Biozhem Selects DermTech International to Conduct in Vivo Studies of Bio-Engineered Anti-Aging Product.

Business Editors/Health and Medical Writers

SAN JUAN CAPISTRANO, Calif.--(BW HealthWire)--Nov. 16, 2000

Biozhem Cosmeceuticals Moves to Next Phase in Development of New

Topical Product That Contains New Skin Cell Technology

Biozhem Cosmeceuticals, (OTCBB:BZHM) a developer and retailer of botanically-based skin care products, Thursday announced that they will soon begin human efficacy studies on a revolutionary anti-aging nutrient solution developed by Advanced Tissue Sciences Inc., (Nasdaq:ATIS).

These studies, to be conducted by DermTech International (www.dermtechintl.com), a San Diego-based independent laboratory under the direction of founder Lawrence A. Reins, Ph.D., are expected to qualify and support in humans the results of laboratory tests conducted earlier.

"DermTech is the logical choice as they have the resources, experience and expertise gained through years of working with major medical and cosmeceutical clients. We are very excited to be working with a laboratory of this caliber," said Gayle Walker, CEO of Biozhem.

Biozhem and Advanced Tissue Sciences recently signed a licensing agreement that gives Biozhem exclusive rights to develop, and bring to market through all direct response media, new products that contain Advanced Tissue Sciences' nutrient solution. A successful direct response campaign based on the capabilities of this technology and the products containing the nutrient solution could result in a significant increase in revenues for Biozhem in 2001.

The bio-engineered anti-aging solution contains naturally secreted nutrients that mimic Nature's own method of rejuvenating the skin. As the body ages it decreases production of the natural elements needed to maintain firm, healthy-looking skin. This gradual decline results in thinning, sagging skin.

"Initial clinical testing showed that the nutrient solution helps to reduce the damaging effects of oxidation and appears to enhance collagen deposition resulting in a reversal of the visible signs of aging," said Walker.

"The initial laboratory test results are quite impressive and clearly point to the possibility that there is new hope in the battle against the visible signs of aging," commented Walker. "The nutrient solution technology developed by Advanced Tissue Sciences exceeded initial expectations on performance parameters. We are moving quickly to the second phase of testing where we expect equally good or better results."

The company believes that the delivery system they are developing for this solution will offer consumers a viable option for reducing the signs of aging and maintaining a more healthy, youthful-looking skin at a competitive market price.

"I firmly believe that this new product, which we will launch under the Biozhem name, will quickly assume a strong position in the marketplace, resulting in significant growth for the company," said Walker. "The multi-billion dollars spent each year by consumers on anti-aging products proves there is a very robust market for a proven product."

Biozhem plans to launch their new anti-aging product to U.S. consumers in March, 2001, through a multi-channel direct response marketing and advertising campaign, with worldwide distribution to follow shortly. This will include infomercials, shopping channels, direct mail, catalogs, credit card billing inserts and the Internet.

Where appropriate, the nutrient solution will be added to existing Biozhem skin care products to further enhance their performance and provide greater benefit to their customer base.

Biozhem Cosmeceuticals markets its products through their retail Biozhem Skin Care Centers and kiosks as well as direct mail catalogs and the Internet. The new product will be sold there as well. Biozhem Cosmeceuticals Inc., trades under the stock symbol (OTCBB:BZHM). Biozhem has headquarters in Southern California with retail locations in Texas, Oklahoma, Colorado, Arizona and Southern California. Their products are also available through their Web site, www.biozhem.com.

Statements about the company's future expectations and all other statements in this news release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. The company intends that such forward-looking statements be subject to the safe harbor created thereby. Since these statements involve risks and uncertainties and are subject to change at any time, the company's actual results could differ materially from expected results.