Forbes Medi-Tech Announces the Further Expansion of Dairy Products Containing Reducol'TM' in Europe Through the Carrefour Group, Specifically Through the Champion and Carrefour Banner

Market Wire, October, 2006

Forbes Medi-Tech Inc. (TSX: FMI)(NASDAQ: FMTI) today announced that Champion, based in France (a Groupe Carrefour banner), will be creating five new dairy products containing Forbes Medi-Tech's cholesterol-lowering ingredient, Reducol(TM). The following products will be launched on the market through Champion stores: original and strawberry flavored yogurt drinks, a mixed strawberry and apricot flavored yogurt, and an all natural (fruit base) set yogurt. The Carrefour superstores will sell these products under their brand name Agir Nutrition.

"At Champion, we are committed to providing consumers with the products they demand and with the growing popularity of heart healthy products we felt it was a natural progression to offer these great tasting cholesterol-lowering products with Reducol(TM)," noted Champion France representative, Sylvain Ferry.

With today's announcement a wide variety of cholesterol lowering dairy products containing Reducol(TM) can now be found in a number of European countries including France, the United Kingdom, Finland and the Netherlands, at major retailers including Champion, Tesco, U.K. Wal-Mart/ASDA, Kesko, and Albert Heijn.

"Today's announcement was made possible due to the continuing success of Reducol(TM)-based dairy products in Europe and speaks volumes about our product's credibility and competitive advantages," noted Charles Butt, President and CEO, Forbes Medi-Tech. "We are excited to be working with international distributors, such as CARREFOUR GROUP, and we hope to continue the expansion of Reducol(TM) product launches as the worldwide demand for cholesterol-lowering, Reducol(TM)-based products continues to grow."

Reducol(TM) is a unique ingredient containing plant sterols and stanols, commonly known as phytosterols, or "Sterols". Like other previously announced Reducol(TM)-based products, these five products when consumed in recommended amounts, and combined with a prudent diet and regular exercise, may help customers lower their cholesterol by up to 24%.

In Europe, Reducol(TM) can now be found in such dairy products as yogurt, yogurt drinks, cheese and margarine spread, but can also be found worldwide in such items as chocolates and dietary supplements.

About CARREFOUR GROUP:

The second-largest retailer in the world and the European leader, the Carrefour Group has worked for more than forty years to establish its position as the daily partner of millions of customers in Europe, Asia and Latin America. Basing its action on a multi-format strategy (hypermarkets, supermarkets, hard discount stores, local stores, cash-and-carry), it offers its customers the lowest prices for a broad selection of products and services.

Today, the Carrefour Group operates 12,000 stores in 29 countries and employs 430,600 people. Its consolidated sales excluding tax reached EUR 74.5 billion in 2005. Committed to a dynamic based on growth and profitability, the Carrefour Group applies an approach based on responsible commerce, respecting differences and seeking to contribute to economic and social progress wherever it does business.

About Reducol(TM)

Reducol(TM) is a unique ingredient containing plant sterols and stanols, commonly known as phytosterols, or "Sterols". The combination of a prudent diet and consumption of products containing the recommended amount of Reducol(TM) may help consumers lower their cholesterol by up to 24%. Additional information on Reducol(TM) can be found at www.reducol.com .

About Forbes Medi-Tech Inc.

Forbes Medi-Tech Inc. is a life sciences company dedicated to the research, development and commercialization of innovative products for the prevention and treatment of cardiovascular disease (CVD). Our vision is to develop and market products along a treatment continuum that CVD savvy consumers, healthcare professionals and specialized CVD research and healthcare institutions will identify, recommend and seek. Our business strategy is to develop and commercialize proprietary compounds to address the unmet needs of patients within the cardiovascular disease market.

Forbes Medi-Tech ("Forbes" or the "Company") has relied solely on the Carrefour Group for the information about the Carrefour Group and Champion France provided in this News Release and the Company disclaims any liability with respect to such information. Forbes disclaims responsibility for information contained in any linked or referenced website, and such links and references do not constitute an endorsement by Forbes of those or any other website. This News Release contains forward-looking statements regarding Reducol(TM), products containing Reducol(TM), and the Company's strategy and vision, which statements can be identified by the use of forward-looking terminology such as "will", "may", "hope", "continues", "strategy", "vision", "to develop" or comparable terminology referring to future events or results. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of numerous factors, including the Company's reliance on the Carrefour Group and Champion France for performance; the need to secure new customers which is not assured; uncertainty regarding market acceptance and demand for products containing Reducol(TM); uncertainty whether the Champion products will be available as scheduled; uncertainty whether demand for Reducol(TM)-based products will continue to grow; product development risks; intellectual property risks; manufacturing, marketing and supply risks; product liability and insurance risks; uncertainty as to future sales volumes and pricing; the effect of competition; the need for regulatory approvals, which are uncertain; changes in business strategy or development plans; exchange rate fluctuations; and the Company's need for future funding; as well as a description of other risks and uncertainties affecting the Company and its business, as contained in news releases and filings with Securities Regulatory Authorities in Canada and the U.S., any of which could cause actual results to vary materially from current results or the Company's anticipated future results. Forward-looking statements are based on the beliefs, opinions and expectations of the Company's management at the time they are made, and the Company does not assume any obligation to update any statement should those beliefs, opinions or expectations, or other circumstances change.