Healthcare Industry News:  BIOGUARD 

Devices Wound Care

 News Release - January 5, 2010

Derma Sciences Signs Three-Year Contract With Leading Global Healthcare Company

Agreement Will Generate $15 Million in Revenue for Derma Sciences Beginning In 2010

PRINCETON, N.J., Jan. 5 (Healthcare Sales & Marketing Network) -- Derma Sciences, Inc. (OTC Bulletin Board: DSCI), a specialty medical device/pharmaceutical company focused on advanced wound care, has finalized a contract with a leading global healthcare products company to produce finger bandages. The agreement is expected to generate a total of approximately $15 million in new revenue for Derma Sciences over a three-year period beginning spring 2010.

"This is an Agreement we have been working on for over one year and our selection is a major step forward in our First Aid Products (FAD) strategy," said Ed Quilty, Chief Executive Officer of Derma Sciences. "These products will be manufactured by Derma for our partner with their specifications under their name. Shipments will begin in early 2010."

Daniel Rivest, President of the First Aid Division of Derma Sciences commented, "The partnership demonstrates our core competencies in private label wound care product manufacturing. This contract was possible due to the successful integration of the First Aid Division into Derma Sciences and our recent manufacturing facility expansion."

Ed Quilty added, "The market can expect to see additional expansion of our private label manufacturing to compliment our efforts in building our proprietary advanced wound care sales highlighted by our MEDIHONEY™ line."

About Derma Sciences, Inc.

Derma Sciences is a global manufacturer and marketer of advanced wound care products. Its key product, MEDIHONEY(R), is sold throughout the world by Derma Sciences and Comvita New Zealand -- the licensor of the patented honey-based technology -- and is the leading brand of honey-based dressings for the management of wounds and burns. The product has been shown to be effective in a variety of wounds and burns, and was the focus of a positive large-scale randomized controlled trial on leg ulcers. Derma's recently FDA cleared BIOGUARD(TM) Barrier Dressing is the Company's latest new product entrant into the $14 billion global wound care market.

Forward-Looking Statements

Statements contained in this release that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the generality of the foregoing, words such as "may," "will," "expect," "believe," "anticipate," "intend," "could," "estimate" or "continue" are intended to identify forward-looking statements. Readers are cautioned that certain important factors may affect the Company's actual results and could cause such results to differ materially from any forward-looking statements which may be made in this release or which are otherwise made by or on behalf of the Company. Factors which may affect the Company's results include, but are not limited to, product demand, market acceptance, impact of competitive products and prices, product development, completion of an acquisition, commercialization or technological difficulties, the success or failure of negotiations and trade, legal, social and economic risks. Additional factors that could cause or contribute to differences between the Company's actual results and forward-looking statements include but are not limited to, those discussed in the Company's fillings with the Securities and Exchange Commission.

Source: Derma Sciences

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