Hythiam's Alcohol, Methamphetamine and Cocaine Treatment Protocols to Be Evaluated for Use by Texas Probation, Corrections, and Re-Entry Programs.

Texas House Corrections Committee Chairman and 380(th) District Court Justice to Provide Oversight

LOS ANGELES -- Hythiam, Inc. (NASDAQ:HYTM), a healthcare services management company that licenses the PROMETA([R])treatment protocols designed to treat alcohol, methamphetamine and cocaine dependence, announced today that its PROMETA protocol for stimulant dependence will be evaluated for use and adoption as a treatment alternative by the probation, corrections, and re-entry programs throughout the State of Texas. The pilot will take place in Collin County, which comprises the 67th District and the 380th Judicial District Court. The 90 day pilot will enroll 25 primarily methamphetamine dependent offenders on probation or those wait-listed for participation in the State of Texas' Substance Abuse Felony Punishment Program (SAFP). If the pilot is successful, State Representative Jerry Madden, Chairman of the House Corrections Committee and the Representative for the 67th District, will sponsor legislation to provide funding.

"I have been relentlessly campaigning for reform in our probation efforts in order to stem the escalating tide of drug dependent offenders that are crowding our corrections system," said State Representative Jerry Madden, Chairman of the House Corrections Committee. "In order to avoid overwhelming our current infrastructure, the key areas that need our focus are substance dependent offenders, both first-timers, as well as those who are chronically relapsing from treatment. I have learned about success that various other government entities have had using the PROMETA protocols with hard to treat crack-cocaine and methamphetamine dependent offenders. I would like to join Justice Sandoval in adding my support towards identifying, evaluating, and adopting innovative treatment approaches that work. Of particular interest to us is the fact that if proven successful, the PROMETA protocol for substance dependence is an out-patient delivery which can provide us with much needed immediate expanded capacity for both probation and diversion programs. I intend to sponsor legislation that will allow for increased treatment funding for such solutions, those that are validated within this type of collaborative framework."

Justice Charles Sandoval of Collin County's 380th Judicial District Court is equally enthusiastic about the potential benefits of the PROMETA protocol. "The recent increase in methamphetamine addicted offenders is straining our limited resources," said Justice Sandoval. "Residential programs such as SAFP already have had long waiting lists even prior to this new surge of offenders that the system must contend with. We need additional outpatient solutions and if the PROMETA protocols represent such a treatment alternative then we will seek to add and fund them alongside our existing programs."

"Texas, like an increasing number of states, has taken a proactive approach in treating criminal offenders who end up in the system primarily due to drug and alcohol dependence, and we commend them for this," said Terren Peizer, Hythiam's Chairman and CEO. "Representative Madden and Justice Sandoval have been tireless in advocating for more effective solutions to the problems faced by criminal justice due to drug addiction. They are committed to confirming what they have heard from others in the field regarding PROMETA's utility in rapidly treating the substance dependent and returning them to community supervision. Current capacity issues have resulted in needless, costly incarceration as waiting lists for State funded treatment programs grow at a faster rate than the existing infrastructure can endure. We are excited by the opportunity to demonstrate PROMETA's effectiveness and by the prospects of probation, corrections, and re-entry programs reimbursing for the use of the protocols."

About PROMETA([R])

Hythiam's PROMETA([R])treatment protocols are designed for use by healthcare providers seeking to treat individuals diagnosed with dependencies to alcohol, cocaine or methamphetamine, as well as combinations of these drugs. The PROMETA treatment protocols comprise nutritional supplements, FDA-approved oral and IV medications used off-label and separately administered in a unique dosing algorithm, as well as psychosocial or other recovery-oriented therapy chosen by the patient and his or her treatment provider. As a result, PROMETA represents an innovative approach to managing alcohol, cocaine, or methamphetamine dependence that is designed to address physiological, nutritional, and psychosocial aspects of the disease, and is thereby intended to offer patients an opportunity to achieve sustained recovery. To learn more, please visit www.prometainfo.com.

About Hythiam, Inc.

Hythiam([R]) is a healthcare services management company focused on delivering solutions for those suffering from alcoholism and other substance dependencies. Hythiam researches, develops, licenses and commercializes innovative physiological, nutritional, and behavioral treatment protocols that seek to address substance dependence. Additionally, Hythiam provides proprietary administrative services to assist physicians and facilities with staff education, training, marketing and outreach support, and outcomes tracking for data analysis. For further information, please click on www.hythiam.com.

Forward-Looking Statements 

Except for statements of historical fact, the matters discussed in this press release are forward looking and made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect numerous assumptions and involve a variety of risks and uncertainties, many of which are beyond the company's control that may cause actual results to differ materially from stated expectations. These risk factors include, among others, limited operating history and lack of statistically significant formal research studies, the risk that treatment protocols might not be effective, difficulty in developing, exploiting and protecting proprietary technologies, intense competition and substantial regulation in the healthcare industry; and additional risks factors as discussed in the reports filed by the company with the Securities and Exchange Commission, which are available on its website at http://www.sec.gov.