ChainDrugStore.net Names Inhale Chairman to Board of Advisors.

Business/Medical & Health Editors

ALEXANDRIA, VA--(BUSINESS WIRE)--Oct. 25, 2001

Chess Brings Technology and Pharmaceutical Savvy to Growing Online Communications Network for Retail Chain Drug Industry

ChainDrugStore.net today announced that Robert B. Chess, Chairman of Inhale Therapeutic Systems (INHL), has been named to its Board of Advisors. Chess brings experience in establishing technology companies to ChainDrugStore.net, the growing online communications network for the retail chain drug industry.

"Robert Chess commands a valuable mix of talents. He has helped establish some of today's most innovative technology companies and is a pioneer in the area of dermatologic pharmaceuticals," stated Craig Fuller, Chairman of the Board of ChainDrugStore.net, and President and CEO of the National Association of Chain Drug Stores (NACDS).

"I look forward to Rob's counsel, in particular, as ChainDrugStore.net implements a comprehensive category-by-category build-out strategy, beginning with the pharmacy category which is our focus over the next three months," added Brad Mitchell, President and CEO of ChainDrugStore.net.

Rob Chess joined Inhale Therapeutic Systems (INHL) in 1991 as its first non-founder employee, and served as its Chief Executive Officer and then co-CEO until 2000. Inhale Therapeutic Systems develops advanced drug delivery solutions for the biopharmaceutical industry. The company collaborates with major pharmaceutical and biotechnology companies including ChainDrugStore.net members Amgen, AstraZeneca, Bristol-Myers Squibb, GlaxoSmithKline, Pfizer and Roche. Chess previously was the co-Founder and President of Penederm, Inc., a dermatologic pharmaceutical company focused on improved topical delivery. He has held management positions at Intel Corporation (INTC) and Metaphor Computer Systems (now part of IBM), and served as a member of President Bush's White House staff. Chess serves on the Board of Directors and Executive Committee of the Biotechnology Industry Organization, is a member of the Board of Pharsight Corp., and is a trustee of the Committee for Economic Development.

ChainDrugStore.net is the only online communications network designed exclusively by and for the retail chain drug industry. More than 110 retailers representing $312 billion in annual sales in 28,500 stores have enrolled. A growing list of successful suppliers that includes 3M, Amgen, AstraZeneca, Bristol-Myers Squibb, GlaxoSmithKline, Procter & Gamble, Rexall Sundown and Roche have signed on since January 2001.

For information on how ChainDrugStore.net can help your company cut communication costs and increase sales and profits, contact Kevin McGee at [phone] or [e-mail].

About ChainDrugStore.net.

ChainDrugStore.net, based in Alexandria, Virginia, is the communications network designed exclusively by and for the $400 billion retail chain drug industry. For suppliers, ChainDrugStore.net is a web-based sales and marketing tool that reduces the cost of communicating with retailers. For retailers, it is an on-line category information productivity tool that leads to more effective merchandising decisions. ChainDrugStore.net is a wholly owned subsidiary of the National Association of Chain Drug Stores.

About InhaleTherapeutics Systems (INHL).

Inhale Therapeutic Systems develops advanced drug delivery solutions for the biopharmaceutical industry. Inhale is focused on two main opportunities: improved delivery and performance of macromolecules, including peptides and proteins, and improved performance of drug powders for oral, injectable and pulmonary delivery. Inhale is pioneering inhaleable delivery of macromolecules, supercritical fluids processing for powder particle production and advanced PEGylation. Inhale is collaborating with major pharmaceutical and biotechnology companies including Amgen, AstraZeneca, Aventis Behring, Biogen, Bristol-Myers Squibb, GlaxoSmithKline, Lily, Pfizer, Pharmacia, and Roche. For more information, go to www.inhale.com.