IMPAX to Increase Existing Credit Facility

IMPAX Laboratories, Inc. (Nasdaq:IPXLE) announced today
that it received commitments from Wachovia Bank, National Association
and Wachovia Capital Markets, LLC to increase the Company's existing
credit facility to up to $37 million, consisting of a $35 million
revolving credit facility, an increase from $25 million against which
there is approximately $5 million outstanding and $2.1 million
representing the unpaid balance on IMPAX's existing term loan and
equipment purchase term loan. The purpose of the increased facility is
to refinance existing senior and convertible subordinated debt,
provide working capital and to provide funds for general corporate
purposes. The amended facility is subject to customary conditions,
including the negotiation of a definitive agreement. The Company also
reported that its available cash reserves at May 31, 2005 were
approximately $78 million.
   IMPAX Laboratories, Inc. is a technology based specialty
pharmaceutical company applying its formulation expertise and drug
delivery technology to the development of controlled-release and
specialty generics in addition to the development of branded products.
IMPAX markets its generic products through its Global Pharmaceuticals
division and intends to market its branded products through the IMPAX
Pharmaceuticals division. Additionally, where strategically
appropriate, IMPAX has developed marketing partnerships to fully
leverage its technology platform. IMPAX Laboratories is headquartered
in Hayward, Calif., and has a full range of capabilities in its
Hayward and Philadelphia facilities. For more information, please
visit the Company's Web site at: www.impaxlabs.com.

   "Safe Harbor" statement under the Private Securities Litigation
Reform Act of 1995:

   To the extent any statements made in this news release contain
information that is not historical, these statements are
forward-looking in nature and express the beliefs and expectations of
management. Such statements are based on current expectations and
involve a number of known and unknown risks and uncertainties that
could cause Impax's future results, performance or achievements to
differ significantly from the results, performance or achievements
expressed or implied by such forward-looking statements. Such risks
and uncertainties include, but are not limited to, possible adverse
effects resulting from Impax's delay in filing its 2004 Form 10-K and
2005 March 10-Q, including possible delisting from the NASDAQ National
Market, Impax's ability to obtain sufficient capital to fund its
operations, the difficulty of predicting FDA filings and approvals,
consumer acceptance and demand for new pharmaceutical products, the
impact of competitive products and pricing, Impax's ability to
successfully develop and commercialize pharmaceutical products,
Impax's reliance on key strategic alliances, the uncertainty of patent
litigation, the availability of raw materials, the regulatory
environment, dependence on patent and other protection for innovative
products, exposure to product liability claims, fluctuations in
operating results and other risks detailed from time to time in
Impax's filings with the Securities and Exchange Commission.
Forward-looking statements speak only as to the date on which they are
made, and Impax undertakes no obligation to update publicly or revise
any forward-looking statement, regardless of whether new information
becomes available, future developments occur or otherwise.