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PDL BioPharma: PDL BioPharma Announces Conversion Rate Adjustment for Its 2.00% Convertible Senior Notes Due February 15, 2012

^{Published on 2009-01-06 03:55:29, Last Modified on 2009-01-06 03:56:03 - Market Wire}
 

INCLINE VILLAGE, NV--(Marketwire - January 6, 2009) - PDL BioPharma, Inc. (PDL) (NASDAQ: [ PDLI ]) announced today the adjustment to the conversion rate for its 2.00% Convertible Senior Notes due February 15, 2012 (Notes). The conversion rate, as adjusted, is 82.162 shares of common stock per $1,000 principal amount of the Notes, effective January 5, 2009. The conversion rate for the Notes was previously 61.426 shares of common stock per $1,000 principal amount of the Notes.

On December 18, 2008, the spin-off of the Company's biotechnology operations was accomplished through a pro rata stock dividend to PDL's stockholders of the common stock of Facet Biotech Corporation (Facet). In connection with the spin-off, the conversion rate of the Notes is increased by multiplying the previous conversion rate by an adjustment factor equal to the sum of the daily adjustments for each of the ten consecutive trading days beginning on the effective date of the spin-off. The daily adjustment for each such trading day is equal to a fraction, the numerator of which is the sum of the closing price of PDL common stock and the closing price of Facet common stock applicable to one share of PDL common stock, and the denominator of which is the product of ten and the closing price of PDL common stock. The adjusted conversion rate for the Notes becomes effective on the tenth trading day from, and including, the effective date of the spin-off.

The Notes were originally issued on February 14, 2005.

About PDL

PDL BioPharma, Inc. was a leader in the humanization of monoclonal antibodies and enabled the discovery of a new generation of targeted treatments for cancer and autoimmune diseases. This press release and further information about PDL BioPharma, Inc. can be found at: [ www.pdl.com ].

NOTE: PDL BioPharma and the PDL BioPharma logo are considered trademarks of PDL BioPharma, Inc. Facet Biotech is considered a trademark of Facet Biotech Corporation.