American Bio Medica's Continued Record Breaking Sales Leads to Faster Move Into New Interim Facility.

HUDSON, N.Y.--(BUSINESS WIRE)--May 19, 1998--American Bio Medica Corporation (NASDAQ:ABMC) today announced that it has completed the planned move into an interim new 15,000 square foot facility in order to consolidate efforts to support record breaking sales.

The new facility now houses the Company's corporate offices as well as its research and development, customer service, and order entry departments. The Company also reported that its manufacturing and shipping departments will be transferred to the interim facility later this month. The interim facility is the latest step in expanding the Company's customer support and manufacturing capabilities.

The next step in the Company's expansion plan is beginning the first phase of a 90,000 square foot manufacturing and headquarters complex which the Company plans to construct in Columbia County, New York. The new complex will centralize manufacturing, assembly, and packaging of the Company's Rapid Drug Screen(tm) tests for drugs of abuse.

"Feedback from the first half of May justified the move into our interim facility which was planned to support the significant sales increase achieved in the fourth quarter ended April 30, 1998," said Jay Bendis, vice president of sales and marketing at American Bio Medica. "Sales in the first and second weeks of May were approximately $100,000 and $120,000, respectively, giving us a running rate over $5 million for the new fiscal year."

The Company also reported that it is increasing production levels to stay in line with rising demand, maintaining an average turnaround time of 72 hours, and keeping back log and inventory at manageable levels.

According to Company President and CEO Stan Cipkowski, "The sales trend is good and warrants the move for space in the new facility. I am also pleased to see that sales are increasing across the board, with orders from all industry sectors and geographic markets, and cautiously optimistic about continued improvement."

American Bio Medica Corporation develops, manufactures, and markets rapid, inexpensive, and easy to use diagnostic kits and support services to substance abuse testing markets worldwide. ABMC's drug detection strip is proven to correlate 100% with the results produced by the SYVA EMIT II standard laboratory test. -0-

Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, continued acceptance of the Company's products, increased levels of competition for the Company, new products and technological changes, the Company's dependence upon third-party suppliers, intellectual property rights and other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.

For further information, updates, and a current report, see www.otcfn.com/abmc.

CONTACT: OTC Communications American Bio Medica

Geoffrey J. Eiten Diane Boice-Yorck

President Corporate Communications

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