Bio-Plexus Announces Q2 Revenues, End User Sales Growth.

Business Editors and Health/Medical Writers

VERNON, Conn.--(BUSINESS WIRE)--August 1, 2000

Bio-Plexus today announced its revenues for the second quarter ended June 30, 2000.

Total revenue was $776,000 for the quarter, compared with $1,433,000 for the same period a year ago. However, sales of the company's disposable medical devices by its distributors to hospital, laboratory and clinical end users increased 52% to $1,230,000 for the second quarter from $808,000 for the same period in 1999. "End user sales are the sale of Punctur-Guard and Bio-Plexus branded products at the hospital and clinic level, as normally supplied from our distributors," said John S. Metz, president and CEO.

"Our shipments for the quarter decreased because of distributor inventory adjustments and a reduction in international shipments. Distributors have been supplying users from their excess inventory associated with Y2K concerns and a first quarter sales promotion. We believe the decline is transitory in nature," Metz added. "While revenues were down for the quarter, the increase in sales of our products to end users by our distributors is encouraging," he concluded.

For the six-month period ended June 30, revenue was $2,318,000 compared with $3,747,000 for the first half of 1999. The decrease for the first half is attributable to inventory adjustments by distributors, reduced international shipments and the completion of two design and development projects in the first half of 1999. Specifically, these projects involved joint ventures with Johnson & Johnson Medical, Inc., a business unit of Johnson & Johnson (NYSE: JNJ), for the Protectiv(TM) Acuvance(TM) I.V. Safety Catheter and Teleflex Medical (NYSE: TFX). The Teleflex PICC introducer is to be sold by C.R. Bard (NYSE: BCR). These relationships will next move to the commercial launch phase, which will entitle Bio-Plexus to receive royalty revenues based on product sales. Underlying end user sales of Bio-Plexus disposable medical devices for the first half of 2000 were $2,456,000 up 51% over the same period in 1999.

A conference call to discuss revenue will be scheduled for later in the week. Full financial results for the second quarter are expected to be released in mid-August.

Bio-Plexus, Inc. (NASDAQ: BPLX), designs, develops, manufactures and holds U.S. and international patents on safety medical needles and other products under the PUNCTUR-GUARD(R), DROP-IT(R), and PUNCTUR-GUARD REVOLUTION(TM) brand names. In studies by the Centers for Disease Control (MMWR, January 1997) and ECRI (Health Devices, June 1998 and October 1999) PUNCTUR-GUARD(R) needles ranked highest of all devices studied. Accidental needlesticks number about one million per year in the United States and can result in the transmission of deadly diseases including HIV and Hepatitis B and C.

NOTE: THIS PRESS RELEASE MAY CONTAIN FORWARD-LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995. FORWARD-LOOKING STATEMENTS MAY BE IDENTIFIED BY THE USE OF SUCH TERMINOLOGY AS "BELIEVES," "EXPECTS," "MAY," "WILL," "SHOULD," "ANTICIPATES" OR DERIVATIONS OR NEGATIVES THEREOF OR COMPARABLE TERMINOLOGY, OR DISCUSSIONS OF STRATEGY THAT INVOLVES RISKS AND UNCERTAINTIES. THE COMPANY'S ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE PROJECTED IN THE FORWARD-LOOKING STATEMENTS AS A RESULT OF, AMONG OTHER FACTORS, GENERAL ECONOMIC CONDITIONS AND GROWTH IN THE SAFETY MEDICAL PRODUCTS INDUSTRY, COMPETITIVE FACTORS AND PRICING PRESSURES, CHANGES IN PRODUCT MIX, PRODUCT DEMAND, RISK OF DEPENDENCE ON THIRD PARTY SUPPLIERS AND FINANCIERS, ABILITY TO OBTAIN FINANCING, AS WELL AS OTHER FACTORS DESCRIBED FROM TIME TO TIME IN THE COMPANY'S PERIODIC REPORTS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION OR DISCUSSED IN OTHER PRESS RELEASES ISSUED BY THE COMPANY.