoming cash flow neutral."

Dr. Kapoor added, "I am excited about the prospects of the company, especially with the growth opportunities from the company's efforts in developing new products both internally and through its partners. I am committed to support the company with further working capital needs, if required."

The Company's net loss was approximately $10.7 million in the first quarter 2009 as compared to a net loss of $5.5 million in the first quarter 2008. This reflects a higher gross profit that was offset by non-recurring expenses that are highlighted below:

                                                           Description                                 Amount                                                                -- Supply Agreement Termination Expenses    $5,830,000   -- Write-off of Deferred Financing Costs    1,454,000    -- Floor Stock Price Adjustment             469,000      -- Stock Compensation Expense (ex-CEO)      319,000      -- Cancelled R&D Project                    88,000                                                                Total                                       $8,160,000    -------------------------------------------------------------------------------  

Jeffrey Whitnell, Chief Financial Officer commented, "Akorn completed two significant transactions during the first quarter of 2009, both of which represent positive events for the Company. We believe the purchase of our credit facility by EJ Funds will provide us with the flexibility to access additional capital resources. Further, our amended supply agreement for Td Vaccines will ease our working capital requirements."

We are currently in the process of reviewing our four business segments and related cost structures. The objective of this review is to formulate a plan to lower operating costs and achieve profitability. We finished the first quarter with $4.7 million in cash and our goal is to achieve a neutral cash flow operating position by the end of this year."

About Akorn, Inc.

Akorn, Inc. manufactures and markets sterile specialty pharmaceuticals. Akorn has manufacturing facilities located in Decatur, Illinois and Somerset, New Jersey and markets and distributes an extensive line of hospital and ophthalmic pharmaceuticals. Additional information is available at the Company's website at www.akorn.com.

Materials in this press release may contain information that includes or is based upon forward-looking statements within the meaning of the Securities Litigation Reform Act of 1995. Forward-looking statements give our expectations or forecasts of future events. You can identify these statements by the fact that they do not relate strictly to historical or current facts.