BTG announces first quarter results.

ISELIN, N.J.--(BUSINESS WIRE)--April 23, 1996--Bio-Technology General Corp. (NASDAQ:BTGC) today announced its financial results for the first quarter, 1996.

Net income for the quarter was $0.9 million, or $0.02 per share, vs. $0.4 million, or $0.01 per share, for the comparable quarter last year. The latest earnings were reduced by a write-off of $1.4 million, or $0.03 per share, in the three months ended March 31, 1996, resulting from the decision of the U.S. Court of Appeals which affirmed a preliminary injunction preventing BTG from selling its Bio-Tropin(TM) in the United States.

This amount represents capitalized expenses relating to the litigation with Genentech Inc. and launch preparation costs for Bio-Tropin in the United States. Therefore, the income of the company before this write-off was $2.3 million, or $0.05 per share, for the three months ended March 31, 1996, vs. $0.4 million, or $0.01 per share, in the same period last year.

Revenues for the first quarter of 1996 reached $10.7 million vs. $5.7 million in the comparable quarter of 1995, an increase in 1996 of nearly 90%. Product sales for the quarter were $7.7 million vs. last year's level of $5.2 million, a nearly 50% increase. Expenses for the quarter were $8.4 million, vs. last year's level of $5.3 million. The increase in expenses was due primarily to increased cost of goods as well as marketing/sales expenses directly connected with Oxandrin(R), BTG's first product recently launched in the United States.

Commenting on the first quarter results, Sim Fass, BTG's president and CEO stated, "This is the first quarter in BTG's history in which revenues exceeded $10 million. Income before the write-off was also the highest such quarterly result, representing approximately a sixfold increase over the comparable quarter in 1995. We are pleased at the continued progress being made, especially in the growth of product sales and income both in the U.S. and overseas."

Bio-Technology General Corp. develops, manufactures and markets genetically engineered and other products for human healthcare. -0-

                 CONSOLIDATED STATEMENTS 0F OPERATIONS
                 (in thousands, except per share data)

                                    Three Months Ended March 31,
                                          1996         1995
Revenues:
  Product sales                       $  7,695      $ 5,183
  Contract fees                          2,725           95
  Research and development revenues
   under collaborative agreements           --          188
  Other revenues                           100           57
  Interest income                          191          226
                                        10,711        5,749
Expenses:
  Research and development               3,104        2,845
  Cost of product sales                  1,166          652
  General and administrative             1,920        1,660
  Marketing and sales                    1,209           --
  Commissions and royalties                968          150
  Interest and finance                      35           40
                                         8,402        5,347

Income before write-off in connection
 with litigation                         2,309          402
Write-off in connection with litigation  1,383           --

Net income                            $    926      $   402
Earnings per share                    $   0.02      $  0.01
Shares used in computation (includes
 common stock equivalents)              47,147       43,397

CONTACT: Bio-Technology General Corp.

Leah Berkovits, 908/632-8800

or

Investor Relations:

Strategic Growth International

Don Weinberger, 516/829-7111