Zila Stock Options to Begin Trading on CBOE.

PHOENIX--(BW HealthWire)--Oct. 30, 1997--Zila, Inc. (NASDAQ:ZILA), international provider of healthcare products for dental/medical professionals and consumers, reported that the Chicago Board Options Exchange (CBOE) will begin trading options on Zila on Oct. 31, 1997.

Options on Zila will trade on the January expiration cycle under CBOE symbol QWC, the exchange said. Introductory expirations for Zila options have been set for November, December, January and April. Initial strike prices are 5, 7 1/2 and 10.

Felt Trading L.P. is the designated market maker for Zila options.

Zila President Joseph Hines said, "We believe that the CBOE's decision to trade Zila options will result in greater visibility, volume and liquidity in the Company's common stock. This, in turn, should attract analysts and investors, including institutions. We welcome this development as a further indication of Zila's growing importance in the marketplace."

Earlier this week Zila announced the signing of a definitive agreement to acquire privately-held Oxycal Laboratories, Incorporated, of Prescott, Arizona. Oxycal develops, manufactures and markets a patented and enhanced form of vitamin C under the trademark name Ester-C(R). Oxycal also holds important technology patents which Zila believes have potential applications in the pharmaceutical industry.

Zila, Inc., currently has four operating groups. Zila Pharmaceuticals markets oral healthcare products. Cygnus Imaging manufactures and markets CygnaScope(TM) and OralVision(TM) intraoral video camera systems, and CygnusRay(TM) digital x-ray systems. Zila Professional Products Group includes Practice Works(R) dental practice management software and Zila Dental Supply, a national dental products distributor, marketing 18,000 items to dental professionals through extensive telemarketing and direct mail, catalog and internet sales. Zila Manufacturing is the world's only producer of pharmaceutical grade toluidine blue, the active ingredient in OraTest(TM), the first oral cancer detection system. Zila is introducing OraTest in markets worldwide.

This press release contains forward-looking statements which are based largely on Zila's expectations and are subject to various business risks and uncertainties, some of which are beyond Zila's control. Actual results could differ materially from these forward-looking statements as a result of such risks. There can be no assurances that the forward-looking statements contained herein, including Zila's ability to close the transaction contemplated in this release, will in fact transpire or prove to be accurate.

CONTACT: Zila Inc.

Joe Hines, 602/266-6700