The Female Health Company Reports

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Female Condom Launched in India

CHICAGO, March 1, 2004- The Female Health Company (OTC BB FHCO) and its Indian Partner Hindustan Latex Limited (HLL) announced the launch of the Female Condom in India. This initiates the final stage in a four step process to develop the Indian market.

Late in 2001, the Company and HLL formed an alliance for commercial development of the Female Condom in India. Subsequently, three key steps have been completed: Indian “FDA” approval to market the product in India was secured, importation approval was obtained, and a broad acceptability study was completed.

The acceptability study was conducted in three states. Key results included the following: the voluntary level of usage exceeded 90% and increased as the trial progressed, total condom usage (male and female) increased during the trial and the majority of participants would 1) recommend the Female Condom to a friend, 2) use it in the future (even at a higher cost than the male condom), and 3) perceived the Female Condom as stronger and more reliable than the male condom. In addition, the trial indicated that programmatic support providing education and counseling was essential for success.

Based on the regulatory approvals and acceptability study results, a launch meeting was held on February 13, 2004 in New Delhi. The meeting was attended by more than 300 individuals, including government officials, various support organizations (such as: USAID, DFID, PSI, UNAIDS and UNFPA) representatives of the 28 non-governmental organizations (NGOs) who participated in the acceptability trial, individual trial participants, national and international media, and representatives from HLL and the Female Health Company.

Key speakers at the meeting included Mr. JVR Prasdo Rao, the Union Secretary for Health to the Government of India, Mr. PK Hota, The Union Family Welfare Secretary to the Government of India, Meenaki Dutta Gosh, Project Director- National AIDS Control Organization and Dr. Radium Bhattacharya, President of the Indian Network of NGOs on HIV/AIDS, Mr. G. Rajamohan, Chairman of HLL, Mr. M. Ayyappan managing Director of HLL and Dr. MA Leeper, president of the Female Health Company.

Dr. Leeper noted that studies in Thailand, the U.S., Zimbabwe and Ghana show that when the Female Condom is available as a choice the incidence of protected sex acts increases 25%-35%. She also cited Brazil’s successful HIV/AIDS prevention program where The Female Condom plays an important role. She indicated that even after one year, there is 70% continued usage by program participants.

The meeting initiated the final phase of commercial development in India. During the next year, the Government, support organizations, NGOs, HLL, and the Female Health Company will develop and implement programs to make the Female Condom available as a part of prevention programs throughout India. In addition, HLL and the Female Health Company plan to initiate manufacturing in India to reduce the cost.

India has the second largest number (estimated at 4.9 Million) of people that are HIV positive of any country. While this is a small percentage of its 1 billion plus population, if it reached the 20%- plus level experienced in some Sub-Saharan African nations, the result would be devastating. In recognition of this, India is actively pursuing HIV/AIDS prevention programs. The Female Condom is expected to make an important contribution to these programs.

The Female Health Company, based in Chicago, owns certain worldwide rights to FC Female Condom? including patents which have been issued in the United States, United Kingdom, Japan, France, Italy, Germany, Spain, The People’s Republic of China, Canada, New Zealand, South Korea and Australia. FC Female Condom? is the only available product controlled by a woman that protects against sexually transmitted diseases including HIV/AIDS, and unintended pregnancy.

“Safe Harbor” statement under the Private Securities Litigation Reform Action of 1995: The statements in this release which are not historical fact are forward-looking statements based upon the Company’s current plan and strategies, and reflect the Company’s current assessment of the risks and uncertainties related to its business, including such things as product demand and market acceptance; the economic and business environment and the impact of government pressures; currency risks; capacity; efficiency and supply constraints; and other risks detailed in the Company’s press releases, shareholder communication and Securities and Exchange Commission filings. Actual events affecting the Company and the impact of such events on the Company’s operations may vary from those currently anticipated.

For more information about the Female Health Company, dial toll-free via fax, 1-800-PRO-INFO and enter company code “FHCO”. Also, visit the Company’s web site at www.femalehealth.com and www.femalecondom.org. If you would like to be added to an e-mail alert list, please send an e-mail to FHCInvestor@aol.com .

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