Elan to Manufacture Fuisz's Ceform and Shearform Products

Fuisz Technologies Ltd. (Chantilly, VA) and Elan Corp. (Dublin, Ireland) and certain affiliates have entered into license and manufacturing agreements under which Elan will manufacture certain products for Fuisz at its Athlone facility in Ireland. Production at the Athlone facility is expected to begin by 2001. The facility will be capable of manufacturing Ceform microspheres as well as various Shearform formulations, including Flash Dose fast dissolving tablets, and should provide an annual output of around 1.2 billion tablet doses.

In connection with the license agreement, Elan will pay certain fees to Fuisz. Elan has also purchased shares of Fuisz common stock (amounting to just under 5% of outstanding Fuisz common stock), and the parties have settled their pending litigation. In addition, subject to regulatory approval, Elan will nominate a member to Fuisz's board of directors.

Fuisz Technologies Ltd. is engaged in the development, manufacture, and commercialization of a wide variety of pharmaceutical and consumer healthcare products that utilize its proprietary Ceform, Shearform, and other drug delivery technologies.

Elan Corp. develops drugs and the delivery systems that control their absorption.

For more information: Kenneth McVey, President and CEO, Fuisz Technologies Ltd., Lincoln House, Lincoln Place, Dublin 2, Ireland. Tel: +353-1-709-4000. Fax: +353-1-662-4950.