Exhibit 99.1
 
 QUESTCOR REPORTS STRONG RESULTS FOR THE THIRD QUARTER 2008
 -New MS Prescriptions Increase Substantially from the Second Quarter 2008-
- Nephrotic Syndrome Identified as Possible Market Opportunity for Acthar-
-Conference Call Today at 4:30 p.m. Eastern-
 Union City, CA  October 30, 2008  Questcor Pharmaceuticals, Inc
 Third Quarter 2008 Highlights
 
    
    New prescriptions for Acthar in the treatment of Multiple Sclerosis (MS) increased by
approximately 50% from the second quarter of 2008
    
    Identified Nephrotic Syndrome as possible new growth area for Questcor; Acthar is
already approved for the treatment of Nephrotic Syndrome
    
    Resubmission of sNDA for Infantile Spasms (IS) remains on track for filing with FDA by
the end of 2008
    
    Completed formulation development of QSC-001; expect to start pivotal bioequivalence
trials in the second quarter of 2009
    
    Repurchased $23.7 million of common stock




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##### 



Acthar Shipment Levels and End User Demand
   2




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##### 



Medicaid Rebates and Government Chargebacks
  Income Taxes
   Cash and Share Data
  3




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##### 




    
    $10.3 million to repurchase all of Questcors outstanding preferred stock
    
    $15.6 million to repurchase 3.5 million shares of common stock in open market
transactions under the Companys 7 million share repurchase program, and
    
    $20.0 million to repurchase 4 million shares of common stock in directly negotiated
transactions.
   Regulatory Activity and Product Development
    4




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##### 



Conference Call Details
  www.questcor.com www.questcor.com
 About Questcor
 www.questcor.com
 Note: Except for the historical information contained herein, this press release contains
forward-looking statements within the meaning of the Private Securities Litigation Reform Act of
1995. Such statements involve risks and uncertainties and are subject to certain factors, which
may cause Questcors results to differ from those reported herein.
 Factors that may cause such differences include, but are not limited to:
 -Questcors ability to continue to successfully implement its Acthar-centric business strategy;
 -the introduction of competitive products,
 -regulatory changes including possible outcomes relating to a July 2008 Congressional hearing
regarding orphan drug pricing;
 -Questcors ability to accurately forecast the demand for its products;
 -the gross margin achieved from the sale of its products;
 -Questcors ability to estimate the quantity of Acthar used by government entities and
Medicaid-eligible patients;
 5




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##### 



-that the actual amount of rebates and discounts related to the use of Acthar by government
entities and Medicaid-eligible patients may differ materially from Questcors estimates;
 -the expenses and other cash needs for upcoming periods;
 -the inventories carried by Questcors distributors, specialty pharmacies and hospitals,
 -volatility in Questcors monthly and quarterly Acthar shipments and end-user demand;
 -Questcors ability to obtain finished goods from its sole source contract manufacturers on a
timely basis if at all;
 -Questcors ability to attract and retain key management personnel;
 -Questcors ability to utilize its net operating loss carry forwards to reduce income taxes on
taxable income;
 -research and development risks, including risks associated with Questcors sNDA for IS, its
preliminary work in the area of Nephrotic Syndrome and QSC-001;
 -uncertainties regarding Questcors intellectual property;
 -the uncertainty of receiving required regulatory approvals in a timely way, or at all;
 -uncertainties in the credit and capital markets and the impact a further deterioration of these
markets could have on Questcors investment portfolio;
 -as well as the risks discussed in Questcors annual report on Form 10-K for the year ended
December 31, 2007 and other documents filed with the Securities and Exchange Commission. The risk
factors and other information contained in these documents should be considered in evaluating
Questcors prospects and future financial performance.
  CONTACT INFORMATION:     dbailey@Questcor.com
 EVC Group, Inc.Investors
    
    MediaDoug Sherk
    
    Steve DiMattia415-896-6820
    
    646-201-5445Dahlia Bailey415-896-5862
 6




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##### 



Three Months Ended
    
    
    Nine Months EndedSeptember 30,
    
    
    September 30,2008
    
    
    2007
    
    
    2008
    
    
    2007Net sales
    
    $
    24,200
    
    
    $
    14,809
    
    
    $
    68,230
    
    
    $
    22,654Cost of sales (exclusive of amortization
of purchased technology)
    
    
    1,937
    
    
    
    1,534
    
    
    
    5,446
    
    
    
    3,298Gross profit
    
    
    22,263
    
    
    
    13,275
    
    
    
    62,784
    
    
    
    19,356Gross margin
    
    
    92
    %
    
    
    90
    %
    
    
    92
    %
    
    
    85
    %Operating costs and expenses:Selling, general and administrative
    
    
    4,251
    
    
    
    3,322
    
    
    
    14,172
    
    
    
    13,619Research and development
    
    
    2,577
    
    
    
    1,264
    
    
    
    8,103
    
    
    
    3,355Depreciation and amortization
    
    
    134
    
    
    
    125
    
    
    
    379
    
    
    
    373Total operating costs and expenses
    
    
    6,962
    
    
    
    4,711
    
    
    
    22,654
    
    
    
    17,347Income from operations
    
    
    15,301
    
    
    
    8,564
    
    
    
    40,130
    
    
    
    2,009Other income (expense):Interest income
    
    
    209
    
    
    
    164
    
    
    
    817
    
    
    
    555Other income (expense), net
    
    
    
    
    
    
    (1
    )
    
    
    11
    
    
    
    239Gain on sale of product rights
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    448Total other income
    
    
    209
    
    
    
    163
    
    
    
    828
    
    
    
    1,242Income before income taxes
    
    
    15,510
    
    
    
    8,727
    
    
    
    40,958
    
    
    
    3,251Income tax expense
    
    
    6,555
    
    
    
    102
    
    
    
    16,668
    
    
    
    102Net income
    
    
    8,955
    
    
    
    8,625
    
    
    
    24,290
    
    
    
    3,149Deemed dividend on Series A preferred stock
    
    
    
    
    
    
    
    
    
    
    5,267
    
    
    
    Allocation of undistributed earnings to
Series A preferred stock
    
    
    
    
    
    
    261
    
    
    
    
    
    
    
    95Net income applicable to common shareholders
    
    $
    8,955
    
    
    $
    8,364
    
    
    $
    19,023
    
    
    $
    3,054Net income per share applicable to common
shareholders:Basic
    
    $
    0.13
    
    
    $
    0.12
    
    
    $
    0.28
    
    
    $
    0.04Diluted
    
    $
    0.13
    
    
    $
    0.12
    
    
    $
    0.26
    
    
    $
    0.04Shares used in computing net income per
share applicable to common shareholders:Basic
    
    
    66,796
    
    
    
    69,192
    
    
    
    68,642
    
    
    
    68,986Diluted
    
    
    70,111
    
    
    
    69,224
    
    
    
    72,360
    
    
    
    69,985
 7




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##### 



September 30,
    
    
    December 31,2008
    
    
    2007ASSETSCurrent assets:Cash and cash equivalents
    
    $
    12,006
    
    
    $
    15,939Short-term investments
    
    
    28,913
    
    
    
    14,273Total cash, cash equivalents and short-term investments
    
    
    40,919
    
    
    
    30,212Accounts receivable, net of allowance for doubtful accounts
of $119 and $57 at September 30, 2008 and December 31, 2007,
respectively
    
    
    11,106
    
    
    
    23,639Inventories, net
    
    
    2,437
    
    
    
    2,365Prepaid expenses and other current assets
    
    
    1,267
    
    
    
    778Deferred tax assets
    
    
    7,849
    
    
    
    14,879Total current assets
    
    
    63,578
    
    
    
    71,873Property and equipment, net
    
    
    426
    
    
    
    522Purchased technology, net
    
    
    3,744
    
    
    
    3,967Goodwill
    
    
    299
    
    
    
    299Deposits and other assets
    
    
    709
    
    
    
    744Deferred tax assets
    
    
    1,043
    
    
    
    1,043Total assets
    
    $
    69,799
    
    
    $
    78,448LIABILITIES, PREFERRED STOCK AND SHAREHOLDERS EQUITYCurrent liabilities:Accounts payable
    
    $
    4,544
    
    
    $
    1,777Accrued compensation
    
    
    1,393
    
    
    
    1,945Sales-related reserves
    
    
    13,975
    
    
    
    8,176Income taxes payable
    
    
    
    
    
    
    1,330Other accrued liabilities
    
    
    1,743
    
    
    
    1,492Total current liabilities
    
    
    21,655
    
    
    
    14,720Lease termination and deferred rent liabilities
    
    
    1,580
    
    
    
    1,869Other non-current liabilities
    
    
    30
    
    
    
    7Preferred stock, no par value, 7,500,000 shares authorized; none
and 2,155,715 Series A shares issued and outstanding at
September 30, 2008 and December 31, 2007, respectively
(aggregate liquidation preference of $10,000 at December 31,
2007)
    
    
    
    
    
    
    5,081Shareholders equity:Common stock, no par value, 105,000,000 shares authorized;
64,954,004 and 70,118,166 shares issued and outstanding at
September 30, 2008 and December 31, 2007, respectively
    
    
    79,186
    
    
    
    108,387Accumulated deficit
    
    
    (32,647
    )
    
    
    (51,670
    )Accumulated other comprehensive gain (loss)
    
    
    (5
    )
    
    
    54Total shareholders equity
    
    
    46,534
    
    
    
    56,771Total liabilities, preferred stock and shareholders equity
    
    $
    69,799
    
    
    $
    78,448
 8




---



##### 



Nine Months EndedSeptember 30,2008
    
    
    2007OPERATING ACTIVITIESNet income
    
    $
    24,290
    
    
    $
    3,149Adjustments to reconcile net income to net cash provided by (used in) operating activities:Share-based compensation expense
    
    
    3,773
    
    
    
    1,025Deferred income taxes
    
    
    8,504
    
    
    
    Amortization of investments
    
    
    (421
    )
    
    
    Depreciation and amortization
    
    
    368
    
    
    
    373Loss on disposal of equipment
    
    
    10
    
    
    
    12Gain on sale of product rights
    
    
    
    
    
    
    (448
    )Excess tax benefit from share-based compensation
    
    
    (1,424
    )
    
    
    Changes in operating assets and liabilities:Accounts receivable
    
    
    12,533
    
    
    
    (12,366
    )Inventories
    
    
    (72
    )
    
    
    397Prepaid expenses and other current assets
    
    
    (489
    )
    
    
    183Accounts payable
    
    
    2,767
    
    
    
    (228
    )Accrued compensation
    
    
    (552
    )
    
    
    (303
    )Sales-related reserves
    
    
    5,799
    
    
    
    (643
    )Income taxes payable
    
    
    (1,330
    )
    
    
    102Other accrued liabilities
    
    
    251
    
    
    
    325Other non-current liabilities
    
    
    (266
    )
    
    
    58Net cash flows provided by (used in) operating activities
    
    
    53,741
    
    
    
    (8,364
    )INVESTING ACTIVITIESPurchase of property and equipment
    
    
    (59
    )
    
    
    (67
    )Acquisition of purchased technology
    
    
    
    
    
    
    (300
    )Purchase of short-term investments
    
    
    (45,664
    )
    
    
    (17,188
    )Proceeds from the sale and maturities of short-term investments
    
    
    31,386
    
    
    
    12,250Net proceeds from sale of product rights
    
    
    
    
    
    
    448Changes in deposits and other assets
    
    
    35
    
    
    
    (16
    )Net cash flows used in investing activities
    
    
    (14,302
    )
    
    
    (4,873
    )FINANCING ACTIVITIESIssuance of common stock, net
    
    
    1,123
    
    
    
    449Repurchase of Series A preferred stock
    
    
    (10,348
    )
    
    
    Repurchase of common stock
    
    
    (35,571
    )
    
    
    Excess tax benefit from share-based compensation
    
    
    1,424
    
    
    
    Net cash flows provided by (used in) financing activities
    
    
    (43,372
    )
    
    
    449Decrease in cash and cash equivalents
    
    
    (3,933
    )
    
    
    (12,788
    )Cash and cash equivalents at beginning of period
    
    
    15,939
    
    
    
    15,937Cash and cash equivalents at end of period
    
    $
    12,006
    
    
    $
    3,149
 9