BIOQUAL Announces Award of a New Seven Year AIDS Research Support Contract for $8.2M.

Business Editors

ROCKVILLE, Md.--(BUSINESS WIRE)--Mar. 5, 2001

On March 1, 2001, BIOQUAL, Inc. (OTC-BB:BIOQ, Chicago Stock Exchange:BQI) began a contract to support the recently established National Institutes of Health (NIH) Virus Research Center (VRC).

The contract entitled "Housing and Maintenance of Nonhuman Primates for the Vaccine Research Center" totals $8,230,253 and will operate for seven years to February 2008.

The purpose of the VRC is to integrate modern immunological science with detailed understanding of the pathogenesis of AIDS infection, development of immunogens and vectors, and new approaches to vaccination.

BIOQUAL's role is to supply facilities and personnel to:

1. support the study of pathogenesis of AIDS in monkeys naturally

or experimentally infected

2. evaluate candidate AIDS vaccines for protective efficacy in

nonhuman primates

3. support preclinical evaluation of AIDS drugs

Statements herein that are not descriptions of historical facts are forward-looking and subject to risk and uncertainties.

Actual results could differ materially from those currently anticipated due to a number of factors including those set forth in BIOQUAL's Securities and Exchange Commission filings under "Risk Factors", including risks relating to the early stage of products under development; uncertainties relating to clinical trials; dependence on third parties; future capital needs; and risks relating to the commercialization, if any, of BIOQUAL's proposed products (such as marketing, safety, regulatory, patent, product liability, supply competition, and other risks).