Anika Therapeutics Announces Ophthalmic Viscoelastic Supply Agreement with Allergan; FDA Clearance for CoEase Received.

Business Editors & Health/Medical Writers

WOBURN, Mass.--(BUSINESS WIRE)--May 21, 2002

Anika Therapeutics, Inc. (Nasdaq:ANIK) today announced a three-year U.S. supply agreement with a unit of Allergan, Inc. (NYSE:AGN). Allergan will market CoEase(TM), a hyaluronic acid-based viscoelastic product used during ophthalmic surgery, including cataract and intraocular lens implantation. Anika, the manufacturer of CoEase(TM), has obtained U.S. Food and Drug Administration (FDA) clearance that permits Allergan to initiate marketing and distribution of CoEase(TM).

Allergan plans to assign the agreement to Orange County, California-based Advanced Medical Optics, Inc., (AMO) a new entity that is slated to be spun off from Allergan as an independent, publicly traded company focused on the ophthalmic surgical and contact lens care businesses.

"Maximizing returns from our core ophthalmic products business by broadening our customer base is one of our key corporate objectives," said Charles H. Sherwood, Anika's chief executive officer. "Allergan has a strong position in the ophthalmic surgical market, and we are delighted to enter into a supply agreement with them."

"AMO is focused on opportunities to expand its core surgical and contact lens care businesses through strategic alliances and other collaborative relationships," said James V. Mazzo, Allergan corporate vice president, and president and chief executive officer of AMO. "This partnership with Anika Therapeutics will bolster our ophthalmic surgical business."

About Anika Therapeutics, Inc.

Headquartered in Woburn, Mass., Anika Therapeutics, Inc. (www.anikatherapeutics.com) develops, manufactures and commercializes therapeutic products and devices intended to promote the repair, protection and healing of bone, cartilage and soft tissue. These products are based on hyaluronic acid (HA), a naturally occurring, biocompatible polymer found throughout the body. In addition to ORTHOVISC(R), a treatment for osteoarthritis of the knee (not approved for sale in the U.S.), Anika markets HYVISC(R) in the U.S. for the treatment of equine osteoarthritis through Boehringer Ingelheim Vetmedica, Inc. and manufactures AMVISC(R) and AMVISC(R) Plus, HA viscoelastic products for ophthalmic surgery, for Bausch & Lomb. It also produces STAARVISC(TM)-II for distribution by STAAR Surgical Company and Shellgel(TM) for Cytosol Ophthalmics, Inc.

The statements made in this press release which are not statements of historical fact are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including, without limitation, statements that may be identified by words such as "currently," "seeking," "objectives," "plans," "will," "intended," and other expressions which are predictions of or indicate future events and trends and which do not constitute historical matters identify forward-looking statements, including the Company's objectives of maximizing returns from core products and broadening its customer base. These statements are based upon the current beliefs and expectations of the Company's management and are subject to significant risks, uncertainties and other factors. The Company's actual results could differ materially from any anticipated future results, performance or achievements described in the forward-looking statements as a result of a number of factors, including receipt of required regulatory approvals or any early termination of the supply agreement prior to the expiration of the initial three-year term. Any delay in receiving any regulatory approvals may adversely affect the Company's competitive position. Even if regulatory approvals are obtained, there is a risk that meaningful sales of the products may not be achieved. Certain other factors that might cause the Company's actual results to differ materially from those in the forward-looking statements include those set forth under the headings "Business," "Risk Factors and Certain Factors Affecting Future Operating Results" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in each of the Company's Annual Report on Form 10-K for the year ended December 31, 2001, as well as those described in the Company's other press releases and SEC filings.