MedPointe Inc has entered into a major marketing and distribution agreement with AstraZeneca U.S. Beginning January 1, 2004, MedPointe will begin promoting the Zomig family of prescription migraine products in the U.S. and will assume full responsibility for all Zomig sales, sales transactions, marketing, and distribution.

The AstraZeneca Group will retain ownership of the Zomig brand and will continue to promote Zomig globally outside the U.S. AstraZeneca will be responsible for the supply of Zomig to MedPointe for the U.S. market.

During the interim period from October 2003 until year-end, MedPointe will work with AstraZeneca in promoting Zomig. The agreement provides for an initial four-year term and is expected to substantially increase MedPointe's sales and profitability. Net sales for Zomig in the US in 2002 were $177 million.

This agreement is anticipated to have an immediate transformational impact on MedPointe by increasing the Company's scale and profile in the CNS marketplace. In the next ninety days, MedPointe will continue to significantly expand its field sales organization by adding a substantial number of additional sales representatives to promote Zomig to physicians.

These new organizational resources will provide MedPointe with the foundation for building a significant Central Nervous System (CNS) franchise. The agreement will also enable the Company to diversify its business mix by establishing critical mass in a second large specialty therapeutic category -- CNS -- to complement its already strong presence in Allergy/Respiratory.

In commenting on the agreement, David R. Brennan, President and CEO of AstraZeneca Pharmaceuticals, L.P., U.S. said, "AstraZeneca remains committed to migraine sufferers and we believe that this is a win-win partnership that will maximize the long-term growth potential of Zomig. Moreover, we're pleased to be working with MedPointe, an organization that has an experienced, talented management team and the resources to continue the effective promotion of Zomig."