EXHIBIT 99.1

International Headquarters
7150 Mississauga Road
Mississauga, Ontario L5N 8M5
Phone: 905.286.3000
Fax: 905.286.3050

Contact Information:
Laurie W. Little
949-461-6002
laurie.little@valeant.com

VALEANT PHARMACEUTICALS REPORTS
2011 SECOND QUARTER FINANCIAL RESULTS

	•		2011 Second Quarter Total Revenue $609 million, including $40 million related to Trobalt milestone
	•		Total pro forma revenue growth for the combined company was approximately 27%

	•		Excluding the impact of foreign exchange, acquisitions and milestones, pro forma organic growth was approximately 4%
	•		Also excluding impact from Diastat and Efudex, pro forma organic growth for the combined company was approximately 7%

•

2011 Second Quarter GAAP EPS $0.17; Cash EPS $0.73,

•

Includes $0.06 gain from Cephalon investment

	•		2011 Second Quarter GAAP Cash Flow from Operations was $227 million; Adjusted Cash Flow from Operations was $260 million
	•		2011 Cash EPS Guidance raised to $2.70 — $3.00

     Mississauga, Ontario — August 4, 2011 — Valeant Pharmaceuticals International, Inc. (NYSE: VRX) (TSX: VRX) announces second quarter financial results for 2011.

     “The second quarter once again demonstrated the strength of our diversified business model,” stated J. Michael Pearson, chairman and chief executive officer. “While the organic growth in our U.S. operations faced a number of headwinds this quarter, such as a tough comparison to the second quarter of 2010 when Legacy Biovail product sales were at unusually high levels, coupled with lower than expected results delivered by partnered Legacy Biovail generic products, we still delivered solid pro forma organic growth. We remain confident that our full year pro forma organic growth should be approximately 8 percent due in part to the strong performance from our businesses in Europe, Latin America, Canada and Australia. In

addition, we are pleased to report that our cash flow from operations generation was particularly robust this quarter, demonstrating the solid execution of our business strategy.”

Revenue

     Total revenue was $609.4 million in the second quarter of 2011 as compared to $238.8 million in the second quarter of 2010. Included in total revenue for 2011 was $40.0 million of alliance and royalty revenue related to the milestone payment for European launch of retigabine (Trobalt) from GlaxoSmithKline (GSK). Product sales were $530.0 million in the second quarter of 2011, as compared to $231.2 million in the year-ago quarter. These increases are primarily due to the acquisition of Valeant Pharmaceuticals International (Legacy Valeant) by Biovail Corporation (Legacy Biovail) which was completed in September 2010. In connection with the acquisition, Biovail was renamed Valeant Pharmaceuticals International, Inc. GAAP results for the second quarter of 2010 only reflect Legacy Biovail revenues and do not include any revenues from Legacy Valeant.

     Total pro forma revenue growth for the combined company (Legacy Biovail and Legacy Valeant) was approximately 27% for the second quarter of 2011. Pro forma organic revenue growth for the combined company, excluding the impact of foreign exchange and acquisitions, was approximately 4% for the second quarter of 2011. Also, excluding the genericization impact from Diastat and Efudex, pro forma organic revenue growth for the combined company was approximately 7%.

Operating Expenses and Gain on Investments

     The Company’s cost of goods sold, excluding amortization of intangibles, was $169.9 million in the second quarter of 2011 and represented 32% of product sales. This number in the second quarter of 2011 included $18.2 million in acquisition step up and amortization primarily related to the acquisition of PharmaSwiss. Excluding the adjustments, cost of goods for the second quarter of 2011 was 29% of product sales.

     Selling, General and Administrative expenses were $149.7 million in the second quarter of 2011, which includes a $16.1 million step-up in stock based compensation expenses related to the acquisition of Legacy Valeant. Excluding the step-up in stock based compensation, SG&A was approximately 25% of product sales and service and other revenue. Research and Development expenses were $17.8 million in the second quarter of 2011, or approximately 3% of revenue.

     In connection with an offer to acquire Cephalon, Inc., Valeant acquired approximately 1.0 million shares of common stock of Cephalon. Subsequently, Cephalon agreed to be acquired by Teva Pharmaceuticals Industries Inc. and consequently, Valeant disposed of its entire investment, which resulted in a realized gain of approximately $0.06 diluted earnings per share.

Net Income and Cash Flow from Operating Activities

     The Company reported net income of $56.4 million for the second quarter of 2011, or $0.17 per diluted share. On a Cash EPS basis, income was $240.2 million, or $0.73 per diluted share.

     GAAP cash flow from operating activities was $227 million in the second quarter of 2011, and adjusted cash flow from operations was $260 million in the second quarter of 2011.

Securities Repurchase Program

     Since March 31st, 2011, under Valeant’s securities repurchase program, the Company repurchased an additional $68 million principal amount of the 5.375% senior convertible notes due 2014, for an aggregate purchase price of $244 million, bringing the aggregate repurchases to $247 million of the $350 million face value of the 5.375% convertible notes.

2011 Guidance

     The Company is raising its previous Cash EPS guidance to $2.70 to $3.00 in 2011, as compared to prior guidance of $2.65 to $2.90.

Conference Call and Webcast Information

     The Company will host a conference call and a live Internet webcast along with a slide presentation today at 10:00 a.m. ET (7:00 a.m. PT), August 4, 2011 to discuss its second quarter financial results for 2011. The dial-in number to participate on this call is (877) 295-5743, confirmation code 84713375. International callers should dial (973) 200-3961, confirmation code 84713375. A replay will be available approximately two hours following the conclusion of the conference call through August 11, 2011 and can be accessed by dialing (855) 859-2056, or (404) 537-3406, confirmation code 84713375. The live webcast of the conference call may be accessed through the investor relations section of the Company’s corporate website at www.valeant.com.

About Valeant

     Valeant Pharmaceuticals International, Inc. (NYSE/TSX:VRX) is a multinational specialty pharmaceutical company that develops and markets a broad range of pharmaceutical products primarily in the areas of neurology, dermatology and branded generics. More information about Valeant can be found at www.valeant.com.

Forward-looking Statements

     This press release may contain forward-looking statements, including, but not limited to, statements regarding our expected growth and Cash EPS guidance for 2011. Forward-looking statements may be identified by the use of the words “anticipates,” “expects,” “intends,” “plans,”

“should,” “could,” “would,” “may,” “will,” “believes,” “estimates,” “potential,” or “continue” and variations or similar expressions. These statements are based upon the current expectations and beliefs of management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include, but are not limited to, risks and uncertainties discussed in the Company’s most recent annual or quarterly report filed with the Securities and Exchange Commission (“SEC”) and risks and uncertainties as detailed from time to time in Valeant’s filings with the SEC and the Canadian Securities Administrators (“CSA”), which factors are incorporated herein by reference. Readers are cautioned not to place undue reliance on any of these forward-looking statements. Valeant undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this press release or to reflect actual outcomes.

Note on Guidance

     The guidance contained in this press release is only effective as of the date given, August 4, 2011, and will not be updated or confirmed until the Company publicly announces updated or affirmed guidance.

Non-GAAP Information

     To supplement the financial measures prepared in accordance with generally accepted accounting principles (GAAP), the company uses non-GAAP financial measures that exclude certain items, such as amortization of inventory step-up, amortization of alliance product assets & property, plant and equipment step up, stock-based compensation step-up, contingent consideration fair value adjustments, restructuring, integration and acquisition-related costs, acquired in-process research and development (“IPR&D”), legal settlements outside the ordinary course of business, amortization and other non-cash charges, amortization of deferred financing costs, debt discounts and ASC 470-20 (FSP APB 14-1) interest, loss on extinguishment of debt, (gain) loss on investments, net, and adjusts tax expense to cash taxes. Management uses non-GAAP financial measures internally for strategic decision making, forecasting future results and evaluating current performance. By disclosing non-GAAP financial measures, management intends to provide investors with a meaningful, consistent comparison of the company’s core operating results and trends for the periods presented. Non-GAAP financial measures are not prepared in accordance with GAAP. Therefore, the information is not necessarily comparable to other companies and should be considered as a supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP.

Financial Tables follow.

Table 1

Valeant Pharmaceuticals International, Inc.
Condensed Consolidated Statement of Income
For the Three and Six Months Ended June 30, 2011 and 2010

		Three Months Ended												Six Months Ended
		June 30,												June 30,
(In thousands, except per share data)		2011				2010(a)				% Change				2011				2010(a)				% Change
Product sales		$	530,035			$	231,245			NM				$	1,030,456			$	443,278			NM
Alliance and royalty			65,988				4,647			NM					124,402				8,996			NM
Service and other			13,364				2,879			NM					19,555				6,132			NM
Total revenues			609,387				238,771			NM					1,174,413				458,406			NM
Cost of goods sold (exclusive amortization of intangible assets shown separately below)			169,912				63,850			NM					339,199				122,805			NM
Cost of services			3,395				3,372			NM					6,605				6,679			NM
Cost of alliances			—				—			NM					30,735				—			NM
Selling, general and administrative (“SG&A”)			149,657				45,094			NM					289,163				88,607			NM
Research and development			17,764				23,644			NM					31,434				36,221			NM
Contingent consideration fair value adjustments			1,752				—			NM					2,138				—			NM
Acquired in-process research and development			2,000				10,242			NM					4,000				61,245			NM
Legal settlements			2,000				—			NM					2,400				—			NM
Restructuring and acquisition-related costs			29,495				10,458			NM					48,541				11,071			NM
Amortization of intangible assets			114,946				33,299			NM					226,989				66,599			NM
			490,921				189,959								981,204				393,227
Operating income			118,466				48,812								193,209				65,179
Interest expense, net			(81,987	)			(9,718	)							(149,935	)			(19,357	)
Loss on extinguishment of debt			(14,748	)			—								(23,010	)			—
Gain (loss) on investments, net			21,158				(392	)							22,927				(547	)
Other income, net including translation and exchange			847				667								3,654				44
Income before (recovery of) provision for income taxes			43,736				39,369								46,845				45,319
(Recovery of) provision for income taxes			(12,624	)			5,400								(15,997	)			14,500
Net income		$	56,360			$	33,969							$	62,842			$	30,819
Earnings per share:
Basic:
Net income		$	0.19			$	0.21							$	0.21			$	0.19
Shares used in per share computation			303,426				158,510								303,587				158,449
Diluted:
Net income		$	0.17			$	0.21							$	0.19			$	0.19
Shares used in per share computation			331,369				161,019								332,130				160,115

(a)   Prior year amounts have been modified to conform to the 2011 disclosure.

Table 2

Valeant Pharmaceuticals International, Inc.
Reconciliation of GAAP EPS to Adjusted Non-GAAP (Cash) EPS
For the Three and Six Months Ended June 30, 2011 and 2010

		Three Months Ended								Six Months Ended
		June 30,								June 30,
(In thousands, except per share data)		2011				2010				2011				2010(a)
Net income		$	56,360			$	33,969	(a)		$	62,842			$	30,819
Non-GAAP adjustments (b)(c):
Inventory step-up (d)			16,262				—				46,171				—
Alliance product assets & pp&e step-up (e)			275				—				19,340				—
Stock-based compensation step-up (f)			16,070				—				39,407				—
Contingent consideration fair value adjustments			1,752				—				2,138				—
Restructuring, integration and acquisition-related costs (g)			29,495				10,458				48,541				11,071
Acquired in-process research and development			2,000				10,242				4,000				61,245
Legal settlements			2,000				—				2,400				—
Amortization and other non-cash charges			116,869				35,950				231,397				72,078
			184,723				56,650				393,394				144,394
Amortization of deferred financing costs, debt discounts and ASC 470-20 (FSP APB 14-1) interest			3,138				4,169				6,348				8,282
Loss on extinguishment of debt			14,748				—				23,010				—
(Gain) loss on investments, net			—				392				(1,769	)			547
Tax			(18,724	)			700				(38,497	)			5,000
Total adjustments			183,885				61,911				382,486				158,223
Adjusted income		$	240,245			$	95,880			$	445,328			$	189,042
GAAP earnings per share — diluted		$	0.17			$	0.21			$	0.19			$	0.19
Adjusted Non-GAAP (Cash) earnings per share — diluted		$	0.73			$	0.60			$	1.34			$	1.18
Non-GAAP benefit from the out-license of Cloderm (e)										$	0.06
Adjusted Non-GAAP (Cash) earnings per share — diluted (excluding the Non-GAAP benefit from the out-license of Cloderm) (e)										$	1.28
Shares used in diluted per share calculation — Adjusted Non-GAAP (Cash) earnings per share			331,369				161,019				332,130				160,115

Table 3

Valeant Pharmaceuticals International, Inc.
Statement of Revenue — by Segment
For the Three and Six Months Ended June 30, 2011 and 2010
(In thousands)

		Three Months Ended
		June 30,
																		2011
																		excluding
										%				2011				currency				%
		2011				2010				Change				currency				impact				Change
		GAAP				GAAP				(c)				impact				non-GAAP				(c)
Revenue (a)(b)
U.S. Neurology & Other		$	234,503			$	159,074				47	%		$	—			$	234,503				47	%
U.S. Dermatology			109,854				41,418				165	%			(203	)			109,651				165	%
Total U.S.			344,357				200,492				72	%			(203	)			344,154				72	%
Canada/Australia			83,999				28,884				191	%			(7,099	)			76,900				166	%
Specialty Pharmaceuticals			428,356				229,376				87	%			(7,302	)			421,054				84	%
Branded Generics — Europe			116,300				9,395				1138	%			(19,173	)			102,016				986	%
Branded Generics — Latin America			64,731				—			NM					(2,598	)			59,383			NM
Branded Generics			181,031				9,395			NM					(21,771	)			161,399			NM
Total revenue		$	609,387			$	238,771				155	%		$	(26,934	)		$	582,453				144	%

		Six Months Ended
		June 30,
																		2011
										%				2011				excluding				%
										Change				currency				currency				Change
		2011				2010				(c)				impact				impact				(c)
Revenue (a)(b)
U.S. Neurology & Other		$	444,102			$	307,378				44	%		$	—			$	444,102				44	%
U.S. Dermatology			262,560				80,392				227	%			(218	)			262,342				226	%
Total U.S.			706,662				387,770				82	%			(218	)			706,444				82	%
Canada/Australia			154,244				53,396				189	%			(11,593	)			142,651				167	%
Specialty Pharmaceuticals			860,906				441,166				95	%			(11,811	)			849,095				92	%
Branded generics — Europe			192,393				17,240				1016	%			(14,358	)			178,035				933	%
Branded generics — Latin America			121,114				—			NM					(8,608	)			112,506			NM
Branded Generics			313,507				17,240			NM					(22,966	)			290,541			NM
Total revenue		$	1,174,413			$	458,406				156	%		$	(34,777	)		$	1,139,636				149	%

Table 4

Valeant Pharmaceuticals International, Inc.
Reconciliation of GAAP Statement of Cost of Goods Sold to Non-GAAP Statement Cost of Goods Sold — by Segment
For the Three and Six Months Ended June 30, 2011
(In thousands)

Cost of goods sold (a)		Three Months Ended																				Six Months Ended
		June 30,																				June 30,
														2011																				2011
														excluding																				excluding
										2011				fair value																2011				fair value
										fair value				step-up																fair value				step-up
										step-up				adjustment																step-up				adjustment
										adjustment				to inventory																adjustment				to inventory
		2011				%				to inventory				and								2011				% of				to inventory				and
		as reported				of product				and				amortization				%				as reported				product				and				amortization				%
		GAAP				sales				amortization(b)				non-GAAP				of product sales				GAAP				sales				amortization(b)				non-GAAP				of product sales
U.S. Neurology & Other		$	35,391				19	%		$	1,918			$	33,473				18	%		$	81,775				21	%		$	13,320			$	68,455				17	%
U.S. Dermatology			12,291				15	%			—				12,291				15	%			46,994				27	%			7,696				39,298				22	%
Canada/Australia			23,694				29	%			699				22,995				28	%			44,927				30	%			3,466				41,461				27	%
Branded Generics — Europe			72,218				64	%			15,275				56,943				50	%			112,222				60	%			20,579				91,643				49	%
Branded Generics — Latin America			26,018				40	%			287				25,731				40	%			52,546				43	%			4,981				47,565				39	%
Corporate			300								—				300								735								—				735
		$	169,912				32	%		$	18,179			$	151,733				29	%		$	339,199				33	%		$	50,042			$	289,157				28	%

Table 5

Valeant Pharmaceuticals International, Inc.
Consolidated Balance Sheet and Other Data
(In thousands)

5.1 Cash

		As of				As of
		June 30,				December 31,
		2011				2010
Cash and cash equivalents		$	238,945			$	394,269
Marketable securities			2,954				6,083
Total cash and marketable securities		$	241,899			$	400,352
Debt
Convertible notes		$	102,617			$	417,555
Senior notes			4,326,672				2,185,822
Term loan A facility			—				975,000
Revolving credit facility			100,000				—
Other			17,500				16,900
			4,546,789				3,595,277
Less: Current portion			(17,500	)			(116,900	)
		$	4,529,289			$	3,478,377

5.2 Summary of Cash Flow Statement

		Three Months Ended
		June 30,
		2011				2010
Cash flow provided by (used in):
Net cash provided by (used in) operating activities (GAAP)		$	226,656			$	108,913
Restructuring and acquisition-related costs			29,495				10,458
Payment of legal settlements			2,000				—
Effect of ASC 470-20 (FSP APB 14-1)			2,712				—
Working capital change related to Zovirax transaction (a)			(28,671	)			—
Working capital change related to Elidel			8,471				—
Tax benefits from stock options exercised (b)			7,566				—
Non-Cash adjustments to Income Taxes Payable			13,730				—
Changes in working capital related to restructuring and acquisition-related costs			(2,419	)			—
Adjusted cash flow from operations (Non-GAAP) (c)		$	259,540			$	119,371

Valeant Pharmaceuticals International
Pro Forma Organic Growth — by Segment
For the Three and Six Months Ended June 30, 2011
(In thousands)

		Three Months Ended
		June 30,
																																		June QTD
														(a)												(d) (e)				June QTD				growth at
														June QTD				June QTD								June QTD				excluding				constant
		(b)				(b) (c)								2011				excluding								acquisition				currency &				currency,
		June QTD				June QTD								currency				currency								impact at				acquisition				net of
		2011				2010				% Change				impact				impact				% Change				2010 rates				impact				acquisitions
U.S. Dermatology		$	79,596			$	77,015				3	%		$	(11	)		$	79,585				3	%		$	(1,069	)		$	78,516				2	%
U.S. Neurology & Other (f)			190,360				203,296				-6	%			—				190,360				-6	%			—				190,360				-6	%
Total U.S.			269,956				280,311				-4	%			(11	)			269,945				-4	%			(1,069	)			268,876				-4	%
Canada/Australia			82,507				65,562				26	%			(7,266	)			75,241				15	%			(1,191	)			74,050				13	%
Specialty pharmaceuticals			352,463				345,873				2	%			(7,277	)			345,186				0	%			(2,260	)			342,926				-1	%
Branded generics — Latin America			64,732				51,771				25	%			(5,348	)			59,384				15	%			—				59,384				15	%
Branded generics — Europe			112,840				50,179				125	%			(13,977	)			98,863				97	%			(40,507	)			58,356				16	%
Branded Generics			177,572				101,950				74	%			(19,325	)			158,247				55	%			(40,507	)			117,740				15	%
Total product sales			530,035				447,823				18	%			(26,602	)			503,433				12	%			(42,767	)			460,666				3	%
Total Royalty, Alliance & Service Revenue			79,352				43,642				82	%			—				79,352				82	%			18,318				97,670				124	%
Total Revenue (h)			609,387				491,465								(26,602	)			582,785								(24,449	)			558,336				14	%
Less Milestones			(46,500	)			—								—				(46,500	)							—				(46,500	)
Total Adjusted Revenue		$	562,887			$	491,465				15	%		$	(26,602	)		$	536,285				9	%		$	(24,449	)		$	511,836				4	%
Add: JV Revenue (g)		$	641			$	32							$	—			$	641							$	—			$	641
Total		$	563,528			$	491,497				15	%		$	(26,602	)		$	536,926				9	%		$	(24,449	)		$	512,477				4	%
Organic Growth — Excluding Diastat & Efudex
Diastat Adjustment		$	3,085			$	13,822				-78	%		$	—			$	3,085				-78	%		$	—			$	3,085				-78	%
U.S. Neurology & Other			187,275				189,474				-1	%			—				187,275				-1	%			—				187,275				-1	%
Efudex Adjustment			3,275				4,338				-25	%			—				3,275				-25	%			—				3,275				-25	%
U.S. Dermatology			76,321				72,677				5	%			(11	)			76,310				5	%			(1,069	)			75,241				4	%
Total product sales			523,675				429,663				22	%			(26,602	)			497,073				16	%			(42,767	)			454,306				6	%
Total Organic Revenue		$	556,527			$	473,305				18	%		$	(26,602	)		$	529,925				12	%		$	(24,449	)		$	505,476				7	%

		Six Months Ended
		June 30,
																																		June YTD
														(a)												(d) (e)				June YTD				growth at
														June YTD				June YTD								June YTD				excluding				constant
		(b)				(b) (c)								2011				excluding								Acquisition				currency &				currency,
		June YTD				June YTD								currency				currency								impact at				acquisition				net of
		2011				2010				% Change				impact				impact				% Change				2010 rates				impact				acquisitions
U.S. Dermatology		$	175,400			$	150,514				17	%		$	(36	)		$	175,364				17	%		$	(7,600	)		$	167,764				11	%
U.S. Neurology & Other (f)			394,416				393,009				0	%			—				394,416				0	%			(20,625	)			373,791				-5	%
Total U.S.			569,816				543,523				5	%			(36	)			569,780				5	%			(28,225	)			541,555				0	%
Canada/Australia			151,103				124,340				22	%			(11,708	)			139,395				12	%			(5,034	)			134,361				8	%
Specialty pharmaceuticals			720,919				667,863				8	%			(11,744	)			709,175				6	%			(33,259	)			675,916				1	%
Branded generics — Latin America			121,115				93,829				29	%			(8,608	)			112,507				20	%			(6,471	)			106,036				13	%
Branded generics — Europe			188,422				99,730				89	%			(14,119	)			174,303				75	%			(55,429	)			118,874				19	%
Branded Generics			309,537				193,559				60	%			(22,727	)			286,810				48	%			(61,900	)			224,910				16	%
Total product sales			1,030,456				861,422				20	%			(34,471	)			995,985				16	%			(95,159	)			900,826				5	%
Total Royalty, Alliance & Service Revenue			143,957				78,728				83	%			—				143,957				83	%			30,481				174,438				122	%
Total Revenue (h)			1,174,413				940,150								(34,471	)			1,139,942								(64,678	)			1,075,264
Less Milestones			(83,000	)			—								—				(83,000	)							—				(83,000	)
Total Adjusted Revenue		$	1,091,413			$	940,150				16	%		$	(34,471	)		$	1,056,942				12	%		$	(64,678	)		$	992,264				6	%
Add: JV Revenue (g)		$	871			$	64							$	—			$	871							$	—			$	871
Total		$	1,092,284			$	940,214				16	%		$	(34,471	)		$	1,057,813				13	%		$	(64,678	)		$	993,135				6	%
Organic Growth — Excluding Diastat & Efudex
Diastat Adjustment		$	10,999			$	29,686				-63	%		$	—			$	10,999				-63	%		$	—			$	10,999				-63	%
U.S. Neurology & Other			383,417				363,323				6	%			—				383,417				6	%			(20,625	)			362,792				0	%
Efudex Adjustment			4,905				14,645				-67	%			—				4,905				-67	%			—				4,905				-67	%
U.S. Dermatology			170,495				135,869				25	%			(36	)			170,459				25	%			(7,600	)			162,859				20	%
Total product sales			1,014,552				817,091				24	%			(34,471	)			980,081				20	%			(95,159	)			884,922				8	%
Total Organic Revenue		$	1,075,509			$	895,819				20	%		$	(34,471	)		$	1,041,038				16	%		$	(64,678	)		$	976,360				9	%