Celsion Receives FDA Approval for Prolieve Thermodilatation System; Approval of device clears the path for Celsion and Boston Scientific Corporation to introduce BPH Treatment.

Business Editors/Health/Medical Writers

COLUMBIA, Md.--(BUSINESS WIRE)--Feb. 19, 2004

CELSION CORPORATION (AMEX:CLN) today announced that the FDA has approved its Prolieve(TM) Thermodilatation system for the treatment of the symptoms of Benign Prostatic Hyperplasia (BPH) a condition affecting older men more commonly referred to as an enlarged prostate. The system is a dual action technology ("Thermodilatation"), employing heat and urethral dilatation to provide significant symptomatic improvement in two weeks. This device is used in an in-office procedure that minimizes patient discomfort and the need for post-treatment catheterization. In a randomized one-year clinical trial, conducted at 14 centers across the United States, patients undergoing treatment with Prolieve achieved measurably greater improvement in symptoms after 3 months compared to a control group using a drug, Proscar, which is commonly prescribed to treat this condition. This product offers millions of men, suffering from BPH, a treatment that provides significant symptom relief with minimal side effects.

Dr. Augustine Cheung, Celsion's Chief Executive Officer said, "We are delighted that this device has been approved by the FDA. This is a largely underserved market with seven million of the nine million men afflicted with this condition choosing to forego treatment. We believe that our unique treatment offers a minimally invasive treatment for this condition and a realistic alternative to drug therapy."

In January 2003, Celsion entered into a strategic relationship with Boston Scientific Corporation (NYSE:BSX) in which Boston Scientific will initially distribute the Prolieve Thermodilatation system in the United States. Steve Moreci, Senior Vice President and Group President for Endosurgery said, "We are very pleased that Celsion has obtained approval for this product which offers features designed to overcome shortcomings of current minimally invasive therapies. We believe that BPH represents an underserved market offering substantial growth potential and should be a major factor in growing our presence in the Urology market. We are very excited to be working with Celsion in the introduction of this product."

BPH is an age-related disorder; its incidence increases with maturation of the population. Industry estimates suggest that 9 million men in the United States experience BPH symptoms and that more than 26 million men are affected by BPH worldwide. As the United States population continues to age, the prevalence of BPH can be expected to continue to increase. It is generally estimated that approximately 50% of all men over the age of 55 and 90% of all men over 75 will have BPH symptoms at various times. Industry studies estimate the overall costs of BPH therapy for those patients currently seeking treatment to be approximately $2.5 to $3.0 billion annually in the United States.

Approval and launch of this product triggers milestone payments aggregating $10 million, in the form of equity and licensing fees, from Boston Scientific to Celsion. According to Tony Deasey, Celsion's Chief Financial Officer, these funds combined with the proceeds from recent private placements and warrant exercises together with cash flow generated from product sales will significantly strengthen Celsion's balance sheet.

About Celsion: Celsion Corporation, based in Columbia, Maryland, is a biotechnology company dedicated to the development and commercialization of treatment systems for cancer and other diseases using focused-heat energy, either administered alone, or in combination with other therapeutic devices, heat activated genes and heat activated drugs.

In January 2003, Celsion entered into a strategic alliance with Boston Scientific Corporation (NYSE:BSX) in which Boston Scientific will initially distribute the Prolieve Thermodilatation system worldwide. Boston Scientific currently owns approximately 7% of Celsion's outstanding stock.

Celsion has research, license or commercialization agreements with leading institutions such as the National Institute of Health, Duke University Medical Center, Massachusetts Institute of Technology, Harbor UCLA Medical Center, Montefiore Medical Center and Memorial Sloan-Kettering Cancer Center in New York City, Roswell Park Cancer Institute in Buffalo, New York, and Duke University. For more information on Celsion, visit our website: www.celsion.com.

Celsion wishes to inform readers that forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Readers are cautioned that such forward-looking statements involve risks and uncertainties including, without limitation, unforeseen changes in the course of research and development activities and in clinical trials by others; possible acquisitions of other technologies, assets or businesses; possible actions by customers, suppliers, competitors, regulatory authorities; and other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.