UPDATE 1-Biovail voluntarily recalls some lots of Ultram tablets

Dec 30 (Reuters) - Biovail Corp (BVF.TO) (BVF.N) said it was voluntarily recalling certain lots of Ultram tablets, its treatment for chronic pain in adults, and expects the total cost related to the recall to hurt fourth-quarter Ultram revenues by $4.4 million.

Canada's biggest publicly traded drugmaker decided to recall Ultram 100mg tablets after certain lots being out-of-specification by about 1 percent with respect to maximum dissolution at the eight-hour mark.

In addition, the voluntary recall is expected to result in inventory and administrative expenses of about $3 million in the fourth quarter of 2008, Biovail said.

Analysts on average expect the company to post revenue of $178 million for the fourth quarter, according to Reuters Estimates.

The company, however, said the dissolution variance does not impact patient health or safety.

Shares of the company closed at C$10.93 Monday on the Toronto Stock Exchange, while they closed at $8.92 Monday on the New York Stock Exchange. (Reporting by Anand Basu in Bangalore; Editing by Jarshad Kakkrakandy)