Innovative Medical Services Signs Contracts with Lycos for Shopping Network Placement and Keyword Banner Advertising

Business Wire, Dec 17, 1998

SAN DIEGO--(BW HealthWire)--December 17, 1998--

Advertising drives traffic to IMS online store

Innovative Medical Services (Nasdaq:PURE) today announced it has entered into contracts with Lycos(TM), Inc. (Nasdaq:LCOS) to display keyword banner advertising and to join the Lycos Shopping Network.

"IMS is pleased to be partnering with Lycos, which is currently the second most visited hub on the internet," said Michael Krall, Innovative Medical's President and CEO. "We expect our Lycos Shopping Network link and associated advertising to dramatically increase Nutripure 2000 brand awareness and drive consumers to our online store," stated Michael Krall, Innovative Medical's President and CEO. "The Lycos link, along with our other online retail programs, should significantly boost revenues in the coming months."

The Company's online retailing program features its Nutripure(R) line of residential water systems, including the new Nutripure(R) 2000 countertop water filtration system that competes with PUR(R), Brita(R) and Culligan(R) products. Nutripure 2000 carries a manufacturer's suggested retail price of $79.99, and the 2,000-gallon replacement filters retail for $29.99.

The online store also offers the Nutripure Elite residential reverse osmosis water system that retails for $499 and is available as either a convenient, compact unit easily installed beneath the sink, or as an attractive countertop appliance requiring no installation.

In addition to its residential water systems, IMS markets its pharmaceutical water purification and dispensing systems on the internet. The Company's customer base for its Fillmaster systems includes Wal-Mart, Walgreens, American Stores, Eckerd, Kroger, Fred Meyer, Target and CVS.

About Lycos, Inc.

Founded in 1995, Lycos, Inc. is a leading Web media company and owner of the Lycos Network, the second most visited hub on the Internet reaching 44.5 percent of all Web users. With a unified set of Web sites, the Lycos Network is the fastest growing Web network and the world's largest online community. The Lycos Network attracts a diverse audience by offering a variety of services, including leading Web navigation resources, homepage building and other Web community services and a comprehensive shopping center. The Lycos Network is composed of premium sites: Lycos.com, Tripod, WhoWhere, Angelfire, MailCity, HotBot, HotWired, Wired News, Webmonkey and Suck.com. Headquartered near Boston in Waltham, Mass., Lycos, Inc. is a global Internet leader with a major presence throughout the U.S., Europe and Asia.

About Innovative Medical Services

Innovative Medical Services, based in El Cajon, California, manufactures and markets water purification, measuring, and dispensing equipment used in pharmacies to reconstitute oral antibiotic suspensions, and residential drinking water filtration systems used in consumer markets. Innovative Medical Services markets proprietary filters for the aforementioned products, thereby gaining another significant source of ongoing sales and cash flow. The Company's products can be purchased online from IMS' Yahoo!(R) Store at stores.yahoo.com/nutripure or from its web site at www.imspure.com. Innovative Medical Services also owns Export Company of America, Inc. (EXCOA), a Nevada corporation that holds and operates the Company's Brazilian export/import operation. The Company distributes medical, dental and veterinary supplies into Brazil and plans to use this distribution conduit for the Company's water filtration products.

This news release contains forward-looking statements which are based largely on the Company's expectations and are subject to a number of risks and uncertainties, certain of which are beyond the Company's control. Actual results could vary materially from these expected results due to a variety of factors, including the uncertainties of further studies and product developments. The Company undertakes no obligation to publicly release the result of any revision to these forward-looking statements which may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.