X0202 3 2007-10-19 0 0001330487 Paramount Acquisition Corp PMQC 0001393825 Hudson Bay Capital Management, L.P. 120 BROADWAY, 40TH FLOOR NEW YORK NY 10271 0 0 1 0 0001416398 Hudson Bay Overseas Fund Ltd. C/O HUDSON BAY CAPITAL MANAGEMENT, L.P. 120 BROADWAY, 40TH FLOOR NEW YORK NY 10271 0 0 1 0 0001354129 Hudson Bay Fund LP C/O HUDSON BAY CAPITAL MANAGEMENT, L.P. 120 BROADWAY, 40TH FLOOR NEW YORK NY 10271 0 0 1 0 0001416391 Doscas John C/O HUDSON BAY CAPITAL MANAGEMENT, L.P. 120 BROADWAY, 40TH FLOOR NEW YORK NY 10271 0 0 1 0 0001416690 Roth Yoav C/O HUDSON BAY CAPITAL MANAGEMENT, L.P. 120 BROADWAY, 40TH FLOOR NEW YORK NY 10271 0 0 1 0 0001416593 Gerber Sander C/O HUDSON BAY CAPITAL MANAGEMENT, L.P. 120 BROADWAY, 40TH FLOOR NEW YORK NY 10271 0 0 1 0 Common stock, par value $0.0001 ("Common Stock") 1439999 I See footnotes Put Options Common Stock 1439999 I See footnotes Hudson Bay Capital Management, L.P., a Delaware limited partnership, acts as the investment manager of (i) Hudson Bay Fund LP, a Delaware limited partnership, which holds 619,199 shares of Common Stock and (ii) Hudson Bay Overseas Fund Ltd. (together with Hudson Bay Fund LP, the "Hudson Bay Funds"), a Cayman Islands company, which holds 820,800 shares of Common Stock. Hudson Bay Capital Management, L.P. acts as the investment manager of the Hudson Bay Funds and may be deemed, as of the date hereof, to be the beneficial owner of the Issuer's securities or derivative securities held by such funds. Sander Gerber, Yoav Roth and John Doscas are each an executive officer of Hudson Bay Capital Management, L.P. Hudson Bay Capital Management, L.P., Sander Gerber, Yoav Roth and John Doscas do not hold directly any of the Issuer's securities or derivative securities with respect thereto, and disclaim any beneficial ownership of any of the Issuer's securities or derivative securities reported or excluded herein for purposes of Rule 16a-1(a) under the Securities Exchange Act of 1934, as amended, except for their pecuniary interest therein. The date that is the first business date after the 270th day after the consummation of the then proposed acquisition (the "Acquisition") of all of the issued and outstanding shares of capital stock of B.J.K. Inc. d/b/a Chem Rx. The date that is the first anniversary of the consummation of the Acquisition. The exercise price equals the lesser of (i) $6.00 and (ii) the aggregate purchase price paid by the Hudson Bay Funds for the shares the Hudson Bay Funds acquired (inclusive of all reasonable fees and documents brokers' fees, commissions or similar transaction costs) divided by 1,439,999 shares of Common Stock. Hudson Bay Fund LP holds options to sell 619,199 shares of Common Stock and Hudson Bay Overseas Fund Ltd. holds options to sell 820,800 shares of Common Stock. HUDSON BAY FUND LP, By: HUDSON BAY CAPITAL MANAGEMENT, L.P., its Investment Manager Partner, By: /s/ Yoav Roth, Principal and Portfolio Manager 2007-10-29 HUDSON BAY OVERSEAS FUND LTD., By: HUDSON BAY CAPITAL MANAGEMENT, L.P., its Investment Manager Partner, By: /s/ Yoav Roth, Principal and Portfolio Manager 2007-10-29 HUDSON BAY CAPITAL MANAGEMENT, L.P., By: /s/ Yoav Roth, Principal and Portfolio Manager 2007-10-29 /s/ SANDER GERBER 2007-10-29 /s/ YOAV ROTH 2007-10-29 /s/ JOHN DOSCAS 2007-10-29