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Biozhem Releases Encouraging Infomercial Test Results


LAKE FOREST, Calif.--(BUSINESS WIRE)--Dec. 17, 2001



Biozhem Cosmeceuticals, Inc. (OTCBB:BZHM) today reported the initial results from the testing of their new infomercial, "The RevitaCel Age-Defying Skin Care System," featuring Emmy-winning actress Lindsay Wagner.



Biozhem is in the test phase of its infomercial rollout. During the test phase, a company may alter the infomercial's content in an attempt to most clearly and compellingly tell the product story to consumers, and may also adjust certain variables such as offer, product price and media strategy. Although still preliminary, the most recent three test periods have had encouraging results. In the most recent round of testing for which final figures are available, Biozhem reported that their average media-to-sales ratio reached 2.04, which is considered a "hit" show. The media ratio calculation is the ratio of actual income to media dollars spent. The RevitaCel System offers a continuity (automatic shipment) program, and to date over fifty percent of the buyers are opting for that program. Based on the commitment of one additional shipment of product, the media-to-sales ratio average becomes 3.46, and projecting the ratio to the industry standard of 2.5 orders per continuity customer, the media-to-sales ratio is 5.18.



The 30-minute infomercial, produced by award-winning Script to Screen Productions, Santa Ana, California, features Wagner, international skin care expert Marion Simms, and testimonials from a number of women who have had extraordinary results from using the products. The infomercial tested in a number of markets nationwide, and on national cable channels such as Oxygen, Style and Product Information Network.



Stacy Durand, senior vice president of client services for Mercury Media, the nation's largest media buying agency specializing in direct response, spoke of the agency's role in the project. "We get a lot of skin care shows here, and, given the immense competition in the marketplace, know that it is a difficult category in which to achieve success. We haven't had a hit like this in skin care in a long time, and are very excited to be a part of the Biozhem project."



Chairman Jim Chapin said about the early results, "Biozhem is fortunate to be in the position of having a skin care system based on the science of tissue engineering. RevitaCel is unlike anything else that is available directly to consumers and, as such, we expected to have positive results. We face many of the same challenges that other small companies do. To the degree that we can execute and overcome the challenges, there can be little doubt, considering these early results, that we have significant growth potential. As we grow, we will take advantage of the consumer awareness created by a successful infomercial to achieve sales in other media, such as shopping networks, print, catalogs and direct mail, and extend the product's success into all viable international markets."



The RevitaCel System features NouriCel(TM), a breakthrough bioengineered ingredient from a leading tissue engineering company that develops and manufactures human-based therapeutic products for tissue repair and transplantation. NouriCel is created as a by-product of their proprietary tissue engineering process in which living cells form skin grafts for burn victims, and in the process secrete a variety of human growth factors, matrix proteins, soluble collagens and other factors that are present in human skin. As the key ingredient in RevitaCel's Replenishing Complex, NouriCel replenishes the skin with the powerful natural nutrients it made when we were babies.



In addition to the key product featuring breakthrough skin care technology, the RevitaCel System includes a line of unique products that provide a complete skin care regimen. Featuring proprietary formula Berridroxies, an unique extraction of European berries that performs the work of alpha hydroxy acids without the usual accompanying irritation, the products have proven safe for all skin types. Offered with the RevitaCel System are an Activating Serum to exfoliate and prepare the skin to receive the Replenishing Complex with NouriCel, a Foaming Cleanser and a 24-Hour Moisturizer. A 60-day supply is being offered for well under $100, making the RevitaCel System a true value in the world of high-performance skin care.



In addition to the television offer, the products are available through Biozhem's Customer Care Center at 800/535-1007. For investor relations, please call 888/215-9630.



Statements about the Company's future expectations and all other statements in this news release other than historical facts are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that is defined in the Private Litigation Reform Act of 1995. The Company intends that such forward-looking statements be subject to the safe harbor created thereby. Since these statements involve risks and uncertainties and are subject to change at any time, the company's actual results could differ materially from expected results.







Guy Allen, Webmaster of Bionic and Beyond

bionix@rogers.com

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