Lannett Receives FDA Approval for Dicyclomine Hydrochloride Tablets USP, 20 mg.

PHILADELPHIA--(BUSINESS WIRE)--June 16, 1999--

LANNETT COMPANY, INC., (OTC Bulletin Board: LANN) a manufacturer and distributor of pharmaceutical products, announced today that it has received FDA approval to market Dicyclomine HCl Tablets USP, 20 mg Dicyclomine HCl Tablets 20 mg shipments will begin immediately.

Dicyclomine HCl is a generic version of Hoechst Marion Roussel's, Bentyl(R), an antispasmodic and anticholinergic agent and is fully interchangeable with Bentyl(R). The Lannett generic drug is fully reimbursable under Federal Government programs.

William Farber, Chairman of the Board of Directors, stated, "The approval of Dicyclomine HCl 20 mg tablets is expected to enhance the sales of Lannett's currently marketed Dicyclomine HCl 10 mg capsules. 1998 generic sales for both Dicyclomine HCl strengths were approximately $28 million. There are currently two other generic versions of Dicyclomine HCl 10 mg capsules and 20 mg tablets in the marketplace."

Additionally, the Company is focusing on expanding its product line. As part of the Company's commitment to a research and development program, eight products are currently under development. Four of these products are being developed and manufactured for other companies, while the other four products are being developed as part of the Lannett product line. One of the Lannett products has been redeveloped and submitted to the FDA for supplemental approval. The three additional products represent previously approved ANDAs that the Company is planning to reintroduce.

The Company's common stock trades in the over-the-counter market through the use of the inter-dealer "pink-sheets" published by the National Quotations Bureau, Inc., under the symbol ("LANN").