Accredo Health, Inc. Selected by Genentech for Xolair Distribution.

Business Editors/Health/Medical Writers

MEMPHIS, Tenn.--(BUSINESS WIRE)--May 20, 2003

Accredo Health, Incorporated (NASDAQ:ACDO) announced today that its wholly owned subsidiary, Nova Factor, Inc. has been selected by Genentech, Inc. (NYSE:DNA) and Novartis Pharmaceuticals Corporation (NYSE:NVS) as one of five specialty pharmacy providers of Xolair(R) (omalizumab), humanized monoclonal antibody designed for use in the treatment of moderate to severe allergic asthma. The drug Xolair(R) (omalizumab) for Injection, jointly developed under agreements by Genentech and Novartis AG (VX:NOVZn) and Tanox, Inc., is pending approval for use in the treatment of adult and adolescent allergic asthma. As a preferred distributor, Nova Factor will be a participant in Genentech's and Novartis' Preferred Specialty Pharmacy Network. Nova Factor has also been chosen by Genentech and Novartis to serve as the provider for the Xolair(R) patient support program.

Accredo Health, Incorporated provides specialized pharmacy and related services pursuant to agreements with biotechnology drug manufacturers relating to the treatment of patients with certain costly, chronic diseases. The Company's services include collection of timely drug utilization and patient compliance information, patient education and monitoring through the use of written materials and telephonic consultation, reimbursement expertise and overnight drug delivery.

Certain of the statements in the preceding paragraphs, particularly those anticipating future financial performance and business prospects, constitute forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as anticipate, believe, could, estimate, expect, intend, predict, hope or similar expressions. Such statements, which include estimated financial information or results, are based on management's current expectations and are subject to a number of factors and uncertainties which could cause actual results to differ materially from those described in the forward-looking statements, including, without limitation, the uncertainty as to the outcome of any litigation, the loss of a biopharmaceutical relationship, our inability to sell existing products, difficulties integrating the SPS division, the impact of pharmaceutical industry regulation, the difficulty of predicting FDA and other regulatory authority approvals, the regulatory environment and changes in healthcare policies and structure, acceptance and demand for new pharmaceutical products and new therapies, the impact of competitive products and pricing, the ability to obtain products from suppliers, reliance on strategic alliances, the ability to expand through joint ventures and acquisitions, the ability to maintain pricing arrangements with suppliers that preserve margins, the need for and ability to obtain additional capital, the seasonality and variability of operating results, the Company's ability to implement its strategies and achieve its objectives and the risks and uncertainties described in reports filed by Accredo with the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended, including without limitation, cautionary statements under the heading "Risk Factors" made in Accredo's 2002 Annual Report on Form 10-K.