Alpharma Inc. announced today that it has entered into a $210 million Senior
Secured Credit Facility with Bank of America N.A. consisting of a $175 million
asset-based loan and a $35 million term loan. This new credit facility, which
is payable in 2010, will replace the current 2001 U.S. Bank Credit Facility
and provides the company with increased financial flexibility. As a result of
this refinancing, the company is no longer required to reduce the balance of
its 3% Senior Subordinated Notes due 2006 to $10 million by December 1, 2005
as was required by covenants included in the 2001 Bank Credit Facility.