Zila Signs Agreements to Expand Market Coverage for Ester-C(R) Products in the Scandinavian Region

PHOENIX, Dec 12, 2005 (BUSINESS WIRE) -- Zila, Inc.,(ZILA), announced that its wholly owned subsidiary, Zila Nutraceuticals, Inc., has signed two separate agreements with Cederroth International and Bringwell AB to expand its market presence in the Scandinavian region.

"The Scandinavian region has supported Ester-C(R) for a number of years, particularly in the health food and pharmacy segments. These new agreements will now expand the sale of Ester-C(R) products into all of the Scandinavian countries as well as the major market channels that include supermarkets and mass merchandisers," stated Douglas D. Burkett, Ph.D., Chairman, Chief Executive Officer and President of Zila, Inc. "We're extremely pleased with these agreements as we develop and grow the international business for Ester-C(R) and Zila Nutraceuticals."

About Cederroth International

Cederroth International, an Alberto-Culver company, is a strong and dynamic company with an extensive range of products covering health care, personal care, first aid and household sectors. In each product range, the company has numerous very successful brands, providing a solid position in a highly competitive market. Cederroth International has 850 employees and operates in 30 countries within Europe. Apart from its wholly owned subsidiaries in eight of these countries, Cederroth is represented in an additional 22 countries through local distributors. Sweden is by far the largest market, representing nearly half of the annual turnover. The newest and fastest growing markets are in Eastern Europe.

About Bringwell AB

Bringwell AB is a holding company consisting of several international companies in the health and well-being sector. The company focuses on patented, self-developed and licensed brand names and substances. The firm's subsidiaries Medtech Pharma Sweden AB, Medtech Pharma Norway AS, Bringwell International AB and Ethics Cosmeceuticals AB focus on their own developed and patented substances and brand names. Bringwell works closely with such world-renowned partners as the Karolinske Institute in Stockholm, Sweden to develop clinically tested substances for future patented products. In addition, Bringwell has strategic partners in several other nations in Europe, Asia and the USA.

About Zila

Zila, Inc., headquartered in Phoenix, is an innovator in preventative healthcare technologies and products, focusing on enhanced body defense and the detection of pre-disease states. Zila has three business units:

-- Zila Biotechnology, a research, development and licensing business specializing in pre-cancer/cancer detection through its patented Zila Tolonium Chloride and OraTest(R) technologies.

-- Zila Pharmaceuticals, a manufacturer and marketer of products to promote oral health and prevent oral disease, including ViziLite(R) Plus oral examination kits and Peridex(R) prescription periodontal rinse.

-- Zila Nutraceuticals, manufacturer and marketer of Ester-C(R) and Ester-E(R), branded, highly effective forms of Advanced Protection vitamins C and E.

Ester-C(R) advanced form of vitamin C is distributed in the Scandinavian region through Naturkost in Moss, Norway. For more information about Ester-C(R), visit www.ester-c.com. Ester-C(R) is the registered trademark of Zila Nutraceuticals, Inc. Information and statements regarding dietary supplements have not been evaluated by the Food and Drug Administration and are not intended to diagnose, treat, cure, or prevent any disease.

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements are based largely on Zila's expectations or forecasts of future events, can be affected by inaccurate assumptions and are subject to various business risks and known and unknown uncertainties, a number of which are beyond the Company's control. Therefore, actual results could differ materially from the forward-looking statements contained herein. A wide variety of factors could cause or contribute to such differences and could adversely impact revenues, margins, profitability, cash flows and capital needs, the ability of the Company to maintain required cash flows and cash availability to implement its business plan and appreciation in the market value of Zila's common stock. Such factors include, but are not limited to: increased competition from current competitors and new market entrants; the Company's ability to maintain, expand, or in certain cases, regain distribution within new or existing channels of trade for its products. There can be no assurance that the forward-looking statements contained in this press release will, in fact, transpire or prove to be accurate. For a more detailed description of these and other cautionary factors that may affect Zila's future results, please refer to Zila's Report on Form 10-K for its fiscal year ended July 31, 2005, filed with the Securities and Exchange Commission.

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