Curative Health Awarded JCAHO Accreditation for Woodbridge, Virginia, Albany, New York and Baltimore, Maryland Locations of its Critical Care Systems Branch Network.

HAUPPAUGE, N.Y. -- Curative Health Services, Inc., (Nasdaq:CURE), announced today that three more locations of its Critical Care Systems branch network have been awarded accreditation by the Joint Commission on Accreditation of Healthcare Organizations (JCAHO), Home Care Program. The locations include Woodbridge, Virginia, Albany, New York and Baltimore, Maryland. The distinction is a result of Critical Care Systems' demonstrated compliance with JCAHO's nationally recognized standards.

The three-year accreditation demonstrates Critical Care Systems' compliance with consensus-based national standards, effective use of established clinical guidelines to manage and optimize care and performance measurement and improvement activities. In order to earn and maintain accreditation, an organization generally must undergo an on-site survey by a JCAHO survey team after a four-month initial period, followed by on-site surveys at least every three years.

"The accreditation by JCAHO is national recognition of the quality services provided by our expanding Specialty Infusion business," said Paul F. McConnell, Curative's President and Chief Operating Officer. "We are very pleased to receive this prestigious award which exemplifies our leadership in Specialty Infusion and our on-going commitment to clinical excellence."

The Joint Commission has over 50 years of recognized and respected experience and expertise in evaluating clinical care quality in all types of health care settings. Most payors require JCAHO accreditation in order to be an eligible specialty infusion provider.

About Curative Health Services

Curative Health Services, Inc. seeks to deliver high-quality care and clinical results for patients with serious or chronic medical conditions.

The Specialty Infusion business, through its national footprint of Critical Care Systems' local pharmacy branches, provides products, related clinical services and disease management support to patients with chronic or severe conditions such as hemophilia and other bleeding disorders, chronic or severe infections, gastrointestinal illnesses that prohibit oral digestion and other severe conditions requiring nutritional support, immune system disorders, cancer and susceptibility to respiratory syncytial virus.

The Wound Care Management business is a leader in the area of disease management specializing in chronic wound care management. The Wound Care Management business manages, on behalf of hospital clients, a nationwide network of Wound Care Center(R) programs that offer a comprehensive range of services for treatment of chronic wounds.

For more information, visit www.curative.com.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. Factors that might cause such differences include, but are not limited to, risks associated with our acquisition of Critical Care Systems including, but not limited to, integration risks and costs, risks of client retention, and risks associated with the operations of the acquired business, as well as risks in our current businesses such as the termination or non-renewal of a material number of contracts, an inability to obtain new contracts, changes in government regulations relating to the Company's Specialty Infusion or Wound Care Management businesses, changes in the regulations governing third party reimbursements for the Company's services, manufacturing shortages of products sold by Curative's Specialty Infusion business, the impact of competitive products and pricing, the ability to maintain pricing arrangements with suppliers that preserve margins, the seasonality and variability of operating results, the Company's ability to implement its strategies and achieve its objectives and the other risks and uncertainties detailed in the Company's filings with the Securities and Exchange Commission. Readers of this release are referred to the Company's Registration Statement on Form S-4 filed July 29, 2004, as amended, and its Quarterly Report on Form 10-Q for the quarter ended June 30, 2004, for further discussion of these and other risk factors that could affect future results.