Carter-Wallace Becomes U.S. Distributor of Urine HIV-1 Tests for Calypte Biomedical Corporation.

ALAMEDA, Calif.--(BUSINESS WIRE)--Sept. 16, 1999--

Carter-Wallace to Market Calypte's Three FDA-Approved HIV-1 Tests

to Hospitals, Public Health Facilities and Reference Laboratories

Calypte Biomedical Corporation (NASDAQ: CALY) announced today that it has signed a definitive distribution agreement which will give Carter-Wallace, Inc. (NYSE: CAR) the exclusive U.S. sales and marketing rights for Calypte's HIV products in the hospital, public health and reference lab markets. Distribution will be through Carter-Wallace's Wampole Laboratories division, which markets a broad range of immunoassay tests for infectious and autoimmune diseases.

Carter-Wallace will distribute Calypte's three FDA-approved products, which include: 1) the urine HIV-1 screening test, 2) the urine HIV-1 supplemental Western blot test, and 3) the serum HIV-1 supplemental Western blot test.

"Calypte will greatly benefit from the industry expertise and strong sales and marketing resources Carter-Wallace brings to the relationship," commented Bill Boeger, president and CEO of Calypte. We are confident that Calypte's HIV-1 urine and serum test products will be good additions to Wampole's current assay offerings and delivery platforms as well as to Carter-Wallace's products that focus on HIV prevention. In addition, we believe that Carter-Wallace's proven track record in the development and marketing of rapid, point-of-care and OTC tests could be additional areas of potential collaboration between the two companies."

Both Calypte and Carter-Wallace are dedicated to diagnosing HIV and preventing its spread. Carter-Wallace, based in New York, N.Y., is engaged in the manufacture and sale of a diversified line of products in the Consumer Products and Health Care business. It is also the largest manufacturer and distributor of condoms in the U.S.; its brands include Trojan(R), Class Act(R), and Naturalamb(R). The company's Carter Products Division is one of the leading marketers of in-home pregnancy and ovulation test kits. Carter-Wallace also markets enzyme and fluorescent immunoassay tests to detect a broad range of infectious and autoimmune diseases.

Calypte Biomedical manufactures the only two FDA-licensed HIV-1 antibody tests that can be used on urine samples. These tests include the screening EIA and supplemental Western blot tests.

Clinical studies have shown the urine diagnostic test system to be a very accurate alternative to blood testing. Urine testing is also non-invasive, less costly, does not require sample storage or a trained health care worker for sample collection, and is safer because there are no risks of accidental needle sticks. Also, while urine contains antibodies to HIV, it does not contain the actual virus. The availability of both a urine screening test and a urine supplemental test makes it possible to perform a full diagnostic HIV-1 antibody algorithm without ever drawing blood.

Calypte secured manufacturing and marketing rights for the supplemental urine Western blot test, along with an FDA-licensed serum HIV-1 Western blot through its acquisition of the Cambridge Biotech Western blot product line in December 1998.

Statements in this press release that are not historical facts are forward-looking statements. There are no assurances that Carter-Wallace will be able to successfully market the HIV-1 urine and serum tests. Factors which may impact the Company's success are more fully discussed in the Company's most recent quarterly report on forms 10-Q and 10K. The Company undertakes no obligation to publicly update these forward-looking statements to reflect events that occur after the date hereof or to reflect the occurrence of unanticipated events.