Exhibit 99.2

EXHIBIT 99.2

AVANIR PHARMACEUTICALS
UNAUDITED PRO FORMA CONSOLIDATED BALANCE SHEET
AS OF MARCH 31, 2007
(Dollars in thousands)


				Adjustment for
	As Reported			Disposition			Pro Forma

ASSETS

CURRENT ASSETS:
Cash and cash equivalents	$	5,286,799		$	31,662,166	(a)	$	36,948,965
Short term investments		1,979,305						1,979,305
Account Receivable, Net		3,410,745			(2,343,024	)(b)		1,067,721
Inventory		3,019,237			(1,420,115	)(b)		1,599,122
Prepaid		1,306,092			(87,038	)(b)		1,219,054

TOTAL CURRENT ASSETS		15,002,178			27,811,988			(12,809,810	)

Property & Equipment, net		4,355,454			(1,016,967	)(b)		3,338,487
Intangible assets, net		9,244,151			(9,244,151	)(b)		—
Goodwill		20,042,439			(20,042,439	)(b)		—
Long-Term Investment		246,178						246,178
Restricted Trust Fund		1,156,597						1,156,597
Other Assets		472,481			(37,344	)(b)		435,137

TOTAL ASSETS	$	50,519,478		$	(2,528,912	)	$	53,048,390


LIABILITIES AND STOCKHOLDERS’ EQUITY

CURRENT LIABILITIES:
Accounts payable	$	2,344,285		$	(270,656	)(b)	$	2,073,629
Accrued expenses		9,337,793			(114,514	)(b)		9,223,279
Accrued compensation and payroll taxes		1,745,153			—			1,745,153
Current portion of note payable		489,398						489,398
Current portion of deferred revenue		5,404,921			(1,527,048	)(b)		3,877,873
Current portion of capital lease obligation		166,494						166,494

TOTAL CURRENT LIABILITIES		19,488,044			(1,912,218	)		21,400,262

Contingent liability of entity acquired		—						—
Other long-term liability		208,676						208,676
Capital lease obligation, net of current		117,150						117,150
Note payable, net of current		22,292,851			(11,000,000	)(c)		11,292,851
Deferred revenue, net of current		14,261,512						14,261,512

TOTAL LIABILITIES		56,368,233			(12,912,218	)		69,280,451


STOCKHOLDERS’ EQUITY:
Common stock — no par value:
Class A Common Stock		233,264,767			—			233,264,767
Accumulated Deficit		(239,090,317	)					(239,090,317	)
Current year net loss		—			10,383,306			(10,383,306	)
Accumulated Other Comprehensive Loss		(23,205	)					(23,205	)

TOTAL STOCKHOLDERS’ (DEFICIT) EQUITY		(5,848,755	)		10,383,306			(16,232,061	)

TOTAL LIABILITIES & STOCKHOLDERS’ EQUITY	$	50,519,478		$	(2,528,912	)	$	53,048,390

See accompanying notes to unaudited pro forma condensed consolidated financial statements.

AVANIR PHARMACEUTICALS
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF INCOME
FOR THE YEAR ENDED 9/30/06
(Dollars in thousands, except per share amounts)


				Adjustment for
	As Reported			Disposition			Pro Forma

REVENUES FROM PRODUCT SALES
Net revenues	$	18,270					$	18,270
Cost of revenues		415,045			411,943	(d)		3,102

Product gross margin		(396,775	)		(411,943	)		15,168

REVENUES AND COST OF RESEARCH SERVICES AND OTHER
Revenues from research services		7,837,788						7,837,788
Cost of research services		(7,198,397	)					(7,198,397	)
Revenues from government research grant services		236,882						236,882
Cost of government research grant services		(292,111	)					(292,111	)
Revenues from license agreements		5,154,709						5,154,709
Revenue from royalties and royalty rights		1,938,203						1,938,203

Research services and other gross margin		7,677,074						7,677,074


Total gross margin		7,280,299			(411,943	)		7,692,242

OPERATING EXPENSES
Research and development		29,222,089			2,227,754	(d)		26,994,335
Selling, general and administrative		38,054,219			5,801,701	(d)		32,252,518


Loss from Operations		(59,996,009	)		(8,441,398	)		(51,554,611	)

OTHER INCOME (EXPENSES)
Interest expense		(765,871	)		(251,521	)(e)		(514,350	)
Interest income		1,794,049						1,794,049
Other		33,505						33,505


Loss before income taxes		(58,934,326	)		(8,692,919	)		(50,241,407	)

Provision for income taxes		2,430						2,430


NET LOSS before cumulative effect of change in acctg principal		(58,936,756	)		(8,692,919	)		(50,243,837	)

Cumulative effect of change in acctg principal		(3,616,058	)					(3,616,058	)


NET LOSS	$	(62,552,814	)	$	(8,692,919	)	$	(53,859,895	)


BASIC AND DILUTED NET LOSS PER SHARE:	$	(2.04	)				$	(1.76	)

Weighted average shares outstanding		30,634,872						30,634,872

See accompanying notes to unaudited pro forma condensed consolidated financial statements.

AVANIR PHARMACEUTICALS
UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF INCOME
FOR THE SIX MONTHS ENDED 3/31/07
(Dollars in thousands, except per share amounts)


				Adjustment for
	As Reported			Disposition			Pro Forma

REVENUES FROM PRODUCT SALES
Net revenues	$	10,099,815		$	10,099,815	(d)	$	—
Cost of revenues		2,655,440			2,395,058	(d)		260,382

Product gross margin		7,444,375			7,704,757			(260,382	)

REVENUES AND COST OF RESEARCH SERVICES AND OTHER
Revenues from research services		2,190,692						2,190,692
Cost of research services		(1,771,239	)					(1,771,239	)
Revenues from government research grant services		353,076						353,076
Cost of government research grant services		(464,988	)					(464,988	)
Revenues from license agreements		113,284						113,284
Revenue from royalities and royalty rights		1,502,713						1,502,713

Research services and other gross margin		1,923,538			—			1,923,538

Total gross margin		9,367,913			7,704,757			1,663,156

OPERATING EXPENSES
Research and development		12,151,286			1,614,059	(d)		10,537,227
Selling, general and administrative		18,576,339			9,615,481	(d)		8,960,858


Loss from Operations		(21,359,712	)		(3,524,783	)		(17,834,929	)

OTHER INCOME (EXPENSES)
Interest expense		(918,538	)		(340,933)	(e)		(577,605	)
Interest income		336,338						336,338
Other		430,279						430,279


Loss before income taxes		(21,511,633	)		(3,865,716	)		(17,645,917	)

Provision for inome taxes		(13,404	)					(13,404	)


NET LOSS before cumulative effect of change in acctg principal		(21,525,037	)		(3,865,716	)		(17,659,321	)

Cumulative effect of change in acctg principal		—						—


NET LOSS	$	(21,525,037	)	$	(3,865,716	)	$	(17,659,321	)


BASIC AND DILUTED NET LOSS PER SHARE:	$	(0.58	)				$	(0.48	)

Weighted average shares outstanding		36,797,202						36,797,202

See accompanying notes to unaudited pro forma condensed consolidated financial statements.

NOTES TO UNAUDITED PRO FORMA CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Dollars in Thousands)

BALANCE SHEET

(a) To reflect net cash proceeds from the sale of FazaClo assets. The net cash proceeds include the $42,000,000 purchase price, plus an additional $3,502,351 for a working capital adjustment based upon the working capital balances related to FazaClo at March 31, 2007. (Note: The actual working capital adjustment on the August 3, 2007 closing date was $1,884,226, which was based upon certain working capital balances related to FazaClo as of that date). Additionally, the adjustment to net proceeds has been reduced by estimated transaction costs of $2,840,185, and by the $11,000,000 payment described in (d) below.

(b) To adjust the assets and liabilities of the disposed business that were either sold or written off in connection with the transaction.

(d) To reflect $11,000,000 payment to a note holder. As part of an agreement with the note holder, the Company was obligated to make an $11,000,000 payment to the note holder upon the sale of the FazaClo assets.

STATEMENTS OF OPERATIONS

(e) To eliminate historical revenues, cost of revenues, and operating expenses related to FazaClo.

(f) To eliminate interest expense related to $11,000,000 existing notes payable related to the sale of the FazaClo assets.