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SOLUTIONS FOR A HEALTHIER WORLD

PHIBRO ANIMAL HEALTH CORPORATION
DIVESTS ITS WOOD PRESERVATIVE BUSINESS

RIDGEFIELD PARK, New Jersey, October 7, 2009 – Phibro Animal Health Corporation (“PAHC” or the “Company”) today announced the sale of its wood preservative business to Osmose, Inc. The Company operated the business as part of its Performance Products Group through its PhibroWood subsidiary, and sold its leading wood preservative product under the SUSTAIN® brand.

The sale included the assets used in the business, including patents, patent applications, trademarks and trade names, and certain manufacturing equipment and inventories. The transaction also included the settlement of certain ongoing intellectual property disputes between the parties. We want to recognize and thank our PhibroWood team who, through their contributions in the marketplace, in the laboratory and in manufacturing, played a significant part in the industry’s embrace of next generation wood preservative products,” commented Dani Bendheim, President of Performance Products.

About The Company

PAHC is a diversified global developer, manufacturer and marketer of a broad range of animal health and nutrition products to the poultry, swine, cattle and acquaculture markets. PAHC is also a manufacturer and marketer of performance products for the ethanol, and personal care industries. For more information, please visit www.pahc.com.

For further information please contact:

Phibro Animal Health Corporation
Richard Johnson, Chief Financial Officer
investor.relations@pahc.com
+1 201 329 7300