Exhibit 99.1
[QUIGLEY LOGO]
CONTACT:
David K. Waldman/John W. Heilshorn Carl Fonash
Lippert Heilshorn & Associates The Quigley Corporation
(212) 838-3777 (267) 880-1111
DWALDMAN@LHAI.COM
QUIGLEY TO PURCHASE MANUFACTURING ASSETS OF JOEL
DOYLESTOWN, PA. - AUGUST 20, 2004 - THE QUIGLEY CORPORATION (NASDAQ: QGLY) has
signed an asset purchase and sale agreement with JOEL, Inc. for $5.1 million,
which includes $4.1 million in cash and $1.0 million of the Company's stock.
Upon completion of all agreement requirements, the transfer of assets, which
includes land, buildings, machinery and equipment of two manufacturing
facilities, located in Lebanon and Elizabethtown, Pennsylvania will occur on
October 1, 2004. The Company will either fund the entire acquisition through its
current working capital, or may finance a portion of the transaction with a
commercial bank.
JOEL, Inc. is a FDA approved contract manufacturer of lozenges and other candy
food products. JOEL, Inc. has been the exclusive manufacturer of the Company's
ColdEEZE(R) Lozenge since its launch in 1995. The Company is exploring whether
it will continue manufacturing several other products currently being
manufactured by JOEL, Inc., particularly Joel's line of organic hard candies and
lozenges, under the College Farm(TM) brand. The JOEL facility and its current
organic hard candy line is currently the only manufacturing plant approved for
manufacture of organic hard candies and lozenges within the United States.
Guy J. Quigley, Chairman, President and Chief Executive Officer stated, "We do
not anticipate this transaction will have a material impact to our bottom-line
results at current revenue levels. However, the plant is currently utilizing a
fraction of its capacity, and as volume increases, the purchase may produce
savings. The real benefit to the Company is the manufacturing expertise this
acquisition provides. Producing Cold-EEZE(R) is a highly complex process, which
requires very specialized and technical know-how developed by the Company.
Ownership of these assets will further protect our interests while tightening
our control over the process, thus insuring the manufacturing formula is held
secret."
The Quigley Corporation (Nasdaq: QGLY, http://www.Quigleyco.com) is a leading
developer and marketer of diversified health products including the COLD-EEZE(R)
family of patented zinc gluconate glycine (ZIGG(TM)) lozenges and sugar free
tablets. COLD-EEZE is the only (ZIGG) lozenge proven in two double-blind studies
to reduce the duration of the common cold from 7.6 to 4.4 days or by 42%. In
addition to Over-The-Counter (OTC) products, the Company has formed Quigley
Pharma Inc. (http://www.QuigleyPharma.com), a wholly owned ethical
pharmaceutical subsidiary, to introduce a line of naturally-derived patented
prescription drugs. The Quigley Corporation's customers include leading national
wholesalers and distributors, as well as independent and chain food, drug and
mass merchandise stores and pharmacies. The Quigley Corporation makes no
representation that the U.S. Food and Drug Administration or any other
regulatory agency will grant an IND or take any other action to allow the
aforementioned products to be studied or marketed. Furthermore, no claim is made
that the potential medicine discussed here is safe, effective, or approved by
the Food and Drug Administration.
Certain statements in this press release are "forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995 and involve
known and unknown risk, uncertainties and other factors that may cause the
company's actual performance or achievements to be materially different from the
results, performance or achievements expressed or implied by the forward-looking
statement. Factors that impact such forward-looking statements include, among
others, changes in worldwide general economic conditions, changes in interest
rates, government regulations, and worldwide competition.
# # #