<PAGE>

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D. C. 20549

                                    FORM 10-Q

[X]  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934

                  for the quarterly period ended March 31, 2006

                                       OR

[ ]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934

          for the transition period from _____________ to ____________

                         Commission file number 1-10638

                               CAMBREX CORPORATION
             (Exact name of registrant as specified in its charter)

<TABLE>
<S>                                                          <C>
            DELAWARE                                              22-2476135
(State or other jurisdiction of                                (I.R.S. Employer
 incorporation or organization)                              Identification No.)
</TABLE>

            ONE MEADOWLANDS PLAZA, EAST RUTHERFORD, NEW JERSEY 07073
                    (Address of principal executive offices)

                                 (201) 804-3000
              (Registrant's telephone number, including area code)

     Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding twelve months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.

                                Yes [X]. No [ ].

     Indicate by check mark whether the registrant is a large accelerated filer,
an accelerated filer, or a non-accelerated filer. See definition of "accelerated
filer and large accelerated filer"in Rule 12b-2 of the Exchange Act. (Check
one):

Large accelerated filer [ ]   Accelerated filer [X]   Non-accelerated filer [ ]

     Indicate by check mark whether the Registrant is a shell company (as
defined in Rule 12b-2 of the Act). Yes [ ]. No [X].

     As of May 31, 2006, there were 26,840,591 shares outstanding of the
registrant's Common Stock, $.10 par value.

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES

                                    FORM 10-Q

                      For The Quarter Ended March 31, 2006
                                Table of Contents

<TABLE>
<CAPTION>
                                                                        Page No.
                                                                        --------
<S>                                                                     <C>
Part I Financial information

   Item 1.  Financial Statements (Unaudited)

            Consolidated balance sheets as of March 31, 2006 and
            December 31, 2005                                                  2

            Consolidated income statements for the three months ended
            March 31, 2006 and 2005                                            3

            Consolidated statements of cash flows for the three
            months ended March 31, 2006 and 2005                               4

            Notes to unaudited consolidated financial statements          5 - 21

   Item 2.  Management's Discussion and Analysis of

            Financial Condition and Results of Operations                22 - 27

   Item 3.  Quantitative and Qualitative Disclosures about Market
            Risk                                                              27

   Item 4.  Controls and Procedures                                           28

Part II Other information

   Item 1.  Legal Proceedings                                                 29

   Item 1A. Risk Factors                                                      29

   Item 2.  Changes in Securities and Use of Proceeds                         29

   Item 4.  Matters Submitted to a Vote of Securities Holders                 29

   Item 6.  Exhibits                                                          29

Signatures                                                                    30
</TABLE>
<PAGE>

                         Part 1 - FINANCIAL INFORMATION

                      CAMBREX CORPORATION AND SUBSIDIARIES
                           CONSOLIDATED BALANCE SHEETS
                                   (unaudited)
                        (in thousands, except share data)

<TABLE>
<CAPTION>
                                                             March 31,   December 31,
                                                                2006         2005
                                                             ---------   ------------
<S>                                                          <C>         <C>
ASSETS
Current assets:
   Cash and cash equivalents .............................   $ 23,681      $ 45,932
   Trade receivables, net ................................     70,297        74,425
   Inventories, net ......................................    105,785        93,617
   Prepaid expenses and other current assets .............     12,034        15,552
                                                             --------      --------
      Total current assets ...............................    211,797       229,526
Property, plant and equipment, net .......................    232,504       229,410
Goodwill .................................................     97,216        96,368
Other intangible assets, net .............................     50,860        51,183
Other assets .............................................      5,543         5,985
                                                             --------      --------
      Total assets .......................................   $597,920      $612,472
                                                             ========      ========

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
   Accounts payable ......................................   $ 39,804      $ 38,813
   Accrued expenses and other current liabilities ........     48,661        51,819
   Short-term debt and current portion of long-term debt..      1,622         1,514
                                                             --------      --------
      Total current liabilities ..........................     90,087        92,146
Long-term debt ...........................................    168,136       186,819
Deferred tax liabilities .................................     29,151        28,543
Other non-current liabilities ............................     63,015        61,713
                                                             --------      --------
      Total liabilities ..................................    350,389       369,221
                                                             --------      --------
Stockholders' equity:
   Common stock, $.10 par value; authorized 100,000,000
      issued 29,187,241 and 29,118,141 shares at
      respective dates ...................................      2,919         2,912
   Additional paid-in capital ............................    218,908       217,105
   Retained earnings .....................................     59,964        62,170
   Treasury stock, at cost; 2,433,990 and 2,443,313
      shares at respective dates .........................    (20,200)      (20,768)
   Accumulated other comprehensive loss ..................    (14,060)      (18,168)
                                                             --------      --------
      Total stockholders' equity .........................    247,531       243,251
                                                             --------      --------
      Total liabilities and stockholders' equity .........   $597,920      $612,472
                                                             ========      ========
</TABLE>

     See accompanying notes to unaudited consolidated financial statements.


                                        2


<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
                         CONSOLIDATED INCOME STATEMENTS
                                   (unaudited)
                      (in thousands, except per-share data)

<TABLE>
<CAPTION>
                                                               Three months ended
                                                                    March 31,
                                                              -------------------
                                                                2006       2005
                                                              --------   --------
<S>                                                           <C>        <C>
Gross sales ...............................................   $119,607   $110,462
   Allowances and rebates .................................        899        989
                                                              --------   --------
Net sales .................................................    118,708    109,473
   Other revenues .........................................      1,080      2,460
                                                              --------   --------
Net revenues ..............................................    119,788    111,933
Cost of goods sold ........................................     74,868     68,671
                                                              --------   --------
Gross profit ..............................................     44,920     43,262
Operating expenses:
   Selling, general and administrative expenses ...........     28,193     26,497
   Research and development expenses ......................      5,988      5,858
                                                              --------   --------
      Total operating expenses ............................     34,181     32,355
Operating profit ..........................................     10,739     10,907
Other expenses:
   Interest expense, net ..................................      7,353      2,730
   Other expense, net .....................................         22        190
                                                              --------   --------
Income before income taxes ................................      3,364      7,987
   Provision for income taxes .............................      4,541      3,897
                                                              --------   --------
(Loss)/earnings before cumulative effect of a change in
   accounting principle ...................................   $ (1,177)  $  4,090
Cumulative effect of a change in accounting principle .....       (228)        --
                                                              --------   --------
Net (loss)/income .........................................   $ (1,405)  $  4,090
                                                              ========   ========
Basic earnings per share:
   (Loss)/earnings before cumulative effect of a change
      in accounting principle .............................   $  (0.04)  $   0.16
   Cumulative effect of a change in accounting principle ..      (0.01)        --
                                                              --------   --------
   Net (loss)/income ......................................   $  (0.05)  $   0.16
Diluted earnings per share:
   (Loss)/earnings before cumulative effect of a change
      in accounting principle .............................   $  (0.04)  $   0.15
   Cumulative effect of a change in accounting principle ..      (0.01)        --
                                                              --------   --------
   Net (loss)/income ......................................   $  (0.05)  $   0.15
Weighted average shares outstanding:
   Basic ..................................................     26,661     26,346
   Effect of dilutive stock options .......................         --        284
                                                              --------   --------
   Diluted ................................................     26,661     26,630
Cash dividends paid per share .............................   $   0.03   $   0.03
                                                              ========   ========
</TABLE>

     See accompanying notes to unaudited consolidated financial statements.


                                        3
<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
                      CONSOLIDATED STATEMENTS OF CASH FLOWS
                                   (unaudited)
                                 (in thousands)

<TABLE>
<CAPTION>
                                                                 Three months ended
                                                                      March 31,
                                                                --------------------
                                                                   2006       2005
                                                                ---------   --------
<S>                                                             <C>         <C>
Cash flows from operating activities:
   Net (loss)/income ........................................   $  (1,405)  $  4,090
   Cumulative effect of a change in accounting principle ....         228         --
   Depreciation and amortization ............................       8,611      9,944
   Acquired in-process research and development .............       1,445         --
   Write-off of debt origination fees .......................         463         --
   Stock based compensation .................................         377       (650)
   Deferred income taxes ....................................          29         --
   Allowance for doubtful accounts ..........................         512        384
   Inventory reserves .......................................         (69)     1,706
   Loss on sale of property, plant and equipment ............         152        115
   Changes in assets and liabilities:
      Receivables ...........................................       4,417     (1,074)
      Inventories ...........................................     (10,857)   (10,527)
      Prepaid expenses and other current assets .............       3,800      1,628
      Accounts payable and other current liabilities ........      (2,328)      (477)
      Other non-current assets and liabilities ..............         558      2,943
                                                                ---------   --------
   Net cash provided by operating activities ................       5,933      8,082
                                                                ---------   --------
Cash flows from investing activities:
   Capital expenditures .....................................      (8,499)    (9,046)
   Acquired in-process research and development .............      (1,338)        --
   Other investing activities ...............................         (41)    (2,758)
                                                                ---------   --------
   Net cash used in investing activities ....................      (9,878)   (11,804)
                                                                ---------   --------
Cash flows from financing activities:
   Dividends paid ...........................................        (801)      (792)
   Net increase in short-term debt ..........................         457         --
   Long-term debt activity (including current portion):
      Borrowings ............................................     127,200     24,814
      Repayments ............................................    (146,985)   (16,387)
   Proceeds from stock options exercised ....................       1,003         32
   Other financing activities ...............................          (1)       111
                                                                ---------   --------
      Net cash (used in)/provided by financing activities ...     (19,127)     7,778
                                                                ---------   --------
Effect of exchange rate changes on cash .....................         821     (4,213)
                                                                ---------   --------
Net decrease in cash and cash equivalents ...................     (22,251)      (157)
Cash and cash equivalents at beginning of period ............      45,932     91,532
                                                                ---------   --------
Cash and cash equivalents at end of period ..................   $  23,681   $ 91,375
                                                                =========   ========
</TABLE>

     See accompanying notes to unaudited consolidated financial statements.


                                        4

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
              NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS
                    (dollars in thousands, except share data)

(1)  BASIS OF PRESENTATION

     Unless otherwise indicated by the context, "Cambrex" or the "Company" means
Cambrex Corporation and subsidiaries.

     The accompanying unaudited consolidated financial statements have been
prepared from the records of the Company. In the opinion of management, the
financial statements include all adjustments which are of a normal and recurring
nature, except as otherwise described herein, and are necessary for a fair
presentation of financial position and results of operations in conformity with
generally accepted accounting principles. These interim financial statements
should be read in conjunction with the financial statements for the year ended
December 31, 2005.

     The results of operations for the three months ended March 31, 2006 are not
necessarily indicative of the results to be expected for the full year.

     Certain reclassifications have been made to prior year amounts to conform
to the current year presentation.

(2)  IMPACT OF RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

     Inventory Costs

     In November 2004, the Financial Accounting Standards Board ("FASB")
published FAS 151 "Inventory Costs - an amendment of ARB No. 43, Chapter 4"
("FAS 151"). FAS 151 amends guidance to clarify the accounting for abnormal
amounts of idle facility expense, freight, handling costs, and wasted material
(spoilage), which under some circumstances ARB No. 43 stated "may be so abnormal
as to require treatment as current period charges." This statement requires that
those items be recognized as current-period charges regardless of whether they
meet the criteria of "so abnormal". In addition, this statement requires that
the allocation of fixed production overheads to the cost of conversion be based
on the normal capacity of the production facility. This statement was effective
on January 1, 2006 and was not material to the Company's financial position or
results of operations.

     Share-Based Payment

     The Company adopted FAS 123(R) "Share-Based Payment" ("FAS 123(R)")
effective January 1, 2006 using the modified prospective transition method. This
statement requires entities to recognize the cost of employee services received
in exchange for awards of equity instruments based on the grant-date fair value
of those awards. This statement applies to all awards granted after the required
effective date and to awards modified, repurchased, or cancelled after that
date. During 2005 all out-of-the-money unvested options outstanding as well as
all out-of-the-money options granted during 2005 were fully vested by the
Compensation Committee of the Board of Directors. This represents approximately
2,650,000 options which resulted in the acceleration of pro forma compensation
expense of $12,711 in 2005. The purpose of the accelerated vesting was to
eliminate compensation expense in the income statement that the Company would
otherwise have recorded with respect to these accelerated options subsequent to
the January 1, 2006 effective date of FAS 123(R). The Company is also required
to measure stock appreciation rights ("SARs") at fair market value. Prior to
adopting FAS 123(R), the SARs were recorded at the intrinsic value. As a result
of adopting FAS 123(R), the Company recorded $228 in compensation expense as a
cumulative effect of a change in accounting principle during the first quarter
of 2006.


                                        5

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(3)  ACQUISITIONS

     On February 2, 2006, the Company acquired Cutanogen Corporation for a
purchase price of $1,445 which was paid at closing with additional purchase
price payments of up to $4,800 subject to the achievement of certain regulatory
and commercial milestones. Cutanogen Corporation is a privately-held
biotechnology company that focuses on products used to treat patients with
severe burns. Cutanogen's product, PermaDerm(TM) cultured skin, is the first
multi-layered product that combines autologous epidermal and dermal layers of
the skin in a product for severe burns that is pliable and grows with the
patient, a particular advantage when a burn patient is a child. The Company
expensed the purchase price payment and will continue to expense all additional
payments prior to regulatory approval of the product as in-process research and
development. At acquisition, Cutanogen was a development stage company, as it
had no long-lived assets, revenues or employees. Cutanogen will be reported as
part of the Bioproducts segment.

(4)  STOCK BASED COMPENSATION

     The Company adopted FAS 123(R) effective January 1, 2006 using the modified
prospective transition method. Prior to January 1, 2006, the company accounted
for those plans under the recognition and measurement provisions of APB Opinion
No. 25, Accounting for Stock Issued to Employees. No stock-based employee
compensation cost associated with stock options was recognized in the financial
results for the quarter ended March 31, 2005, as all the options granted under
those plans had an exercise price equal to the market value of the underlying
common stock on the date of grant. The first quarter of 2006 does not include
compensation cost for options granted prior to January 1, 2006 as all options
outstanding prior to January 1, 2006 were fully vested as of December 31, 2005.
On March 31, 2006, the Company had seven active stock-based employee
compensation plans in effect. The Company also had outstanding at March 31, 2006
SARs and restricted stock as described below.

     Beginning January 1, 2006, the Company recognizes compensation costs for
stock option awards to employees based on their grant-date fair value. The value
of each stock option is estimated on the date of grant using the Black-Scholes
option-pricing model. The weighted average fair value per share for the stock
options granted to employees during the quarter ended March 31, 2006 was $8.15.

     Stock option values were estimated using a 0.55% dividend yield, expected
volatility of 38.27% and a risk-free interest rate of 4.42%. The Company's stock
options are not publicly traded, therefore, expected volatilities are based on
historical volatility of the Company's stock. The risk-free interest rate is
based on the yield of a zero-coupon U.S. Treasury bond whose maturity period
approximates the option's expected term. The expected term of 4.75 years was
utilized based on Staff Accounting Bulletin No. 107, "Share-Based Payment"
"simplified" method for determining the expected term of stock options.
Assumptions used in estimating the fair value of stock options granted in the
first quarter 2006 are consistent with the assumptions used prior to the
adoption of FAS 123(R) with the exception of the expected life. As a result of
using the "simplified" method, the expected life was shortened by 1.25 years.

     FAS 123(R) requires companies to estimate the expected forfeitures for all
unvested awards and record compensation costs only for those awards that are
expected to vest. As of March 31, 2006, the total compensation cost related to
unvested stock option awards granted to employees but not yet recognized was
immaterial. The cost will be amortized on a straight-line basis over the
remaining weighted average vesting period of 3.8 years.

     The amount of stock based compensation costs related to stock options
recorded in the first quarter 2006 was negligible and would not have changed
earnings per share as a result of adopting FAS 123(R) on January 1, 2006.


                                        6

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(4)  STOCK BASED COMPENSATION (CONTINUED)

     Cambrex senior executives participate in a long-term incentive plan which
rewards achievement of long-term strategic goals with restricted stock units.
Awards are made annually to key executives and vest in one-third increments on
the first, second and third anniversaries of the grant. On the third anniversary
of the grant, restrictions on sale or transfer are removed and shares are issued
to executives. In the event of termination of employment or retirement, the
participant is entitled to the vested portion of the restricted stock units and
forfeits the remaining amount; the three-year sale and transfer restriction
remains in place. In the event of death or permanent disability, all shares vest
and the deferred sales restriction lapses. These awards are classified as equity
awards as defined in FAS 123(R). Historically, only senior executives
participated in this plan. As of January 1, 2006, certain other employees are
eligible to receive restricted stock as part of a redesigned stock-based
compensation plan. For the quarters ended March 31, 2006 and 2005, the Company
recorded $159 and $220 respectively, in compensation expense for this plan. As
of March 31, 2006, the total compensation cost related to unvested restricted
stock granted but not yet recognized was $1,939. The cost will be amortized on a
straight line basis over the remaining vesting period.

     At March 31, 2006, the Company has outstanding 150,000 fully-vested
cash-settled incentive SARs at a price of $19.30. These SARs are classified as
liability awards and, as such, will be recorded at fair value until the rights
are exercised or expire with the amount being recorded as compensation expense
or benefit in the applicable period. Fair market value was estimated using a
0.55% dividend yield, expected volatility of 38.77% and risk-free rate of 4.75%.
For the quarters ended March 31, 2006 and 2005 the Company recorded $218, at
fair market value, and ($870), at intrinsic value, respectively, in compensation
expense/(benefit). In addition, during the first quarter of 2006, the Company
recorded $228 in compensation expense as a cumulative effect of a change in
accounting principle in accordance with FAS 123(R). Under FAS 123(R), the
Company is required to measure the SARs at fair market value. Prior to adopting
FAS 123(R), the SARs were measured at the intrinsic value.

     The following table is a summary of the Company's stock option activity
issued to employees and related information:

<TABLE>
<CAPTION>
                                                          WEIGHTED-
                                             WEIGHTED-     AVERAGE
                                              AVERAGE     REMAINING
                                 NUMBER OF    EXERCISE   CONTRACTUAL
OPTIONS                            SHARES      PRICE         TERM
-------                          ---------   ---------   -----------
<S>                              <C>         <C>         <C>
Outstanding at January 1, 2006   4,021,247     $26.60        4.63
Granted                              2,250     $21.71
Exercised                          (79,600)    $14.48
Forfeited or expired               (56,033)    $22.96
                                 ---------
Outstanding at March 31, 2006    3,887,864     $26.90        4.41
                                 =========
Exercisable at March 31, 2006    3,885,614     $26.90        4.41
</TABLE>

     The aggregate intrinsic value for all stock options exercised during the
first quarters of 2006 and 2005 were $435 and $21, respectively.


                                        7
<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(4)  STOCK BASED COMPENSATION (CONTINUED)

     A summary of the Company's nonvested restricted stock as of March 31, 2006
and changes during the three months ended March 31, 2006 is presented below:

<TABLE>
<CAPTION>
                                              WEIGHTED-
                               NUMBER OF   AVERAGE GRANT-
NONVESTED RESTRICTED STOCK       SHARES    DATE FAIR VALUE
--------------------------     ---------   ---------------
<S>                            <C>         <C>
Nonvested at January 1, 2006     69,756         $24.30
Granted                          63,005         $21.71
Vested during period            (30,306)        $24.64
Forfeited                        (5,462)        $21.71
                                -------
Nonvested at March 31, 2006      96,993         $22.66
                                =======
</TABLE>

     The following table illustrates the effect on net income and earnings per
share if the Company had applied the fair value recognition provisions of FAS
123 as amended by FAS 148, Accounting for Stock-Based Compensation, to
stock-based employee compensation in the first quarter 2005. For purposes of
this pro forma disclosure, the value of the options is estimated using the
Black-Scholes option-pricing model and amortized ratably to expense over the
option's vesting periods.

<TABLE>
<CAPTION>
                                            Three Months
                                          Ended March 31,
                                                2005
                                          ---------------
<S>                                       <C>
Net income, as reported ...............       $4,090
Add: stock based compensation
   included in reported net income ....         (650)
Deduct: stock-based compensation
   expenses determined using fair value
   method .............................         (729)
                                              ------
Proforma net income ...................       $2,711
Earnings per share:
   Basic - as reported ................       $ 0.16
   Basic - proforma ...................       $ 0.10
   Diluted - as reported ..............       $ 0.15
   Diluted - proforma .................       $ 0.10
</TABLE>


                                        8
<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(5)  GOODWILL AND INTANGIBLE ASSETS

     The changes in the carrying amount of goodwill for the three months ended
March 31, 2006, are as follows:

<TABLE>
<CAPTION>
                                                           Human
                                Bioproducts   Biopharma    Health
                                  Segment      Segment    Segment    Total
                                -----------   ---------   -------   -------
<S>                             <C>           <C>         <C>       <C>
Balance as of January 1, 2006     $56,642       $8,863    $30,863   $96,368
Translation effect                    206           --        642       848
                                  -------       ------    -------   -------
Balance as of March 31, 2006      $56,848       $8,863    $31,505   $97,216
                                  =======       ======    =======   =======
</TABLE>

     Other intangible assets that are not subject to amortization, consist of
the following:

<TABLE>
<CAPTION>
                        As of         As of
                      March 31,   December 31,
                         2006         2005
                      ---------   ------------
<S>                   <C>         <C>
Trademarks             $33,898       $33,898
Proprietary Process      2,052         2,052
                       -------       -------
   Total               $35,950       $35,950
                       =======       =======
</TABLE>

     Other intangible assets, which will continue to be amortized, consist of
the following:

<TABLE>
<CAPTION>
                                 As of March 31, 2006
                     --------------------------------------------
                     Gross Carrying    Accumulated   Net Carrying
                         Amount       Amortization      Amount
                     --------------   ------------   ------------
<S>                  <C>              <C>            <C>
Product Technology       $12,400        $(4,476)        $ 7,924
Patents                    5,774         (2,210)          3,564
Supply Agreements          2,110         (1,207)            903
License Agreement          2,005           (449)          1,556
Other                      2,034         (1,071)            963
                         -------        -------         -------
   Total                 $24,323        $(9,413)        $14,910
                         =======        =======         =======
</TABLE>

<TABLE>
<CAPTION>
                                As of December 31, 2005
                     --------------------------------------------
                     Gross Carrying    Accumulated   Net Carrying
                         Amount       Amortization      Amount
                     --------------   ------------   ------------
<S>                  <C>              <C>            <C>
Product Technology       $12,326        $(4,257)        $ 8,069
Patents                    5,685         (2,097)          3,588
Supply Agreements          2,110         (1,152)            958
License Agreement          2,005           (401)          1,604
Other                      1,974           (960)          1,014
                         -------        -------         -------
   Total                 $24,100        $(8,867)        $15,233
                         =======        =======         =======
</TABLE>

     Amortization expense for the quarters ended March 31, 2006 and 2005 was
$488 and $539, respectively.


                                        9

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(5)  GOODWILL AND INTANGIBLE ASSETS (CONTINUED)

     The expected amortization expense related to intangible assets in the
future is as follows:

<TABLE>
<S>                                       <C>
For the year ended December 31, 2006 ..   $1,925
For the year ended December 31, 2007 ..   $1,895
For the year ended December 31, 2008 ..   $1,779
For the year ended December 31, 2009 ..   $1,510
For the year ended December 31, 2010 ..   $1,319
</TABLE>

(6)  INCOME TAXES

     The effective tax rate for the first quarter 2006 was 135.0% compared to
48.8% in the first quarter 2005. The tax provision in the first quarter 2006
increased to $4,541 compared to $3,897 in the first quarter of 2005. This change
is due to the geographic mix of pre-tax earnings.

     The Company's domestic net deferred tax assets at March 31, 2006 were
primarily associated with net operating loss carryforwards, foreign tax credits,
research and experimentation tax credits and alternative minimum tax credits,
which are evaluated quarterly to assess the likelihood of realization. The
realization of these assets is ultimately dependent upon generating future
taxable income or implementing tax planning strategies prior to expiration of
those assets. Since September 30, 2003 the Company has maintained a full
valuation allowance against its domestic net deferred tax assets and will
continue to do so until an appropriate level of domestic profitability is
sustained or tax strategies can be developed that would enable the Company to
conclude that it is more likely than not that a portion of the domestic net
deferred assets would be realized. During the fourth quarter of 2005 the Company
recorded a $16,926 increase to the valuation allowance to write down the
carrying value of deferred tax assets related to certain domestic
indefinite-lived intangible assets that had been previously preserved by tax
planning strategies. During the first quarter of 2006 the Company recorded an
increase of $188 to its deferred tax liabilities relating to its domestic
indefinite lived assets. If the Company continues to report pre-tax losses in
the United States, income tax benefits associated with those losses will not be
recognized and, therefore, those losses would not be reduced by such income tax
benefits. The carryforward periods for foreign tax credits, research and
experimentation tax credits, net operating losses, and the federal alternative
minimum tax credits are 5 - 10 years, 20 years, 20 years and an indefinite
period, respectively. As such, improvements in domestic pre-tax income in the
future may result in these tax benefits ultimately being realized. However,
there is no assurance that such improvements will be achieved.

(7)  NET INVENTORIES

     Inventories are stated at the lower of standard cost, determined on a
first-in, first-out basis, or market.

     Net inventories at March 31, 2006 and December 31, 2005 consist of the
following:

<TABLE>
<CAPTION>
                     March 31,   December 31,
                        2006         2005
                     ---------   ------------
<S>                  <C>         <C>
Finished goods ...    $ 48,488      $46,134
Work in process ..      31,157       24,615
Raw materials ....      22,549       18,159
Supplies .........       3,591        4,709
                      --------      -------
   Total .........    $105,785      $93,617
                      ========      =======
</TABLE>


                                       10
<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(8) LONG-TERM DEBT

    Long-term debt at March 31, 2006 and December 31, 2005 consists of the
following:

<TABLE>
<CAPTION>
                            March 31,   December 31,
                               2006         2005
                            ---------   ------------
<S>                         <C>         <C>
Bank credit facilities ..    $163,273     $ 81,943
Senior notes ............          --      100,000
Capitalized leases ......       5,696        6,056
Notes payable ...........         285          291
                             --------     --------
   Subtotal .............    $169,254     $188,290
Less: current portion ...       1,118        1,471
                             --------     --------
   Total ................    $168,136     $186,819
                             ========     ========
</TABLE>

     In January 2006, the Company elected to prepay the senior notes with funds
provided by borrowing under the 5-Year Syndicated Senior Revolving Credit
Facility. An expense of $5,272 was recorded related to a make-whole payment of
$4,809 paid to the senior note holders concurrent with the January 2006 payment,
and the related acceleration of $463 of unamortized origination fees.

     The Company is required to provide financial statements to its lenders
under the 5-Year Agreement within 60 days after its fiscal quarter-end. The
Company has received a waiver from its lenders through June 29, 2006 relating to
this requirement for the quarter ended March 31, 2006.

(9) COMPREHENSIVE INCOME

    The following table shows the components of comprehensive income/(loss) for
the three months ended March 31, 2006 and 2005:

<TABLE>
<CAPTION>
                                                                      For the three months
                                                                         ended March 31,
                                                                      --------------------
                                                                         2006      2005
                                                                        ------   --------
<S>                                                                   <C>        <C>
Net (loss)/income                                                      $(1,405)  $  4,090
Foreign currency translation                                             3,740    (14,911)
Unrealized gain/(loss) on hedging contracts, net of tax                    124       (708)
Unrealized gain/(loss) on available for sale securities, net of tax        244        (65)
                                                                        ------   --------
   Total                                                                $2,703   $(11,594)
                                                                        ======   ========
</TABLE>

(10) RETIREMENT PLANS

     Domestic Pension Plans

     The Company maintains two U.S. defined-benefit pension plans which cover
all eligible employees: the Nepera Hourly Pension Plan which covers the union
employees at the Harriman, New York plant, and the Cambrex Pension Plan which
covers all other eligible employees.


                                       11

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(10) RETIREMENT PLANS (CONTINUED)

     The components of net periodic pension cost for the Company's domestic
plans for the three months ended March 31, 2006 and 2005 are as follows:

<TABLE>
<CAPTION>
                                          March 31,   March 31,
                                             2006        2005
                                          ---------   ---------
<S>                                       <C>         <C>
COMPONENTS OF NET PERIODIC BENEFIT COST
Service cost ........................      $  729       $ 688
Interest cost .......................         858         791
Expected return on plan assets ......        (746)       (735)
Amortization of prior service cost ..          11          11
Recognized actuarial loss ...........         180         113
                                           ------       -----
Net periodic benefit cost ...........      $1,032       $ 868
                                           ======       =====
</TABLE>

     The Company expects to contribute $4,250 in cash to its two U.S.
defined-benefit pension plans in 2006.

     The Company has two Supplemental Executive Retirement Plans ("SERP") for
key executives. These plans are non-qualified and unfunded.

     The components of net periodic pension cost for the Company's SERP Plans
for the three months ended March 31, 2006 and 2005 are as follows:

<TABLE>
<CAPTION>
                                                        March 31,   March 31,
                                                           2006        2005
                                                        ---------   ---------
<S>                                                     <C>         <C>
COMPONENTS OF NET PERIODIC BENEFIT COST
Service cost ........................................      $ 55        $ 56
Interest cost .......................................       113         108
Amortization of unrecognized transition obligation ..        26          25
Amortization of prior service cost ..................         1           1
Recognized actuarial loss ...........................        18          10
                                                           ----        ----
Net periodic benefit cost ...........................      $213        $200
                                                           ====        ====
</TABLE>

     International Pension Plans

     Certain foreign subsidiaries of the Company maintain pension plans for
their employees that conform to the common practice in their respective
countries. Based on local laws and customs, some of those plans are not funded.
For those plans that are funded, the amount in the trust supporting the plan is
actuarially determined, and where applicable, in compliance with local statutes.


                                       12

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(10) RETIREMENT PLANS (CONTINUED)

     The components of net periodic pension cost for the Company's international
plans for the three months ended March 31, 2006 and 2005 are as follows:

<TABLE>
<CAPTION>
                                                 March 31,   March 31,
                                                    2006        2005
                                                 ---------   ---------
<S>                                              <C>         <C>
COMPONENTS OF NET PERIODIC BENEFIT COST
Service cost .................................     $ 344       $ 302
Interest cost ................................       260         282
Expected return on plan assets ...............      (102)        (92)
Amortization of unrecognized net obligation ..        (8)        (13)
Recognized actuarial loss ....................        17          59
Amortization of prior service cost ...........        33          (2)
                                                   -----       -----
Net periodic benefit cost ....................     $ 544       $ 536
                                                   =====       =====
</TABLE>

     The Company expects to contribute approximately $548 in cash to its
international pension plans in 2006.

(11) OTHER POSTRETIREMENT BENEFITS

     Cambrex provides post-retirement health and life insurance benefits
("post-retirement benefits") to all eligible retired employees. Employees who
retire at or after age 55 with fifteen years of service are eligible to
participate in the postretirement benefit plans. Certain subsidiaries and all
employees hired after December 31, 2002 (excluding those covered by collective
bargaining) are not eligible for these benefits. The Company's responsibility
for such premiums for each plan participant is based upon years of service. Such
plans are self-insured and are not funded. Effective January 1, 2006, the
Cambrex Retiree Medical Plan no longer provides prescription coverage to
retirees or dependents age 65 or older.

     The components of net periodic pension cost for the three months ended
March 31, 2006 and 2005 are as follows:

<TABLE>
<CAPTION>
                                                  March 31,   March 31,
                                                     2006        2005
                                                  ---------   ---------
<S>                                               <C>         <C>
COMPONENTS OF NET PERIODIC BENEFIT COST
Service cost                                        $ 16         $ 15
Interest cost                                         34           38
Actuarial loss recognized                             33           29
Amortization of unrecognized prior service cost      (45)         (38)
                                                    ----         ----
Total periodic postretirement benefit cost          $ 38         $ 44
                                                    ====         ====
</TABLE>


                                       13
<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(12) SEGMENT INFORMATION

     The Company classifies its business units into three reportable segments:
Bioproducts, consisting of research products and services and therapeutic
applications, Biopharma, consisting of biopharmaceutical process development and
manufacturing services and Human Health, consisting of active pharmaceutical
ingredients and pharmaceutical intermediates produced under Food and Drug
Administration cGMP for use in the production of prescription and
over-the-counter drug products and other fine custom chemicals derived from
organic chemistry.

     Information as to the operations of the Company in each of its business
segments is set forth below based on the nature of the products and services
offered. Cambrex evaluates performance based on gross profit and operating
profit. Inter-segment sales are not material. The Company allocates certain
corporate expenses to each of the segments.

     No customer accounted for more than 10% of consolidated gross sales in the
three months ended March 31, 2006 and 2005.

     The Company currently has a long-term sales contract that accounts for more
than 10% of Human Health segment sales for the three months ended March 31, 2006
and 2005 that is scheduled to expire at the end of 2008. There is no guarantee
that this contract will be renewed.

     The following is a summary of business segment information:

<TABLE>
<CAPTION>
                                          Three months ended
                                              March 31,
                                         -------------------
                                           2006       2005
                                         --------   --------
<S>                                      <C>        <C>
Gross Sales:
Bioproducts ..........................   $ 41,341   $ 39,919
Biopharma ............................     13,804      7,707
Human Health .........................     64,462     62,836
                                         --------   --------
                                         $119,607   $110,462
                                         ========   ========
Gross Profit:
Bioproducts ..........................   $ 22,867   $ 22,135
Biopharma ............................      1,013     (2,057)
Human Health .........................     21,040     23,184
                                         --------   --------
                                         $ 44,920   $ 43,262
                                         ========   ========
Operating Profit:
Bioproducts ..........................   $  6,868   $  9,646
Biopharma ............................     (1,462)    (4,912)
Human Health .........................     11,593     12,309
Corporate ............................     (6,260)    (6,136)
                                         --------   --------
                                         $ 10,739   $ 10,907
                                         ========   ========
</TABLE>


                                       14

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(12) SEGMENT INFORMATION (CONTINUED)

<TABLE>
<CAPTION>
                                         Three months ended
                                              March 31,
                                         ------------------
                                            2006     2005
                                           ------   ------
<S>                                      <C>        <C>
Capital Expenditures:
Bioproducts ..........................     $2,921   $2,937
Biopharma ............................        847    1,406
Human Health .........................      4,716    4,254
Corporate ............................         15      449
                                           ------   ------
                                           $8,499   $9,046
                                           ======   ======
Depreciation:
Bioproducts ..........................     $1,630   $1,494
Biopharma ............................        895      946
Human Health .........................      5,348    6,563
Corporate ............................        250      402
                                           ------   ------
                                           $8,123   $9,405
                                           ======   ======
Amortization:
Bioproducts ..........................     $  406   $  422
Biopharma ............................         72      108
Human Health .........................         10        9
                                           ------   ------
                                           $  488   $  539
                                           ======   ======
</TABLE>

<TABLE>
<CAPTION>
                                         March 31,   December 31,
                                            2006         2005
                                         ---------   ------------
<S>                                      <C>         <C>
Total Assets:
Bioproducts ..........................    $236,057     $231,965
Biopharma ............................      54,031       58,652
Human Health .........................     295,393      301,771
Corporate ............................      12,439       20,084
                                          --------     --------
                                          $597,920     $612,472
                                          ========     ========
</TABLE>

(13) CONTINGENCIES

     The Company is subject to various investigations, claims and legal
proceedings covering a wide range of matters that arise in the ordinary course
of its business activities. The Company continually assesses all known facts and
circumstances as they pertain to all legal and environmental matters and
evaluates the need for reserves and disclosures as deemed necessary based on
these facts and circumstances and as such facts and circumstances develop.

     Environmental

     In connection with laws and regulations pertaining to the protection of the
environment, the Company and/or its subsidiaries is a party to several
environmental proceedings and remediation investigations and cleanups and, along
with other companies, has been named a potentially responsible party ("PRP") for
certain waste disposal sites ("Superfund sites"). Additionally, as discussed in
the "Sale of Rutherford Chemicals" section of this Note, the Company has
retained the liability for certain environmental proceedings, associated with
the Rutherford Chemicals business. Each of these matters is subject to various


                                       15
<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(13) CONTINGENCIES (CONTINUED)

uncertainties, and it is possible that some of these matters will be decided
unfavorably against the Company. The resolution of such matters often spans
several years and frequently involves regulatory oversight or adjudication.

     Additionally, many remediation requirements are not fixed and are likely to
be affected by future technological, site, and regulatory developments.
Consequently, the ultimate extent of liabilities with respect to such matters,
as well as the timing of cash disbursements cannot be determined with certainty.

     In matters where the Company has been able to reasonably estimate its
liability, the Company has accrued for the estimated costs associated with the
study and remediation of Superfund sites not owned by the Company and the
Company's current and former operating sites. These accruals were $6,762 and
$6,413 at March 31, 2006 and December 31, 2005, respectively. The increase in
the accrual is primarily due to an increase in the reserve for the Clifton, NJ
site and the Bayonne, NJ site of $425 and $112, respectively, partially offset
by payments of $277 and currency fluctuation of $86. Based upon currently
available information and analysis, the Company's current accrual represents
management's best estimate of what it believes are the probable and estimable
costs associated with environmental proceedings including amounts for legal and
investigation fees where remediation costs may not be estimable at the reporting
date.

     As a result of the sale of the Bayonne, New Jersey facility (see "Sale of
Rutherford Chemicals" section of this Note), an obligation to investigate site
conditions and conduct required remediation under the New Jersey Industrial Site
Recovery Act was triggered and the Company has retained the responsibility for
such obligation. The Company completed a preliminary assessment of the site and
submitted the preliminary assessment to the New Jersey Department of
Environmental Protection ("NJDEP"). The preliminary assessment identified
potential areas of concern based on historical operations and sampling of such
areas commenced. The Company has completed a second phase of sampling and
determined that a third phase of sampling is necessary to determine the extent
of contamination and any necessary remediation. The results of the completed and
proposed sampling, and any additional sampling deemed necessary, will be used to
develop an estimate of the Company's future liability for remediation costs, if
required. The Company submitted its plan for the third phase of sampling to the
NJDEP during the fourth quarter of 2005. The sampling will commence in the next
few months.

     In March 2000, the Company completed the acquisition of the Cambrex
Profarmaco Landen facility in Belgium. At the time of acquisition, Cambrex was
aware of certain site contamination and recorded a reserve for the estimated
costs of remediation. This property has been the subject of an extensive
on-going environmental investigation. The investigation has been completed and
the Company concluded that no change to the reserve was necessary based on the
information developed through the investigation. The health risk assessment
related to the site contamination is on-going, and is expected to be completed
in the near future, and the results of such assessment may affect the reserves.

     The Company's Cosan subsidiary conducted manufacturing operations in
Clifton, New Jersey from 1968 until 1979. Prior to the acquisition by the
Company, the operations were moved to another location and thereafter Cambrex
purchased the business. In 1997, Cosan entered into an Administrative Consent
Order with the NJDEP. Under the Administrative Consent Order, Cosan is required
to complete an investigation of the extent of the contamination related to the
Clifton site and conduct remediation as may be necessary. During the third
quarter of 2005, the Company completed the investigation related to the Clifton
site, which extends to adjacent properties. The results of the investigation
caused the Company to increase


                                       16

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(13) CONTINGENCIES (CONTINUED)

its related reserves by $1,300. The Company submitted the results of the
investigation and proposed remedial action plan to the NJDEP. The increase in
the reserves in the third quarter of 2005 is based on the proposed remedial
action plan.

     In February 2005, the New Jersey Federal District Court ruled that a
lawsuit claiming property damages against Cosan by the owners of contaminated
property adjacent to the Clifton location could be placed on the active
calendar. To avoid the expense and uncertainty of trial, the parties have
reached an agreement to settle this matter. Under the settlement, which is not
yet finalized, Cosan will pay the property owner $425 and reserves have been
adjusted accordingly.

     In mid-2004 the United States Environmental Protection Agency ("USEPA")
conducted a hazardous waste inspection of the Company's Charles City facility.
Thereafter, the USEPA notified the facility of several alleged violations of the
hazardous waste laws related to management of hazardous waste and requested
additional information related to the alleged violations. The Company responded
and provided information which questioned the conclusion that the violations
occurred. Nevertheless, the USEPA concluded that several violations existed at
the time of the inspection, and on October 3, 2005 issued the facility an order
and penalty assessment in the amount of $189. On October 31, 2005 the Company
filed a request for a hearing and an informal conference to discuss settlement.
Settlement discussions are on-going as we prepare for the hearing.

     In March 2006, the Company received notice from the USEPA that two former
operating subsidiaries are considered PRPs at the Berry's Creek Superfund Site,
Bergen County, New Jersey. Our operating companies are among many other PRPs
that were listed in the notice. Pursuant to the notice the PRPs have been asked
to perform a remedial investigation and feasibility study of the Berry's Creek
Site. The Company has met with the other PRPs. Both operating companies joined
the groups of PRPs and filed a joint response to the USEPA agreeing to jointly
negotiate to conduct or fund (along with other PRPs) an appropriate remedial
investigation and feasibility study of the Berry's Creek Site. At this time it
is too early to predict the extent of any liabilities, consequently we have not
recorded any reserves for this matter.

     The Company is involved in other matters where the range of liability is
not reasonably estimable at this time and it is not determinable when
information will become available to provide a basis for recording an accrual,
should an accrual be required. If any of the Company's environmental matters are
resolved in a more unfavorable manner than presently estimated, these matters
either individually or in the aggregate, could have a material adverse effect on
the Company's financial condition, operating results and cash flows when
resolved in a future reporting period.

     Litigation and Other Matters

          Mylan Laboratories

     In 1998 the Company and its subsidiary Profarmaco S.r.l. (currently known
as Cambrex Profarmaco Milano S.r.l.") ("Profarmaco") were named as defendants
(along with Mylan Laboratories, Inc. ("Mylan") and Gyma Laboratories of America,
Inc., Profarmaco's distributor in the United States) in a proceeding instituted
by the Federal Trade Commission ("FTC") in the United States District Court for
the District of Columbia (the "District Court"). Suits were also commenced by
several State Attorneys' General. The suits alleged violations of the Federal
Trade Commission Act arising from exclusive license agreements between
Profarmaco and Mylan covering two APIs. The FTC and Attorneys' General suits
were settled in February 2001, with Mylan (on its own behalf and on behalf of
Profarmaco and Cambrex) agreeing to pay over $140,000 and with Mylan, Profarmaco
and Cambrex agreeing to monitor certain future conduct.


                                       17

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(13) CONTINGENCIES (CONTINUED)

     The same parties including the Company and Profarmaco have also been named
in purported class action complaints brought by private plaintiffs in various
state courts on behalf of purchasers of the APIs in generic form, making
allegations similar to those raised in the FTC's complaint and seeking various
forms of relief including treble damages.

     In April 2003, Cambrex reached an agreement with Mylan under which Cambrex
would contribute $12,415 to the settlement of litigation brought by a class of
direct purchasers. In exchange, Cambrex and Profarmaco received from Mylan a
release and full indemnity against future costs or liabilities in related
litigation brought by purchasers, as well as potential future claims related to
this matter. In accordance with the agreement $7,615 has been paid through
March 31, 2006, with the remaining $4,800 to be paid over the next three
years. Cambrex recorded an $11,342 charge (discounted to the present value due
to the five year pay-out) in the first quarter of 2003 as a result of this
settlement. As of March 31, 2006 the outstanding balance for this liability was
$4,574.

          Vitamin B-3

     In May 1998, the Company's subsidiary, Nepera, which formerly operated the
Harriman facility and manufactured and sold niacinamide ("Vitamin B-3"),
received a Federal Grand Jury subpoena for the production of documents relating
to the pricing and possible customer allocation with regard to that product. In
2000, Nepera reached agreement with the Government as to its alleged role in
Vitamin B-3 violations from 1992 to 1995. The Canadian government claimed
similar violations. All government suits in the U.S. and Canada have been
concluded.

     Nepera has been named as a defendant, along with several other companies,
in a number of private civil actions brought on behalf of alleged purchasers of
Vitamin B-3. The actions seek injunctive relief and unspecified but substantial
damages. All cases have been settled within established reserve amounts.
Settlement documents will be finalized and payments will be made during the next
several months. The balance of the reserves recorded within accrued liabilities
related to this matter was $1,603 as of March 31, 2006.

          Sale of Rutherford Chemicals

     The Company completed the sale of its Rutherford Chemicals business in
November 2003. Under the agreement for the sale ("Purchase Agreement"), the
Company provided standard representations and warranties and included various
covenants concerning the business, operations, liabilities and financial
condition of the Rutherford Chemicals business ("Rutherford Business"). Most of
such representations and warranties survived for a period of thirty days after
the preparation of the audited financial statements for year-end 2004 by the
purchasers of the Rutherford Business ("Buyers"). Therefore, claims for breaches
of such representations had to be brought during such time frame. Certain
specified representations, warranties and covenants, such as those relating to
employee benefit matters and certain environmental matters, survive for longer
periods and claims under such representations, warranties and covenants could be
brought during such longer periods. Under the Purchase Agreement, the Company
has indemnified the Buyer for breaches of representations, warranties and
covenants. Indemnifications for certain but not all representations and
warranties are subject to a deductible of $750 and a cap at 25 percent of the
purchase price.


                                       18

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(13) CONTINGENCIES (CONTINUED)

     Under the Purchase Agreement, the Company has retained the liabilities
associated with existing general litigation matters related to Rutherford
Chemicals. With respect to certain pre-closing environmental matters, the
Company retains the responsibility for: (i) certain existing matters including
violations, environmental testing for the New York facility incinerator and
off-site liabilities; and (ii) completing the on-going remediation at the New
York facility. Further, as a result of the sale of the Bayonne, New Jersey
facility within Rutherford Chemicals, and as discussed in the Environmental
Section above, the obligation to investigate site conditions and conduct
required remediation under the provisions of the New Jersey Industrial Site
Recovery Act was triggered; and the Company has retained the responsibility for
completion of any such investigation and remediation. With respect to all other
pre-closing environmental liabilities, whether known or unknown, the Buyer is
responsible for the management of potential future matters; however, the Buyer
and the Company may share the costs of associated remediation with respect to
such potential future matters, subject to certain limitations defined in the
agreement for sale. The Company has accrued for exposures which are deemed
probable and estimable.

     In March 2005, the Company received a claim from the Buyers claiming breach
of certain representations, warranties and covenants contained in the Purchase
Agreement. In April 2005, the Company responded rejecting the claim. Thereafter,
the Buyers submitted an amended claim. The amended claim alleges breaches of
representations, warranties and covenants covering each of the five operating
sites sold pursuant to the Purchase Agreement and are related primarily to
facility structures, utilities and equipment and alleges damages of $26,407. To
the extent the alleged damages arise from breaches of representations and
warranties, the claim would be subject to a cap of between approximately $14,000
and $16,250, depending on whether certain contingent payments are made, and is
subject to the deductible of $750 which is the responsibility of the Buyers. In
May 2005, the Company responded to the Buyers and rejected the claim entirely.

     In September 2005, the Company received a request for indemnity ("September
Notice") from the Buyers related to an arbitration claim filed by a Rutherford
Business customer ("Customer"). The arbitration claim arises from a claimed
breach of a supply agreement that was assigned to and assumed by the Buyers
pursuant to the Purchase Agreement. Thereafter, the Company was also served with
an arbitration claim by the Customer related to the same matter. In the
arbitration claim, the Customer claims $30,000 in damages arising from Buyers'
breach of the supply agreement. The Buyers claim that the September Notice
amends the earlier claims that they filed in March and April 2005, as discussed
above, and that the Customer's claimed breach of the supply agreement should be
treated as part of a breach of a representation, warranty or covenant set forth
in the earlier notices. The supply agreement was assigned to and assumed by the
Buyers, and the Company has now been dismissed from the Customer's arbitration
claim. In October 2005, the Company rejected the Buyers' claim for indemnity
under the September Notice in its entirety.

     In October 2005, the Company received a notice from the Buyers ("October
Notice") that summarized the claims previously received in March and April 2005,
and included the Buyers' response to the Company's April and May rejection of
the earlier notices. The October Notice also set forth additional claims for
environmental matters related to the Rutherford Business that relate to
environmental matters at each of the five operating sites sold pursuant to the
Purchase Agreement. In December 2005 the Buyers added two additional
environmental claims related to the former operating sites ("December Notices").
The Company has now responded to the October and December Notices disputing the
environmental claims on various grounds, including that the Company believes
most claims relate to Buyers' obligations under the Purchase Agreement. The
Company also requested additional information because some environmental


                                       19

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(13) CONTINGENCIES (CONTINUED)

claims may be covered by sections of the Purchase Agreement where the parties
share liability concerning such matters.

     In April 2006, the Company received a summons and complaint (the
"Complaint") from the Buyers, which was filed in the Supreme Court of the State
of New York, County of New York. The Complaint seeks indemnification,
declaratory and injunctive relief for alleged (i) breaches of representations,
warranties and covenants covering each of the former operating sites related to
facility structures, utilities and equipment included in the March, April and
October Notices mentioned above and the allegedly related breach of the Customer
Supply Agreement arising from a breach of warranty at the Harriman facility
included in September Notice mentioned above (collectively Equipment Matters);
and (ii) claims related to environmental matters at each of the five operating
locations, most of which related to the former Harriman location included in the
October Notice and December Notices mentioned above (collectively "Environmental
Matters").

     The Company continues its evaluation of Buyers' allegations and intends to
defend itself against these claims vigorously. The Company continues to believe
that the Equipment Matters are without merit. Further, the Company continues to
believe that based on current information the majority of the Environmental
Matters are either Buyers' responsibility or without merit and the remaining are
otherwise not reasonably estimable at this time. As such the Company has
recorded no reserves for this matter.

          Class Action Matter

     In October 2003, the Company was notified of a securities class action
lawsuit filed against Cambrex and five former and current Company officers. Five
class action suits were filed with the New Jersey Federal District Court (the
"Court"). In January 2004, the Court consolidated the cases, designated the lead
plaintiff and selected counsel to represent the class. An amended complaint was
filed in March 2004. The lawsuit has been brought as a class action in the names
of purchasers of the Company's common stock from October 21, 1998 through July
25, 2003. The complaint alleges that the Company failed to disclose in timely
fashion the January 2003 accounting restatement and subsequent SEC
investigation, as well as the loss of a significant contract at the Baltimore
facility.

     The Company filed a Motion to Dismiss in May 2004. Thereafter the plaintiff
filed a reply brief. In October 2005, the Court denied the Company's Motion to
Dismiss against the Company and two current Company officers. The Company has
reached its deductible under its insurance policy and further costs, expenses
and any settlement is expected to be paid by the Company's insurers. The Company
continues to believe that the complaints are without merit and will vigorously
defend against them. As such, the Company has recorded no reserves related to
this matter.

          Securities and Exchange Commission

     The SEC is currently conducting an investigation into the Company's
inter-company accounting procedures from the period 1997 through 2001. The
investigation began in the first half of 2003 after the Company voluntarily
disclosed certain matters related to inter-company accounts for the five-year
period ending December 31, 2001 that resulted in the restatement of the
Company's financial statements for those years. To the Company's knowledge, the
investigation is limited to this inter-company accounting matter, and the
Company does not expect further revisions to its historical financial statements
relating to these issues. The Company is fully cooperating with the SEC.


                                       20

<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
        NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
                    (dollars in thousands, except share data)

(13) CONTINGENCIES (CONTINUED)

          Baltimore Litigation

     In 2001, the Company acquired the biopharmaceutical manufacturing business
in Baltimore (the "Baltimore Business"). The sellers of the Baltimore Business
filed suit against the Company alleging that the Company made false
representations during the negotiations on which the sellers relied in deciding
to sell the business and that the Company breached its obligation to pay
additional consideration as provided in the purchase agreement which was
contingent on the performance of the Baltimore Business. Management believes the
matter to be without merit and has been vigorously defending the suit.

          Other

     The Company has commitments incident to the ordinary course of business
including corporate guarantees of financial assurance obligations under certain
environmental laws for remediation, closure and/or third party liability
requirements of certain of its subsidiaries and a former operating location;
contract provisions for indemnification protecting its customers and suppliers
against third party liability for manufacture and sale of Company products that
fail to meet product warranties and contract provisions for indemnification
protecting licensees against intellectual property infringement related to
licensed Company technology or processes.

     Additionally, as permitted under Delaware law, the Company has agreements
whereby we indemnify our officers and directors for certain events or
occurrences while the officer or director is, or was serving, at our request in
such capacity. The term of the indemnification period is for the officer's or
director's lifetime. The maximum potential amount of future payments we could be
required to make under these indemnification agreements is unlimited; however,
we have a Director and Officer insurance policy that covers a portion of any
potential exposure.

     The Company currently believes the estimated fair value of its
indemnification agreements is not significant based on currently available
information, and as such, the Company has no liabilities recorded for these
agreements as of March 31, 2006.

     In addition to the matters identified above, Cambrex's subsidiaries are
party to a number of other proceedings. While it is not possible to predict with
certainty the outcome of the Company's litigation matters and various other
lawsuits and contingencies, it is the opinion of management based on information
currently available that the ultimate resolution of these matters should not
have a material adverse effect on the Company's results of operations, cash
flows and financial position. These matters, if resolved in an unfavorable
manner, could have a material effect on the operating results and cash flows
when resolved in a future reporting period.


                                       21
<PAGE>

                      CAMBREX CORPORATION AND SUBSIDIARIES
                    (dollars in thousands, except share data)

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
     OF OPERATIONS

EXECUTIVE OVERVIEW

     The Company's business consists of three segments - Bioproducts, Biopharma
and Human Health. The Bioproducts segment consists of research products and
services and therapeutic applications. The Biopharma segment consists of the
Company's biopharmaceutical process development and manufacturing business. The
Human Health segment is primarily comprised of active pharmaceutical ingredients
derived from organic chemistry and pharmaceutical intermediates.

     During the first quarter 2006, Cambrex achieved varying levels of success
in its business segments. Bioproducts has a robust pipeline of new products with
several major product launches planned for the remainder of the year. Sales
growth in Human Health is strong and custom development projects are expected to
increase significantly this year. Biopharma had one of its best quarters since
2003 and continues to build its project pipeline.

     The following significant events occurred during the first quarter 2006
which affected reported results:

-    A $5,272 charge recorded within interest expense due to the pre-payment of
     a portion of the Company's long-term debt.

-    A $1,445 charge recorded within research and development expenses due to
     the acquisition of Cutanogen.

-    A $1,020 charge recorded within administrative expenses for the costs
     related to the previously announced evaluation of strategic alternatives to
     enhance shareholder value.

RESULTS OF OPERATIONS

COMPARISON OF FIRST QUARTER 2006 VERSUS FIRST QUARTER 2005

     The following table shows the gross sales of the Company's three segments,
in dollars and as a percentage of the Company's total gross sales for the
quarters ended March 31, 2006 and 2005:

<TABLE>
<CAPTION>
                                    Quarter Ended March 31,
                              -----------------------------------
                                    2006               2005
                              ----------------   ----------------
                                  $        %         $        %
                              --------   -----   --------   -----
<S>                           <C>        <C>     <C>        <C>
Bioproducts................   $ 41,341    34.6%  $ 39,919    36.1%
Biopharma..................     13,804    11.5      7,707     7.0
Human Health...............     64,462    53.9     62,836    56.9
                              --------   -----   --------   -----
   Total gross sales.......   $119,607   100.0%  $110,462   100.0%
                              ========   =====   ========   =====
</TABLE>


                                       22

<PAGE>

RESULTS OF OPERATIONS (CONTINUED)

     The following table shows the gross profit of the Company's three product
segments for the first quarter 2006 and 2005:

<TABLE>
<CAPTION>
                                     2006                              2005
                       -------------------------------   -------------------------------
                       Gross Profit $   Gross Margin %   Gross Profit $   Gross Margin %
                       --------------   --------------   --------------   --------------
<S>                    <C>              <C>              <C>              <C>
Bioproducts.........       $22,867           55.3%          $22,135            55.4%
Biopharma...........         1,013            7.3            (2,057)          (26.7)
Human Health........        21,040           32.6            23,184            36.9
                           -------                          -------
   Total............       $44,920           37.6%          $43,262            39.2%
                           =======                          =======
</TABLE>

     Gross sales in the first quarter 2006 increased 8.3% to $119,607 from
$110,462 in the first quarter 2005. Sales increased in all segments. Gross sales
were unfavorably impacted 4.9% in the first quarter 2006 versus the first
quarter 2005 due to strengthening of the U.S. dollar primarily versus the euro
and Swedish krona.

     Gross profit in the first quarter 2006 was $44,920 compared to $43,262 in
the first quarter 2005. Gross margin percentage decreased to 37.6% from 39.2% in
the first quarter 2005, reflecting lower margins in the Human Health and
Bioproducts segments partially offset by higher margins in the Biopharma
segment. Foreign currency fluctuations negatively impacted gross margins by 0.6
percentage points.

     The following table shows gross sales by geographic area for the three
months ended March 31, 2006 and 2005:

<TABLE>
<CAPTION>
                March 31,   March 31,
                   2006        2005
                ---------   ---------
<S>             <C>         <C>
North America    $ 54,580    $ 49,398
Europe             57,889      53,848
Asia                4,401       4,914
Other               2,737       2,302
                 --------    --------
Total            $119,607    $110,462
                 ========    ========
</TABLE>

     Bioproducts Segment gross sales of $41,341 were $1,422 or 3.6% above the
first quarter 2005. Bioproducts sales were unfavorably impacted 3.7% due to
strength in the U.S. dollar primarily against the euro in the first quarter 2006
versus 2005.

     Research Products gross sales of $20,705 were $706 or 3.5% above the first
quarter 2005 due primarily to increased sales in cell biology products and
higher cell culture media product sales.

     Therapeutic Applications gross sales of $20,636 were $716 or $3.6% above
the first quarter of 2005 due to higher sales of endotoxin detection products,
cell culture media products due to increased volume in Europe and cell therapy
services resulting largely from the addition of new customers.

     Bioproducts segment gross margins decreased to 55.3% in the first quarter
of 2006 from 55.4% in the first quarter of 2005. Higher sales volume in most
product categories and increased pricing were offset by an unfavorable impact
due to exchange rates, higher bad debt expense and unfavorable product mix.


                                       23

<PAGE>

RESULTS OF OPERATIONS (CONTINUED)

     Biopharma Segment gross sales of $13,804 were $6,097 or 79.1% above the
first quarter 2005 reflecting higher suite fees and reimbursed materials
partially offset by lower fees for labor and process development in our
biopharmaceutical manufacturing business. Suite fee revenues of $5,200 were
recorded in first quarter 2006 resulting from the shipments of all remaining
inventories to a client that terminated their project due to their unfavorable
regulatory developments during clinical trials in the fourth quarter of 2005.
Foreign currency had no impact on Biopharma sales.

     Biopharma segment gross margins increased to 7.3% in the first quarter of
2006 from (26.7)% in the first quarter of 2005 driven by higher revenues,
partially offset by higher production costs.

     Human Health Segment gross sales of $64,462 were $1,626 or 2.6% above the
first quarter of 2005. Human Health sales were unfavorably impacted 6.3% due to
exchange rates.

     Sales of Active Pharmaceutical Ingredients ("APIs") of $50,696 were $1,940
or 4.0% above the first quarter of 2005 primarily due to increased sales of a
gastrointestinal API partially offset by lower pricing. Sales of nicotine
polacrilex resin (used in smoking cessation products) also increased. Partially
offsetting these increases are lower sales of certain central nervous system and
cardiovascular generic APIs due to increased competition and continued pricing
pressures.

     Sales of Pharmaceutical Intermediates of $6,553 were $324 or 4.7% below the
first quarter of 2005.

     Sales of Other Human Health products of $7,213 were flat compared to first
quarter of 2005.

     Human Health segment gross margins decreased to 32.6% in the first quarter
of 2006 from 36.9% in the first quarter of 2005 due to pricing pressures on APIs
and an unfavorable impact of foreign currency partially offset by favorable
sales volume and product mix and lower variable production costs.

     Selling, general and administrative expenses of $28,193 or 23.6% of gross
sales in the first quarter 2006 increased from $26,497 or 24.0% of gross sales
in the first quarter 2005. Sales and marketing expenses increased compared to
the first quarter 2005 primarily due to an increase in personnel and promotion
costs within the Bioproducts segment partially offset by the impact of currency
translation due to the stronger U.S. dollar. Administration expenses increased
primarily due to costs associated with the strategic alternatives process
partially offset by the impact of currency translation, lower personnel and
legal costs.

     Research and development expenses of $5,988 were 5.0% of gross sales in the
first quarter of 2006 compared to $5,858 or 5.3% of gross sales in the first
quarter 2005. Excluding the impact of the Cutanogen acquisition, the decrease is
due to the reduction of corporate personnel, lower labor costs and the impact of
currency translation.

     Operating profit in the first quarter 2006 was $10,739 compared to $10,907
in the first quarter 2005. The results reflect lower gross margins in the Human
Health and Bioproducts segments.

     Net interest expense of $7,353 in the first quarter 2006 increased $4,623
from the first quarter 2005. The Company incurred costs of $5,272 associated
with the prepayment of Senior Notes. Excluding this charge, net interest expense
decreased $649 primarily reflecting lower average debt and lower average
interest rates. The average interest rate was 5.2% in the first quarter 2006
versus 5.3% in the first quarter 2005.


                                       24

<PAGE>

RESULTS OF OPERATIONS (CONTINUED)

     The effective tax rate for the first quarter 2006 was 135.0% compared to
48.8% in the first quarter 2005. The tax provision in the first quarter 2006
increased to $4,541 compared to $3,897 in the first quarter of 2005. This change
is due to the geographic mix of pre-tax earnings.

     The Company's domestic net deferred tax assets at March 31, 2006 were
primarily associated with net operating loss carryforwards, foreign tax credits,
research and experimentation tax credits and alternative minimum tax credits,
which are evaluated quarterly to assess the likelihood of realization. The
realization of these assets is ultimately dependent upon generating future
taxable income or implementing tax planning strategies prior to expiration of
those assets. Since September 30, 2003 the Company has maintained a full
valuation allowance against its domestic net deferred tax assets and will
continue to do so until an appropriate level of domestic profitability is
sustained or tax strategies can be developed that would enable the Company to
conclude that it is more likely than not that a portion of the domestic net
deferred assets would be realized. During the fourth quarter of 2005 the Company
recorded a $16,926 increase to the valuation allowance to write down the
carrying value of deferred tax assets related to certain domestic
indefinite-lived intangible assets that had been previously preserved by tax
planning strategies. During the first quarter of 2006 the Company recorded an
increase of $188 to its deferred tax liabilities relating to its domestic
indefinite lived assets. If the Company continues to report pre-tax losses in
the United States, income tax benefits associated with those losses will not be
recognized and, therefore, those losses would not be reduced by such income tax
benefits. The carryforward periods for foreign tax credits, research and
experimentation tax credits, net operating losses, and the federal alternative
minimum tax credits are 5 - 10 years, 20 years, 20 years and an indefinite
period, respectively. As such, improvements in domestic pre-tax income in the
future may result in these tax benefits ultimately being realized. However,
there is no assurance that such improvements will be achieved.

     Net (loss)/income in the first quarter of 2006 was $(1,405) or $(0.05) per
diluted share versus $4,090, or $0.15 per diluted share in the same period a
year ago. Net loss for the first quarter 2006 includes a cumulative effect of a
change in accounting principle of ($228), or ($0.01) per diluted share as
described above.

     In November 2004, the FASB published FAS 151 "Inventory Costs - an
amendment of ARB No. 43, Chapter 4" ("FAS 151"). FAS 151 amends guidance to
clarify the accounting for abnormal amounts of idle facility expense, freight,
handling costs, and wasted material (spoilage), which under some circumstances
ARB No. 43 stated "may be so abnormal as to require treatment as current period
charges." This statement requires that those items be recognized as
current-period charges regardless of whether they meet the criteria of "so
abnormal". In addition, this statement requires that the allocation of fixed
production overheads to the cost of conversion be based on the normal capacity
of the production facility. This statement was effective on January 1, 2006 and
was not material to the Company's financial position or results of operations.

     Prior to January 1, 2006, the company accounted for stock option plans
under the recognition and measurement provisions of APB Opinion No. 25,
Accounting for Stock Issued to Employees, and related Interpretations, as
permitted by FASB Statement No. 123, Accounting for Stock-Based Compensation. No
stock-based employee compensation cost was recognized in the financial results
for the quarter ended March 31, 2005, as all the options granted under those
plans had an exercise price equal to the market value of the underlying common
stock on the date of grant. Effective January 1, 2006, the Company adopted the
fair value recognition provisions of FASB Statement No. 123(R) ("FAS 123 (R)")
"Share-Based Payment, using the modified-prospective-transition method. Under
this transition, compensation cost recognized in the first quarter of 2006
includes compensation cost for all share-based payments granted prior to, but
not yet vested, as of January 1, 2006 and all share-based payments granted
subsequent to January 1, 2006, based on the grant-date fair value estimated in
accordance with the provisions of FAS 123(R). The first quarter of 2006 does not
include compensation cost for share-based payments granted prior to January 1,
2006, as all options outstanding prior to January 1, 2006 were fully vested as
of December 31, 2005. Results of prior periods have not been restated.


                                       25

<PAGE>

RESULTS OF OPERATIONS (CONTINUED)

     Assumptions used in estimating the fair value of stock options granted in
the first quarter 2006 are consistent with the assumptions used prior to the
adoption of FAS 123(R) with the exception of the expected life. The expected
term of 4.75 years was utilized based on Staff Accounting Bulletin No. 107,
"Share-Based Payment" "simplified" method for determining the expected term of
stock options. As a result of using the "simplified" method, the expected life
was shortened by 1.25 years.

     FAS 123(R) requires companies to estimate the expected forfeitures for all
unvested awards and record compensation costs only for those awards that are
expected to vest. As of March 31, 2006, the total compensation cost related to
unvested stock option awards granted to employees but not yet recognized was
immaterial. The cost will be amortized on a straight-line basis over the
remaining weighted average vesting period of 3.8 years.

     The amount of stock based compensation costs related to stock options
recorded in the first quarter 2006 was immaterial and would not have changed
reported net income or earnings per share as a result of adopting FAS 123(R) on
January 1, 2006.

     At March 31, 2006, the Company has outstanding 150,000 fully-vested
cash-settled incentive stock appreciation rights (SARs) at a price of $19.30.
These SARs are classified as liability awards and, as such, will be recorded at
fair value until the rights are exercised or expire with the amount being
recorded as compensation expense or benefit in the applicable period. For the
quarters ended March 31, 2006 and 2005 the Company recorded $218, at fair market
value, and ($870), at intrinsic value, respectively, in compensation
expense/(benefit). In addition, the Company also recorded $228 in compensation
expense as a cumulative effect of a change in accounting principle in accordance
with FAS 123(R). Under FAS 123(R), the Company is required to measure the SARs
at fair market value. Prior to adopting FAS 123(R), the SARs were measured at
the intrinsic value.

LIQUIDITY AND CAPITAL RESOURCES

     During the first quarter of 2006, cash and cash equivalents on hand
decreased $22,251. During the three months ended March 31, 2006, the Company
generated cash flows from operations totaling $5,933, a decrease of $2,149
versus the same period a year ago. This decrease in cash flows is due primarily
to lower net income and the timing of payments related to trade payables
partially offset by an increase in the collections of receivables compared to
prior year.

     Capital expenditures were $8,499 in the first three months of 2006 as
compared to $9,046 in the first three months of 2005. Part of the funds in 2006
were used for cell therapy manufacturing capabilities at the Bioproducts
facility in Walkersville, MD, a new warehouse and API purification and finishing
facility in Milan, Italy and capital improvements to existing facilities.

     Cash flows used in financing activities in the first three months of 2006
of $19,127 includes a net decrease in debt of $19,328 and payment of dividends
of $801. The first three months of 2005 include a net increase in debt of $8,427
partially offset by payment of dividends of $792.

     During the first three months of 2006 and 2005, the Company paid cash
dividends of $0.03 per share.

     Management believes that existing sources of capital, together with cash
flows from operations, will be sufficient to meet foreseeable cash flow
requirements.


                                       26

<PAGE>

FORWARD-LOOKING STATEMENTS

     This document may contain "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995 and Rule 3b-6 under The
Securities Exchange Act of 1934, including, without limitation, statements
regarding expected performance, especially expectations with respect to sales,
research and development expenditures, earnings per share, capital expenditures,
acquisitions, divestitures, collaborations, or other expansion opportunities.
These statements may be identified by the fact that they use words such as
"expects," "anticipates," "intends," "estimates," "believes" or similar
expressions in connection with any discussion of future financial and operating
performance. Any forward-looking statements are qualified in their entirety by
reference to the factors discussed throughout this Form 10-Q. The
forward-looking statements contained herein are based on current plans and
expectations and involve risks and uncertainties that could cause actual
outcomes and results to differ materially from current expectations including,
but not limited to, global economic trends, pharmaceutical outsourcing trends,
competitive pricing or product developments, government legislation and/or
regulations (particularly environmental issues), tax rate, interest rate,
technology, manufacturing and legal issues, changes in foreign exchange rates,
performance of minority investments, uncollectable receivables, loss on
disposition of assets, cancellation or delays in renewal of contracts, lack of
suitable raw materials or packaging materials, the possibility that the value of
the acquisition of PermaDerm cultured skin may not be realized or that our plans
to obtain a Humanitarian Device Exemption, completion of clinical trials and
commercialization of PermaDerm cultured skin in the United States may not be
successful, and the Company's ability to receive regulatory approvals for its
products. Any forward-looking statement speaks only as of the date on which it
is made, and the Company undertakes no obligation to publicly update any
forward-looking statement, whether as a result of new information, future events
or otherwise. New factors emerge from time to time and it is not possible for us
to predict which will arise. In addition, we cannot assess the impact of each
factor on our business or the extent to which any factor, or combination of
factors, may cause actual results to differ materially from those contained in
any forward-looking statements.

     For further details and a discussion of these and other risks and
uncertainties, investors are cautioned to review the Cambrex 2005 Annual Report
on Form 10-K, including the Forward-Looking Statement section therein, and other
filings with the US Securities and Exchange Commission. The Company undertakes
no obligation to publicly update any forward-looking statement, whether as a
result of new information, future events or otherwise.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

     There has been no significant change in our exposure to market risk during
the first quarter of 2006. For a discussion of the Company's exposure to market
risk, refer to Part II, Item 7A, "Quantitative and Qualitative Disclosures about
Market Risk," contained in the Company's Annual Report on Form 10-K for the
period ended December 31, 2005.


                                       27

<PAGE>

ITEM 4. CONTROLS AND PROCEDURES

EVALUATION OF DISCLOSURE CONTROLS AND PROCEDURES

     We have carried out an evaluation under the supervision of, and with the
participation of, our management, including the Chief Executive Officer and
Chief Financial Officer, of the effectiveness of the design and operation of our
disclosure controls and procedures as of March 31, 2006. Our evaluation included
consideration of the continuing material weakness in our internal control over
the accounting for income taxes as disclosed under Item 9A Controls and
Procedures in our 2005 Annual Report on Form 10-K. Based on this evaluation, our
Chief Executive Officer and Chief Financial Officer have concluded that our
disclosure controls and procedures were not effective, at the reasonable
assurance level, as of March 31, 2006. Notwithstanding the material weakness,
the Company's management has concluded that the financial statements included in
this Form 10-Q are a fair presentation in all material respects the Company's
financial position, results of operations and cash flows for the periods
presented in conformity with generally accepted accounting principles.

     There are inherent limitations to the effectiveness of any system of
disclosure controls and procedures, including the possibility of human error and
the circumvention or overriding of the controls and procedures. Accordingly,
even effective disclosure controls and procedures can only provide reasonable
assurance of achieving their control objectives.

CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING

     There were no significant changes in the Company's internal control over
financial reporting that have materially affected, or are reasonably likely to
materially affect, the Company's internal control over financial reporting
during the quarter ended March 31, 2006.


                                       28

<PAGE>

PART II - OTHER INFORMATION

                      CAMBREX CORPORATION AND SUBSIDIARIES

ITEM 1 LEGAL PROCEEDINGS

     See the discussion under Part I, Item 1, Note 13 to the Consolidated
     Financial Statements.

ITEM 1A RISK FACTORS

     There have been no material changes to our risk factors and uncertainties
     during the first quarter of 2006. For a discussion of the Risk Factors,
     refer to Part I, Item 1A, "Risk Factors," contained in the Company's Annual
     Report on Form 10-K for the period ended December 31, 2005.

ITEM 2 CHANGES IN SECURITIES AND USE OF PROCEEDS.

     None.

ITEM 4. MATTERS SUBMITTED TO A VOTE OF SECURITIES HOLDERS.

     None.

ITEM 6. EXHIBITS

     Exhibits

          1.   Exhibit 31.1 - CEO Certification pursuant to Section 302 of the
               Sarbanes-Oxley Act of 2002.

          2.   Exhibit 31.2 - CFO Certification pursuant to Section 302 of the
               Sarbanes-Oxley Act of 2002.

          3.   Exhibit 32.1 - CEO Certification pursuant to Section 906 of the
               Sarbanes-Oxley Act of 2002.

          4.   Exhibit 32.2 - CFO Certification pursuant to Section 906 of the
               Sarbanes-Oxley Act of 2002.


                                       29

<PAGE>

                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.

                                        CAMBREX CORPORATION


                                        By /s/ Luke M. Beshar
                                           -------------------------------------
                                           Luke M. Beshar
                                           Executive Vice President and
                                           Chief Financial Officer
                                           (On behalf of the Registrant and
                                           as the Registrant's Principal
                                           Financial Officer)

Dated: June 7, 2006


                                       30