Zila Appoints New Chief Financial Officer.

Business Editors

PHOENIX, Ariz.--(BUSINESS WIRE)--Jan. 23, 2004

Zila, Inc. (Nasdaq:ZILA) today announced the appointment of a seasoned financial executive, Andrew A. Stevens, as Zila's chief financial officer, effective immediately. He replaces Lawrence Batina, who will remain as a consultant to Zila during a short transition period.

Stevens, who is 46 years old, brings to Zila over 15 years of financial management experience in increasingly senior positions. He recently served as chief financial officer of Amerco, a holding company whose principal operating subsidiaries are U-Haul International, Republic Western Insurance Company and Oxford Life Insurance Company.

Stevens was formerly with automotive parts retailer CSK Auto, where, during his six-year tenure as vice president-finance and controller, he had responsibility for accounting and reporting, financial systems management, and cash and risk management, among other areas. In addition to his involvement in the company's 1998 initial public offering and numerous subsequent capital market transactions, Stevens led due diligence efforts on four acquisitions and contributed to the refinancing of the company's complex capital structure.

"We continue to optimize our team and infrastructure, and look forward to Andy's contributions as we enter the next phase of the Company's corporate development," said Doug Burkett, Ph.D., chairman, chief executive officer and president of Zila. "Andy has been a key contributor to the improved financial management of several major corporations, including those with complex reporting and business structures similar to Zila's. His demonstrated focus on integrity and accuracy in financial reporting, strict financial controls, and improved cash management, along with his proven track record in increasing operational efficiencies complement our corporate goals."

Prior to CSK Auto, Stevens held senior finance positions with several other large public companies, including Amtran Inc., America West Airlines and Circle K Corporation. He was previously a senior manager in the audit practice of KPMG Peat Marwick in Phoenix.

Stevens received his bachelors degree in accounting from the University of Arizona and is a certified public accountant.

About Zila

Zila, Inc., headquartered in Phoenix, is an innovator in preventative healthcare technologies and products, focusing on enhanced body defense and the detection of pre-disease states. Zila has three business units:

-- Zila Biotechnology, a research, development and licensing

business specializing in pre-cancer/cancer detection through

its patented Zila(R) Tolonium Chloride and

OraTest(R) technologies.

-- Zila Nutraceuticals, manufacturer and marketer of Ester-C(R)

and Ester E(TM), branded, highly effective forms of vitamin C 

and E for Whole Body Protection.

-- Zila Pharmaceuticals, marketer of superior products to promote

oral health and prevent oral disease, including ViziLite(R)

oral examination kits, Peridex(R) prescription periodontal 

rinse and Zilactin(R) OTC oral care products.

For more information about Zila, visit www.zila.com.

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are based largely on Zila's expectations or forecasts of future events, can be affected by inaccurate assumptions, and are subject to various business risks and known and unknown uncertainties, a number of which are beyond the Company's control. Therefore, actual results could differ materially from the forward-looking statements contained herein. A wide variety of factors could cause or contribute to such differences and could adversely impact Zila's revenues, profitability, cash flows and capital needs. There can be no assurance that the forward-looking statements contained in this press release will, in fact, transpire or prove to be accurate. For a more detailed description of these risks and other cautionary factors that may affect Zila's future results, please refer to Zila's Form 10-K for its fiscal year ended July 31, 2003 and its Form 10-Q for the quarter ended October 31, 2003, filed with the Securities and Exchange Commission.