THE
QUIGLEY CORPORATION ANNOUNCES FINAL VOTING RESULTS FOR
2009
ANNUAL MEETING OF SHAREHOLDERS
Judge
Orders Incumbent Board to Remain In Place Until Further Hearing
Final
Outcome of Director Election Remains Uncertain
DOYLESTOWN, PA. – June 1, 2009 – The Quigley Corporation, (Nasdaq:
QGLY), www.quigleyco.com, today announced that IVS
Associates, Inc., the inspector of election for Quigley’s 2009 annual meeting of
shareholders, issued its final report, showing that Karkus’ seven director
nominees received a larger number of votes than Quigley’s incumbent
directors.
The
Company also announced that despite the final voting results issued today by
IVS, the final outcome of the director election remains uncertain. On
May 19, 2009, one day before the Company’s 2009 Annual Meeting, the Company
announced it had uncovered an undisclosed financial arrangement between Karkus
and the Company’s Quigley Pharma, Inc. subsidiary COO, Dr. Richard A.
Rosenbloom. Karkus had previously stated in sworn testimony that at
no time did he have any financial arrangement with any employee of The Quigley
Corporation. Since the Annual Meeting, the Company has learned that
Dr. Rosenbloom may have also had undisclosed financial arrangements with one of
Karkus’ director nominees and with John Ligums, an alleged member of the Karkus
Group.
On May
29, 2009, upon a motion by the Company detailing these recent developments, the
District Court Judge in the United States District Court for the Eastern
District of Pennsylvania ordered the Company to operate under a standstill
agreement with respect to the composition of the Company’s Board of Directors
pending a Court hearing on the motion. The Company expects the motion will be
heard by Friday, June 5, 2009.
About The Quigley
Corporation
The
Quigley Corporation (NASDAQ: QGLY, http://www.Quigleyco.com)
is a diversified natural health medical science company. Its
Cold Remedy segment is a leading marketer and manufacturer of the COLD-EEZE®
family of lozenges, gums and sugar free tablets clinically proven to cut the
common cold nearly in half. COLD-EEZE customers include leading
national wholesalers and distributors, as well as independent and chain food,
drug and mass merchandise stores and pharmacies. The Quigley
Corporation has several wholly owned subsidiaries; Quigley Manufacturing Inc.
consists of two FDA approved facilities to manufacture COLD- EEZE® lozenges as
well as fulfill other contract manufacturing opportunities. Quigley Pharma Inc.
(http://www.QuigleyPharma.com)
conducts research in order to develop and commercialize a pipeline of patented
botanical and naturally derived potential prescription drugs.
Forward-Looking
Statements
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.
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