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Brazil Orders Four Million FC Female Condoms; Prevention Program Continues to Expand

For Immediate Release: November 4, 2002
For More Information: Mitchell Warren, The Female Health Company, 1-845-353-8298
Sponsor Organization: The Female Health Company

The Female Health Company (OTC Bulletin Board: FHCO) today announced that it signed a contract with the Ministry of Health of Brazil to provide four million FC Female Condoms for the Ministry's groundbreaking National AIDS Program.

The Female Health Company (OTC Bulletin Board: FHCO) today announced that it signed a contract with the Ministry of Health of Brazil to provide four million FC Female Condoms for the Ministry's groundbreaking National AIDS Program.

Under the terms of the contract, two million units were shipped immediately. Two subsequent shipments of one million units each will follow over the next four months.

"Brazil's innovative national AIDS program has been a global leader, and we are delighted that FC plays such an important role in their prevention strategy," said Dr. Mary Ann Leeper, President of the Female Health Company.

"The Ministry of Health has created a model program. FC is part of a comprehensive prevention strategy that includes training, counseling, outreach, education and promotion for women and men to support and sustain behavior change," said Dr. Leeper.

The Ministry of Health has conducted numerous studies to ensure achievement of maximum public health impact. Since 1998, the Ministry of Health has ordered more than eight million female condoms. The program began with a very successful acceptability trial which included 100,000 units for distribution. The order expanded in 1999 to allow 13,000 Brazilians access to FC. During 2000 and 2001, the Ministry bought two million units each year. This new four million unit order will allow the Ministry to have broader reach of its comprehensive prevention program.

"The Brazilian Ministry of Health is committed to ensuring access to all available prevention options. We know from our experience with FC that as we expand access to this option, more acts of sexual intercourse will be protected," said Denise Doneda, the head of Prevention in the Ministry's National AIDS Program.

During the recent XIV International AIDS Conference in Barcelona, Spain, in July 2002, several studies were presented.

In one Brazilian study to evaluate the acceptance and use of FC among HIV infected women, high rates of use (87%), acceptability (68%) and continuation (78%) of FC use were observed during the study with a reduction in the proportion of unprotected sexual acts from 14% to 6%. The study concluded that adding FC to contraceptive options with appropriate counseling was able to reduce unprotected sex among HIV infected women, a key target group of the program.

During the Conference, the Brazilian Ministry of Health emphasized that the introduction of FC has also helped empower women to negotiate safer sex with their partners and to become aware of their personal vulnerability to disease.

"The Brazil program is a wonderful example of the importance of developing a broad continuum to attack the HIV/AIDS pandemic, including prevention, care and treatment. These are not 'either/or' choices, we must ensure that comprehensive prevention programs go hand-in-hand with care, support and treatment initiatives," said Dr. Leeper. "We look forward to continued collaboration with the Government of Brazil and to working with them to replicate their experiences elsewhere."

In addition to the continued expansion of the Ministry's public sector FC program, the product is also available commercially through DKT do Brasil, FHC's Brazilian marketing partner. DKT do Brasil markets the product under the brand name Reality.

UNAIDS' supported studies show that when FC Female Condom is available as an option, there is a significant reduction in the incidence of sexually transmitted disease (STD) compared to when only the male condom is available. Additional published research highlights that incorporating FC into prevention programs can be cost saving as it reduces the number of unprotected sexual acts, the incidence of STDs, and the costs related to treatment and care.

FC is the only product controlled by women that helps to prevent STDs, including HIV/AIDS and unintended pregnancy. It is made of polyurethane, which is strong and unlikely to rip or tear during use and unlikely to cause allergic reactions. It is manufactured in a state of the art facility in London, England.

The Female Health Company, based in Chicago, owns certain worldwide rights to FC Female Condom(TM), including product and technology patents in the United States, Japan, the United Kingdom, France, Italy, Germany, Spain, the European Patent Convention, Canada, The People's Republic of China, Brazil, South Korea and Australia.

"Safe Harbor" Statement under the Private Securities Litigation Reform Action of 1995: The statements in this release which are not historical fact are forward-looking statements based upon the Company's current plans and strategies, and reflect the Company's current assessment of the risks and uncertainties related to its business, including such things as product demand and market acceptance; the economic and business environment and the impact of governmental regulations, both in the United States and abroad; the effects of competitive products and pricing pressures; currency risks; capacity; efficiency and supply constraints; and other risks detailed in the Company's press releases, shareholder communication and Securities and Exchange Commission filings. Actual events affecting the Company and the impact of such events on the Company's operations may vary from those currently anticipated.

For more information about the Female Health Company, dial toll-free via fax, 1-800-PRO-INFO and enter company code "FHCO." Also, visit FHC's Websites at http://www.femalehealth <http://www.femalehealth>.com and http://www.femalecondom.org http://www.femalecondom.org> .