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STI ANNOUNCES NEW CREDIT LINE AND PRODUCT DEVELOPMENT AGREEMENTS

 ROCKVILLE, Md., Nov. 23 /PRNewswire/ -- Survival Technology, Inc. (STI) (NASDAQ-NMS: STIQ), today announced that it has entered another significant product development and supply agreement with a major pharmaceutical company and has secured a $5 million line of credit from Merrill Lynch Business Financial Services Inc.
 The new credit agreement is the first granted to the company since 1987 without a guarantee from its controlling shareholder. It achieves a reduction in interest rates and may be used for working capital and future capital expenditures. As a result of increasing sales of new commercial products, STI expects to further automate its St. Louis manufacturing facility in order to expand auto-injector production capacity.
 The line of credit carries interest at the prime rate plus 1/2 percent, expires Nov. 30, 1994, and is secured by substantially all of STI's assets. It will replace STI's current credit facility with Barclays Bank PLC.
 Separately, STI has entered an agreement with a European-based pharmaceutical company to develop, produce and supply STI's exclusive auto-injector drug delivery technology for a product to be marketed worldwide. The pharmaceutical company has requested not to be identified for competitive reasons.
 "This most recent new product agreement is a direct result of our acquiring the assets of Medimech International in the U.K. at the end of 1992 and is an example of our expanded ability to serve both multinational and local national drug and biotechnology companies on a worldwide basis," said James H. Miller, president and chief executive officer of STI.
 STI recently announced product development and supply agreements with Mylan Laboratories, Lotus Biochemical Corporation, Lifequest Medical and the Canadian government. Agreements with additional pharmaceutical and biotechnology companies have been completed or are in negotiation.
 STI is a world leader and exclusive U.S. producer of auto-injector technology and is currently developing a family of such drug delivery systems for the growing variety of new advances in injectable pharmaceutical and biotechnology products. An original development of STI research, the basic auto-injector drug delivery system consists of a small spring-loaded, pen-like device that allows patients or non-health care professionals to administer precise dosages of injectable medications quickly, safely, easily and without seeing the needle.
 The former Medimech operations, now known as STI International Limited, provide STI with a marketing and manufacturing presence in the European Community, ongoing relationships with European governments and pharmaceutical companies and various technological advances now in development.
 STI is a technology-based health care company that designs, develops and produces automatic injectors, pre-filled syringes and medical electronics, with a major focus on safe and convenient participation by the patient in injection therapy. The company also supplies customized drug delivery system design, pharmaceutical research and development and GMP-approved sterile product manufacturing to pharmaceutical and biotechnology companies.
 -0- 11/23/93
 /CONTACT: Jeff Church, vice president-finance and CFO, 301-926-1800, or Sam Huff, 708-382-7404, both for Survival Technology/
 (STIQ)


CO: Survival Technology, Inc. ST: Maryland IN: MTQ SU:

DT-DC -- DC023 -- 7313 11/23/93 13:46 EST
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Publication:PR Newswire
Date:Nov 23, 1993
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