American Bio Medica Corp. Brings On-site Drug Testing to Russia.

HUDSON, N.Y.--(BUSINESS WIRE)--Aug. 6, 1998--American Bio Medica Corp. (NASDAQ:ABMC) has signed an exclusive two-year contract with Jump Ltd., a Russian distributor of imported medical and clinical diagnostic products, to distribute the Rapid Drug Screen(TM) in the Russian Federation.

The Rapid Drug Screen(TM) would be the first on-site drug test available in Russia which has used only laboratory drug testing in the past, and only on a very limited basis.

In recent years, drug abuse in Russia has seen a sharp increase, especially in cities like Moscow and St. Petersburg. According to the State Duma of Russian Federation, there are more than 2 million drug addicts in the country, 76 percent of them less than 30 years old. Approximately 3 percent of the population and 20 percent of teenagers regularly use drugs.

Shmelev said he foresees a demand for the Rapid Drug Screen(TM) in Russia's corporate markets (such as banks and commercial companies), clinical markets (emergency departments and maternity hospitals), retail and department stores, the nuclear power industry, the commercial airline industry and the air force.

"With the introduction of a competitive, free market economy in Russia, every company has come to realize that to succeed their work force must be as reliable and productive as possible. The use of on-site testing is an important step in achieving that goal," said Nikolay Shmelev, president of Jump Ltd.

"Jump Ltd. is an established company in Russia that knows how to do business there and recognizes the need for the Rapid Drug Screen," added John Huss, Managing Director of International Business for American Bio Medica. "We intend to develop a strong partnership with them in line with our international strategy of working with successful established distributors in the countries we target,"

American Bio Medica Corp. develops, manufactures, and markets rapid, low -cost, and easy-to-use diagnostic kits and support services to substance abuse testing markets worldwide. In field tests conducted last year, ABMC's drug detection strip demonstrated 100 percent correlation with the results produced by the laboratory standard for drug tests.

(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 risk 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 on 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 more information, contact Jeff Muise or Joan Schuman, Joan Schuman Associates, 914/338-2955, or John Huss, American Bio Medica 215/794-2403.

    CONTACT:  Joan Schuman Associates
               Jeff Muise or Joan Schuman, 914/338-2955
                  or
               American Bio Medica
               John Huss, 215/794-2403