Columbia Laboratories Receives Significant Increase in Orders for Crinone 8%.

AVENTURA, Fla.--(BW HealthWire)--March 23, 1999--

Demand for Crinone Should Return Columbia to Profitability

1998 Fourth Quarter and Full Year Financial Results Announced

Columbia Laboratories, Inc. (AMEX:COB) announced today that it expects to approach break even in the first quarter and to be profitable in the second quarter 1999 based on increased orders received for Crinone 8%, its natural progesterone vaginal gel used to assist women in becoming pregnant.

"Recently we have begun seeing a surge in Crinone 8% prescriptions over 1998 levels," said Mr. Norman M. Meier, Columbia's President and Chief Executive Officer. During the first two months of 1999, new prescriptions grew 67% and total prescriptions were up 51%.

This has resulted in an increased demand for Crinone 8% which has caused the Wyeth-Ayerst division of American Home Products ("Wyeth-Ayerst") to place orders to date for approximately $2.4 million in the first quarter, $4.8 million in the second quarter and $1.6 million in July 1999. "Filling these incoming orders, by itself, will be sufficient to restore the Company to profitability by the second quarter of 1999," said David L. Weinberg, Columbia's Chief Financial Officer. Mr. Weinberg also indicated that with the proceeds from the $6.6 million private placement finalized in January 1999, and the orders in hand, the Company has ample financial resources to sustain its growth and new product development.

For the fourth quarter of 1998, Columbia reported net loss of $5,279,043 or $0.18 per share, compared to a net income of $348,811 or $0.01 per share, for the fourth quarter of 1997. Revenues for the 1998 fourth quarter were $2,325,150, compared to $6,417,087 for the same period in 1997.

For the year ended December 31, 1998, Columbia reported a net loss of $13,859,734, or $0.48 per share, compared to a net income of $762,906, or $0.03 per share, for 1997. Revenues for the full-year 1998 were $10,017,644, compared to $16,547,411 for the full-year 1997.

"The Company's performance in 1998 was impacted by the lack of sales of Crinone, due to the large inventory building orders for Crinone in the second half of 1997 by Wyeth-Ayerst, our strategic alliance partner. However in 1998, Crinone, the Company's most important product and its first FDA approved Rx drug, was not launched in a timely or adequate manner, nor marketed as effectively as we expected it would be by Wyeth-Ayerst. Milestone payments received from AHP in 1997 was another contributing factor impacting the year-to-year earnings comparison," Mr. Meier said.

Columbia Laboratories, Inc. is a U.S.-based international pharmaceutical company, dedicated to the development of women's prescription and over-the-counter products, including those which help prevent sexually transmitted diseases. Columbia's research in reproductive endocrinology has also led to the development of a product to treat "Andropause" in men. Columbia's products primarily utilize the Company's patented bioadhesive delivery system.

This press release contains statements which constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Those statements include statements regarding the intent, belief or current expectations of the Company and its management team. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those projected in the forward-looking statements. Such risks and uncertainties include, among other things, competitive, economic and regulatory factors in the pharmaceutical and health care industry, general economic conditions, the risk that orders received may not be fulfilled and other risks and uncertainties that may be detailed, from time-to-time, in Columbia's reports filed with the Securities and Exchange Commission. -0-

             COLUMBIA LABORATORIES, INC. AND SUBSIDIARIES
                 CONSOLIDATED STATEMENTS OF OPERATIONS

                                                      Unaudited
                         Year Ended              Three Months Ended
                         December 31,                December 31,
                      1998         1997          1998          1997

NET SALES         $10,017,644   $16,547,411   $2,325,150   $6,417,087

COST OF GOODS
 SOLD               5,707,814     6,630,820    1,867,419    2,548,320

  Gross profit      4,309,830     9,916,591      457,731    3,868,767

OPERATING EXPENSES:
 Selling and
  distribution      4,099,446     2,908,504    1,349,436      618,913
 General and
  administrative    5,785,895     3,972,077    1,755,108    1,515,296
 Research and
  development       7,821,642     9,135,573    2,514,058    2,548,063

  Total operating
   expenses        17,706,983    16,016,154    5,618,602    4,682,272

  Loss from
   operations     (13,397,153)   (6,099,563)  (5,160,871)    (813,505)

OTHER INCOME
 (EXPENSE):
  License fees         73,088     7,038,853            -    1,288,853
  Interest income     141,564        70,664        6,891       21,514
  Interest expense   (599,773)      (24,186)    (188,838)      (4,766)
  Other income
   (expense), net     (77,460)     (137,862)      63,775      (58,285)
                     (462,581)    6,947,469     (118,172)   1,247,316

Income (loss)
 before income
 taxes            (13,859,734)      847,906   (5,279,043)     433,811
Provision for
 income taxes               -        85,000            -       85,000

  Net income
  (loss)         $(13,859,734)     $762,906  $(5,279,043)    $348,811

INCOME (LOSS)
 PER COMMON
 SHARE - BASIC
 AND DILUTED     $      (0.48)  $      0.03   $    (0.18)  $     0.01

WEIGHTED AVERAGE
 NUMBER OF COMMON
 SHARES
 OUTSTANDING
  BASIC            28,679,000    28,350,000   28,685,000   28,527,000
  DILUTED          28,679,000    29,982,000   28,685,000   30,013,000