exv10w13w2






EXHIBIT 10.13.2




     XXXXX INDICATES MATERIAL THAT WAS OMITTED AND FOR WHICH CONFIDENTIAL TREATMENT WAS REQUESTED.
ALL SUCH OMITTED MATERIAL WAS FILED SEPARATELY WITH THE SECURITIES AND EXCHANGE COMMISSION PURSUANT
TO RULE 24b-2 PROMULGATED UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED.



Teva Pharmaceuticals Curaçao N.V.

Schottegatweg Oost 29 D

Curaçao

Netherlands Antilles




March 24, 2005




Barry R. Edwards

Chief Executive Officer

Impax Laboratories, Inc.

121 New Britain Boulevard

Chalfont, PA 18914





	 	Re: 	 Results Under Strategic Alliance Agreement, As Amended (“Agreement”) for the Three
Months and Year Ended December 31, 2004




Dear Barry:







Teva Pharmaceuticals Curacao N.V. (“Teva Curacao”), hereby certifies to Impax Laboratories, Inc.
(“Impax”) that the amounts shown on the attached report (“Report”) with respect to the Net Sales
and Impax Margin under the Agreement for the three months and year ended December 31, 2004, are
complete and accurate based on the information available to Teva Curacao at the time of preparation
of the Report. In addition, Impax agrees to make payment to Teva Curacao in the amount of One Million Three Hundred Eighty
Three Thousand Nine Hundred and Sixty Seven US Dollars (US $1,383,967) for the remaining estimated 2004 returns exposure (which payment shall be due
within thirty (30) days following the receipt by Impax of an invoice). Neither Teva Curacao nor
Impax shall make any further claim, demand for payment, adjustment or change with respect to the
Net Sales or Impax Margin set forth in the Report.







Capitalized terms used in this letter and not otherwise defined have the respective meanings set
forth in the Agreement.



Please sign below as your acknowledgement of the above, and return a signed copy of this letter to
my attention.




 









 








	 	 	 	 	 	 	 	 	 
	Impax Laboratories Inc	 	 	 	Teva Pharmaceuticals Curacao N.V.
	 
	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 
	By:

	 	/s/ Barry R. Edwards
	 	 	 	By:
	 	/s/ Ido Weinstein
	 

	 	 
	 	 	 	 	 	 
	 

	 	 	 	 	 	 	 	Ido Weinstein

Managing Director
	 
	 	 	 	 	 	 	 	 
	Date: March 28, 2005 

	 	 
	 	Date: March 29, 2005

	 







 












 





TEVA SALES YTD 2004





	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Year-To-Date 2004	 	 	 	 
	Teva NDC #	 	5501-01	 	 	5502-01 (W)	 	 	5703-01 (Z)	 	 	5210-01	 	 	5211-56	 	 	 	 
	IMPAX NDC #	 	2442-01	 	 	2444-01	 	 	2333-01	 	 	0811-01	 	 	0822-08	 	 	YTD 2004	 
	Product Name	 	XXXXX	 	 	XXXXX	 	 	XXXXX	 	 	XXXXX	 	 	XXXXX	 	 	TOTALS	 
	# Units Sold (Net of returns & Shortages)
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Gross Sales
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ChargebacksTM
	 	 	(12,781,957	)	 	 	(10,887,638	)	 	 	(1,094,175	)	 	 	(9,453	)	 	 	(445,515	)	 	 	(25,218,738	)
	Chargebacks (Qtry true up)
	 	 	1,261,027	 	 	 	1,549,752	 	 	 	492,638	 	 	 	(320	)	 	 	(66,273	)	 	 	3,236,824	 
	Rebates (TM/AR)
	 	 	(1,758,386	)	 	 	(17,826,258	)	 	 	(873,380	)	 	 	(2,580	)	 	 	(274,084	)	 	 	(20,734,688	)
	Returns (AR)
	 	 	(43,294	)	 	 	(184,326	)	 	 	(136	)	 	 	—	 	 	 	—	 	 	 	(227,756	)
	Promotions (AR)
	 	 	(709,092	)	 	 	(4,500,576	)	 	 	(248,177	)	 	 	—	 	 	 	—	 	 	 	(5,457,845	)
	Cash DiscountsTM
	 	 	(652,786	)	 	 	(2,876,137	)	 	 	(173,674	)	 	 	(677	)	 	 	(69,192	)	 	 	(3,772,466	)
	All Other (AR)
	 	 	(237,628	)	 	 	(17,710,716	)	 	 	(210,985	)	 	 	—	 	 	 	(5,386	)	 	 	(18,164,715	)
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Net Sales
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Manufacturing Costs
	 	 	(1,845,908	)	 	 	(14,395,341	)	 	 	(859,506	)	 	 	(1,168	)	 	 	(267,825	)	 	 	(17,369,747	)
	Selling & Admin allowance 3%
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	Insurance
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	(175,000	)	 	 	(175,000	)
	Andrx Share
	 	 	 	 	 	 	(34,215,250	)	 	 	(2,244,021	)	 	 	 	 	 	 	 	 	 	 	(36,459,272	)
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Gross Margin
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax’s profit share
	 	XXXXX%	 	XXXXX%	 	XXXXX%	 	 	XXXXX%	 	 	 	XXXXX%	 	 	 	—	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax Share per Teva Schedule
	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Rejected Credits-Impax share
	 	 	41,399	 	 	 	1,454,040	 	 	 	84,338	 	 	 	—	 	 	 	—	 	 	 	1,579,776	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Andrx True-Up
	 	 	—	 	 	 	1,583,735	 	 	 	175,377	 	 	 	—	 	 	 	—	 	 	 	1,759,112	 
	Andrx True-Up (adjust for Rej credits)
	 	 	—	 	 	 	(618,540	)	 	 	—	 	 	 	—	 	 	 	—	 	 	 	(618,540	)
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax Net Sales Adjustments
	 	 	41,399	 	 	 	2,419,235	 	 	 	259,715	 	 	 	 	 	 	 	 	 	 	 	2,720,348	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax — Adjusted Gross Margin
	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 






 









 




TEVA SALES Q4 2004




	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	4th QUARTER 2004	 	 	 	 
	Teva NDC #	 	5501-01	 	 	5502-01 (W)	 	 	5703-01 (Z)	 	 	5210-01	 	 	5211-56	 	 	 	 
	IMPAX NDC #	 	2442-01	 	 	2444-01	 	 	2333-01	 	 	0811-01	 	 	0822-08	 	 	 	 
	Product Name	 	XXXXX	 	 	XXXXX	 	 	XXXXX	 	 	XXXXX	 	 	XXXXX	 	 	TOTAL	 
	# Units Sold (Net of returns & Shortages)
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Gross Sales
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	ChargebacksTM
	 	 	(6,414,752	)	 	 	(1,154,513	)	 	 	(108,551	)	 	 	(9,453	)	 	 	(402,569	)	 	 	(8,089,838	)
	Chargebacks (Qtry true up)
	 	 	(92,322	)	 	 	(32,387	)	 	 	284,679	 	 	 	(320	)	 	 	(66,273	)	 	 	93,377	 
	Rebates (TM/AR)
	 	 	(151,806	)	 	 	(3,153,282	)	 	 	(230,116	)	 	 	(2,580	)	 	 	(185,616	)	 	 	(3,723,400	)
	Returns (AR)
	 	 	(43,109	)	 	 	(15,675	)	 	 	(136	)	 	 	—	 	 	 	—	 	 	 	(58,920	)
	Promotions (AR)
	 	 	(361,116	)	 	 	(3,243,229	)	 	 	(178,176	)	 	 	—	 	 	 	—	 	 	 	(3,782,521	)
	Cash DiscountsTM
	 	 	(32,178	)	 	 	(465,754	)	 	 	(34,467	)	 	 	(677	)	 	 	(48,432	)	 	 	(581,508	)
	All Other (AR)
	 	 	(139,903	)	 	 	(2,274,579	)	 	 	(188,697	)	 	 	—	 	 	 	(5,386	)	 	 	(2,608,565	)
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Net Sales
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Manufacturing Costs
	 	 	(127,406	)	 	 	(3,281,875	)	 	 	(246,570	)	 	 	(1,168	)	 	 	(199,158	)	 	 	(3,856,177	)
	Selling & Admin allowance 3%
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	Insurance
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	0	 
	Andrx Share
	 	 	 	 	 	 	487,084	 	 	 	(145,680	)	 	 	 	 	 	 	 	 	 	 	341,404	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Gross Margin
	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 	 	 	XXXXX	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax’s profit share
	 	XXXXX%	 	XXXXX%	 	XXXXX%	 	XXXXX%	 	XXXXX%	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax Share per Teva Schedule
	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Rejected Credits-Impax share
	 	 	41,399	 	 	 	1,454,040	 	 	 	84,338	 	 	 	—	 	 	 	—	 	 	 	1,579,776	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Andrx True-Up
	 	 	—	 	 	 	1,583,735	 	 	 	175,377	 	 	 	—	 	 	 	—	 	 	 	1,759,112	 
	Andrx True-Up (adjust for Rej credits)
	 	 	—	 	 	 	(618,540	)	 	 	—	 	 	 	—	 	 	 	—	 	 	 	(618,540	)
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax Net Sales Adjustments
	 	 	41,399	 	 	 	2,419,235	 	 	 	259,715	 	 	 	—	 	 	 	—	 	 	 	2,720,348	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Impax — Adjusted Gross Margin
	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX	 	XXXXX